Poland to get more Action

Date : 20 October 2017

Netherlands-based non-food-oriented discounter Action has opened its first store in Poland, adding to the number of price-focused retailers operating in the country. Meanwhile, the retailer’s chief executive, Sander van der Laan, has given an interview to NRC Handelsblad setting out how Action aims to continue to drive growth.

Action opens first store in Poland

Action opened its first store in Poland in Galeria Leszno, a shopping centre in Leszno, in the west of the country. Action said the store was the first of six it was aiming to open before the end of 2017 in Glogów, Legnica, Luban, and Swidnica, Walbrzych. Poland is Action’s seventh country and marks its entry into a highly competitive and price-driven market.

Commenting on the store opening and entry into Poland, van der Laan said: “Poland is a very exciting country to start business in. Its infrastructure is well established, due to its population density and the retail market the potential is big and the economy is developing well. We are confident that our concept fits the Polish customers and that they will embrace it.

Action to continue to expand…

In the interview van der Laan noted that the retailer’s revenue was rising 30% annually, driven by expansion, with like-for-like sales of between 6% and 7%. The sustained pace of growth was driven by the retailer’s strategic focus and its store’s continuing to be ‘relevant and surprising’ for shoppers.

Van der Laan said that in the short-term Action was not considering launching an ecommerce portal. He said that for now the retailer’s offer meant that it did not suffer from the lack of an online sales platform. However, that could change in future. Van der Laan said that despite not selling online, the retailer had recently updated its website to better showcase the retailer’s products and encourage them to visit the stores.

…And maintain its strategic focus

Van der Laan said that Action would maintain its strategic focus as it expanded in both new and existing countries. He said that stores would continue to sell about 6,000 SKUs, which varies by about 150 to 200 items weekly, at an average price of €1.70. Most of its range is bought from wholesalers and importers in the Netherlands, while it also works with China-based Li & Fung However, this is changing as it adapts its range, with more products being bought in Europe and coming from A-brand manufacturers.

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