Lidl and Action's latest branch defies tradition - No historical connection between the two stores
In a significant shift for the retail giant, Lidl has opened a non-food-only store in Lottstetten, Baden-Württemberg. Named "Home & Living," this pilot project marks Lidl's first venture into a retail space entirely dedicated to non-food items [1].
The new store, located directly opposite a traditional Lidl store, occupies a building previously used by Fressnapf and boasts a floor area of around 500 square meters. The entrance area of the "Home & Living" store will showcase both own-brand articles and weekly changing special offer articles [2].
Lidl's focus on non-food products is not a fleeting trend. In fact, the company has declared non-food as a key focus for 2021 [3]. The new store offers a wide range of household appliances, textiles, tools, home decor, sports equipment, toys, and more, providing a comprehensive non-food shopping experience.
The Dutch discount retailer, Action, has a strong presence in Baden-Württemberg, with multiple stores in Karlsruhe and one in Ettlingen [4]. Given that Lidl's new concept store and Action operate in the same German region, Lidl's "Home & Living" store is directly competing with Action in Baden-Württemberg.
Insiders report that chains like Woolworth or Tedi have secured significant market shares in the non-food sector in recent years [5]. Lidl aims to challenge these competitors with the "Home & Living" concept, expanding its business to non-food products in a bid to outshine its rivals.
The new store concept is being closely followed by the "Lebensmittelzeitung" [6]. Own brands such as Parkside (tools), Crivit (sport), Esmara (fashion), Silvercrest (electronics), Livarno (home), and Lupilu (children's products) will have more space in the "Home & Living" store compared to regular Lidl stores, further emphasising Lidl's commitment to its own brands in the non-food sector.
Lidl, traditionally known for its grocery shopping offerings, is stepping into uncharted territory with the "Home & Living" store. By abandoning food products, Lidl is making a bold move to challenge the status quo in the non-food retail market.
- Lidl's non-food retail venture, Home & Living, directly faces competition from established stores like Action and Woolworth in Baden-Württemberg, where it recently opened a pilot project focused on home decor, sports equipment, and other lifestyle items.
- Given the expanding market shares of chains like Tedi and Woolworth in the non-food sector, Lidl aims to leverage its own brands such as Parkside, Crivit, Esmara, Silvercrest, Livarno, and Lupilu to create a comprehensive shopping experience for customers in industries beyond food and finance.
- As Lidl expands its focus on the retail, home-and-garden, and lifestyle sectors, its commitment to offering a wide range of non-food products is evident in the prime display space given to own-brand products in its latest store concept, "Home & Living," which comes without traditional food items.
