RetailAnalysis
27 February 2017
Netto: new MD, store concept & private label

We round up the latest news from Dansk Supermarked’s Netto discount format, including the recruitment of a new director for Netto International, as well as news from Poland including a new store concept and vegan-vegetarian private label range.

Recruiting new director for Netto International

The discount chain is to recruit a new director for Netto International, replacing Claus Juel-Jensen, who has worked for the retailer for close to 25 years. It is hoped the appointee will be in place by early October, while in the intervening period, the role will be filled by Vice President of Dansk Supermarked, Morten Møberg Nielsen. He brings European knowledge from the retailer’s German business.

Focus on improving the shopping experience & international expansion…

Commenting on the announcement, Dansk Supermarked CEO Per Bank said, ‘Netto today stands as clearly the largest and most profitable retail chain in Denmark and with significant growth potential outside Denmark… We will focus more on giving our Danish customers an even better shopping experience... In addition, we are increasing the pace of our expansion in Sweden and Poland, while we will maintain a strong regional position in Germany’.

…As Netto unveils new concept in Poland

The discounter has begun a programme of store refurbishment in Poland, its second largest international market. Around 60 stores will be refurbished in the first half of 2017.

Key changes include:

  • A dedicated fresh produce zone
  • A unique range of 140 organic, gluten-free and sugar-free products
  • A broader assortment of meat, fish and frozen food
  • Improvements to the bakery, including illuminated shelves and improved access to products baked daily by local suppliers
  • A new location for its limited-time products at the back of the store with a significantly larger display.

Commenting on the development, PR & Communications Manager Mariola Skolimowska said, ‘These enormously important changes in our stores have been adapted to the needs and expectations of today’s consumers who are looking for fresh and tasty products, and at the same time do not want to or cannot spend too much time on shopping’.

New Polish vegan-vegetarian private label range launches...

The retailer has also introduced a new Polish vegan-vegetarian private label range, 'Wege', as part of its broader 'Shelf Health' proposition, which offers a range of organic, gluten free, sugar free and allergy friendly options. The range includes products such as vegetarian pie and hummus, as well as non-meat protein substitutes including soy sausages and tofu.

Netto highlighted the results of a CBOS survey, which stated that 53% of respondents believe that it is possible to enjoy good health by eliminating meat from your diet, while 87% of respondents believe that eating fatty meat contributes to cardiovascular disease.

This is the latest in a series of developments that demonstrates how Netto is adapting to meet changing consumer needs. Earlier this year, Netto launched a new organic range, Go Eko in Sweden; where the organic share of food sales is 8.7%, according to Ekoweb's 2017 market report.

 

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