Safeway is a chain of supermarkets operating in the United States that sells food, groceries, and general merchandise. They own and operate nine hundred (900) and serve over 17 states in the United States. They also operate in Canada, the U.K, Europe, and some African countries. Let’s know Why is Safeway So Expensive?
Consumers who shop at Safeway have noticed that their prices are higher compared to other supermarkets. There are several reasons such as product availability, customer demands, discounts offered, etc. as to why Safeway supermarkets are so expensive. Let us look at the reasons.
Why the Prices of Safeway Products are High?
- Sell More Products that are Organic.
What sets Safeway apart from other supermarkets is that they focus more on selling organic products. They target consumers who are willing to purchase organic foods. Organic products are expensive compared to standard foods. This is because organic foods are not grown using chemicals rather they use other methods to grow them and protect the crops from pests and diseases, which is expensive. This makes organic foods expensive since they have to compensate for the expenses incurred during farming. That is one reason why Safeway is expensive.
- High-Quality Products.
There are so many grocery stores and supermarkets in the industry that try to provide their consumers with cheap and generic products, but Safeway is different. Safeway knows that there are consumers who want quality products which is why they partnered with farmers who produce quality products. These farmers sell their produce at high prices. Since Safeway buys these products at high prices, they also sell them at high prices to cover their costs and make profits. That is why Safeway is expensive.
- Quality Customer Service.
Safeway provides its customers with quality customer service through its staff. Consumers are always willing to pay more if they receive great customer service. That is why Safeway trains its employees to gain customer service skills to serve their customers. This training costs money and to cover the money spent on this training, they will charge high prices for their goods.
- Sell A Collection Of Private Labels.
Safeway sells exclusive private labels that can only be found at Safeway stores. Since private labels are expensive and they want to share the profits, Safeway will mark high prices for these products. Safeway is expensive since these products are also expensive.
- Regular Sales and Discounts.
Safeway provides its consumers with regular sales and discounts. Constant sales and discounts eat away the company’s profits. To cover the losses incurred during these discounts and sales, they will mark high prices on costs that are in demand. This is another reason why Safeway is expensive.
- They Do Not Price Match Their Products.
Safeway does not price match their products with that of other grocery stores. One will often find that other grocery stores have lower prices for the same products as Safeway but Safeway prices are high. This is another reason why Safeway is expensive.
- Some Safeway Stores Do Not Have the Discount Program.
Safeway has a loyalty program called ‘Just for You’ that offers consumers discounts and coupons for certain products. Most grocery stores have these discount products in all their stores but Safeway is different. Not all stores have the discount program which makes shopping at Safeway expensive especially if you do not have the discount program since shoppers don’t get to save money on certain items available at the store.
- Safeway Has Unionized Employees.
While many stores do not have unionized employees Safeway does. Unionized employees are whereby employees have legal representation and can fight unfair pay and treatment. Unionized employees get paid more compared to those who are not. Safeway pays its employees more than other grocery stores. That is why they sell their products at high prices to make up for the wages they pay their employees.
Safeway has built-in pharmacies in their stores that sell prescription drugs and give various kinds of vaccines. Safeway is expensive since they need to acquire drugs that are sold at high prices, need advanced equipment for storage, and need pharmacists to administer these services. All these require a lot of resources to run and thus Safeway sells its products at high prices to cover the costs of running the pharmacy.
Conclusion
Safeway is a grocery store and there are so many reasons that contribute to the high prices seen at its stores. Some of the main reasons are the selling of high-quality products, having private labels at their stores, and having to pay high wages to their employees makes Safeway more expensive compared to other grocery stores.
Frequently Asked Questions
- Can one return food bought at Safeway stores?
Yes, one can return food bought at Safeway at the customer service desk even if the expiration date has passed or you had eaten the food.
- Is Safeway more expensive than Walmart?
Yes, Safeway sells its products at high prices compared to Walmart.