France To Get New Discount Supermarket Chain

Toujust is the brainchild of Fabrice Gerber, an experienced manager in the retail trade, formerly of E. Leclerc, Système U and Aldi.

It will function as a cooperative, with four main shareholders: Gerdis (Fabrice Gerber’s company), RT Logistique, Mila Capital and Val Invest.

In addition, the suppliers will be shareholders and will share 25% of the profits.

Significantly, there will be no intermediaries between the distributor and producers, as well as no central purchasing office, which the retailer hopes will enable it to offer reduced prices and operate a lower cost base.

It plans to set up shop on the outskirts of medium-sized towns in France, with population ranging between 10,000 and 12,000.

The company plans to open approximately fifty stores by the end of the year, and 300 within five years.

Each store will be spread across approximately 1,000 square metres and offer 7,500 SKUs, 80% of which will be food, including 45% in the fresh category.

The company will mainly sell its own brands and rely on 100 small suppliers. It is advertising  prices that are 5% to 10% lower than its direct competitors.

ESM