House of Fraser is planning to build up to 15 food halls at department stores across the country in a bid to move to the forefront of speciality food retailing.

Director of food retail Tony Sweet, who was poached from Harvey Nichols 18 months ago to develop the company’s food strategy, said: “There is potential for between 10 and 15 food halls of 10-15,000 sq ft with a full fresh offer - meat, fish, bread and home meal replacement.”

However, a new 200-strong ambient range of groceries under the World of Food brand could be distributed far more widely across the estate, he added.

“The options for the ambient
range are unlimited - we want to get it into as many stores as we can.”

The first food hall, which opens on September 4 as part of a £30m investment in the chain’s flagship Birmingham store, will include 4,500-5,000 products, with an emphasis on premium quality and speciality lines, said Sweet.

A six-strong team of buyers has been drafted in from companies, including Fortnum and Mason, Selfridges and Harvey Nichols to source speciality products ranging from Ukranian rye bread, Montgomery cheddar and hand-selected wild salmon to wild boar, organic lamb and wild mushrooms.

Where possible, goods will be sourced direct from local suppliers, but there is also an extensive range of products from overseas.

Fresh goods will be delivered direct to store, while ambient goods and wine will go through House of Fraser’s national distribution centre in Milton Keynes, said Sweet. “As we expand in food, we will look at temperature-controlled central facilities - but it’s clearly not viable at the moment.”

While the store will have the look and feel of an upmarket food hall, there will be a selection of ambient packaged groceries and basics such as bread and milk for customers looking to do a broader shop, said Sweet.

“At these volumes, we’re not going to get a competitive price on Kellogg’s Corn Flakes, so instead we will focus on more unusual or premium products.”

The centre of the food hall will be a home meal replacement area featuring dishes from India, south-east Asia, central and southern America and Europe, where shoppers will be able to eat in or take away.
Elaine Watson