K-mart has announced that it is going to be offering home delivery service of groceries, prescriptions, appliances and other goods in the Chicago area starting on July 4th. (http://tinyurl.com/2c8cy27)

While I’m sure that the behind the scenes work to offer such a program has been going on for weeks, if not months, I can’t help but connect this announcement with all of the recent news about Wal-Mart putting stores in Chicago. (They currently only have 1 there.) A zoning agreement was reached last week to put in a second store (http://tinyurl.com/33eypfn) and, apparently, dozens more are in the works over the next five years. (http://tinyurl.com/2dx7lxy)

What do you do as a retailer when competition as formidable as Wal-Mart comes to town? I see only two choices – get into a defensive mode and posture (which hasn’t worked so well for others who have gone up against Wal-Mart!) - or – you get your offense on the field and find a way to put some points on the board!

I also think it both praise- and note-worthy that K-Mart is offering expanded value and services before Wal-Mart gets deeper into the Chicagoland area. (And that it is not announcing a round of major price cuts.)

This is certainly a lesson for us in the natural products retail arena! Whole Foods is coming to your town? A strong regional chain? A nearby grocer is putting in a major natural and organic set? This is not the time to curl up in a fetal position – but a time to serve your customers more and better than ever!

Am I connecting too many dots? Is K-Mart’s move really being pro-active about Wal-Mart’s potential in Chicago? Time will tell! In a tough economy, however, anything that a retailer (or any business) can do to add value to what it offers its customers is a good thing!