B1 (First Selection)

History

2023: Launch of a network of "hard" discounters

On February 28, 2023, Magnit announced the launch of a network of "hard" discounters in Russia. For the new project, the retailer chose the B1 and First Choice brands.

The first three pilot stores opened in Stupino, Elektrostal and Tuchkovo near Moscow. As noted in Magnit, the new format is aimed at rational buyers with any level of income, technological and innovative for the Russian market.

The first three B1 stores opened in the suburbs

Hard discounters will adhere to the EDLP price strategy (every day low prices - "low prices every day" without promotions). But the basis of the assortment of the new network will be goods of the middle price segment with a small share of "first price" goods, while soft discounters mainly represent the "first price" segment.

The assortment policy of the new format focuses on offering high-quality fresh categories, as well as fruits and vegetables. Another key category of the new format is fresh pastries: bakeries for the production of fresh bread, rolls and pies will V1 operate in stores. Another distinctive feature of the V1 will be the wide supply of weight goods - cereals, confectionery, frozen foods, seafood, etc. It is noted that a significant share of goods in hard discounters will be presented in large packages, which will also help customers optimize their spending. The retail area of ​ ​ V1 stores will be 330-400 sq.m.

Angela Ryabova manages the format of hard discounters, who came to Magnit in November 2022, and before that she headed the Krasny Yar group of companies, where, in particular, she successfully developed the Baton discounter. The first distribution center for hard discounters is expected to open in the fourth quarter of 2023.^[1]