Discount stores taking over Dutch shopping streets
With inflation driving consumers to cheaper options and major retail chains going bankrupt, the Dutch shopping streets are being taken over by discount chains. Nearly 120 discount drugstores and textile supermarkets have opened in the Netherlands in the past five years, the Volkskrant reports based on research by Locatus.
Wibra and Action are doing well in the Netherlands, opening 34 and 31 new branches respectively between 2020 and 2025. But two relative newcomers stand out: Medikamente die Grenze opened a massive 50 stores in the Netherlands in the past five years, and Kik opened 30.
Zeeman closed 49 branches in the past five years but is still the biggest discount chain in the Netherlands. According to the Volkskrant, the closing stores doesn’t mean that Zeeman is struggling. The textile supermarket is focusing more on growth in Southern Europe and online sales.
According to sector manager Olaf Zwijnenburg of Rabobank, discount chains are flourishing under economic uncertainty. High inflation is driving more and more Dutch consumers to cheaper options. “The higher the deal content, the sooner the consumer comes and buys,” he told the newspaper.
The bankruptcy of Blokker also contributed to the growth. Due to the department store chain’s downfall, around 350 relatively large retail spaces became available at the end of last year. Wibra, Kik, Normal, TerStal, and kruidvat jumped into that gap. Wibra added 33 stores, Kik is planning to take over around 20 Blokker stores, Takko at least 15, and Van Haren at least nine.
