The second no name grocery store has opened in Canada, and it happens to be in the Golden Horseshoe.
St. Catharines opened the doors to one of Loblaw’s pilot discount stores Thursday morning.
The trial program, which was announced by grocery giant Loblaw last month, says the new no name grocery stores will deliver lower food prices than other locations.
Loblaw is capitalizing on its existing discount brand, known for its simplified, bright-yellow packaging.
“The no name store is a completely different shopping experience,” Loblaw president and CEO Per Bank said in an interview.
“Running a traditional grocery store can be expensive, but by reducing our building and operating costs, as well as the overall complexity of the store, we do believe that we can deliver meaningful savings.”
READ MORE: Loblaw piloting ultra-discount No Name grocery stores in Ontario
To facilitate the lower prices the company is promising, no name locations will have shorter opening hours, with fewer product choices than a typical grocery store.
Shoppers will find a small range of frozen items, packaged bakery items, produce and pantry staples, but no refrigerated foods like dairy or fresh meat.
The company says it is relying on reused fixtures, such as shelves and cash lanes, to reduce costs.
Bank says the streamlined product selection also means less waste.
Building these stores will take about 10 to 20 per cent of the cost of a new regular-sized No Frills store, giving the company more room to cut costs for customers, Bank said.
Prices at the store will be up to 20 per cent cheaper than comparable products at nearby discount stores, including its own No Frills stores, with more than three-quarters of the products more than 10 per cent cheaper, Bank said.
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