Netto has returned to the UK following a four-year absence, opening its first store, in Leeds.
The 8,000 sq ft store opened today (6 November) as part of a 50:50 joint venture between Netto’s Danish owner Dansk Supermarked and Sainsbury’s, announced in June this year.
Both parties have invested £12.5m in the joint venture, that will see 15 trial stores open in the North of England, including a further three next week.
Dansk said the design of the Leeds store was based on its latest Netto stores in Denmark and represented a ”complete departure” from the format that left the UK market in 2010 after being acquired by Asda.
The range of over 2,000 products had been created for UK customers, including 60 weekly ‘spot deals’ on both food and non-food products, an in-house bakery and a large fruit and vegetables section, it said.
A three-tier offer has also been introduced. The 60-line value range is called ’Easy…’, and a 100-line premium range is called ’Premieur’. The standard tier is made up of a number of own-label ranges such as Asian Kitchen and Mex & Co.
”We’re really excited to launch Netto here and together with Sainsbury’s bring something fresh and new to discount retailing in the UK,” said Per Bank, CEO of Dansk Supermarked.
“Netto has a strong track record of competing against the strongest discounters in other countries. We’re Denmark’s favourite supermarket and with the discount model coming of age in the UK, we believe these new-look stores with their fresh product range will offer something really unique for British customers.”
Sainsbury’s CEO Mike Coupe added: ”We’re delighted to say velkommen to our joint venture with Dansk, which brings some much-needed Scandinavian flair to the UK discount market. We’ll of course be following this trial closely and supporting Netto’s discounter expertise with Sainsbury’s unique understanding of the UK customer.”
Netto UK will be led by Morten Möberg Nielsen, previously MD of Netto in Germany.
He said: “We are bringing a taste of Scandinavian value to UK customers. We think everyone should be able to buy nice things, in a nice shop, at a nice price. Shopping at Netto should save you money, provide you with a few Scandinavian surprises, and always leave you smiling.”