Netto is a chain of discount supermarkets that is based in Denmark, but has operations all around Europe, including the United Kingdom. This chain of discount stores is mostly owned by Dansk Supermarket Group and partly owned by the AP Møller-Mǽrsk.
The first Netto stores were opened in Denmark in 1981. Initially, the items sold at the store were contained in boxes and displayed in pallets. In only a few years the store quickly improved and the service level was increased as the stores expanded. As of 2010, there are about 406 Netto stores in Denmark.
By May of 2009, Netto had expanded its operation in other European countries, specifically Germany, Poland, Sweden and the United Kingdom. The first stores in the UK and Germany were completed in 1990 and by 2009, there were 293 Netto stores in Germany and 193 stores in the UK. The first Netto stores in Poland were completed in 1995, and the first Netto stores in Sweden were completed in 2002. By 2009, there were 190 stores in Poland and 127 stores in Sweden.
In the UK, the first Netto stores were located in Leeds. The company then expanded to central England and then to London. Netto stores in the UK offered retail prices that were similar to that of wholesale prices. Although the goods sold at the stores were limited (only about 1,100 items are on the stores’ displays), the very low prices of grocery items more than make up for the lack of a wide variety of choices.
In May of 2010, Netto announced that it would be selling all of its stores in the United Kingdom to ASDA for £778 million. Asda then converted 147 Netto stores into ASDA stores. The rest of the UK Netto stores were sold to different owners like UGO and Morrisons.
Aside from its conventional stores, Netto also has another version of its stores, which are considered express stores. These stores have longer hours of operation, but have higher prices.
There are also Netto stores in countries like France and Spain; these stores are not owned by the owners of the original Netto stores from Scandinavia. Netto stores in Spain are owned by DinoSol, and Netto stores in Franceare owned by Les Mousquetaires.
Headquarters: West Yorkshire,UK
Ownership Type: Private
Demography: retail food products consumers