The discount stores Action, Tedi, and Co. are owned and managed by that organization.
In the ever-evolving landscape of European retail, non-food discounters are making a significant impact, with key players like Action, Tedi, and Woolworth leading the charge.
Action, the market leader in the non-food discounter segment, saw net sales reach EUR 13.8 billion in 2024, marking a 22% increase. The British financial investor 3i-owned company is eyeing growth opportunities in France and Germany, and after entering Slovakia in 2022, Action is set to expand into Romania in 2025, with Croatia and Slovenia targeted for 2026.
Tedi, with over 2,000 stores in Germany and nearing 300 in Poland, continues to focus on expanding its store count in existing markets. The company, known as "Top Euro Discount," prioritises stores in shopping centers or pedestrian zones, where foot traffic is most important.
Woolworth, aiming to double its store count from 800 to 1,500 by 2030, is focusing on increasing its presence in Germany. While specific new markets are not mentioned, the company is a significant player in the non-food discounter sector, with most products costing less than three euros.
The rapid expansion of non-food discounters is driving consolidation in the retail sector. Medium-sized players face challenges due to the pricing power and cost advantages of these discounters. Consumer behaviour is also shifting towards either luxury or discount retailers, leaving mid-range retailers to adapt by focusing on prominent locations.
Action currently offers approximately 6,000 items, more than 1,500 of which cost less than one euro. The company's product range includes home improvement and "Do It Yourself" items. Euroshop, another non-food discounter, increased its one-euro price point to 1.10 euros in 2020.
Thomas Philipps, focusing on home and garden items, operates around 250 markets in Germany. The independent partners running the individual branches of the Thomas Philipps family business allow for flexible inventory management. The company also offers an online shop with approximately 2,500 articles.
Tedi, which was initially a subsidiary of the Tengelmann Group, has since become a significant player on its own. There is currently no online shop for Tedi, and the offer is aimed at stationary customers. CEO Hajir Hajji, who began her career as a cashier at Action, heads Tedi since 2023.
Woolworth, another significant non-food discounter, has experienced ups and downs, including an insolvency and re-founding in 2010. CEO Roman Heini, who has been leading Woolworth since January 2023, plans to have up to 5,000 stores across Europe in the long term.
Non-food discounters like Tedi, Action, and others have rapidly grown and are now major competitors for established giants like Aldi and Lidl. As these discounters continue to expand and adapt, they are reshaping the European retail landscape.
Action, with its net sales reaching EUR 13.8 billion in 2024 and expansion plans in France, Germany, Romania, Croatia, and Slovenia, is redefining the non-food discounter industry in Europe. Tedi, a key player in the sector with over 2,300 stores, is focusing on strategic locations for retail stores, targeting shopping centers and pedestrian zones.
