Costcutter's secret Co-op franchise store trial grew sales by 70%

Costcutter Co-op franchise store company owned
News RE Co-op Costcutter
Login or register to save this article

Costcutter has grown sales at one of its company-owned stores by up to 70% following its conversion to a Co-op franchise.

The unknown location converted to the Co-op franchise model several months ago as a Costcutter Group trial.

Costcutter CEO Darcy Willson-Rymer said the trial had been “very successful” and that it plans to convert several other company-owned Costcutter stores to Co-op franchises before rolling out Co-op franchise opportunities to Costcutter retailers, including those that have already expressed an interest in the model. Willson-Rymer said the further trials would make sure the model works well before offering it to its retailers

It is understood that Costcutter has less than 20 company-owned store sites.

Under the Costcutter-Co-op supply deal, the Co-op has granted Costcutter the ability to act as a “master franchisee,” overseeing and managing Costcutter stores that make the switch.

Costcutter had expected a sales uplift of 30-40% but when the stats came back it revealed 60-70% sales growth at the trial site.

Read more: full details of Costcutter’s Co-op own label ranging revealed

By Jack Courtez Avatar
By Jack Courtez 04 Jul, 2018

Comments

0 comments

Have you seen a boost in own-label products in the past year?

Make the most of betterRetailing.com

You know your shop better than anyone. Now you can decide exactly what news, advice and retailer case studies that you want to see to help you improve your business.

Subscribe to personalise your content Already have an account? Login