Running a supermarket in today’s business environment is a challenge for even the most accomplished leadership teams. Consumer preferences are changing at a rapid pace, long-standing core product categories are in decline, deflation is an ongoing concern and the physical transformation of stores is seen as both a necessity and a tremendous strain on resources.
But many observers believe that the grocery business is headed for a widespread incorporation of self-run, full-service restaurants inside of the traditional grocery walls. However, to subscribe to that theory, one has to be prepared to accept that supermarkets want to double down on the challenges they already face. Running a chain of grocery stores is difficult. Running a restaurant is difficult. To succeed at running both—as a foodservice novice—is unlikely at best.