Dominick's

For the pizza franchise formerly named DomiNick's, see Domino's.

Dominick's Supermarkets, LLC

File:Dominick's Logo.svg
Company type	Subsidiary
Industry	Retail (Grocery)
Founded	1918 in Chicago, Illinois
Founder	Dominick DiMatteo
Defunct	Template:End date and age
Fate	Liquidation
Headquarters	Oak Brook, Illinois
Area served	Chicago metropolitan region
Parent	Safeway Inc.
Subsidiaries	Omni Superstore
Website	Archived official website at the Wayback Machine (archive index)

Dominick's operated as a grocery store chain within the Chicago area and was a subsidiary under Safeway Inc.. The company's distribution hub was situated in Northlake, Illinois, while its corporate headquarters were based in Oak Brook, Illinois.

Founding

The grocery chain was established in 1918 by Dominick DiMatteo, an immigrant from Sicily. The second store under the Dominick's name was launched in 1934. By 1950, the DiMatteo family had inaugurated their first supermarket, featuring approximately 14,000-square-foot (1,300 m²) of retail space.

Expansion

By the year 1968, Dominick's had grown to encompass 19 stores. At that point, the founding family chose to sell the enterprise to Cleveland-based firm Fisher Foods. Although ownership changed hands, the DiMatteo family continued managing the chain with financial support from Fisher Foods. During this period, Dominick's expanded significantly by acquiring 24 stores and a substantial distribution facility measuring 462,000 square feet in Northlake from Kroger through two separate deals in 1970. These acquisitions elevated the total store count to 45 locations. The Northlake distribution center itself had been constructed by Kroger in 1961, and remained in use by Dominick's until its closure in 2014.

During the early 1980s, dissatisfaction with the existing ownership arrangement led the DiMatteo family to repurchase the chain in 1981 for $100 million. Following reacquisition, the company further expanded by purchasing four outlets from Kohl's Food Stores and acquired an additional sixteen locations from Eagle Food Centers between 1982 and 1985.

In an effort to explore discount retailing during 1986, Dominick’s launched Jerry’s Deep Discount Centers with three trial locations; however, this initiative was discontinued after only a few months.

Store layout during Dominick's prime

File:Dominick's Store Overview.jpeg

Dominick's Matteson, IL View of Front Checkout area of Store (2012)

Throughout the 1980s and early 1990s, under Bob Mariano’s leadership, Dominick's pioneered innovative large-scale "food and drug" combination stores. The chain was among the earliest to implement open-ceiling sales areas, showcasing exposed structural components like piping and HVAC systems. Additionally, they introduced advanced telephone and POS technologies, alongside departments such as video rentals, one-hour photo, bulk foods, and various other cutting-edge concepts that emerged during the 1980s. This design philosophy also influenced the layout of Dominick's Omni Superstore Division.

From early 1985 through 1988, Dominick's combo stores featured a full glass façade facing the parking lot, with a centrally located customer service desk integrated into this glass wall. Between 1988 and 1993, the stores incorporated a two-story front section, akin to their Omni Superstore counterparts. The ground floor housed the customer service area, entry and exit vestibules, security office, video department, and a bank branch. The upper level contained employee amenities including a break room, restrooms, offices, and windows overlooking the sales floor below. After 1993 and with the launch of the Dominick's Fresh Stores, this design reverted to a single-level format throughout.

File:Dominick's Towards Bakery.jpeg

Dominick's Matteson, IL View towards Bakery (2012)

During the 1990s, Dominick's elevated the "food and drug" concept by introducing the Dominick's Fresh Store in 1993. This new format featured prepared food selections, in-store dining options including cafés and Starbucks outlets, soft ambient lighting, refined graphic elements, consistent product signage, and an overall ambiance reminiscent of European markets. Throughout the late 1990s, the Fresh Store model served as Dominick's primary expansion strategy and was applied to all new locations—including former Omni Superstores—until Safeway’s acquisition.

When Safeway acquired Dominick's in 1998, it quickly discontinued further development of the Fresh Store concept. Instead, Safeway implemented its own prototype stores while retaining the cursive Fresh Store logo on exterior signage. In many locations, however, Safeway phased out features such as cafés, freshly prepared foods, and European-style layouts in favor of its standardized national store format. As remodeling occurred, Safeway introduced its proprietary store designs along with private-label brands like Safeway Select.

In 2005, Safeway introduced the Lifestyle Store concept to Dominick's branding. Subsequently, numerous stores underwent renovations that reinstated several elements originally established by Bob Mariano prior to Safeway’s takeover but removed in 1998. These enhancements included hot prepared foods stations, salad bars, regionally tailored merchandise assortments, and improved customer service initiatives aimed at regaining Chicago-area shoppers. Mariano—who became CEO of Roundy’s Mariano’s by 2016—expanded his own grocery banner in the region and increased competitive pressure on Dominick's stores, which ultimately ceased operations in late 2013.

1990s: Corporate Acquisitions

In 1993, Dominick DiMatteo, Jr. succumbed to lung cancer. Local media reported that his children lacked the same enthusiasm for the supermarket enterprise. Additionally, internal disputes within the family played a role in the decision to sell the business. It took three years before ownership transferred to a grocery investment group based in Los Angeles, led by Yucaipa Companies.

By 1998, Safeway Inc. had purchased the chain's 116 stores. Following this acquisition, Safeway replaced Dominick's private-label products with its own brands. A consultant specializing in grocery retail noted that while Dominick’s prioritized quality over price in sourcing produce and meat, Safeway adopted the opposite approach. As a result, Dominick's experienced declines in both market share and profitability after the takeover. Safeway attempted to replicate its successful California retail model; however, this approach failed to resonate with Chicago’s diverse ethnic customer base. Between 2002 and 2007, Dominick's market share in the Chicago area dropped from 24.4% to 14.5%, with Jewel-Osco leading at 40.5%. An effort by Safeway to divest Dominick's in 2003 did not succeed. Subsequently, Safeway classified Dominick's financial results as discontinued operations but later declared its intention to retain the chain.

Following the closure of over 20 locations since acquiring Dominick's, Safeway announced in February 2007 plans to shut down an additional 14 Chicago-area stores and convert 20 others into its lifestyle store format. After these reductions, Dominick's operated 83 stores until their final closure on December 28, 2013.

Omni Superstore

File:Omni superstore 3.JPG

Omni Superstore, Schererville, Indiana, 1991: grocery loading canopy

Main article: Omni Superstore

The Omni Superstore brand was launched in 1987, introducing a "warehouse-style" supermarket format aimed at competing with Cub Foods. These outlets combined traditional grocery offerings with bulk items, movie rental services, and various non-food products. Their design was notably utilitarian compared to Dominick's conventional stores and incorporated measures to reduce operating expenses.

Financial difficulties arose due to insufficient loss prevention and ineffective inventory management practices. In response, the owner at that time, Yucaipa, opted around 1996 to transition these locations into the Dominick's "Fresh Store" model. By 1997, Omni Superstores were rebranded as Dominick's stores.

Following Safeway’s acquisition of Dominick's, several former Omni sites were shuttered. The last remaining Omni Superstore structure operated as a Dominick's on Clybourn Avenue in Chicago until its closure on December 28, 2013.

Brands

Dominick's carried its own store brand known as Heritage House.

Following its acquisition by Safeway, Dominick's private-label offerings included a mix of Safeway-branded products—such as "Safeway Select" and "O Organics"—alongside items branded specifically for Dominick's.

Lifestyle branding

On April 18, 2005, Safeway, the parent company of Dominick's, initiated a $100 million (~$Template:Format price in Template:Inflation/year) marketing repositioning effort called "Ingredients for Life." While this campaign was implemented in the Chicago market, the "Ingredients for Life" tagline remained closely associated with the store logo, consistent with Safeway’s branding approach in other regions (for example, commercials and billboards displayed the Dominick's logo alongside the slogan). As part of this initiative, numerous Dominick's locations underwent remodeling to reflect the new Lifestyle concept. These Lifestyle stores introduced more upscale features compared to the previous "Fresh Stores" rebranding, including amenities such as an olive bar, carving station, Starbucks coffee outlets, and salad bars. Architectural enhancements involved installing hardwood floors and updating lighting to softer, more inviting styles. The inaugural Lifestyle-branded Dominick's opened in Northfield, Illinois, following the closure of 12 underperforming stores. Subsequently, Safeway invested an additional $150 million into further upgrades for the Lifestyle brand.

Banking

Inspired by the success of its Omni division’s collaboration with St. Paul Federal Bank dating back to 1988, Dominick's established a partnership with First Chicago Corp. in 1993. Up until the chain's final shutdown in 2013, many Dominick's stores featured in-store banking branches and ATMs operated by Chase, which succeeded First Chicago.

Sales of expired food

On February 17, 2011, CBS Chicago News broadcast a report highlighting concerns initially raised by Chicago-based blogger Jill Cataldo regarding the prevalence of expired goods being sold at Dominick's stores. For some time, customers in various areas had reportedly reached out to Dominick's about these problems without receiving satisfactory responses. During two separate visits to different Dominick's locations, Ms. Cataldo, accompanied by two of her readers, uncovered and recorded more than 700 expired products on shelves, some exceeding their expiration dates by over two years.

That same day, The Chicago Tribune published an article addressing the issue of outdated items at Dominick's. In response, Safeway, the parent company of Dominick's, issued a statement emphasizing their commitment to providing high-quality, fresh merchandise. They acknowledged that while expiration dates primarily reflect product quality rather than food safety, they were disappointed by the presence of expired items in their stores. The company affirmed that this situation did not represent their standard operating procedures and announced the formation of a dedicated senior team to promptly resolve the matter.

Following these reports, numerous shoppers shared observations in article comment sections about Dominick's staff members seen collecting expired products from store aisles.

On February 18, 2011, several Chicago market local media outlets also covered the controversy, including NBC Chicago, WGN Morning News, and WBBM AM Radio.

Many customers voiced their frustrations on Dominick's Facebook page regarding the widespread availability of expired products; however, prior to Ms. Cataldo’s blog exposure and ensuing media attention, Dominick's had not publicly addressed these concerns.

Store closures

File:Whole Foods Coming Soon (15932942123).jpg

Site formerly occupied by Dominick's

Over the years, Dominick's shuttered several stores due to declining sales and unsatisfactory performance. In 2011, three outlets in Orland Park, Oak Lawn, and Carpentersville were closed. The following year, locations in Hoffman Estates, Vernon Hills, Lake Bluff, and Bloomingdale also ceased operations. Employees affected by these closures were generally either reassigned to other stores or provided with severance package options.

It was declared that the majority of Dominick's outlets in the Chicago region would be shut down by December 28, 2013. This announcement prompted rival retailers to pursue opportunities for acquiring staff and store sites to expand their presence after Dominick's market exit. On December 2, 2013, Milwaukee-based company Roundy's, which operates Mariano's Fresh Market in Chicago and is led by former Dominick's CEO Bob Mariano, revealed plans to acquire eleven stores from Dominick's. However, the employees at these locations were required to reapply for positions under Roundy's management. Most of the former Dominick's stores bought by Roundy's were demolished and replaced with newly constructed buildings.

In December 2013, Steve Yamamoto, a Dominick's employee, was suspended one day before his store's closure after posting a satirical science fiction-themed video about the shutdown.

Two stores remained operational beyond the main closure date: one in Bannockburn, Illinois until January 25, 2014, and another in Westchester, Illinois until January 28. In 2014, Whole Foods acquired seven of the former Dominick's locations.

In 2015, Safeway was purchased by Albertsons, which also owns Jewel-Osco. Consequently, many of Dominick's brand elements were integrated into Jewel's operations.

External links

• Official website (Archived version)