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Latvia and Estonia: Lidl counts the last days before the start of expansion to Latvia and Estonia.

Rumors are circulating in the market that the German retail company SIA Lidl Latvija has already placed orders for suppliers waiting for a signal on the opening of the first stores in Riga, Liepaja, Tukums, Jelgava, Jēkabpils, Rēzekne, Valmiera, Daugavpils and other Latvian cities. Lidl enters Latvia later than originally planned, the opening of the first stores was postponed due to the pandemic.

On January 25, 2021, the logistics center of the Lidl retail chain was opened in Riga. SIA Lidl Latvija announced that the opening of the Lidl Latvija logistics center is the basis for starting the company's operations in Latvia and Estonia. After the opening of the logistics center, a chain of stores will also start operating.

Lidl Latvija logistics center at 131 Dzelzavas Street, Riga, was put into operation in 2020. In July, construction works started in 2018, more than EUR 55 million was invested. The logistics center covers an area of ​​51,000 square meters and is also the headquarters of Lidl Latvija.

As early as 2021. At the beginning of the year, LIDL Latvija brought together the teams of all future stores and logistics centers, and the company employed more than a thousand people throughout Latvia. The first store of the German retail chain Lidl in the Latvian capital Riga was completed in August 2019 . Currently, more than 12 Lidl store buildings have been built in Latvia - more than six of them are in Riga, and the rest are in Liepaja, Tukums, Jelgava, Jēkabpils, Rēzekne, Valmiera, Daugavpils.

Lidl Latvija was registered in October 2016 and has a share capital of EUR 251.5 million. The sole owner of the company is the German CE - Beteiligungs-GmbH.

Board of SIA Lidl Latvija:

Karl Ragnar Jakob Josefsson, Chairman of the Board, CEO Lidl Latvia and Lidl Estonia

Gennady Denisjuk, Member of the Board, CFO in Latvia and Estonia

Arunas Dzikas, Member of the Board, Director of Real Estate Development in Latvia and Estonia

Alexandru Mag, Member of the Board, Vice President of Purchasing and Marketing in Latvia and Estonia

The first store of the German retail chain Lidl in the Estonian capital Tallinn was completed in June 2020 . Estonian job advertisements show that Lidl is looking for employees for stores in Tallinn, Tartu, Pärnu, Narva and Jõhvi.

Lidl has acquired more than 10 plots for future stores in Estonia. Preparations for the construction of the sites owned by Lidl and the construction of stores are underway.

The company LIDL EESTI OU was registered in October 2016, the main activity of the company so far has been the purchase of real estate and the construction of stores. The sole owner of the company is the German CE - Beteiligungs-GmbH.

What's next?

We can already see the speeches from separate networks in Latvia and Estonia and action to emphasize low prices, private label goods, talk of local buyers ’love of local products, intensive work with small producers (although those small ones don’t think so), the fact that Lidl is a“ discounter ”for customers with a certain level of income, that there are no places that evolve the classic Jan-Benedict Steenkamp model is going to be ignored, underestimated, and despised.

We have already written that using Lidl's "killer advertising" - dominance on the air, local celebrities, the consumer will quickly become a "local", "defender of the little ones", "quality". And the general offer of the service - a bakery, interesting food offers from various countries, relevant seasonal goods will be placed next to the hypermarkets - the consumer will not feel that he is visiting a "computer".

Local suppliers in both Latvia and Estonia will give Lidl the prices they need - “we sell, like everyone else - because of the good supply conditions and short settlements, and the hope of entering wider European waters (whether it happens philosophically). trades at a loss ’.

Yes, Latvia and Estonia had a unique opportunity to replicate Norwegian history when local Norwegian networks managed to drive Lidl out of the country, but homework had already to be done.

Discounter Lidl will systematically increase its market share as they have no format competitors in both Latvia and Estonia. The market capacity for low-price format stores, according to Germany and Poland, is about 30 percent and so far only Lidl is claiming this share.

Lidl paid special attention to safe shopping and compliance with stricter requirements. On the opening day, additional security staff was used to regulate the flow of customers, trolley handles and shop surfaces were additionally disinfected, and customers were informed about compliance with security requirements. Protective face masks are also distributed free of charge.

Currently, there are a total of 58 retail chain stores in Lithuania in 23 cities of the country - Vilnius, Kaunas, Klaipėda, Šiauliai, Alytus, Marijampolė, Kėdainiai, Telšiai, Kretinga, Mažeikiai, Tauragė, Jonava, Panevėžys, Ukmergė, Utena, Plungė, Palanga, In Elektrėnai, Visaginas, Šilutė, Radviliškis, Vilkaviškis and Druskininkai.

Characteristics of Lidl stores: ~ 3,200 range of food and industrial goods, store area ~ 1,400 sq. M. meters, the shops have ~ 12 checkouts (standard checkouts + self-service checkouts), the usual opening hours of the shops are from 8 am to 10 pm. Lithuanian buyers quickly fell in love with Lidl stores, allowing Lidl Lietuva to break into the TOP 3 of the largest retailers in terms of turnover and overtake the market's former Rimi and Norfa.

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