With the istart of Aldi, the entrepreneur revolutionized the food trade. 100 years after his birth, inflation could give the discounters a new boost. Theo Albrecht made grocery shopping cheaper and earned billions from it. Together with his brother Karl, the Aldi founder, born in Essen on March 28, 1922, invented the food discounter and taught supermarkets to fear. On the 100th birthday of the entrepreneur, who died in 2010, of all things, the surge in inflation triggered by the corona pandemic and the Ukraine war could give the brothers’ idea of ​​the century new impetus. "In the next few years, the price when shopping will be much more important again," said trade expert Frank Küver from the market research company NielsenIQ of the German Press Agency. According to his assessment, this should lead to the discounters regaining market share after years with rather mixed results. When Karl and Theo Albrecht took over their parents' grocery store in Essen after the Second World War and invented Aldi (Albrecht Diskont), they broke with many of the conventions that were common in the grocery trade at the time. Things were spartan in the Aldi stores: the selection was small and the goods were presented unadorned in boxes stacked on pallets under cold neon lights. One looked in vain for branded articles. “At first glance, the idea, focusing on the price and on processes that are as effective as possible, may not seem particularly spectacular, but combined with the will to keep improving one’s own model, something really big has emerged from it: a completely new one Store concept that works worldwide,” says Küver. In the German food retail trade, Aldi, Lidl, Penny and Co. secured a large part of the market with the discount model invented by the Albrechts and then continuously refined. According to current figures from the market research company GfK, the discounters had a market share of almost 35 percent last year. For comparison: almost 30 percent of the business was accounted for by supermarkets, 12 percent by hypermarkets and 15 percent by specialist retailers. Drugstores and online providers shared the rest. Business model is successful worldwide And the low-cost providers were also able to score points with their concept worldwide. "The discount model is the biggest export success of German retail," said Küver. Whether in France, Italy, the USA or even Australia, travelers from Germany can now find branches of one or the other discount chain almost everywhere. Thanks to the worldwide expansion of its discount subsidiary, the Lidl parent company, the Schwarz Group, has risen to become the fourth-largest retailer in the world, according to a recent market study by the consulting firm Deloitte. Aldi follows in 8th place. The Aldi brothers became billionaires with their cheap strategy. In 1961 they split up their cheap empire. Theo Albrecht got Aldi Nord, Karl Albrecht Aldi Süd. Last year, Manager Magazin estimated the assets of Theo Albrecht's heirs alone at around 17.4 billion euros. However, the success story also attracted criminals to the scene while Theo Albrecht was still alive. In the fall of 1971, the businessman was kidnapped and only released after 17 days for a ransom of millions. After that, the already public-shy billionaire shielded his private life even more strictly from the public. For a long time, this did not detract from the success of the group. However, the corona pandemic proved to be a challenge for the discounters. "Customers wanted to buy as much as possible in one store for fear of contagion - and the price was no longer that important," Küver described the development. As a result, the low-cost providers lost market share to the supermarkets with their much larger range in the two Corona years. However, according to Küver, the next few years could bring a “growth comeback for the discounters”. The trigger for this is the noticeable price increases for many everyday products caused by the pandemic and the Ukraine war. "The high inflation rates at the moment have the potential to change shopping behavior just as much as Corona did before," said Küver. “The discounters could regain market share as a result. After all, low prices are their core competence.” See here for more: https://amp2-handelsblatt-com.cdn.ampproject.org/c/s/amp2.handelsblatt.com/unternehmen/handel-dienstleister/discounter-aldi-gruender-theo-albrecht-die-discount-idee-gewinnt-wieder-an-relevanz/28199214.html

Discount Wholesale and Retail Chain Bestway Wholesale (owned by Anwar Pervez) has reported 10% growth in revenues during 2021 to £2.66 billion (US$3.5Bn) and an operating pre-tax profit of £37.2 million (US$ 49Mn), equivalent to 1.4% of revenue, in the year to 30 June 2021. The performance has been attributed to the agility of the business in responding fast to changing customer behaviours. In addition, Bestway Wholesale completed on the acquisition of Costcutter Supermarkets Group (CSG) in February 2021. The company has not given specific figures for its retail arm, Bestway Retail, which covers all of its fascia businesses including best-one, Costcutter and Bargain Booze. Dawood Pervez, managing director for Bestway Wholesale, said that the business had focused on integrating operations and delivering the associated synergy benefits. He commented: “Aside from Covid-19, market conditions in the wholesale sector remained challenging, with supply chain issues, staff availability and inflationary pressures. We have also had to absorb the continued impact from the National Living Wage increases, as well as additional costs and the uncertainty surrounding Brexit. “Despite these challenges, we remained committed to our strategic plans of offering improved service and convenience to customers and we continued to improve and manage availability of products during this period which resulted in a positive impact on sales. “Despite the economic turbulence and challenges faced during 2021, the results are a testament to our strategic approach and operating model, which has increasingly positioned us as the home of choice for the entrepreneurial retailer whether affiliated, or unaffiliated, and with a fascia to suit every retailer, regardless of size or location.” Bestway Wholesale is part of the wider Bestway Group, which saw a 10% growth in revenues during 2021 to £3.75 billion (US$ 4.9 Bn), with operating pre-tax profit of £350 million (US$ 460Mn). See here for more: https://cashandcarrymanagement.co.uk/bestway-wholesale-boosts-revenues-by-10-per-cent/

Discount Retail Chain Lidl's mother the Schwarz Group, also the owner of Kaufland wants to succeed with cloud services. Initially, the focus is on medium-sized companies and start-ups. The Schwarz Group is now actually entering the cloud business with some delay. The retail group is thus competing with the big American tech companies Google, Amazon and Microsoft among others. The group announced on Tuesday that the cloud service and data centers are now also available to customers outside the group. The company is launching its offer on behalf of "Stackit" with a delay of almost a year. Originally, there was talk of mid-2021. "The cloud market itself is dominated by non-European providers," says Christian Müller, CEO of the Schwarz Group's IT BU subsidiary, in a statement. The new offer is now a "sovereign European alternative". According to him, the company attaches great importance to data security and data protection. The data centers are located in Germany and Austria and are fully subject to European law and the General Data Protection Regulation. At the beginning, people became involved in solutions for small and medium-sized companies in all sectors as well as concentrating on technology start-ups, Müller said. The team currently consists of 150 employees and is constantly growing. According to the group, the group's own cloud platform was initially developed in 2018 for internal work in order to advance digitization. After that, the service will be expanded to also be attractive for external customers. Thanks to the internal experience, one can now “comprehensive advice and thus the best possible service”. See here for more: https://www.faz.net/aktuell/wirtschaft/digitec/cloud-dienste-von-lidl-konzern-will-die-tech-riesen-aufmischen-17919034.html?xing_share=news

As a response to rising inflation, more and more Belgians are opting for private labels, supermarket chain Aldi claims. A survey commissioned by the discounter should show that 7 out of 10 Belgians more often buy private label products. Inflation leaves its mark on consumer purchasing behaviour. No surprise, but a study in Aldi says it shows how behavior changes. “Comparing prices has become a daily routine for more than 4 in 5 Belgians, according to a representative iVOX survey,” says Aldi. “What ends up in the shopping cart also changes. Private labels are gaining in popularity. More than 7 in 10 Belgians indicate that they are buying private labels more often since the rise in inflation.” The research shows that private labels are more popular in Flanders (75%) than in the south of the country (69%) and that more young people indicate saving on the household budget as a reason to buy household brands. Among adults under 34 years of age, 77% cite this as a reason to buy more 'white products'. In people over 55 that is 66%. The popularity of private labels will also continue in the long term, Aldi claims. The survey shows that as many as 3 in 4 Belgians plan to continue purchasing private labels, even when inflation becomes less noticeable. 4 in 5 young people say they will continue to choose private labels more often in the future. Aldi wants to further play out the price argument of private labels in the coming weeks. “Every week we will show the price difference between the same basket of A brands for sale at Aldi and our own brands. In this way we want to give all Belgians a helping hand to make budget-friendly choices," says Isabel Henderick, Managing Director Marketing and Communication at Aldi. “Consumers will quickly notice that it is smart to choose private labels. More than 90% of the permanent range at Aldi consists of private labels.” See here for more on our DRC private label development services: https://www.discountretailconsulting.com/private-label

Discount Retail Chain The Save Mart Companies announced Monday that it has been acquired by Kingswood Capital Management LP, an operationally focused private equity firm based in Los Angeles with significant experience in the retail sector. Terms of the transaction were not disclosed. Headquartered in Modesto, Calif., The Save Mart Companies operates 204 stores under the banners of Save Mart, Lucky California and FoodMaxx, and serves communities throughout California and Northern Nevada. In addition to its retail operation, the company also operates SMART Refrigerated Transport and is a partner in Super Store Industries, which owns and operates a distribution center in Lathrop, and the Sunnyside Farms dairy processing plant in Turlock. The company was founded by Nick Tocco and Mike Piccinini in 1952, and run by the Piccininis as California’s largest family-owned grocer up until today’s acquisition. “I’m excited for this opportunity with Kingswood to invest in and grow The Save Mart Companies family of stores,” said Chris McGarry (left), who was named CEO of The Save Mart Companies in January 2021. “The Piccinini family did a tremendous job in fostering a commitment to innovation and service as they built and grew this company in the Central Valley and throughout California. As a result, we have great stores and a committed team of 14,000 employees who provide fantastic local products and are wonderful stewards of the communities in which they live and work. While this change in ownership will be transparent to our team and customers, we know that this investment will benefit them and the communities we serve.” With the addition of The Save Mart Companies, Kingswood expands its existing Northern California presence. The firm owns Alameda-based Cost Plus World Market, which it acquired in January 2021 from Bed Bath and Beyond, and Mare Island-based Lind Marine, a diversified marine services business headquartered north of the San Francisco Bay, which it recapitalized in January 2022. “At Kingswood, our goal is to make good businesses even better, and The Save Mart Companies presents us with a great opportunity to do so,” said Alex Wolf, managing partner and founder of Kingswood. “Their 70 years of history in the Central Valley provides a strong foundation for future profitable growth, and we look forward to working with Chris and the team to position these iconic grocery brands for the future.” Kirkland and Ellis LLP served as legal advisor to Kingswood on the transaction. Sheppard Mullin served as legal advisor to Save Mart. Scott Moses from Solomon Partners and North Point acted as financial advisors to Save Mart. “It has been an honor to work with CEO Chris McGarry and the exceptional Save Mart leadership team on this important transaction that preserves the unique legacy built by the Piccinini family and the company’s 14,000 employees, who have tirelessly served their communities over the past two-plus years during the pandemic," said Moses. See here for more: https://www.supermarketnews.com/retail-financial/save-mart-cos-acquired-private-equity-firm?NL=SN-09&Issue=SN-09_20220328_SN-09_907&sfvc4enews=42&cl=article_1&utm_rid=CPG06000042088314&utm_campaign=50348&utm_medium=email&elq2=7ab830adb0374c9f8f4d07efe41934ef&sp_eh=

Discount Variety Retail Chain Action (owned by PE firm 3i Group) who sees it as a cheap Chinese rubbish under cheap fluorescent lighting and grumpy cashiers is only partly right. According to the applauded annual report on the websites https://www.3i.com/portfolio/action/utm_source=update+2021&utm_medium=external&utm_campaign=France&utm_id=persbericht and https://update2021.action.com/update2021/welcome?, more than half of the stores now have energy-efficient LED light and 'only' 57 percent of the products come from China. And no less than 86 percent of the cotton is produced 'more sustainably'. We do not know whether this claim is sufficient to keep clubs such as GreenPeace and the Clean Clothes Campaign satisfied. Also very nice in the context of current events: in 2024 all stores must get rid of gas. Consumers Europe wide like and want Action and its low prices products. It is clear from the figures that customers are crushing Action. Turnover increased from €5.6 billion (US$6.2Bn) in 2020 to €6.8 billion (US$7.5Bn) in 2021 (+22.7%). An average product costs two euros (US$2.2), so more than 3.4 billion items have been sold. The growth was mainly due to the opening of new stores, especially in France (+94), Poland (+74) and Germany (+46). But turnover from existing stores, the so-called like-for-like sales, also increased by 11 percent. Operating profit soared from €609 million (US$670Mn) to €828 million (US$911Mn). In order to know what net profit (€185 million, US$204Mn in 2020) has been made, we will have to wait until the annual report has been filed with the Chamber of Commerce, because that is kept secret in its own presentation. In any case, the stretch does not seem to be over at Action for the time being. On the symbolic date of 20-02-2022, the two thousandth store was opened in Prague. The bargain chain also entered the Spanish market this year. In addition, the consumer is hesitant to spend money, partly due to the war in Ukraine, and that can play into the hands of a bargain chain. We wouldn't be surprised if major shareholder 3i puts a new price sticker on Action that is higher than the current €13.5 billion (US$15Bn). See here for more: https://www.quotenet.nl/zakelijk/a39522015/koopjeskolos-action-groeit-knetterhard-in-coronacrisis-omzet-stijgt-ruim-euro1-miljard/

Discount Retail Chain Netto Poland (owned by Danish Salling Group) acquired 301 stores in and two distribution centers from Tesco in Poland, last year. Today Netto has finishing the conversion process. 250 stores changed the brand. Netto has invested PLN 750 million (US$176Mn) in this process. Today Netto is a nationwide network, said Hugo Mesquita, head of the Danish network in Poland. The company does not rule out further acquisitions on the Polish market. Netto has completed the difficult process of converting Tesco to Netto. We recently moved to a new office building in Szczecin, in the Baltic Business Park, where we can conveniently receive our contractors. We have been present in Poland for 26 years. We want to be in the top five largest chains as the fastest growing discount store. Poles love this format. The segment has great potential. It has 35 percent. market share, said the head of the Netto network at the press conference. 250 stores changed their brand from Tesco to Netto. Our first signboards were displayed in Tesco stores at the end of May 2021, which means we completed the process in less than a year. We have 3 distribution centers, 340 stores in the 3.0 concept. and 650 stores across the country. We note double-digit sales growth yoy and 2.5 million customers who shop with us every day. We are already a nationwide network, summed up Hugo Mesquita. The Netto brand appeared in 119 Polish towns where it was not present. Today, Netto is available all over Poland. Approx. 4 thousand people have passed to us from Tesco. employees, we also cooperate with almost all Tesco suppliers, added the head of the chain. Netto representatives explained that some of the stores were put up for sale. It's about 20 outlets. They will include, among others retail parks. In other cases, the network simply did not extend the lease, including due to the fact that the store was too close to another location of the chain or was simply too big for the Net. Among the acquired Tesco stores, approx. 200 stores are typical supermarkets, while over 40 stores were large stores with an area of 2 thousand sqm Some of the space in these outlets is leased by other tenants, such as Action. The sales of the Netto chain grew at the rate of +7%. per year, and in 2021 it was approx. +15 percent. This year the chain wants to open about 15 stores and modernize over a dozen or so. Transformation in days: - Tesco store equipment disassembly took about 5 days - construction and installation works take approx. 21 days - the installation of cooling devices lasted about 5 days - assembly of racks and rebranding takes about 3 days - stocking up took about 4 days Milestones - June 2020, the contract with Tesco was announced. The value of the transaction is approximately PLN 900 million (US$211Mn) - March 2021 consent of the Office of Competition and Consumer Protection and finalization of the transaction - On May 27, 2021, the first Tesco stores get a new sign - September 22, 2021 100 Tesco stores converted - October 31, 2021, the last Tesco store in Poland is closed - March 2022 end of Tesco to Netto conversion See here for more: https://www.dlahandlu.pl/detal-hurt/wiadomosci/koniec-rebrandingu-z-301-tesco-powstalo-250-netto-siec-nie-wyklucza-dalszych-akwizycji,106814.html

Discount Retail Chain Supeco (owned by French retail giant Carrefour) is to open the first two stores of its Spanish in France. Supeco stands for 'supermercado economico' or 'cheap supermarket'. The stores will open in Valenciennes, near the Belgian border. The discounter is going through a fast international growth. Combining discount and cash & carry Supeco announces itself as a chain that saves money on anything, from energy over logistics to decoration. The latter part is obvious in the very rudimentary design of the stores and the presentation of products in boxes and on pallets. Prices are displayed per unit and in bulk: a way for the chain to position itself as a combination of discount and cash & carry, targeting both families and professional customers. The first store is to open on 3 September, followed by a second one 22 days later. The main driver behind the French expansion is supposed to be Pascal Clouzard: the current head of Carrefour France led the group's Spanish activities until 2017 and experienced the benefits of the discount chain first hand. Costs are significantly lower than in normal supermarkets, and the chain can benefit of a lower price image. Retail expert Olivier Dauvers believes the Supeco stores will mainly be used to replace struggling Carrefour Market stores, but in Trofarello (near Turin) the group also used a former hypermarket to house the first Italian store of the chain. In addition to the Turin store, Carrefour has already opened 40 Supeco stores in three countries: 23 in Spain, 15 in Romania and 2 in Poland. See here for more: https://www.retaildetail.eu/en/news/food/carrefour-launches-spanish-discounter-supeco-france

“High prices at the grocery store” has become a common refrain in news headlines over the past several months, and that’s not likely to change in the near term. In February, the Consumer Price Index for food-at-home jumped 8.6% year over year, the largest 12-month hike since April 1981 and edged up 1.4% month to month after a 1% uptick in January. The increase continued a steady rise in inflation since the latter part of 2021. That trend is steering more consumers to stores like Grocery Outlet. The Emeryville, Calif.-based chain, which describes itself as an “extreme value” retailer, touts big discounts on brand-name products and prices a typical shopper basket at about 40% lower than that of conventional grocers. “The recent months have been interesting. When you’re paying US$4, $5, $6 or $7 for a gallon of gas in California, everyone starts thinking about how to save money,” Layla Kasha, senior vice president, chief marketing officer and chief new store growth officer at Grocery Outlet, told Supermarket News in a podcast. “We’ve always been all about value, delivering customers the brands they love at prices that they can afford. And I think that’s never been more relevant than it is today. So we are seeing the traffic patterns come back and people really trying to stretch their budget.” But there’s more to Grocery Outlet’s formula. The stores are run by independent owner-operators from the communities they serve, enabling locations to cater to shifting customer preferences. Shopper savings is achieved through a sourcing model of procuring surplus inventory and product overruns directly from thousands of supplier partners. This includes a changing assortment of products with “WOW!” prices, creating a “treasure hunt” shopping experience a key draw for Grocery Outlet “The treasure hunt is something that emotionally connects to people. When you find that epiphany item, you get really excited. And that drives you to continue to shop at Grocery Outlet,” Kasha said. “But the value is unbeatable. When you get that brand at such a deep discount, that value is unprecedented. And that is another thing that really connects to you emotionally." Grocery Outlet opened 36 new stores in fiscal 2021, ending the year with 415 stores in California, Washington, Oregon, Pennsylvania, Idaho, Nevada and a new state New Jersey. More locations in new markets are upcoming. “We’re all about the East,” Kasha said of Grocery Outlet’s expansion, adding that new stores are slated for Delaware and Maryland this year. See here for more: https://www.supermarketnews.com/retail-financial/grocery-outlet-has-never-been-more-relevant-cmo-layla-kasha-says

Discount Retail Chain Netto Deutschland (owned by the danish Salling Group) has announced that it will invest almost 100 million euros (US$ 110 Mn) in sustainability and at the same time want to make itself less dependent on Russian gas and rising energy prices. In the next three years, the supermarket chain belonging to the Danish Salling Group will remove the gas heaters in the almost 300 stores in Germany and replace them with heat pumps. In addition, new climate-neutral refrigerated shelves and doors for refrigeration and freezer systems are to be installed in the Netto stores throughout Germany. After that, the plan is to equip the roofs of more than a hundred stores and logistics centers with photovoltaic systems. Regarding the schedule, it said: All initiatives will be implemented as quickly as possible. The replacement of the heaters is expected to be completed in 2024. The conversion of all refrigerated shelves and systems is to be completed by the end of 2026, while the installation of photovoltaic systems on existing buildings is to be implemented gradually by 2028. Further information on the planned photovoltaic systems was not initially available. The investments in sustainability are directly in line with the climate goals of Netto Germany and the Danish parent company. The goal is to reduce the carbon footprint of the entire group. “In order to achieve our climate goals, we absolutely have to reduce our energy consumption. The current energy situation with rising prices and high dependency on Russia increases the pressure to switch to significantly more energy-efficient solutions in our markets,” explained Ingo Panknin, CEO of Netto Germany and member of the Executive Board of the Salling Group. The extensive investments led to immediate energy savings and secured the long-term profitability of the company. See here for more: https://www.pv-magazine.de/2022/03/18/netto-will-100-millionen-euro-in-waermepumpen-und-photovoltaik-investieren/?utm_source=dlvr.it&utm_medium=linkedin

Discount Retail Chain concepts are not new, it really is very old. In 1913 the Albrecht family, had a store in Germany, in 1946, this country is devastated by war, the Food was scarce and expensive, so the Albrecht family decided to help their neighbors By assembling a format that minimizes exhibits, the products were displayed in the boxes and all superfluous expenses were removed to deliver at the lowest possible price the products to your customers. This same concept is maintained today by ALDI (Albrecht-Discount) in its more than 11,000 stores in 19 countries. Three firms currently operate in Colombia under the concept of HD: D1, ARA and Justo & Bueno, the three are already classified among the 50 companies with the highest sales in the country. In 2013 the HD invoiced in Colombia $ 1.5 billion pesos (US$ 400,000), by 2020 they reached Peso $ 14.6 billion (US$4 Mn), with close to of 3,700 stores, it is projected that by 2023 they will reach 5,000 points of sale with a turnover of around Peso $ 25 billion (US$ 7Mn). D1 In 2009, a group of investors from various countries decided to copy the Aldi model to Colombia and from there D1 arose initially in Medellín. The chain expects to close this year with about 2,000 stores and presence in 371 municipalities. With sales of $ 7.4 billion for the 2020 and with an impressive growth for this same year of 48% (see table 1). D1 leads this channel with a 50% share (see table 2). They handle 300 suppliers, 93% of them national, with about 550 references, already have 10 own PL brands. D1 is owned since 2015 by Grupo Santo Domingo. It is important to note that D1 was ranked 10th in 2020 among the thousand largest companies in the country classified by revenue. ARA This HD belongs to the Portuguese conglomerate Jerónimo Martins, Mr. Martins founded his first store in Lisbon in 1792, today they manage 453 supermarkets and 42 cash & carry formats in Portugal. Since 1995 they have been in Poland with 3,400 points of sale. TO Colombia made their arrival in 2013 in the coffee region, today they have about 689 stores, they are present in 20 departments and expect to close the year with 1,000 stores. They have a 27% stake and their growth for the last year was 26%. Justo Y Bueno It is the newest of the three, began operations in 2016 and belongs to the same founders of D1, who after selling Valorem of the Santo Domingo Group. They went back to the HD business. They currently have 1,300 points of sale, in 310 municipalities. Its participation is 22% with growth in 2020 of 25%. Worth the It is worth noting that this same group is the owner of Tostao, the chain of further expansion in Colombia. The two companies Justo & Bueno and Tostao have entered What is the particularity of HDs in Colombia and why are they being so successful? First of all, PRICES: they have achieved price differentials that in some cases reach up to 30% below the traditional supermarket chains and grocers. OWN PRIVATE LABEL BRANDS: most of their portfolio is own Private Label brands, they broke the paradigm that private brands were cheaper because they were of poor quality. They have managed to create significant loyalty to their own brands to the detriment of the country's large and traditional brands, especially in the food and toilet categories. QUALITY: the fact of having low prices does not imply poor quality of the products. Ironically in some cases they have achieved products of better quality than traditional brands. SUPPLIERS: with their own brands they have managed to develop microentrepreneurs, who have lower operating costs than large companies and therefore can give better prices, also microentrepreneurs work more committed since they see that they can grow along with HD, something That is not the case with traditional supermarkets. NEARBY: every day the Colombian consumer has a discounter closer to their home or the road you use daily to get from work to home, even today you can find two or even three HDs of the different brands in a very few blocks. This in the situation of economic hardship that the consumers make it easier for them to buy since they can go several times a week to market. THEY BREAKED PARADIGMS: the consumer does not need comfortable or luxurious premises, does not need drivers or tasters, which even in some supermarkets are even desperate for the amount that there is, you do not need parking lots despite even being in upper middle class strata upwards, does not need advertising, what you are looking for is cost benefit, loyalty to brands. You do not need to have an infinity of brands or presentations of the same product, they have become very simple and I practice going to the market. THE DISCOUNT FORMAT is for all strata even the upper class, there are Premium products such as imported Serrano hams and chorizos from Spain, Italian pasta and sauce, Spanish, Chilean and Argentine wines, etc. Ara imports cosmetics manufactured under its own brand from Europe. Local: traditional chains are in very expensive places, in shopping centers and / or with commuter formats in exclusive areas with high rental costs and given their size they have very high fixed operating costs. The discounters have small formats even in areas of not very high traffic, they do not even need parking lots, they operate with very few personnel, which leads to their fixed costs are very different from traditional formats. In my opinion, most traditional supermarkets have not been able to respond or have underestimated discounter and their actions to defend themselves so far have not been successful, they come in a constant loss of market share. Success- Carulla- Casino are creating new formats that have nothing to do with it, such as Éxito WOW, Carulla-Fresh Market, Carulla Express, Surtimax, Surtimayorista, etc. and with him handling their own brands and imported products, it seems that they had no order or planning. The same occurs with Cencosud's Jumbo-Metro stores and the 14. All of the above is reflected in the figures if we analyze the evolution of supermarkets traditional: Consolidated success (Éxito + Carulla + Surtimax + Surtimayorista), Olímpica, Cencosud, Makro and La 14, against Hard Discount: D1, Ara and Justo & Bueno del year 2016 to 2020 we observe very conclusive data, the total sales for these two channels for 2016 were $ 26.7 billion (US$ 7 Mn) and for 2020 they reached the figure of $ 38.9 billion (US$10.1Mn) a growth of 45.7%, but traditional supermarkets grew 3.7% while the discounter 354.3%, if we take into account that the accumulated inflation for those four years it was 17.9%, traditional supermarkets did not even increase inflation. The other figure to highlight is if we observe in 2016 the participation of traditional supermarkets was 88% vs 12% of discounter and in four years it became 63% vs 37%, that is, traditional supermarkets lost 25 points of participation and in only 2020 they lost 7 points. All of the above leads me to the conclusion that discounters have found a strategy to do great damage to the traditional supermarket channel and at the same time to the strongest brands that mainly led the food and toilet categories. its aggressiveness and continued growth, and as the economic situation continues affecting and with it the pockets of consumers, discounter will have greater importance in deciding where to buy, obviously they are also cannibalizing in to the small mini markets and shops, but everything has gone to the benefit of the consumers. I think that like traditional supermarkets, large consumer brands massive in the country, you have to change your strategy and start watching the HD channel of another way, since they are losing a lot of loyalty from their consumers who were loyal to them for many years. Another topic that is current is the possible purchase of Justo & Bueno and Tostao by by Jerónimo Martins (Ara), I think it's a very smart move and those who should having done it is, on the one hand, the Éxito group and, on the other, Juan Valdez. been very successful to have a second brand in the lower priced coffee shops, even curiously Jerónimo Martins has a small chain of coffee shops in Portugal called "Jeronymo". If the sale of Justo & Bueno to ARA is completed, it would have the latter a 50% stake in the HD channel and this would lead to a very "war" interesting between D1 and ARA, both with great financial backing and great experience in this channel, "war" that ultimately would have additional benefits for the Colombian consumer. In conclusion, this discounter channel will give a lot to talk about in the coming years. See here for more: https://igomeze.blogspot.com/2021/08/mi-vision-del-canal-hard-discount-hd.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+blogspot%2FIIeT+%28BLOG+DE+Ignacio+G%C3%B3mez+Escobar++%28IGO%29++MARKETING+-+RETAIL+-+NOTICIAS+-%29

Discount Retail Chain ALDI Portugal (German family owned) starts using, from the end of February, an electric truck to distribute products through its stores in Greater Lisbon. The food retailer has partnered with the carrier TJA, owner and responsible for the project developed exclusively for ALDI. "In addition to being the first 100% electric heavy goods vehicle to operate for a food retailer in Portugal, this truck is also the first to have the PIEK certification, which recognizes vehicles and equipment that, when operating, generate noise below 60 decibels, which enables night-time discharges without causing noise disturbances in urban and residential areas", says the brand in a statement. Additionally, the ALDI electric truck will comply with the Ultra Low Emission Zones (ULEZ) requirements, being one of the first Low Emission Zones (LEZ) projects in Portugal for the Greater Lisbon area. With an autonomy of 180km and a maximum capacity of 26 tons (approximate transport capacity of 18 standard pallets), the new electric truck from ALDI Portugal has a cold engine and its main features are its low noise, independent reduced energy consumption and 100% electrical operation. Unlike other electric vehicles that have diesel-powered cooling engines, the ALDI truck's cold engine is also 100% electric, which translates into the eradication of harmful gases into the atmosphere. To generate electrical energy for the cold engine and, at the same time, not take away the car's autonomy, an additional battery pack with a capacity of 35kWh will be installed. In addition to the partnership between ALDI and TJA, the project had the collaboration of the companies MAN, supplier of the vehicle, Addvolt, responsible for the additional battery pack, Carrier that supplied the cold engine and Costa&Reis that, together with Dhollandia was responsible for the cold box and unloading platform. See here for more: http://logisticamoderna.com/aldi-aposta-na-distribuicao-com-camiao-eletrico/