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Cooperative Fensmark Brugsforening Leaves Coop Danmark

Published on Jun 22 2017 8:35 AM in Retail tagged: Denmark / Coop Danmark / Dagrofa / Fensmark Brugsforening

Cooperative Fensmark Brugsforening Leaves Coop Danmark

Fensmark Brugsforening, one of Coop Danmark’s largest cooperative associations, is leaving the Danish retail group, according to Dansk Handelsblad.

Instead, the company intends to join Coop’s competitor Dagrofa Group, starting next year.

Two of its stores will be converted to Meny supermarkets and one to a Letkøb minimarket, both of which are owned by Dagrofa. However, the association and its stores will still remain in the hands of its members.

“Of course, we are really happy to have such a large and highly-recognised cooperative join the Meny chain. It's great that they have chosen to become part of our group of independent merchants,” said Dagrofa CEO Per Thau.

Unsatisfied Cooperatives

Lebenzmittel Zeitung reports that many of Coop Danmark’s 345 independent cooperative associations are said to want a better franchise deal with the central organisation than the one currently in place.

However, the publication says that 'no longer receiving central support from Coop Danmark entails great risk for Fensmark Brugsforening', and 'the clash between the different modes of operation at wholesaler Dagrofa and its new customers could create some challenges'.

All of Coop Danmark’s Danish banners experienced negative growth in 2016.

© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Larissa Zimmer. Click subscribe to sign up to ESM: The European Supermarket Magazine.

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