Grocery Outlet, where the wine overflows

Grocery Outlet in the US is going head to head with Aldi and Lidl by offering cheap wine. Jeff Siegel looks at the company’s strategy.

Grocery Outlet
Grocery Outlet

Rusty Eddy is a wine marketer who is smart and knowledgeable about wine. So where does he shop for wine regularly? 

Grocery Outlet, of course.

“Grocery Outlet is a great place to buy a $2.99 bottle,” he says. “And if it turns out to be junk, who cares? It’s $2.99. If I know what I want, I go to my local wine shop. If I just want some wine to suck down on the weekend, it’s Grocery Outlet every time.”

That’s the experience the discount supermarket chain hopes to bring to much of the rest of the US over the next several years. Grocery Outlet, which buys remainders, seconds and overstocks to keep prices down, went public in June 2019 as part of an ambitious growth plan. It has 323 stores, mostly on the west coast, but hopes to open as many as 4,000 stores across the country. 

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