May 20, 2008
ELLIOT ZWIEBACH
CHANDLER, Ariz. — Bashas’ here said it will cease home delivery of groceries after May 31 as “part of our plan to streamline our operations due to the current economic turndown.” Any cutbacks in order-taking, selection and delivery personnel related to elimination of the chain’s Groceries on the Go program were included earlier this month in the chain’s announcement that it was eliminating more than 100 jobs. According to Mike Proulx, president and chief operating officer, “Operating expenses for this [home-delivery] service, especially the cost of fuel, have increased dramatically, making it extremely difficult to offer this service at a reasonable fee. At the same time, customers are watching their pocketbooks, and they’re more willing to clip coupons and personally visit stores than pay a surcharge for home delivery service.” Groceries on the Go charges $9.95 per order for next-day delivery and $14.95 for same-day delivery. Less than 0.5% of Bashas’ customers use the service, the chain said, though the percentage was higher when the program was initiated in 1998, a spokeswoman told SN. Bashas’ said it is sending customers who have used the service during the past six months a coupon for $5 off orders of $50 or more at the stores. The company also said it is maintaining delivery service to houseboats on Lake Powell from its store in Page, Ariz., although it will increase the delivery fee by $35 — from $65 and 10% of the order total to $100 plus 10%.
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