Discount Retail Chain Lidl Sweden (owned by the German Schwarz Group) is further advancing its positions by continuing to take market shares. It shows the fresh financial statements that Dagens Industri, DI, has taken part in. "Fast increasing food prices benefit a challenger and low-cost players such as Lidl," says Sweden's Lidl manager Johan Augustsson to the newspaper.
In the Swedish market, the low-price operator Lidl increased by seven percent during the broken financial year March-February. This reports DI, who took part in the financial statements, which will only be published at the end of August. The Swedish grocery market grew by just under one percent during the same period, according to the Swedish grocery store.
The high food price inflation, which so far this year is over 13 percent according to Statistics Sweden, is highlighted as a possible explanation of the low-price chain Sweden manager Johan Augustsson.
- We are in an industry that is governed by habits. But when something happens, like now with inflation, you are more inclined to change their buying patterns. Since we are a challenger with a price in focus, today's situation benefits us. We also see this clearly in the figures for this year, he tells Di.
The fact that Lidl's customer base grew by as much as eight percent compared to the same quarter in 2021 according to figures from GFK, reported the discounter yesterday.
The strong growth this year and last year is almost entirely driven by Lidl managed to attract more customers to the existing stores. However, the previously rapid store expansion has turned off on the beat.
- We want to open six to eight stores a year so the pace right now is too low. But it is very much about coincidence such as finding good situations. Today we have 203 stores but in the long run see a potential to come up with 300 stores, says Johan Augustsson.
The company has growth as a strategy in the Swedish grocery market, so that the loss of operations landed at SEK 132 million (US$ 12 million) last year was completely according to plan, says Johan Augustsson.
See here for more: https://www.dagligvarunytt.se/ekonomi/forsaljning/lidl-vaxer-och-tar-marknadsandelar-okande-matpriser-gynnar-oss/