Hajir Hajji Leads Action's Rapid Expansion Across Europe

Hajir Hajji, once a cashier, now spearheads the swift growth of the discount retailer Action throughout Europe. The Dutch chain is opening a new store each day, with its first Swiss location set to debut on April 5 in Bachenbülach. Despite its low prices, Action has managed to maintain profitability through highly efficient organizational practices, although any disruptions in logistics could pose challenges.

At the distribution center in Zwaagdijk, Netherlands, employees are tasked with packing a minimum of 130 boxes per hour onto their roll carts. These carts are then transported using electric forklifts through a vast high-bay warehouse. The company employs advanced technology, such as a specialized glove that allows warehouse staff to control their equipment remotely, thereby optimizing the loading process.

Hajji, who has been with Action since she was 17 years old, brings firsthand experience to her role as CEO. She began her career filling shelves and working at the cash register. Over the years, her responsibilities expanded, ultimately leading her to oversee the entire chain's operations across multiple countries. When her predecessor departed in 2022, Hajji stepped into the CEO position, marking a pivotal moment in her career.

Action's approach emphasizes simplicity. The company maintains a uniform store layout and product range, ensuring that 95% of what is offered is consistent across locations. This strategy aids in maintaining low operational costs while maximizing sales potential. Each store is categorized based on its revenue-generating capabilities, with successful locations receiving additional staffing to keep shelves stocked.

The retailer's product offerings are designed to attract customers, featuring a variety of non-food items, including household goods, cosmetics, and cleaning supplies. While the clothing section has become less prominent, essential products like detergents remain a significant draw for shoppers. Deliveries to stores occur daily, allowing Action to utilize its space primarily for sales rather than storage.

In terms of market presence, Action currently operates nearly 3,000 stores across twelve countries, with plans to expand further into Romania after its entry into Switzerland. Hajji sees significant opportunities for growth, particularly in Germany, where the company has a relatively low number of stores compared to the population. There is also potential for future expansion into the United States.

Despite facing competition from online retailers, Hajji expresses confidence in Action's ability to compete effectively. The company has yet to launch a comprehensive online shopping platform, focusing instead on developing its market presence in brick-and-mortar locations.

Investors have raised some concerns regarding Action's rapid growth and sustainability. While the company is not publicly traded, its majority stakeholder, 3i, has seen significant returns since acquiring a stake in Action. Recent reports of IT issues and a decrease in revenue growth have sparked discussions among investors, but Hajji assures that these challenges are manageable.

As Action prepares to enter the Swiss market, Hajji remains optimistic about the retailer's prospects. With five locations already secured, the company is poised for a promising start in a new region.