Just last month, Sobeys announced a brutal takeover of Safeway’s Canadian stores in a bid to unseat the only larger Canadian greengrocer, Loblaw/Superstore. [Editor's Note: Nobody in Western Canada knows what the fuck a Loblaw is.] The Globe and Mail reported at the time that Loblaw has “struggled to make gains over the past several years.” Loblaw struggles no more, apparently.
Earlier today, the largest produce slinger in the country announced its plans to purchase of Shoppers Drug Mart’s over 1,800 locations. Shoppers Drug Mart will continue to operate as “a separate, stand-alone division” but there are preliminary plans to integrate some products between the two chains. Loblaw stores will start to carry “Life” brand products, and Shoppers Drug Marts will carry President’s Choice Blue Menu items.
With Sobeys a growing presence in the grocery game, Loblaw seems to have made a calculated decision to set itself up as the health and wellness giant. Assuming this deal goes through, Loblaw/Shoppers will dispense about 25 per cent of all Canadian prescriptions.
The grocery/medicine/health and wellness wars are heating up just as we predicted. Keep an eye out for signs of neighbourhood allegiance to Sobeys or Loblaw, because you do not want to come home toting Shoppers Drug Mart bags if your hood is repping Sobeys.
[Globe and Mail] [image via Flickr/Flickr]