European discount chain Action has released its 2017 results, reporting sales increased by 28% to €3.4bn, with like-for-like growth of 5.3%.
Store count breaks the 1,000 barrier
During the year, the retailer increased opened 243 stores, bringing its total store count to 1,095. This meant Action increased its store numbers by 28% versus the previous year. Most new stores have opened in France and Germany, where 115 and 80 stores opened respectively.
Over half of stores now outside the Netherlands
CEO Sander van der Laan, said, ‘Our continued European growth demonstrates that the Action formula of a broad, surprising and ever-changing product range at the lowest price is appreciated by millions of customers every day across a range of countries…With over 700 of our 1,100 stores located outside The Netherlands, we are a truly international retailer. We are in the process of introducing Sports as a 14th product category across our stores'.
New concept store launches
During the year, Action also opened a new pilot store in the Netherlands, trialling a refreshed store design and layout.
IGD was invited to visit this store, where we were impressed with the upgraded look and feel, which complemented Action’s simple low price strategy. In 2018, pilot stores will also be opened in Belgium and Germany.
Source: IGD Research
Market entry to Poland
Chairman Adrian Bellamy highlighted that the retailer had ‘entered the Polish market’ in October 2017. By the end of the year, Action operated six stores in Poland.
Discounter Dealz has also entered the market, opening its first store close to Poznan. IGD Retail Analysis subscribers can find out more about the concept in our exclusive store visit report.
Highlights: first vendor summit, DC expansion and new website
Other highlights from the year include:
- The 'first international vendor summit in China, attended by over 300 suppliers from Asia, with a focus on product development, quality and sustainability'.
- Distribution centre expansion, - new distribution centre in Germany, as well as a second distribution centre in France.
- The launch of the new action.com website.
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