Waitrose agrees deal to sell own-brand goods in Boots

Supermarket and chemist sign reciprocal retail deal in FMCG-style brand move.

Waitrose’s
Soup: Waitrose’s move could work in the convenience food sector

Waitrose is looking to extend its reach by becoming an FMCG-style brand that can be sold in other retail businesses.

The supermarket is looking to create initiatives and form partnerships to make the brand available to consumers in non-Waitrose outlets.

The upmarket chain, which is part of the John Lewis Partnership, has already signed a deal that will see its food products on sale in Waitrose-branded areas of Boots stores.

As part of the deal, Waitrose will also sell a range of Boots health and beauty products.

Alan Treadgold, head of retail strategy at advertising agency Leo Burnett, says it’s a “self-confident” move by Waitrose.

“It’s an interesting demonstration of how strongly retailers view themselves as brands in their own right with enough brand equity to work in other retail outlets.”

Treadgold adds that the move could succeed in areas such as convenience retail and pre-prepared meals, where Waitrose can “bring something a retailer or channel doesn’t have on its own”.

Waitrose also plans to extend the Duchy Originals brand to more than 300 products by the end of the year.

Waitrose signed a licensing deal with Duchy Originals last year, giving it the rights to manufacture, distribute and sell all Duchy goods in the UK.