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A&P names new EVP operations

BY Antoinette Alexander

MONTVALE, N.J. Grocer A&P has appointed former OfficeMax executive Paul Hertz as EVP operations, succeeding Mark Kramer, who has left the company to pursue other interests, the company announced on Wednesday.

In this role, Hertz will be leading the field operations team.

He has an extensive background in operations with more than 20 years in various management positions within retail sales management and operations. Prior to joining A&P, Hertz was EVP retail stores for OfficeMax, where he was responsible for all retail operations throughout the United States. Before that, he served as SVP store operations. Hertz also served as VP Wild Oats Stores, VP store operations for ShopKo and has held several field and VP-level positions at Fred Meyer, a division of Kroger.

A&P’s new president and CEO Sam Martin also came from OfficeMax, as well as Wild Oats, ShopKo and Fred Meyer. In late July, the company announced the appointment of Martin as its new CEO. He succeeded Ron Marshall, who left the company after serving less than six months at the helm.

Martin, who has more than three decades of management experience in the food retail industry, joined A&P from OfficeMax, where he served as COO since 2007. Prior to OfficeMax, Martin was COO for Wild Oats Markets through the company’s acquisition by Whole Foods. His experience also includes senior management roles at ShopKo Stores and Fred Meyer.

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School cuts expand BTS shopping lists; reluctant shoppers to extend season

BY Alaric DeArment

NEW YORK For most food, drug and mass merchandise retailers, back-to-school season means doing brisk business in pencils, notebooks, paper and backpacks.

But according to published reports, reductions in funding for school districts across the country because of lower tax revenues and spending cuts have forced many school districts to add a host of unexpected items to Junior’s must-have list of school supplies.

The New York Times recently reported that students in some cities now are being asked to buy such items as plastic cutlery, garbage bags, printer paper and even toilet paper.

It’s hard to say that kids having to bring their own toilet paper to school is a good thing, but the expanded list of school supplies does give retailers a new aisle in which to put such products and clear out inventory. And it may not be too late, either. According to Bloomberg, consumers on the lookout for discounts and retailers looking to keep their profits up may cause the back-to-school shopping season –– generally one of the busiest of the year –– to extend well into September.

So far, the trend hasn’t translated into huge increases in sales of those items in the food, drug and mass channels. According to Chicago-based market research firm SymphonyIRI Group, food and trash bags –– one of the categories mentioned in the Times article –– had sales of $1.9 billion during the 52-week period ended July 11, a 5.6% drop from the same period the year before. Facial tissue sales were $982.8 million, 2.9% less than the year before, while toilet paper sales were $4.1 billion, a 0.85% decrease. Then again, pens and pencils also fell in sales by 0.61% even as children’s art supplies experienced a 1.21% sales increase.

But whatever the data may or may not indicate, continued school budget cuts likely will cause many to have to forego many basic items and rely on students to buy them, thus giving retailers a chance to provide them.

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Former National Retail Federation executive joins FMI

BY Allison Cerra

ARLINGTON, Va. The Food Marketing Institute last week appointed a new VP industry relations.

Rhett Asher joined FMI from the National Retail Federation, where he served as VP loss prevention. Asher served in a similar capacity at the Retail Industry Leaders Association from 2003 to 2006. He will be responsible for enhancing the capabilities and services of industry relations at FMI, specifically the FMI/GMA Trading Partner Alliance. He also will support other programs, including loss prevention and risk management, technology, and marketing and merchandising.

“Rhett has extensive retail and association management experience that will be very valuable to our members,” said FMI president and CEO Leslie Sarasin. “He is highly regarded within the industry for his knowledge of loss prevention issues, and we are excited to have him join FMI.”

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