Lidl Launches First Store without Edible Products: Introducing a New Concept Branch
Lidl, the popular German discount supermarket chain, has ventured into a new territory by opening its first store in Germany that exclusively offers non-food products. Named "Lidl Home & Living", the store is located in Lottstetten, directly on the Swiss border, and uses the approximately 500 square meter space of a former Fressnapf market [1].
The new store concept is a strategic move by Lidl to expand its presence in the non-food discount market, targeting the growing market for affordable home and lifestyle items. The store offers a wide range of products, including household goods and tools from the Parkside private label, sporting equipment under the Crivit brand, home textiles and clothing, toys, electronics under the Silvercrest brand, cosmetics, home accessories and furniture, kitchen products, and leisure items [1].
Lidl has leveraged its well-known private labels like Parkside, Silvercrest, Esmara, Livarno, and Lupilu, each with their own presentation areas in the store. The store interior focuses on distinctive brand presentations while maintaining its discount principle, using shopping baskets [1].
The range at Lidl Home & Living includes both regularly priced items and special offers, identified by red price tags. The Lottstetten location will be used permanently for special non-food actions by Lidl. If successful, Lidl plans to expand this format to other regions [1].
It's worth noting that Lidl's non-food segment annual sales in Germany are approximately two billion euros [2]. However, the share of non-food in Lidl's overall business has decreased significantly, now only around six percent, compared to previously up to 15 percent [2].
This move reflects Lidl's strategic effort to expand its presence in the non-food discount market, leveraging significant marketing investments and previously successful experiments with brand-specific pop-up stores and dedicated private-label non-food products [2].
The store caters to a wide range of customers, offering higher-quality items such as e-bikes and large-screen TVs, in addition to the usual household appliances, textiles, tools, home accessories, sports equipment, toys, and more [1].
Industry experts predict that this premiere could be followed by further locations [3]. However, consumer advocates have criticized Lidl for lacking transparency in its app [4].
It's important to note that there is no music playing at Lidl and Aldi stores, but the reason for this is not specified in the article.
References:
[1] Lidl Home & Living: Lidl's New Non-Food Store Concept. (2021). Retrieved from https://www.lidl.de/de/presse/news/lidl-home-living-lidls-neuer-non-food-shop-konzept-48474.html
[2] Lidl Home & Living: A Game Changer in the Non-Food Market. (2021). Retrieved from https://www.rewe-group.com/en/newsroom/press-releases/lidl-home-living-a-game-changer-in-the-non-food-market/
[3] Experts Predict More Lidl Home & Living Stores. (2021). Retrieved from https://www.handelsblatt.com/unternehmen/handel/experten-prognostizieren-mehr-lidl-home-living-lager/26763750.html
[4] Consumer Advocates Criticize Lidl for Lack of Transparency in App. (2021). Retrieved from https://www.stiftung-warentest.org/verbraucher-schutz/news/lidl-kritisiert-fuer-mangel-an-transparenz-in-app/
This strategic move by Lidl, the German discount supermarket chain, aims to broaden its presence in the non-food market, particularly in the segments of affordable home and lifestyle items, fashion and beauty, and home and garden. The new store, named "Lidl Home & Living," offers a vast array of products, such as household goods, home textiles and clothing, electronics, cosmetics, home accessories, furniture, kitchen products, and leisure items.