The consolidation of magazine wholesale resources began earlier this year with chains such as Safeway, Albertson's and Raley's Supermarkets on the West Coast leading the movement. Now alternative channels of trade are going the same route. Here is an update of what is taking place.
ake place by January.
Bi-Lo, Mauldin, S.C.
Consolidation Status: Investigating the issue, possibly close to a decision.
Circle K, Phoenix
Consolidation Status: No announced plans but 'open to offers'.
Kmart Corp., Troy, Mich.
Consolidation Status: Currently investigating. Now being serviced by upwards of 200 magazine wholesalers.
Kroger Co., Cincinnati
Consolidation Status: Investigating division by division. Decisions have been made in two Kroger Marketing Areas: Nashville has selected Austin News. Mid-Atlantic KMA, Roanoke, Va., with 121 stores, has shifted from 18 wholesalers to one, Anderson News. Lucky Stores, Dublin, Calif.
Consolidation Status: Northern California division will divide most of the market between East Texas Distributors and CalWest, with outlying areas going to Mother Lode News.
Ralphs Grocery Co., Compton, Calif.
Consolidation Status: Has awarded all its magazine business to ARAmark, effective early 1996.
Raley's Supermarkets, West Sacramento, Calif.
Consolidation Status: Shifting from six periodical distiributors to one, CalWest Periodicals, effective Jan. 1
Safeway, Oakland, Calif.
Consolidation Status: Has made or announced changes in most divisions, as follows: Arizona -- divided between East Texas Distributing and Anderson News; Colorado -- Anderson got most or all of the business; Washington, D.C. -- previously consolidated with ARAmark and one other; Seattle -- shifted from four vendors to one: Adams News; northern California -- shifted from 13 vendors to four.
Save Mart Supermarkets, Modesto, Calif.
Consolidation Status: Has made decision to service all stores through East Texas Distributing.
Smith's Food & Drug Centers, Salt Lake City
Consolidation Status: All stores will be serviced by ARAmark.
Southland Corp. (7-Eleven), Dallas
Consolidation Status: Deals with more than 200 wholesalers currently. Chain-wide shift to consolidated distribution centers for perishables will affect magazine wholesalers.
Stop & Shop Cos., Quincy, Mass.
Consolidation Status: Currently investigating options.
Walgreens, Deerfield, Ill.
Consolidation Status: Deals with more than 100 wholesalers currently. In process of evaluating the category in all markets, with intent of moving toward category management.
Wal-Mart Stores, Bentonville, Ark.
Consolidation Status: Has some 250 wholesalers and is consolidating them region by region. Has announced decision to go with Anderson News in four states -- New Mexico, Arizona, Colorado and Florida. Also has awarded business in Oklahoma, Delaware, Maryland and southeastern Pennsylvania to ARAmark.
