Many Canadians don’t seem to be impressed by the newly announced ultra-discount No Name stores owned by Loblaws, which will reportedly boast prices that are 20 per cent cheaper than No Frills.
The first three No Name stores are set to open this September in Windsor, St. Catharines and Brockville, according to Loblaw.
“We’re adopting a ‘test and learn’ approach to see how customers react and if we can deliver the right mix of value and experience. Depending on the outcome of these pilots, we may consider expanding to other regions; however, it’s too early to confirm any specific plans for expansion into the downtown core at this time,” the company told Now Toronto on Friday.
No Name stores will allow people to grocery shop from a limited selection of frozen items, packaged bakery goods, produce and pantry, but there will be no refrigerated foods like dairy or fresh meat. The stores will not include self-checkouts.
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The “ultra-discount stores” have been designed to address affordability and inflation, according to the grocery chain.
“The store has lower operating costs, with shorter operating hours, limited marketing, and reused fixtures. This allows us to pass lower prices onto our customers while continuing to deliver on our commitment to provide great quality,” Loblaw said.
Loblaw CEO and President Per Bank told The Canadian Press that No Name store prices will be up to 20 per cent cheaper than other discount stores, including No Frills stores. Additionally, two-thirds of the products will be below $5.
Matt Johnstone, executive director of FoodShare Toronto, told Now Toronto that having access to more discount grocery stores may decrease the number of people forced to rely on food banks.
However, Johnstone has some doubts about relying on a sustainable solution from a corporate conglomerate.
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“It forces entire communities to depend on their services and leaves them holding the power to control grocery prices,” he said in an email statement.
Johnstone also questions what will determine where in the city a No Name store would be located if it comes to Toronto.
“We should also consider which neighbourhoods will and won’t get a new store. We know that Black and Indigenous communities are almost 4x more likely to experience food insecurity than their white counterparts. Where will these new stores be located and what will be offered in them? Will the food be culturally relevant? Nutritious?”
Online, Canadians are sharing their thoughts about the discount grocery store pilot.
“How many minutes from checkout until my strawberries and raspberries decompose?” one person commented on X.
“Oh look another store to boycott,” a Reddit user said.
Others are criticizing why there needs to be a separate store specifically designed for discounted groceries.
“Why doesn’t Loblaw just lower their prices at existing stores?” one person said on X.
“Galen/Per Bank could just lower prices at existing stores instead of opening up another ‘discount’ chain. Surely that’s where all the rotting moldy food will end up,” another X user said.
And some are making fun of the name.
“No Frills, No Name, No Point,” one person commented.
“Then they need to rename No Frills to We Have Some Frills,” one person said on X.
