Arcadia considers adding food to BHS offering

Arcadia considers adding food to BHS offering

Arcadia Group is trialling a convenience food offering at two of its BHS fashion and homeware stores, with the potential to roll the concept out to a further 150 locations in the estate.

The UK company, owned by retail magnate Sir Philip Green, is launching the concept at two stores this week. "BHS Staines, with a 3,450 square foot area opens on 27th March, and Warrington with a 3,200 square foot area on April 3rd," a spokesperson told just-food.

"The aim is to be competitive on convenience food offer, within high street locations," the spokesperson said. "Up to 150 stores in the current BHS portfolio have the opportunity to take this concept, and depending on this initial trial, the plan is to open the concept within 50 stores by the end of 2014."

The BHS Food format will carry a range of categories including fresh food and produce, bakery and frozen. Brands on offer will include Heinz, Nestle products, ABF's Kingsmill bread and United Biscuits' McVitie's brand.

Weekend reports suggested Green indicated BHS Food outlets would offer products at a 10% discount to Tesco as competition on pricing heats up in the UK grocery sector. The spokesperson did not comment.