Can Stop & Shop Survive After Its Stores Close?

In May, Stop & Shop announced plans to close an unspecified number of underperforming grocery stores in the Northeast to ensure the long-term health of the business.

The announcement, made by JJ Fleeman, CEO of parent company Ahold Delhaize USA, during an investor presentation, underscored the need for decisive action as the company focuses on its strongest market segments. Despite the closures, Stop & Shop remained committed to investing in store renovations and maintaining competitive pricing. The company had already renovated more than 190 stores at the time of the announcement and emphasized its commitment to social responsibility initiatives, including supporting school food banks and reducing waste.

On July 12, Stop & Shop clarified that it plans to close 32 underperforming stores in Connecticut, Massachusetts, New Jersey, New York and Rhode Island, providing a list of specific locations. They will close no later than Nov. 2, 2024, according to the company’s press release.

The Stop & Shop closure has sparked many reactions and posts on social media. Many local communities are in shock at the news and are concerned about the negative effects of the store closures in their area.

On Reddit, Stop & Shop forum members — including a supposed grocery store manager with one year of experience and an eight-year veteran — both expressed frustration with deteriorating working conditions, a focus on displays over replenishment, and excessive workloads with no benefits. They criticized high prices, poor product quality, and incompetent management, pointing to chronic understaffing and lax hiring practices that lead to unreliable employees. Both are concerned about the company’s future viability and are considering leaving.

In Connecticut, local officials were surprised to learn of the closure of five Stop & Shop stores, as Torrington Mayor Elinor Carbone found out via social media and had to contact the company for confirmation.

Meanwhile, in Worcester, Massachusetts, District 1 Councilwoman Jennifer Pacillo is urging the city to take action to prevent the Lincoln Plaza Stop & Shop from closing. Local customers are concerned about losing a convenience store in their working-class neighborhood.

Stop & Shop’s plan to close eight stores in Massachusetts, including its pivotal Brockton location, has sparked concern among residents about limited grocery options. Customers have expressed disappointment with the closure, noting the store’s importance to the community. Mayor Robert Sullivan criticized the decision, noting that it would force residents to travel farther to shop. He also noted that promises had been made that the Brockton store would not be among the stores closing. A Stop & Shop spokesperson acknowledged the difficulty of the decision, but stressed that it was necessary for the brand’s future growth.

Other locations expected to close include 10 stores in New Jersey, seven in New York and two in Rhode Island.

Last year, Stop & Shop expanded the use of Marty the Robot, created by Badger Technologies, to more than 300 stores in the Northeast. Marty now performs product checks to improve shelf availability and detects misplaced items, in addition to spotting floor hazards. The robot’s enhanced capabilities allow store associates to focus more on customer service. Marty also supports community initiatives like the “Feed it Forward” campaign. Equipped with cutting-edge technology, Marty improves real-time inventory tracking and store efficiency, contributing to a better shopping experience and improved operational accuracy for Stop & Shop.

“Marty has already provided us with tremendous value in creating a safer in-store environment, and we are excited to announce these new automated shelf scanning capabilities, which will deliver even more value to customers and associates. With Marty’s new ability to find and correct shelf availability and confirm pricing information, associates can spend even more time with customers.”

Gordon Reid, president of Stop & Shop, via Supermarket News

Marty the Robot and other similar robots are also intended to improve retailers’ omnichannel operations.