Loblaw CEO Per Bank prioritizes discount store expansion

Loblaw CEO Per Bank is shifting the company’s strategy toward small-format discount stores to cater to price-sensitive consumers. Under Bank’s leadership, the grocery giant has increased its number of small-format stores under 20,000 square feet from 43 to more than 75 across Canada.

These discount banners, including No Frills and Maxi, focus on a streamlined shopping experience by removing amenities like deli counters, live pizza stations, and fresh bakeries in favor of narrow aisles and house-brand products. This strategy allows the company to expand into both urban and rural areas, including small communities where conventional large-scale grocers may not operate.

Discount banners currently account for approximately 40 per cent of Loblaw’s grocery footprint. Bank anticipates that discount stores will eventually represent more than half of the company’s total food business.