Grocery Outlet Closes 3 Idaho Stores, But Continues Expansion

The discount grocery chain shuttered locations in Pocatello, Idaho Falls, and Smelterville, but is still opening new stores across the state.

Apr. 2, 2026 at 5:06pm

Grocery Outlet, the bargain market chain, recently closed three of its stores in Idaho as part of a broader nationwide closure of 36 locations. The shuttered stores were in Pocatello, Idaho Falls, and Smelterville, all of which had opened within the last four years. However, the company is not backing down from its presence in Idaho and is continuing to expand, with a new store opening in Kuna and other growth locations listed on its website.

Why it matters

While the closures may raise concerns about the long-term viability of Grocery Outlet's Idaho operations, the company's decision to shutter underperforming stores and focus on strategic expansion suggests it remains committed to the state's market. The move highlights the challenges discount grocers face in balancing rapid growth with maintaining profitability.

The details

Grocery Outlet cited mistakes and the need to do better in the future as reasons for the 36 store closures across the country, with the majority being on the East Coast. The three Idaho stores that closed were all relatively new, having opened within the last four years. Despite these closures, Grocery Outlet is continuing to invest in Idaho, with a new store opening in Kuna and the company's website listing the state as having growth locations available.

  • In early March 2026, Grocery Outlet held a financial earnings call and announced plans to close 36 stores nationwide.
  • The three Grocery Outlet stores in Pocatello, Idaho Falls, and Smelterville closed last month (March 2026).
  • A new Grocery Outlet store is currently under construction in Kuna, Idaho, but an opening date has not yet been announced.

The players

Grocery Outlet

A bargain market chain that operates discount grocery stores across the United States.

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What’s next

Grocery Outlet will continue to monitor the performance of its remaining stores in Idaho and may open additional locations in the state if the expansion proves successful.

The takeaway

Grocery Outlet's decision to close underperforming stores in Idaho while simultaneously expanding its footprint in the state suggests the company is taking a strategic approach to managing its growth and profitability. This move highlights the challenges discount grocers face in balancing rapid expansion with maintaining financial stability.