New Grocery Competition In Sacramento Puts Squeeze On Industry Leaders

An unprecedented wave of new grocery competition in Sacramento is tightening the squeeze on longtime industry leaders Raley's and Safeway, suggesting a dramatic reshaping of the local market.

"All the cards have been tossed in the air," said Bob Reynolds, the head of a Moraga-based grocery business consulting company, "and it will be very interesting to see where they all come down."

Causing the turmoil are the recent and pending arrivals of a half-dozen grocery newcomers. Some of them are discounters; others are more upscale providers. All of them are eating away at the market share of the established chains.

Consider a partial list of the area's new grocery companies:

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