Wegmans adapts foodservice strategy with pub closures

Stewart Samuel
Program Director - Canada
@RetailAnalysis

Date : 03 July 2020

US-based Wegmans is permanently closing all its Pub by Wegmans locations, having temporarily closed them during the COVID-19 pandemic.

Pivoting towards fast-casual, pickup and delivery

Wegmans operated 12 ‘Pub’ restaurants within its stores, offering a casual dining experience and adult beverages. Moving forward, the retailer will focus on fast-casual solutions, including in-store, for pickup and for delivery. The retailer is recognised as one of the global leaders at the intersection of retail and foodservice, offering a range of models including self-service bars, counter services and take-home ranges. Its format remains unique despite the push of the broader industry towards this model.

Source: IGD Research

Breadth of offer ensures flexibility

The Pub by Wegmans was a relatively small part of the retailer’s foodservice offer. In line with broader industry trends, quick service and fast casual concepts have been growing at the expense of casual dining. Wegmans benefits from operating multiple foodservice formats, enabling it to flex its offer in this way and lean into growth areas.

Source: IGD Research

Leader in meal delivery and pickup

Wegmans has been one of the leaders with foodservice pickup and delivery within the retail sector. It has partnered with DoorDash for meal delivery, offered through its ‘meals 2 go’ initiative. Customers order through a dedicated app, with delivery available for orders over $20. Customers can also choose to collect their orders through the retailer’s curbside pickup service. The retailer is relatively unique in that it has created a dedicated meal holding area close to the store entrance. Post-COVID-19, this is expected to be a key growth area, building on a trend which has accelerated during the pandemic.

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