The Co-operative Group has announced it is to close Somerfield’s head office in Bristol, putting hundreds of jobs at risk.
Somerfield will continue to be run as a separate business for 18 months, said The Co-op, while it is integrated into the latter’s food retail sector.
Following that the Somerfield headquarters will close, although relocation to The Co-op’s Manchester offices will be offered to some of the 750 staff employed at the site.
The Co-operative Group is launching its own rebranding advertising campaign tonight with a commercial in the advert break of Coronation Street, aimed to highlight its ethical stance.
The UK’s largest farming business The Co-operative Farms is playing a key role in the resurgence of The co-operative as one of the country’s best-loved and most trusted brands.
The co-operative has a 60,000-acre farming business, as well as interests in food, funerals, travel, pharmacy, financial services and legal services.
It is currently in the middle of a £1.5 billion re-branding exercise.
Some 60 per cent of its 4,300 outlets have been refitted with the new The co-operative brand in the last two years.
The advertising campaign will emphasise what makes the mutually owned retailer different from other high street brands.
The new brand is now on the packaging for all the products in the retailer’s Grown By Us range, which includes potatoes, onions, strawberries peas, broccoli and honey, grown by Co-operative Farms or made using ingredients grown by Co-operative Farms, such as apple crush, cider and beer.
Christine Tacon, managing director of The Co-operative Farms, said: “This is a very exciting time for The co-operative. We are delighted that The Co-operative Farms is playing such a prominent role in the launch of the new brand, coming at a time when we are increasing the amount of produce grown by us and sold in Co-operative food stores.”
Chief executive Peter Marks added: “We believe there has never been a better time for the UK’s most ethical brand to promote itself.
“We are witnessing a resurgence in our business. More than one million members have joined us since we re-introduced our famous dividend in 2006; our food business has enjoyed 12 successive quarters of like-for-like sales growth; we successfully merged with United Co-operatives in 2007 and the acquisition of Somerfield will be completed shortly.
“The winning combination of high-quality products coupled with the increasing relevance of our ethical way of doing business and the ability to benefit directly from trading with us, are the compelling reasons why thousands are joining us every month.”