Supermarket chain Bi-Lo announced Wednesday that it had officially exited bankruptcy, about 13 months after seeking protection. While in Chapter 11, the chain shed debts and unprofitable leases, and it also renegotiated an important supplier contract. But now that the court process is complete, the company's future depends on its ability to win over shoppers, some of whom have drifted away.
The region's no. 4 grocery chain by sales occupies a precarious place in the market, because it strives to compete on quality and price, pitching itself as the best of both worlds, a middle ground between supercenters such as Walmart and more elaborate stores like Harris Teeter. It tries to sum that up in its current advertising slogan, "Savings without sacrifice."
In the years leading up to the bankruptcy filing, the company's strategy appeared to be flagging, and sales dropped. In the past year or so, though, Bi-Lo has refocused its efforts, closing laggard locations, including several locally, and broadening the rollout of promotions such as Fuelperks, which provides a gas discount for shoppers who spend over a certain amount. Losses have narrowed, and sales at surviving stores have generally improved, if not necessarily back to the levels seen five years ago. But Bi-Lo is by no means out of the woods. Never a market leader in Charlotte, the chain has also been facing a stiff challenge from Publix in its hometown of Greenville, S.C.
So I'm wondering: If you don't now shop at Bi-Lo, what would it take to get you to go there? Are its locations a problem? Price? Atmosphere? If you are a Bi-Lo shopper, why, and what else - if anything - would you like to see at stores? I'm hoping to talk with the company to get a sense of what awaits post-bankruptcy and would be interested in hearing your thoughts, too.