How Delhaize Belgium is investing for the future | Progresiv
Having delivered net growth of 5% in its latest quarterly results, ‘Delhaize Belgium is preparing for the future with a revised strategy and more efficient ways of working’. 
As part of its new strategy, the retailer launched a new positioning at the start of the year, ‘better eating is at the heart of living’. It has committed to ‘offering healthier and more balanced food options to the brand’s five million weekly customers. This includes reducing sugar, fat and salt content to create more healthful versions of shoppers’ favourite own-brand products, ranging from yogurt and lasagne to cereals and ice cream’. Delhaize has also introduced a new labelling system, Nutriscore, that shows the nutritional make up of products.
In related developments, the retailer recently ran a ‘bioweek’ (organic week) in-store and online. The sale of organic products increased by 10% in 2017, with Delhaize stocking around 650 organic products. Vegetarian organic food has seen higher growth still, with a 15% increase in sales in 2017. This has driven Delhaize to introduce more new products, including in private label.
CEO Xavier Piesvaux has highlighted the opportunities for convenient meal solutions. With self-service salad bars proving popular, Delhaize will trial new convenience-focused initiatives this year.
He also noted how Delhaize’s promotional strategy shifts during the month in accordance with shopper income. ‘At the beginning of the month, when people have a bit more budget, we focus on stock campaigns and volume promotions. At the end of the month we have the peanuts week, which focuses on cheap products. Our promotions prove their usefulness as traffic builders. We also bring more personalized offers’.
Elsewhere, Delhaize is looking to partner with 60‘selected suppliers’ to advance relationships and work better together on concepts and products. The retailer has already run workshops with suppliers about its store of the future. These will be introduced in the retailer’s latest generation supermarket in Nijvel in the fourth quarter.
Elsewhere, he highlighted Delhaize’s need to be more efficient, freeing up time for staff to deliver customer service. He referenced how Delhaize is making better use of its automatic ordering system, as well as a ‘Boost’ initiative, where employees can give feedback about things that can be improved in-store.
More widely, Piesvaux noted the need to speed up the decision-making process and ‘need to become more agile and decisive’.
This year, Delhaize will refurbish 90 of is 670 stores. It will also drive urban expansion, as it looks to open 40 new stores, ‘all with an eye on proximity and convenience’. (www.igd.com)
