• Los Angeles Times, Wednesday, May 20, 2009 10:45 AM

In an effort to lure back grocery shoppers from the likes of Wal-Mart and Target, Albertsons will announce today that it is lowering prices for thousands of products at its 222 Southern California supermarkets, Jerry Hisrch reports. Other supermarkets in the Southern California market have already made their move: Vons in recent months and Ralphs last summer. Stater Bros. is keeping prices in check, even though food manufacturers are charging more.

Albertsons is calling its new program "the Big Relief Price Cut." It says prices will be reduced "on thousands of items in dozens of categories across the store . . . including basic stock-up items and staples from peanut butter and pasta to deodorant and detergent."

The Food Marketing Institute revealed last week that shoppers identified traditional grocers as their primary store 56% of the time compared with 60% last year. They picked supercenters, warehouse stores and discounters 39% of the time, up from 34% a year ago.

Meanwhile, Theresa Howard reports in USA Today that major food marketers such as Wal-Mart, Kraft, Unilever and Campbell are emulating fast-food chains by touting products that cost $1. "The dollar is what a nickel was for our grandparents," says food and retail expert Phil Lempert.

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