Extending a corporate marketing strategy that has proven successful in other areas, Acme Markets announced it is reducing everyday prices in its Washington area stores on 250 popular grocery items.
Another 50 items will be added to the list each week until Acme has cut prices on 600 items, about 5 percent of what's sold in a typical supermarket.
The price cuts will range from a penny to 41 cents per item, with most of them in the 5-to 12-cent range, said George Beiswinger, Acme's vice president for communications.
Beiswinger described the move as "a promotional tool to increase business" and said it is being used instead of trading stamps. double coupons discounts, cash register tape savings plans, or so-called "generic foods."
"We figure we're cutting our gross by 1 or 2 percent and we hope we will make it up in volume," he said.
Acme now has about 6 percent of the supermarket business in the Baltimore-Washington market, which is dominated by Giant Food Inc. and Safeway Stores.
Introduced in Acme and Supersaver stores in the Philadelphia and New Jersey region late last year, the new price cuts are now being extended to the Washington-Baltimore-Eastern Shore stores, upstate New York and additional areas in Pennsylvania.