BRAMPTON, ONTARIO, CANADA - Loblaw Companies Limited is trailing its latest concept, announcing the introduction of the no name® store in three Ontario markets. The new no name store will help customers save up to 20 percent on certain items by carrying only a targeted assortment.
“Our goal is simple—providing food and essential household items across a limited range of national brands and no name brand products at our lowest possible price,” said Per Bank, President and Chief Executive Officer. “Since food inflation took off globally, we have been laser-focused on doing what we can to keep prices lower for customers, including opening more discount food locations in more parts of the country. This new test concept allows us to pass on lower prices to our customers—it’s a completely different and simplified shopping experience.”
According to a press release, the no name stores are reducing operating costs through a variety of ways, such as:
- Shorter operating hours
- Smaller assortment means the store is less complicated to run
- Limited marketing and no flyers
- No refrigeration (no dairy or fresh meat products)
- Reused fixtures—shelves, cash lanes—to minimize building costs
- Fewer weekly deliveries, reducing logistic costs
Customers should expect a small range of frozen food items complemented by pantry staples, household necessities, and shelf-stable bakery and produce items including bread, bagels, apples, bananas, peppers, and carrots.
“Our commitment to customers is that products at the no name store will be up to 20 percent less than the regular retail price on a comparable product at any of the four main discount grocers in that local area. These no name stores will have a limited selection of 1,300 products, but these are many of our top-selling pantry staples and household goods throughout the province, so we know they’re what customers buy most and what will bring them the biggest savings,” said Melanie Singh, President, Hard Discount Division. “This is a test and learn project, and we’re planning to listen and adjust quickly. The pilot is unchartered territory and while success isn't guaranteed, our commitment to creating value and meeting customer needs remains unwavering.”
The new banner is being piloted in three markets in Ontario starting in September 2024.
How will shoppers respond to this format? Only time and AndNowUKnow will tell.
