DIA advances in its transformation process betting on quality
and closeness

May 3, 2022

DIA ADVANCES IN ITS TRANSFORMATION PROCESS BETTING ON QUALITY AND CLOSENESS

Ricardo Álvarez, CEO of Dia España, demonstrates the company’s progress in the last two years to be “Every day closer” to our neighborhoods.

The new Dia store concept, which aspires to lead the neighborhood trade, is already a reality in more than 1,000 establishments throughout Spain after being implemented in eight hundred stores in 2021, a milestone that has not been achieved by any other supermarket chain in Europe.

The consumer can find more than 1,500 products of New Calidad Dia (Dia’s new quality), a diverse offer of high quality at the most adjusted price available only in its stores and built together with more than 650 Spanish suppliers.

The DIA Group’s firm commitment to Spain translates into 96% of local purchases and the largest network of stores in our country, with 2,706 establishments that allow 65% of Spaniards to find a Dia less than 15 minutes’ walk from home.

Las Rozas de Madrid (Madrid), May 3, 2022. Dia España has presented today the progress of its transformation strategy, based on quality and proximity with the commitment to be “every day closer” to our neighborhoods. In these two years of work, the company has focused its efforts on promoting a new store concept and the quality of its own brand, with the ambition of leading neighborhood commerce with a personalized and close shopping experience.

This value proposition, integrated throughout its entire supply chain, is already visible in your stores and products and is starting to deliver results. Comparable sales in 2021 compared to 2020 in Spain have grown by more than 10% in stores adapted to the new Dia concept. Its fresh offer provides a greater frequency of visits to its supermarkets. And its own brand, which has increased its comparable sales by about 5% compared to 2019, has also increased its quality image by 3.4% compared to the previous year, improving more than its competitors.

Since its inception, Spain has been a key market for DIA Group, which also operates in Portugal, Brazil, and Argentina. With 2,706 establishments spread throughout the country, 52% of them under a franchise model that favors the entrepreneurial spirit, and a very prominent presence in populations of less than 5 thousand inhabitants (where approximately 8 out of 10 stores are Dia), it is the food chain with the most stores in Spain. This capillarity confirms it as the true proximity store, since 65% of Spaniards have a Dia less than 15 minutes’ walk from home. Reflecting this spirit of local contribution, 96% of DIA Group’s purchases are local and it collaborates with more than 1,200 suppliers in Spain.

The new Dia store concept

The new Dia store concept is already a reality in more than 1,000 emblematic establishments of its network throughout Spain. 2021 has been a key year in the development of this program, which has accelerated to be implemented in 800 supermarkets in Spain (more than 15 stores a week), a milestone that has not been achieved by any other food chain in Europe and that represents a great advance in its goal of reaching a total of 2,200 stores in our country for 2023. 

In addition to offering a wider and brighter image, with changes in the façade and interior, the actions include a greater presence of frescoes and daily made products, a more attractive decoration, and a more comfortable way of presenting the products, to optimize the time that the client invests in making their purchase. The plan is completed with a new store operating model, focused on freshness, daily supply and labeling that encourages transparency (including nutritional, origin and sustainability criteria, with its own ecolabels).

All this reinforced with the new logistics and distribution model of Dia, in which its twelve commercial delegations assume control of the supply to give a better service to the stores. The Illescas (Toledo) platform plays a key role in the company’s ambition to consolidate a logistics network more efficient and sustainable than ever, which will have a 100% circular waste management system to ensure that 95% of the waste generated has a destination alternative to the landfill.

This commitment to proximity is also perceived in the online channel thanks to the home service of Dia and dia.es, which includes all its assortment and reaches 782 Spanish towns allowing the customer to receive their purchase at home in record time. In the case of cities such as Madrid or Barcelona and for all customers who choose the express delivery service, in less than an hour.

“Nueva Calidad Dia”

The other great novelty of this stage is the Nueva Calidad DIA (Dia’s new quality), a seal of guarantee that promotes its own brand with a diverse offer of products and available only in its stores. To build this high-quality proposal at the most adjusted price, Dia works with more than 650 Spanish suppliers and has made a comprehensive review of the formulation of its products and packaging. As a result, the consumer can already find in all its supermarkets more than 1,500 new own brand options in food and beverage, winery, cleaning, personal care and much more.

Among them are products such as the new Arom’Arte coffee range, Rambler’s beer, the emblematic Hola Cola or the Natural Dia Láctea Yogurt in its three varieties, considered the best own brand option by independent organizations for its flavor, ingredients, and price. Also, its winery, which covers the main Denominations of Origin, wine regions and wine styles and has already been recognized with seventeen medals in national and international competitions. Or its cosmetics and hair care brand Imaqe, which includes trendy products such as solid and active shampoos in vogue such as CBD, made with sustainable criteria and a high percentage of natural ingredients endorsed by the Ecocert organic certification.

Dia’s fresh products, with daily delivery in the entire range of fruit, fish, meat, eggs, and refrigerated products, also occupy a preferential place in this healthy offer and with the best value for money. The company is committed to proximity and eliminates intermediaries in the purchasing processes, acquiring its products directly from fish markets and producers throughout Spain. In addition, it encourages seasonal options, regional varieties and references accredited with the “Flavor of the Year” seal and Animal Welfare certificates.