Loblaw sees you snagging your grocery staples at places like Costco, Walmart, and Dollarama, so it's diving even deeper into the discount game. Loblaw is piloting a new kind of ultra-discount store in Ontario, using its no name brand to offer basic groceries that are up to 20% cheaper than products at nearby discount stores, including its own No Frills stores. This move comes as more Canadians are turning to general merchandise stores like Dollarama for grocery basics because of the lower prices. For example, a loaf of bread costs $3.00 at Dollarama, compared to $4.49 at Loblaws. This is part of a bigger strategy by Loblaw to win back customers who have moved to more discounted stores. It has already put $2 billion into opening 40 new discount stores and converting some of its pricier locations into No Frills. And it’s not just Loblaw — other grocery chains are getting on board too. For example, Empire, which owns Sobeys and Farm Boy, has opened 52 new FreshCo stores in the past six years, expanding its discount options in Western Canada and Ontario.