Loblaw to Pilot No Name Discount Stores in Ontario This Fall
Loblaw Cos. Ltd. is piloting a new discount concept in Ontario, Canada, under its No Name brand.
The company will open three No Name stores in the province this fall that promise to offer steep savings on grocery items by reducing operating costs.
No Name stores will carry a limited assortment of 1,300 products, with savings of up to 20%, Loblaw said.
There will be no refrigeration (meaning no dairy or fresh meat products), but customers can expect a small range of frozen food items, pantry staples, household necessities and shelf-stable bakery and produce items including bread, bagels, apples, bananas, peppers and carrots.
The pilot stores open in the towns of Windsor, St. Catharines and Brockville this September.
"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 CEO of Loblaw, in a release. "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."
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To keep costs low, Loblaw said the stores will receive fewer weekly deliveries. They will be flyer-free and supported by limited marketing.
No Name stores will also be constructed with reused fixtures, like shelves and cash lanes, to minimize building costs.
"Our commitment to customers is that products at the No Name store will be up to 20% 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, Loblaw's 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."
Brampton, Ontario-based Loblaw Cos. Ltd. is the largest retailer and private-sector employer in Canada. The company’s network of 2,500 stores and national e-commerce options completes more than 1 billion transactions each year. Loblaw is No. 10 on The PG 100, Progressive Grocer’s 2024 list of the top food and consumables retailers in North America.
This article was originally covered in sister publication Canadian Grocer.
