Morrisons is set to pilot a new convenience store offer in partnership with Palmer & Harvey, while reviving the Safeway brand as a wholesale range for independent retailers.
The new initiatives mark a return to the convenience market for Morrisons just a year after it sold its M Local stores to the Mike Greene-fronted My Local chain, which only operated for a few months before entering administration in the summer.
The new Morrisons Daily convenience stores will open in 10 Rontec service stations by January, and will be supplied via P&H. They will be up to 3,000 sq ft in size, and will sell branded and Morrisons own brand products.
Under the Safeway brand, Morissons is developing a range of hundreds of convenience products for wholesale to independents. The range will be available from early next year.
Morrisons chief executive David Potts said: “These are two capital light ways of growing in the convenience food market.
“By working with well-established partners and reviving the Safeway brand, we are making our products more accessible to more customers.”
Palmer & Harvey executive deputy chairman Chris Etherington said: “We are very excited by the opportunity to work with Morrisons to develop Morrisons Daily with Rontec. Palmer & Harvey have worked with the Rontec team for over 40 years and we are very much looking forward to building a long, successful relationship with Morrisons.”
Rontec chairman and chief executive Gerald Ronson said: “We are constantly looking for ways in which we can improve the service and product range we offer to our customers and are pleased to be working together with Morrisons on this pilot.”