Introduction
When it comes to grocery shopping, Dutch consumers venture beyond their national borders for the best deals and products. Among the array of options, one brand stands out triumphantly - Jumbo.
Our data analysis for 2023 versus 2022 showcases Jumbo's impressive surge of 25.94% in attracting Dutch visits.
But what sets Jumbo apart and makes it the preferred choice for Dutch shoppers?
1. The competitive landscape: all the players in the game
While Jumbo commands attention, it's enlightening to glance at how other supermarkets fare in this cross-border saga. Here's a snapshot of the growth percentages for 2023 versus 2022.
The bar chart below shows the number of visits by Dutch consumers to Belgian stores (within 20km of the border) from January to July in 2023 is compared with that of 2022.
We observe that Belgian Jumbo stores have attracted the most Dutch visits compared to the previous year. Followed by Colruyt, Albert Heijn, and Lidl.
Key takeaways:Aldi and Louis Delhaize even experience a decrease in Dutch visits. This is a surprising observation, particularly for Aldi, considering their reputation for offering budget-friendly options and being well-known in the Netherlands.
- Jumbo and Albert Heijn secure positions in the top 3, suggesting that Dutch consumers might prefer stores they are familiar with in the Netherlands.
- Colruyt also ranks in the top 3, possibly due to being the most economical supermarket in Belgium. This affordability could explain their significant increase in new Dutch visits, especially considering the soaring prices in the Netherlands.
- Aldi and Louis Delhaize even experience a decrease in Dutch visits. This is a surprising observation, particularly for Aldi, considering their reputation for offering budget-friendly options and being well-known in the Netherlands.
"familiarity, affordability and reputation are key factors for attracting customers across borders!"
2. Strategic locations: mapping Jumbo's borderline stores
In the intricate chessboard of retail, location holds the key to victory.
Jumbo, with its strategic placement of stores near the Dutch-Belgian border, unveils a masterstroke in capturing Dutch shoppers' hearts. The map becomes more than just lines; it's a blueprint that tells a story of data-driven decisions.
As we look at this graph, a standout cluster of Jumbo stores near the border becomes evident. Among Belgium's 28 Jumbo locations, a staggering 9 lie within a mere 20 kilometers of the Dutch border, as can be seen in the image below:
This calculated approach is a powerful magnet for Dutch consumers seeking the familiarity of their preferred grocery chain. A clear advantage, backed by data, manifests itself in strategic proximity.
The strategy isn't just about convenience; it's about understanding. Jumbo leverages its popularity in the Netherlands to beckon Dutch shoppers to cross the border.
With 30% of its Belgian stores located close to home, Jumbo becomes a symbol of trust and recognition, drawing shoppers across national lines. This is the power of data-backed retail intelligence.
3. Understanding the Pricing Dynamics between Dutch and Belgian Jumbo stores
In a recent published article by Omroep Brabant, a bag with fourteen exactly the same private label products were bought at Jumbo in Budel and across the border in Pelt.
In the Netherlands, the bag cost 28.59 euros, but only 20.70 euros a few kilometers away in Belgium. A similar bag but with A-brands was still over 5 euros cheaper across the border.
The Brabant supermarket chain confirms this to Omroep Brabant. "In Belgium, Jumbo is new and there are a lot of different chains so there is also a lot of competition. You then do a little extra to win customers and then you sometimes settle for a little less profit."
The difference in price that Omroep Brabant describes, combined with 30% of Jumbo stores in Belgium being close to the border, provides a logical explanation for why Dutch people come to do their shopping in Belgium.
Conclusion
Let's summarize the elements that fuel Jumbo's allure:
- Strategic Store Placement: Jumbo's clever positioning of stores near the Dutch-Belgian border plays a crucial role. A staggering 30% of their Belgian stores are situated within 20 kilometers of the border, tapping into the allure of cross-border convenience.
- Familiarity Factor: The Jumbo brand is no stranger to Dutch shoppers, and this familiarity creates a sense of comfort. A name recognized from home, combined with the excitement of a cross-border shopping experience, makes Jumbo an irresistible choice.
- Affordable Appeal: Jumbo's reputation for competitive pricing strikes a chord with cost-conscious Dutch shoppers, offering affordability that resonates across borders.Combining this with cheaper prices in Belgium compared to the Netherlands seems enough for the Dutch to cross the borders for shopping!
Our location intelligence suite provides daily actionable brand, consumer & market insights with unprecedented accuracy to help you see the bigger picture. We create a free KPI-dashboard for you to help you see what data insights we have to offer. Request your free report below: