Technology/Services

Giant Eagle Trying to Clip Competitors' Wings

Grocer flying additional gas discounts

O'HARA, Pa. Supermarket retailer Giant Eagle is launching a four-week test giving additional bonus discounts on fuel to shoppers at 79 of its Pennsylvania stores, reported the Pittsburgh Post-Gazette.

The new gas discounts would expand its fuelperks! program, which allows users of the O'Hara, Pa.-based company's Advantage loyalty card to earn 10 cents off a gallon at Giant Eagle's GetGo convenience stores for every $50 spent.

Under the pilot program, card users would get additional cents off when buying specific products and [image-nocss] brands. The test ends July 5, said the report.

Area competitors Shop n Save and Foodland are considering new programs to help customers earn discounts on gasoline, the newspaper said. The Shop n Save program would involve Sunoco stations.

Meanwhile, the region's dominant grocer is moving to battle competition on other fronts by cutting prices chainwide between 8% and 10% on 1,800 health and beauty care products. The moves come as gasoline prices stay uncomfortably high and consumers are looking for ways to trim costs, the report added.

The company has done three previous rounds of price cuts chainwide and earlier this year instituted targeted cuts in two Ohio markets, Columbus and Canton. We saw an opportunity to continue to be very aggressive with our goals of gaining market share, company spokesperson Rob Borella told the paper.

Giant Eagle has said the cuts have been possible through improved efficiency and negotiations with manufacturers and vendors.

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