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New Wegmans could threaten ‘run-of-the-mill’ grocery stores, analysts say

Connecticut's first Wegmans joins a crowded field of grocery stores – plus online delivery apps. Retail analysts said that some stores are better positioned than others.

Rose Shannon

Jul 23, 2025, 8:43 PM

Updated yesterday

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As thousands pack into Connecticut’s first Wegmans, other grocery chains are taking notice and bracing for impact.
Should they be worried?
It depends on the store, according to retail analysts.
CROWDED GROCERY FIELD
When it comes to grocers, Stew Leonard’s is an institution. The store first opened in 1969 and it remains a family-owned business.
But now, Stew’s is facing some hefty competition from Wegmans.
“We expect some customers checking it out,” said president and CEO Stew Leonard, Jr. “The key thing is getting them back.”
Wegmans joins an already crowded grocery landscape, including Stop & Shop, ShopRite, Trader Joe’s, Costco and a new Target – all on the same street.
“ShopRite, Stop & Shop – it’s a joke,” said grocery shopper Catherine McGowan, of Norwalk. “Trader Joe’s is cute, but it’s not sustainable.”
CAN THEY SURVIVE?
Can all these grocery stores survive? One expert said the biggest competition isn’t other stores, but apps on your phone.
“Who doesn’t want things coming to their doorsteps, right?” said Dr. Mousumi Bose Godbole, a retail marketing professor at Fairfield University.
Bose Godbole said that customers are increasingly skipping the store altogether in favor of delivery apps, like Amazon and Hello Fresh.
“But we also like to go and have an experience, especially families,” she said. “And if customers get that experience in-store, customers want to get that experience.”
For Wegmans, that “experience” is a huge variety of products and prepared foods. At Stew Leonard’s, it’s a fun, family atmosphere, complete with singing produce and a petting zoo.
“What we try to do is make it really fun for the moms and dads to come over here with the kids,” said Leonard.
Even no-frills chains like Aldi offer customers a niche – deeply discounted products.
But is there room for stores that just sell groceries at a regular price?
“The run-of-the-mill, just offering a product assortment? That may not be enough anymore,” said Bose Godbole.