Fairway calling it quits

Do people still go to grocery stores? With a half-dozen delivery options, what's the point of a physical store?

Of course they do as you want to look, perhaps even smell your tomatoes, and select. There is a reason Wholefoods is packed and union square farmer’s market is always crowded.

I buy on line things like paper towels , canned goods , tooth brushes etc but I like going to the grocery store and picking out my fresh fruit and vegetables. same comes for fish. I get better quality that way and avoid wilted greens or fish that doesn't look that great.

fairway is overpriced, wondering why it didn't close years ago

I've also read they responded to the Post saying they're not planning on filing for bankruptcy.

I don't find Fairway to be overpriced unless you are comparing them to a supermarket in the suburbs, which is not an apt comparison. Fairway is not always cleaner and has much better produce, etc. than the likes of the disgusting Gristedes/D'agostino shi*holes, but I also find them to charge less for similar products. Gristedes is a horrendous price gouging institution that I will never understand...

And if they do shut down, there will be room for Wholefoods on prime UWS. The prices are lower for staples after Amazon takeover and food quality is very good.

I used to shop at Fairway all the time before they became a chain. I would drive up to 125th street late at night. But as a chain I find them pretty disappointing. I often walk past the Fairway closest to me on the way to Trader Joe's. They already went through a bankruptcy a few years ago and I think traded a bunch of debt for equity but that didn't change the problem that their business model (which I think revolves around their buyers/pickers and their relationship with small producers) wasn't scalable.

I'm down to about once a month going to Whole Foods. Whenever I'm there it seems half the people are delivery people picking orders. The average age in my building is probably low 30s, and I can't remember the last time I saw a resident carry in groceries. There is a constant stream of food delivery people though. I think NYC's food stores are in for a world of hurt, and personally I can't wait for Gristedes and D'Ag to go belly up with the ridiculous prices they charge.

Gristede's and D'Agostino's are an interesting case because essentially they are all taxpayers held by Catsimatidis as future development sites (it's actually surprising to me that there are any left). In the one on University Pl some crazy woman once told my ex that all the Jews shopped there because it reminded them of being in concentration camps. The Gristede's directly across the street from where I currently live recently turned into a D'Agostino's but I still shop at various places over 10 times further away because of the wonder combination of poor quality and high prices.

Funny thing, D'Agostino's was garbage 10 years ago, but they solider on...

Perhaps that's why they sold out to Catsimatidis.

I agree with 300_Mercer farther up. Yes, for paper goods or tooth paste, etc., I don't mind home delivery. But, being a really competent Italian cook, I want to SEE my produce and meat products. I want to smell them for their freshness and I want to see that my greens, both for salads and for braising, are perfect. I tried having these things delivered, even from WholeFoods, and was terribly disappointed at the quality and overall lack of freshness. I know a lot of people who agree with me and wouldn't think of having their groceries delivered. There is most certainly a market for brick and mortar stores.

This means that the future of grocery is smaller specialized stores with more of focus on fresh fruit/veg, cheese, and fish/meat rather than canned, frozen, and packaged goods. One reason I buy online is that I can't stand the 15-minute checkout queues at Whole Foods and the overall size/overcrowding/chaos of their stores. I wouldn't mind a return to the past when we had butchers, fishmongers, vegetable stands, cheeseries, dry goods stores, etc.

I don't think they could swing the rent.

stache--disagree. rent changes based on market. prime UWS street level rent already dropped up to 30% from peak.

never heard of Gristede's and D'Agostino', but wholefoods is much cheaper than fairway, and the selection is much better too

honestly, even that West Side Market (or something like that) chain is much better than fairway

We still have a butcher and a cheese shop in our neighborhood; if they go, all would be lost. Between the little market shops and Fresh Direct, I have not been to a "super"market/grocery store once since we "moved" to NY at the end of 2010.

Actually the food market in Grand Central
Station has great meat, cheese and and fish vendors. Pricey but top quality

It's official . They are in bankruptcy. Sold five stores and attempting to sell the rest in a court ordered liquidation

We have 2 Eataly's, Le District, Mercado Little Spain, Essex Market, Japan Village, etc and more coming which are all versions of "not a supermarket" with all the departments of a supermarket.

But also for those that Adams was complaining about many are doing their food shopping at Duane Reade, Target, etc.

"In the one on University Pl some crazy woman once told my ex that all the Jews shopped there because it reminded them of being in concentration camps."

My grandfather if he were still alive might have been jealous as I dont think his camp(s) had rows and rows of food.

i'm slow but i just put two and two together. Last year they stopped carrying their signature pasta sauce. Now they stopped carrying balsamic vinegar under their own brand. just realized they're having trouble paying suppliers and some of their partners stopped doing business with them

We were at Wegman's in Brooklyn this morning. Such a pleasant shopping experience and the produce is fabulous.

Riversider,
Wasn't that what happened with Dean & DeLuca?

Fairway stopped being Fairway as soon as it became a chain. AFAIK the current plan is for them to "sell" 5 stores but they will still stay Fairway branded. How do you sell your stores to consumers as an "experience" which you have given up control of? Perhaps because that happened back when they brought the private equity in.

The Problem with Fairway was they leveraged up the company and opened up new stores in stupid locations and cannibalized sales at older stores. No senior managers had grocery store experience. After the one founding family member left they hired a guy from Grand Union , a failed chain. The five new york city stores have good volume. This is fixable if someone wants to invest the time and resources.

Yes, another case of a lot of debt and no one with experience at the helm.

That's true, it seems fairway has a lot of kosher food selection. But nowadays many other stores carry a lot of kosher food as well, thus fairway must go bankrupt due to its high price and bad organization in crowded environment