Wegmans opening will impact local grocery shoppers
So how much impact can one grocery store really have — even if it is long sought-after Wegmans — in a booming and hyper-competitive $10 billion Charlotte market?
The Rochester, N.Y.-based grocery chain confirmed last week that it will make its Charlotte debut in two years with a 110,000-square-foot grocery store on the east side of Ballantyne in south Charlotte. Rumors circulated for years, teasing Charlotteans that Wegmans was coming one day.
“When Wegmans comes to a market every retailer improves” in order to compete, said “Supermarket Guru” Phil Lempert, who analyzes consumer behavior and market trends. “Charlotte will have a better experience in 2026 than now. It’s just a really pleasant shopping experience.”
Laura Egeln, retail professor at the College of Business at Johnson & Wales University, wasn’t surprised by Wegmans’ announcement, despite entering a heated competition of grocers.
“It was a long time coming,” Egeln said. “They have such a following with the (Northern) transplants that I don’t think they’ll have a problem staying busy.” Mecklenburg County’s biggest influx of newcomers come from South Carolina, New York and Florida, The Charlotte Observer previously reported.
Wegmans’ decision, Egeln said, is a testament to the power of consumers.
Soon after Wegmans opened its first North Carolina store in Raleigh in 2019, a Bring Wegmans to Charlotte Facebook page popped up. It now
has over 7,400 members.
“That’s what sets them apart from the competition,” Egeln said. “If other grocers don’t pay attention to what their customers want, they’re going to lose their customers.”
HOW WILL WEGMANS IMPACT GROCERY SHOPPING IN CHARLOTTE?
Wegmans entering the Charlotte market is good news for consumers, Lempert said. Expect other grocers to cut their prices or offer more sales to keep existing customers.
“Wegmans is a formidable competitor,” Lempert said. “When Wegmans comes to town, other retailers improve pricing, service and quality of prepared foods.”
The Ballantyne Wegmans will grab customers from areas outside of Charlotte too, like Gaston County, Egeln said. Some Charlotte-area residents have been trekking three hours to Raleigh to shop at Wegmans, she added.
Customers loyal to Wegmans products will bypass their neighborhood Harris Teeters and Publix stores to seek out products they’re familiar with. And, after new customers shop there a couple of times, they may leave their usual supermarket for the products and specialty offerings at Wegmans, especially the prepared foods, Egeln said.
And because Wegmans typically pays employees at a higher hourly rate, Lempert expects the supermarket could steal employees from other local grocery stores.
“Customer service is critical for Danny and Colleen Wegman (owners of Wegmans) with low turnover,” Lempert said.
IS WEGMANS WORRIED ABOUT THE COMPETITION?
Wegmans joins an increasingly heated $10.2 billion grocer market, with over 760 stores, including discount giant Walmart, Matthews-based Harris Teeter and Florida-based Publix.
Having opened four stores in the Raleigh area since 2019 and a fifth planned in Holly Springs, Wegmans knows the competition and its customer base, N.C. District Manager Hallie Johnston said. Wegmans’ other Triangle area stores are in Cary, Chapel Hill and Wake Forest.
“Being among competition is not new to us,” Johnston said. “We focus on what we do best.”
Wegmans offers fresh foods from around the world. “Good, quality produce is our foundation and low prices on family items,” Johnston said.
Charlotte transplants will find foods familiar with their former home in upstate New York, including a selection of upstate New York craft beers and Finger Lakes wines.
“It’s nostalgia, what people grew up with having baked goods like cakes for birthdays, Buffalo Nixon dip and Kennewick rolls,” Johnston said. But “we also want to connect with locals born and raised in North Carolina.”
WHAT DIFFERENCE CAN ONE STORE REALLY MAKE?
The new store will draw many of the Northern transplants who have made Charlotte home. “Especially people who know the Wegmans brand and prepared foods, they’re going to switch stores,” Lempert said.
And the upscale Ballantyne area is seeing high growth with an influx of “food involved” Millennials and Gen Z.
Wegmans will definitely steal shoppers from nearby grocers, Lempert said. “I would not want to be within a mile of the Wegmans
store,” he said.
WHICH GROCERS WILL WEGMANS IMPACT MOST?
One store isn’t going to have a huge impact on market share, but when they get to two or four stores that’s when we’ll really see the impact. Egeln believes the Lake Norman area or University City could be prime spots for the next Wegmans.
Wegmans is looking for new opportunities to expand, which could include two or three more stores.
Walmart and Food Lion, where customers are typically price-focused, aren’t as likely to be affected by Wegmans. “Typically, the
Wegmans shopper isn’t as price sensitive but instead looking for interesting foods and the quality produce,” Lempert said.
Traditional grocers like Harris Teeter and Publix, which are price comparable to Wegmans, as well as Whole Foods and Earth Fare, will feel an impact first, Lempert said.
As Publix began expanding north and Wegmans moved south, “we knew they’d go head to head. There’s definitely a war between Wegmans and Publix,” Lempert said.
Publix has 26 stores in the Charlotte region since entering the market in a decade ago. And Publix is planning to open at least
six more stores. The popular Florida-based chain also is known for its customer service, prepared foods and bakery.
“Competition in the marketplace makes every retailer better and ultimately benefits the customer most,” Publix spokesperson Jared Glover said.
WHAT IMPACT HAS WEGMANS HAD IN OTHER MARKETS?
Wegmans is know for grabbing food-obsessed shoppers who become loyal shoppers, Lempert said.
Since Wegmans opened its first store in Raleigh five years ago, it has grabbed more market share than stores like Publix, Lowes Foods and Whole Foods, according to a review of sales tracking firm Chain Store Guide’s annual reports.
In 2020 — before Wegmans was listed in the report — Publix ranked sixth with six stores and 4.3% of Raleigh’s market share, followed by Lowes
Foods with 14 area stores and 4.2%.
The next year, Wegmans, with three area stores, ranked fifth capturing 5.1% of customers’ dollars. Lowes Foods ranked ninth maintained 4.3% of market share, while Publix slipped to No. 10 slightly to 4%. Raleigh’s total grocery sales revenue was $5.6 billion, well below Charlotte’s totals.
“For the most part, once a shopper goes a few times, they continue to go to Wegmans,” Lempert said. “They feel like it’s their store.”
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‘‘ COMPETITION IN THE MARKETPLACE MAKES EVERY RETAILER BETTER AND ULTIMATELY BENEFITS THE CUSTOMER MOST. Publix spokesperson Jared Glover