A few months after the launch of Toujust, the parent company of the discount brand, Tazita Direction Nationale, declared bankruptcy, according to information from Editions Dauvers that we can confirm.
This procedure aims to “try to save stores and suppliers,” according to a source close to the matter. According to our information, management is giving itself three months to find an investor.
Sell 10% cheaper by eliminating intermediaries
Launched in France last March, Toujust arrived on the mass distribution scene promising prices “between 5 and 10% cheaper than those of its direct competitors.” To achieve this, the brand is committed to a model that eliminates intermediaries as much as possible to work directly with producers. The suppliers are thus associated with the capital through a 25% stake in the company Tazita Coop Food, which manages the stores.
In July, the deep discount brand reported initial difficulties as it announced it would slow the pace of store openings and reduce the number of items on its shelves.
“Indeed, there are difficulties. (…) We have decided to slow down development this year to consolidate our suppliers and the organization of our stores and ensure that our teams can also follow suit,” Fabrice Gerber, founder of BFM Business, explained. Only. “Today we have to move slowly because some detractors point the finger at us. Our model is a bit scary, it is something new…”, he admitted.
Source: BFM TV
