Supermarket Pathmark attempts to “Stack It High, Watch It Fly”
In the late ‘70s and early ‘80s, Pathmark’s strategy was to sell lots of stuff at low prices. With food inflation, rising gas prices, and less to spend on groceries, Pathmark is returning to its low-cost, high volume roots. Last week, at the Irvington, NJ Pathmark, shoppers were loading up on the most heavily promoted items such as the 88 cent six packs of Canada Dry. Up to 20 Pathmarks will be converted to the new format this year. Although profit margins will be lower because items will be deeply discounted, Pathmark says they will make more money because volume will be up to 300% higher.
Will other supermarkets start to adopt this model?
Read More About Pathmark Here.
Tags: low-cost high volume, pathmark, supermarkets