WAYNE, N.J. -- Grand Union's self-
described "vision" for taking in some of the fresh takeout-meals market is coming into sharper focus.
The 230-unit chain, based here, declared earlier this year that it would dramatically improve its fresh prepared-foods offerings as part of a broader, three-year "Grand Visions" initiative to improve its operations and public image.
It has since set up two stores on the outskirts of the New York City area -- in Monroe, N.Y. and West Nyack, N.Y. -- with extensive remodels that are intended to exemplify that initiative.
While a Grand Union spokesman did not return phone calls for comment, visits to those two units and other grand Union stores made it clear that Grand Union's new ready-to-heat meals programs are leading components in the strategy.
The total prepared-foods package -- the meals programs, plus other concepts such as a bagel bar and pizza shop around the nucleus of a cafe -- are enabling Grand Union to market to three time periods in a typical day: breakfast, lunch and dinner.
It represents the chain's latest, and perhaps most intensive, effort to fulfill the promise inherent in the banner it has flown over its delis' prepared foods for years: "The Best Takeout Restaurant in Town."
The initial reaction from industry analysts is that the chain, which emerged from bankruptcy about a year ago, is on the right track.
The grab-and-go part of the equation relies on two main elements, a "Dinner for Two" line and the single-serving "E-Z Meals" line.
Howard Goldberg, an analyst who follows the chain for Smith Barney, New York, said Grand Union has recently made refinements to the lines, including lowering the price of the E-Z Meals from $3.99 to $3 each.
After some testing in 25 stores last fall, the company began rolling out the refrigerated lines this spring. The store in Monroe is generally being considered the most comprehensive rendering of the prepared-foods strategy.
Goldberg attended a guided tour of the Monroe store in April. More recently, he visited seven Grand Union stores in Bergen County, N.J., to see how the accelerated-meals concept has been applied elsewhere.
While his observations were admittedly unscientific, Goldberg said the Dinner for Two and E-Z Meals "seemed to be meeting with sporadic success" at the various Grand Union units.
"It did seem to be doing well in some stores, and in some stores displays were lackluster," he said.
"It didn't seem like the Dinners for Two were doing as well as the E-Z Meals. Perhaps it is an area that is crying out for sampling," added Goldberg.
In fact, no sampling was evident in the seven Bergen County stores visited by Goldberg; nor was there sampling in three New York State stores visited this summer by SN.
"The handicap" with the Dinners for Two, said Goldberg, "is that the meals are fully boxed and wrapped, and the only draw to the product is based on a picture. I don't know if the average customer will be induced to buy based on a picture."
But overall, Goldberg saw Grand Union's deeper foray into the territory of the food-service business as "a good venture for them," particularly if handled with care.
"They will learn a lot -- for food preparation and display. But it's hard to make much of a leap of faith from [the experience of] one or two cafes," he said.
At the remodeled showcase, Monroe store shoppers can opt to eat at a cafe located in the left-rear corner of the store. The cafe offered seating at four tables and more than a dozen counter stools.
Opened this spring, the cafe is one of a handful of eateries now operated by the chain. But it is also the beginning of a company-wide renovation plan that could bring cafes to more stores, according to several sources.
The cafe had four sides, with a food-preparation area in the center. One side was devoted to a coffee bar, where the seating was also located. The other three sides were a mixed bag of full-service counterspace, along with some refrigerated self-serve cases used to merchandise complementary items, such as lox and cream-cheese spreads near a bagel display.
Following a path down the left side, the first department was a pastry shop, offering items such as cream puffs for 45 cents each, slices of gourmet chocolate-fudge layer cake for $1.39 and premade Cuban-style paninni sandwiches for $2.99.
The bagel bar came next, followed by a station offering made-on-request salads, such as Caesar salad for $2.99 and chicken breast with Caesar dressing for $4.99.
Around the corner was a section labeled "Meals to Go," with product selection and merchandising reminiscent of Boston Market. The hot entrees included rotisserie chicken, turkey breast, meat loaf and fried chicken. The sides to accompany these dishes were mashed potatoes, cold salads, creamed spinach, carrots, zucchini and stuffing.
The meals could be purchased in single-servings -- for example, 1/4 chicken, two sides and corn bread for $4.49 -- or in family-sized meal packages.
Prices varied by entree and number of side dishes. A roast-turkey meal for five, with mashed potatoes, two side dishes and corn bread, was priced at $19.99.
Further along the rear counter was a hot-pizza case, with products sold by the whole pie or by the slice.
A 16-inch pizza was priced at $7.99. A plain slice sold for $1.25, and a slice with one topping was $1.50. A sign hanging over the counter also promoted a lunch special: two slices and a medium soda for $2.75.
Up along the right side of the cafe was a self-serve soda fountain, with medium, large and jumbo sizes, priced at 59 cents, 69 cents and 79 cents, respectively. A case with Snapple products was also nearby.
Beyond the cafe, Grand Union's takeout strategy was best represented in the Monroe store by Dinner for Two and E-Z Meals, the lines of fully prepared and prepackaged meals.
The single-serving E-Z Meals typically included an entree, potato and vegetable, and were packaged in plastic, clear-covered microwavable dishes.
The Dinner for Two meals included an entree, potato, vegetable, salad and bread. The meals, priced at $9.99, were all packaged in plastic containers that were sealed in opaque white plastic bags.
Two entrees were offered daily. One day's menu items were: grilled lemon chicken with roasted garlic and herb potatoes, zucchini marinara, mixed green salad and French bread; and stuffed shells with Italian meatballs, oven-roasted mixed vegetables, mixed green salad and French bread.
Other selections planned for the week were chicken parmigiana, prime rib beef, chicken and ribs, stuffed Cornish hen and eggplant parmigiana.
In the Monroe store, the two lines were merchandised next to each other in a refrigerated case against the left wall of the store, near the cafe and deli. About a dozen bags holding Dinners for Two were merchandized on four shelves, while many more E-Z Meals were on display.
There were nine varieties of the single-serve E-Z Meals entrees merchandised in an approximately eight-foot section of six shelves. The nine selections were chicken parmigiana, roast beef, Swedish meatballs, turkey breast, lasagna, roast pork, tortellini alfredo, meat loaf and spaghetti and meatballs.
Grand Union is not limiting its prepared takeout fare to meat-based dishes from the deli food-service department. In line with its Grand Visions mandate, the chain is extending the "best takeout restaurant" strategy beyond deli to other fresh departments in Monroe.
For example, the seafood department, located on the right wall of the Monroe store, merchandised four takeout seafood pasta marinara entrees, with either carrots or corn, in a self-serve case.
And at its full-service counter, customers could select from menus of eight fried platters, for lunch or dinner. The selections were: fried flounder for $3.99, fried cod for $3.69, fried catfish for $2.99, fried shrimp for $4.99, fried scallops for $4.99, fried fish cake for $1.99, fried clams for $2.99 and fried seafood combo for $4.99.
All the seafood dinners came with fries, coleslaw and tartar or cocktail sauce.
The store's approximately 15-foot long, 80-item cold salad bar has also been tied into the concept. A sign declared it's: "The Grandest of Salad Bars. Visit some of the finest restaurants in the world. Few can boast of a salad bar this terrific." The price on the bar was $2.99 per pound.
In the refrigerated cases near the Dinners for Two and E-Z Meals were also some premade heros, including tuna for $2.89 and a "Grand" or Italian sub priced at $3.89.
Four shelves, stretching about four feet across, were used for packaged salads. A Caribbean grain salad was priced at $3.99 per pound and a pasta with sundried tomatoes was $2.99 per pound.
The department also had a "carving board" section with turkey breast, ham, smoked turkey and cooked beef, sliced on request. For shopper convenience, purchases could be paid for at the deli, according to a sign at the counter.
In the Monroe store, banners across the deli and the customer-service counters, along with signage throughout the store and package stickers all bearing the "Best Takeout Restaurant in Town" slogan, heavily emphasized Grand Union's message. In other stores operated by the chain, the Dinner for Two and E-Z Meals programs were available, but they did not appear to be as heavily promoted or intensely merchandised as they were in Monroe's showcase unit.
