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  • Colombia: 98% of households in Colombia buy at discount chain D1

    Discount Retail Chain D1 Colombia opened this year more than 200 stores and operating 2,700 stores by the end of 2025, with 26,000 employees and operating19 logistics centers in the country. Christian Bäbler is the CEO behind the growth of D1 recently held a rare interview with El Espectador on the economic and commercial business focus of D1. Bäbler tells why D1 entered the category of "fresh", talks about the investigation of the Ministry of Labor for labor issues, tells why the stores in border areas are the ones that sell the most and explains why the logic of D1's business is to simplify it and not to make it more complex. Despite the size, as according to the ranking of the Supersociedades, D1 is the fifth company with the highest turnover in the country. "We want to be the first purchase option for all Colombians," he says, just after releasing a blunt fact: "98% of households in Colombia buy in D1. Read more: "98% of households in Colombia buy from D1" | THE SPECTATOR #smartdiscount #d1 #tiendasd1 #colombia #expansion #growth #development #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • Turkey: BİM plans to establish a participation bank

    Discount Retail Chain BİM Birleşik Mağazalar A.Ş. (listed BIST: BIMAS) has decided to apply for permission to the Banking Regulation and Supervision Agency for the establishment of a traditional participation bank. According to the statement made by BİM to the Public Disclosure Platform (KAP), a strategic roadmap has been determined for the financial subsidiary planned to be established. As a result of the feasibility studies initiated on the digital participation bank in October 2024; Considering the service diversity and operational advantages, the "traditional participation bank" model was decided. In the statement made by the BIM's management, it was emphasized that the traditional participation bank license offers a much richer range of services compared to the digital bank license. While it was stated that the activities will be mainly built through digital channels, it was evaluated that this model is more advantageous in order to offer more comprehensive and innovative solutions to the financial needs of customers. In line with the decision taken by the Company's Board of Directors on December 23, 2025, the official process was initiated within the framework of the Banking Law No. 5411 and related legislation. It has been decided to apply for an establishment permit to the Banking Regulation and Supervision Agency (BRSA) as of December 24, 2025, for the new participation bank, in which the company will have a majority share. Read more: BİM, katılım bankası kurmayı planlıyor www.bloomberght.com | Perakende Mühendisi #smartdiscount #bim #turkey #bank #license #services #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • Mexico: Tiendas 3B stores reports 36.7% in Third Quarter revenue

    Discount Retail Chain BBB Foods Inc. (Tiendas 3B), the largest grocery hard discounter in Mexico, reported a 36.7% increase in its consolidated revenues for the third quarter of 2025, although it recorded a quarterly net loss due to a significant increase in administrative expenses derived mainly from stock-based compensation. The hard discount chain accelerated its expansion with 131 new stores and two distribution centers in 3Q25, bringing its operating regions to 18 and reinforcing the logistics platform that sustains its growth. T3B reported revenues of 20.279 billion pesos for the quarter ended September 30, driven mainly by the performance of stores with more than a year in operation and by the 528 openings made in the last 12 months. Same-store sales grew 17.9%. T3B stores opened 131 new stores in the quarter, reaching a total of 3,162 stores. The chain also launched two new distribution centers, bringing its operating regions to 18. CEO and President K. Anthony Hatoum noted that the quarter reflects the strength of the business model and its potential for expansion, reiterating that the company sees a "clear path" to operate at least 14,000 stores in Mexico. Cost-effectiveness EBITDA was a loss of 404 million pesos, compared to a profit of 688 million in the same period of the previous year. The result was affected by an increase in non-cash expense for stock compensation, which amounted to 1,574 million pesos, compared to 126 million a year earlier. Excluding this effect, adjusted EBITDA grew 43.6% year-on-year to 1,170 million pesos, with a margin of 5.8%. Gross margin stood at 16.2%, with a gross profit of 3,277 million pesos, an increase of 39.8% year-on-year and an expansion of 36 basis points, driven by commercial margins that offset higher logistics costs due to new regions in operation. Selling expenses grew 37.8% to 2,065 million pesos, while administrative expenses increased 326.5% to 2,109 million, reflecting higher regional personnel costs and the beginning of the recognition of the shareholder compensation plan associated with the liquidity event announced in 2024. The company recorded other net income of 17 million pesos, and a net financial cost affected by higher interest on lease liabilities. Tiendas 3B also reported a foreign exchange loss of 86 million pesos, as a result of the depreciation of the dollar against the peso that impacted the remaining dollar cash from its initial public offering. The quarter closed with a net loss of 1,424 million pesos, compared to a net profit of 258 million in 3Q24. In liquidity, the company reported 1.113 billion pesos in cash in local currency and 151 million dollars in short-term bank deposits as of September 30. In the first nine months of the year, Tiendas 3B generated 3,095 million pesos in operating cash flow, supported by its negative working capital cycle, while investments totaled 2,228 million pesos due to the expansion of stores and logistics. The company reiterated that it continues to fund its growth internally and that its new store teams are maturing faster than previous generations. Read more: 2025BEST: 3B Stores Reports 36.7% in Third Quarter Revenue - Retailers - Business & Technology Innovation #smartdiscount #t3b #bbbfoods #mexico #expansion #growth #development #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • Netherlands: Aldi regains market share and customer appreciation in 2025

    Discount Retail Chain Aldi Netherlands is getting back on its feet in 2025 after a few tough years. Market share and customer appreciation are on the rise. 'Aldi Netherlands is the fastest growing supermarket this year.' Aldi is the big winner in the first quarter of 2025. According to the strong end of last year, the discounter continued in the first quarter of this year. The supermarket chain posted an index of 118 in the first three months. "Aldi is growing in customers (5%), in frequency (6%) and in average transaction value (5%)." The research firm reports later in 2025 that Aldi is also successful in the . Aldi's revival comes after a tough few years. In 2008, the market share of the formula had already passed its peak, but the discounter still had 8.5 percent of the market. In 2022, 5.4 percent of that remained. A year later, 5.15 percent. But in 2024, the German discounter will record growth again. According to calculations, Aldi's market share will be 5.33 percent in 2024. "We see that the appreciation for Aldi is increasing in various studies," a spokesperson told Distrifood in March. 'But the clearest indication of this is the market share. This will continue to develop positively in the first quarter of 2025. With values structurally above 5.5 percent from week 2 and even above 6.0 percent in recent weeks.' CEO Rozendaal: 'People like to come to Aldi again' Pieter Rozendaal, CEO of Aldi Netherlands since November 2024, is happy with the upward trend. "As a discounter, our customer promise is to offer products of the very best quality at the lowest possible price," he told Distrifood in the spring. 'Price comparisons by the Consumers' Association and Kassa confirm that we are delivering on that promise. It's good to see that the course we have set is also being noticed by consumers and that people are happy to come and shop at Aldi again.' Strategic changes drive growth According to Aldi, the growing market share is due to strategic adjustments across the entire breadth of its business operations. "For example, we have strongly focused on the lowest prices in the Netherlands, we have greatly improved our fresh range and we have taken measures to make our operation more efficient. In order to better meet the wishes of our customers, we will further expand our range across the board in the near future to eventually around 2,000 SKUs.' "These developments are closely in line with this," the spokesperson continues. "Our customers are now reaping the benefits of this. We are seeing more and more synergy effects within the group (Aldi Nord) that we can pass on to our customers, both in the form of high-quality private labels and in attractive price advantages. We are proud that these efforts, which our entire organization has worked, have led to us being named the cheapest supermarket in the Netherlands by both the Consumers' Association (November 2024) and Kassa (February 2025). More importantly, the improvements we have implemented across the board have also been noticed by consumers. The price of the comeback Aldi has come a long way. There were sometimes whispers in the industry that Aldi could withdraw from the Netherlands if the downward trend continued, but the tide seems to have turned in 2025. To further understand Aldi's revival, Distrifood delved into the annual reports last summer. The financial documents and conversations with experts provide an interesting insight. What stands out in the annual reports of Aldi Netherlands is the structural financial support of the German parent company. In 2020, the head office in Essen transferred €150 million, a year later €200 million. In 2022 it was €50 million and in 2023 €117 million. Added up, more than half a billion euros in capital contributions in four years. Aldi itself is keeping its jaws shut about this in a response to Distrifood. "We do not make any statements about investments, objectives and profitability," the spokesperson notes. Aldi polishes image and exults for prizes For the time being, Aldi is cherishing the costly comeback. Aldi is proud of the regained market share and celebrates the positive studies. For example, Aldi was voted best Dutch supermarket for fresh fish during the award. According to the Aldi Christmas commercial, it makes the most impact on the brains of viewers. To top it all off, the discounter was named by Kassa shortly before the holidays. But there is also criticism. For example, Aldi regularly claims to be 'the cheapest supermarket in the Netherlands' in commercial communications without properly substantiating this. However, Aldi says that claim is based on in February 2025, where Aldi was indeed the cheapest. "This does not alter the fact that certain items may be cheaper at other supermarkets," says an Aldi spokesperson in November. 'We keep a close eye on prices in the market and actively adjust them where necessary to achieve our 'cheapest supermarket' ambition.' to the annoyance of the Consumers' Association. 'Aldi is the fastest growing supermarket this year' The hundreds of millions that Aldi has pumped into improving stores, assortment and operations in recent years have polished up its image considerably. 'Aldi Netherlands is the fastest growing supermarket this year,' says director of marketing and communication Mariëlle Rooswinkel in December on 'That is rightfully the interplay of all disciplines within Aldi Netherlands.' What she bases that statement on is still unclear, but it makes us extra curious about the ultimate market share for 2025. Read more: Aldi in 2025: Discounter herovert marktaandeel en klantwaardering #smartdiscount #aldi #growth #marketshare #expansion #netherlands #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • China: Pangdonglai store visit in Xuchang

    Discount Retail Consulting management team recently visited the Pangdonglai Angel City (天使城) store in its home town Xuchang. Pangdonglai (胖东来), often hailed as China's "retail miracle" or the "Trader Joe's of China," is a beloved supermarket and shopping mall chain based in Xuchang, Henan Province. It is only active with its 13 stores in the Henan province and plans to open a new store in the capital of Henan Province Zhengzhou in 2026. Pangdonglai is privately owned by the founder Yu Donglai. Pangdonglai owns and operates several large comprehensive malls in Xuchang, such as Angel City (天使城), Times Plaza (时代广场), and Living Plaza (生活广场). It's famous for exceptional customer service, Tuesday all stores are closed to guarantee employees at least one day off, high employee welfare (like generous paid leave and salaries - 3 times what is normal in Chinese retail), strict product quality of limited private label, self produced and import items, and thoughtful details that make shopping a premium experience — turning its stores into tourist attractions where people travel from across China to visit. See also more on the format in our previous DRC blog: https://www.discountretailconsulting.com/post/china-how-a-lower-tier-grocer-pangdonglai-is-rewriting-chinese-retail-rules The revenues of the Pangdonglai (DL) is estimated on approximately 169.64 billion RMB (or rounded to nearly 170 billion RMB), as disclosed by founder Yu Donglai on social media and reported by multiple media like New Beijing News, Every Economic Net, and Sina Finance. This includes breakdowns such as supermarket sales leading at ~81 billion RMB across its locations. Here are some visual highlights from DL stores in Xuchang (including interiors, exteriors, and crowded scenes reflecting their popularity): #smartdiscount #china #pangdonglai #DL #xichang #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • China: How a lower-tier grocer Pangdonglai is rewriting Chinese retail rules

    Discount Retail Chain Pangdonlai is one of the most talked-about phenomena in China’s contested retail segment is seeing executives from across the country travelling to its stores to learn from its successes. It isn’t a glitzy new experience centre based in one of China’s megacities, but a 29-year old supermarket chain, Pangdonglai (DL). It started in a fourth tier city and has just 13 stores, all in central China’s Henan province. Many of China’s largest retail chains are taking notice of this so called Trader Joe's Chinese counterpart. Walmart is studying it, and no. 2 supermarket chain, Yonghui, is remodelling its stores based on DL’s model . A Yonghui supermarket in Zhengzhou refreshed with help from DL saw average daily sales soar 12-times higher within a month of reopening. As traditional brick & mortar retailers continue to be outgrown by the dynamic, convenient and cheap online shopping platforms, DL is “rewriting the rules of retail in China”. It isn’t winning by incorporating shiny, pioneering tech; but by offering things that can’t be replicated when shopping online. DL’s secret sauce is about doing the good old fashioned basics really well. It is highly regarded for its integrity, trust and fabulously authentic customer service. Pangdonglai (DL) has a market share of over 85% in Xuchang. Its flagship store is the large shopping centre with the Pangdonglai Life Square and the Pangdonglai Times Square, offering a huge range of supermarkets, specialist shops, restaurants and entertainment. Founded in March 1995, Pangdonglai became a prestigious and well-known retailer in Henan in the space of just ten years. Today, the company with over 7,000 employees owns seven large supermarkets and warehouses and an extensive electronics store, as well as more than 30 stores. Pangdonglai, led by President Mr. Yudonglai follows two principles: firstly, no copycat products – only genuine quality at the best possible prices, and secondly, that service is key. This is Pangdonglai’s unshakeable philosophy. If customers are not happy with their purchases, for example, they can return or exchange them. It’s that simple. Employees make a special effort to look after elderly people and children using the lifts at Pangdonglai in Xuchang. Customers can rest in one of the many seats at the well-kept relaxation oasis on the first floor. This service compels customer loyalty and increases sales..  At the heart of providing exceptional customer service, DL ensures that its staff are genuinely happy, which permeates through to every contact with customers. It has recognised the trend of China’s growing mental health concerns , driven by China’s all-too-common 996-type work culture (9am-9pm-6 days a week). 39% of employees in China reportedly have a high risk of developing mental health issues . In addition to mental health, DL has adapted to other trends such as Chinese consumers’ love for their pets , providing rest areas for furry friends, dedicated pet water and cooling devices. China’s ballooning elderly opportunity  is supported with magnifying glasses on shopping carts to help them read labels. Not to leave out the mobile-crazy youth, all stores provide free smartphone chargers. In its spacious isles, DL offers exclusive products, such as its Internet-famous own-branded craft beers and desserts. Its groceries have a reputation for being good quality, safe and hygienic, which are symbolized in its crystal-clear fish tanks. It doesn’t run for cover if it gets caught out for its products not being up to scratch. After a shopper posted about the unsanitary production of its rolling dough dish on Douyin, they were rewarded ¥100,000 yuan ($14K), and every customer who bought the dish was given ¥1,000 ($140)  – a noticeably generous compensation which turned a would-be crisis into a brand building event, albeit an expensive one. Pangdonglai’s success is a classic example of China’s tribal shopping traits. Its customer service, quality and integrity are the talk of the town online, which further enhances its allure as everyone wants to be a part of it. As many brands’ marketing strategies in China are focused around price wars, DL is charging a premium for higher quality products and a nicer experience in stores, and doing very well as a result. Although the model hasn’t yet been stress-tested on scale, it is a nice reminder that good old fashioned retail can be lucrative when the basics are done well, and relevant trends are supported. Read more: How a lower-tier grocer Pangdonglai is rewriting Chinese retail rules - China Skinny #smartdisco unt #china # Pangdonglai #dl #xuchang #henan # expansion #success #employee #satisfaction #elderly #privatelabel #pets #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • China: Visit at CAA's buying center for > 100 Chinese retailers in Zhengzhou

    Discount Retail Consulting Management was also invited by China Ants Alliance (CAA), after visiting various manufacturers and trading platform companies ( see also our reports on small commodity production city Yiwu  and food production city Luohe  and Aldi China store Shanghai ). CAA is a voluntary retail buying alliance of over 100 regional retail chains operating in 29 provinces across China, jointly operating 9,000 stores with a total annual turnover of about RMB 100 billion. These retailers work together under the guidance of CAA’s cooperation. CAA is constantly innovating its development model, cooperating with their members to expand the scale of operations and share local, national and international resources. The goal is to help regional retailers cope with the competitive environment in the food retail industry. The main service of CAA is developing private label (PL) for their members, joint global sourcing, business data analysis, shop operation management, training, marketing and in-depth communication between members. #smartdiscount   #shanghai   #fd   #food   # caa #nonfood #antsalliance #privatelabel #pl #centurymart   # zhengzhou   #quik   #citylife   #greenhealth   #zhejiang   #drc   #discount   #retail   #consulting   #workshop   #discountretail   #discountretailconsulting   #retailconsulting   #google   #hd   #harddiscount

  • Indonesia: MR DIY marks 1,200th store opening as the fastest expanding retailer

    Discount Variety Retail Chain MR. DIY Indonesia, has achieved another historic milestone in inaugurating its 1,200th store with a new outlet in Sumbawa, West Nusa Tenggara, underscoring the company’s strong commitment to national expansion beyond Java to various regions with increasing economic growth potential. The opening of its 1,200th store symbolizes MR. DIY Indonesia's commitment to supporting regional economic growth, strengthening public access to affordable, comprehensive and convenient household needs and contributing to equitable retail modernization across the archipelago, while strengthening its role in shaping Indonesia's modern retail landscape. Sumbawa was chosen as the location for the 1,200th store due to its growing economic potential and growing household consumption. The Sumbawa regency administration projects regional economic growth of 5.15 percent by 2026, supported by retail modernization and improving purchasing power. This store is MR. DIY Indonesia’s fourth in Sumbawa and its 23rd in West Nusa Tenggara, strengthening the company's strategic move to expand in regions showing positive momentum. Edwin Cheah, president director of MR. DIY Indonesia, said opening its 1,200th store in Sumbawa marked a significant milestone for both the company and the country. “Retail growth is no longer concentrated solely in large cities as economic centers in various regions continue to develop. We are here to strengthen this ecosystem by providing more equitable shopping access,” Cheah said. “Our mission is to be part of regional progress, support local economic activity and provide the best value for Indonesian families wherever they are," he said, adding that this achievement was the result of synergy between all stakeholders, including customers, employees, local suppliers and the regional administration. Prospects Every Monday With exclusive interviews and in-depth coverage of the region's most pressing business issues, "Prospects" is the go-to source for staying ahead of the curve in Indonesia's rapidly evolving business landscape. Michael Cohen, vice president of business development at MR. D.I.Y Indonesia, said the company could only expand to 1,200 stores with disciplined strategy, robust data utilization and accurate market analysis. “Sumbawa demonstrates strong economic indicators, rising household consumption, retail modernization and growing market potential. MR. D.I.Y Indonesia's presence here not only expands its store network but also delivers a tangible impact through new jobs, increased local economic activity and a convenient, affordable and convenient shopping experience that everyone can enjoy," Cohen said, explaining the strategic reasoning behind the choice of location. To date, MR. D.I.Y Indonesia operates in six major regions, covering 422 out of 516 cities and regencies to become the home improvement retail network with the widest reach in Indonesia. It applies a uniform pricing policy across its nationwide stores to ensure a consistent and inclusive experience for all customers. In addition, MR. D.I.Y Indonesia is the home improvement retailer with the fastest expansion rate, opening its first 400 stores in the five years between 2017 and 2022, followed by 800 stores over the three years from 2023 to 2025. (Courtesy of MR.D.I.Y) Milestone celebration To show its appreciation for the support that has enabled MR. D.I.Y Indonesia to open 1,200 stores, the company is presenting its largest customer appreciation program for the year. With a minimum purchase of Rp 100,000, customers have the chance to win thousands of other attractive prizes, including cars, motorcycles and mobile phones. This program is valid at all MR. D.I.Y Indonesia stores from Sabang to Merauke, aligning with the company's principle of providing the best value at uniform prices across the country. “1,200 stores is not just a number. It represents commitment, trust and a shared journey with the Indonesian people. Therefore, we want to celebrate with all our customers through this national appreciation program,” Cheah said. “We will continue to grow with the same principles: providing the best value, delivering a consistent shopping experience and supporting regional progress from west to east Indonesia. MR. D.I.Y. is entering a new phase of expansion to serve Indonesia with broader reach, stronger relationships and improved service,” he said. Read more: https://www.thejakartapost.com/business/2025/12/15/mr-d-i-y-indonesia-marks-1200th-store-opening-as-the-fastest-expanding-retailer.html #smartdiscount #mrdiy #indonesia #local #expansion #growth #development #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • China: DRC speaks on China's largest retail buying alliance event in Zhengzhou

    Discount Retail Consulting (DRC) was invited as international experts to a high-profile CAA event with 500+ attendees. The member event is organised annually by the China Ants Alliance (CAA), a major retail buying alliance based in Zhengzhou, China. The 2025 National Private Brand Conference combined with the China Ants Alliance (CAA) Annual Meeting in Zhengzhou (December 15-16, 2025) was a massive success, with more than 3,000 retailers and suppliers visiting this annual event. DRC invited focusing on discount retail's rapid growth in China, success factors, and private label strategies. CAA has grown impressively (over 100 Chinese retail members companies now, massive combined turnover), and events like this underscore why discount models are booming amid shifting consumer habits. With over 500 retailers and suppliers in attendance and simultaneous Chinese translation the DRC presentation, it was a great platform to highlight the strong growth potential of discount formats in China too. CAA has grown substantially over the years (from dozens of members in the late 2010s to over 100 by recent reports), focusing on private brands, supply chain collaboration, and value-driven retail, which ties perfectly into the topics you covered. The invitation and discount retail presentation is a testament to DRC's expertise in global discount retail. If you'd like to share more details, photos, or discuss trends in China's discount sector, I'm all ears! Wow, these photos capture an incredible event! #smartdiscount #china #zhengzhou #caa #antsalliance #buying #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • Research: Chinese food suppliers eyeing British supermarkets

    "The Grocer soon going to publish our next trade report (for Q3). We’re just looking at the data for the first couple of months of that. And from what we can see so far, we’re still seeing that persistent increase to the UK.” The top five product categories include fish, poultry, vegetables, confectionery and prepared foods. And some of the biggest increases are soft drinks, spirits, protein concentrates, animal fats and oils. So, why is it happening? What signs are there that it will ramp up further? What else could Chinese suppliers bring to the UK, and who are their target retailers? The impact of tariffs Efforts to grow exports to the UK have stepped up in Luohe, a city in China’s Henan province that’s home to more than 7,000 food manufacturers. A state-funded enterprise founded in December last year aims to make Luohe China’s first‘food capital’. Called the Central-Southern Henan Digital Industry- Finance Platform, it says it aims to “leapfrog growth in Luohe’s food exports and cultivate internationally influential food brands”, with the UK a key targ et. Previously, many suppliers there would have struggled to deal with UK supermarket payment terms, because “they normally expect payment before they ship”, says Marc Houppermans, executive partner at Discount Retail Consulting. “But the government- funded platform is financing the risk for them,” by paying them up front. “They’re so eager for expansion, they’re willing to do everything,” adds Houppermans. Read also DRC's recent blog: China: Luohe, a global hub for food production Online, the platform integrates more than 750,000 SKUs with e-commerce giants JD.com , Alibaba and Yitong. Offline, it launched the ‘China Food Capital Luohe’s Brand Pavilion’ in May, showcasing more than 660 food brands for export. The platform tells The Grocer its “tenants have expressed clear intent to expand into European markets, including the UK. “Following the US imposition of 10%-25% tariffs on certain food products, local food enterprises have seen export costs rise by 10%-15%. To mitigate, expanding into Europe is essential. As a gateway to Europe, the UK provides access to EU and Irish markets.” It says it “can leverage Luohe’s Brand Pavilion’s network of over 660 renowned food brands and more than 8,000 individual products to flexibly match supply volumes with UK market demand,” and its “long- term strategy centres on the UK as a gateway to broader European expansion”. This is thanks to the Sanitary and Phytosanitary(SPS) deal – a broad food safety agreement between the UK and EU – due to be implemented by 2027. “There’s potential opportunity for those Chinese companies,” says Hyde. “At the moment, they have to follow two regulatory landscapes, one in the UK and one in the EU. In the future, the UK is committed to aligning to EU laws, so that will allow them to make one product and follow one set of rules. “The UK and Europe will be one and the same again from a food safety perspective. Having one set of rules will be quite beneficial for those Chinese companies.” The Luohe platform says it will prioritise brands that have already achieved international certification and compliance with UK or EU food standards. Examples include Wuliang’s no-added-sugar mochi slices, Shuanghui’s low-salt meat products – which it says are “aligned with UK low-salt dietary trends” – and functional oatmeal developed by Zhongyuan Food Laboratory, “meeting UK health food demands”. It says it sees strong demand in the UK for additive-free and distinctive Chinese foods, such as sauces and prepared meals, with its research indicating a 25% market gap in these categories. It is also eyeing better returns, noting “premium pricing in the UK food market exceeds domestic and southeast Asian levels, with select products offering 15%-20% higher profit margins”. The platform has even named its target retailers. It will “focus on three client categories: large supermarket chains (Tesco, Sainsbury’s), primarily promoting snacks and condiments; premium supermarkets (Waitrose), primarily promoting functional foods and organic products; and Chinese community supermarkets, primarily promoting Chinese-style prepared meals and specialty sauces”.   Specialist supermarkets are one thing, but Houppermans is sceptical of the prospect of Chinese food brands making a big splash in the likes of Tesco, Sainsbury’s or Waitrose. “Chinese specialist stores are their first market, but this market is not very big,” says Houppermans. “And if you put these Chinese brands in UK supermarkets at the moment they won’t sell, because the trust isn’t there. They have no brands that we know.”   Consumers might be open to the new regional flavours, but “not with Chinese labelling and a Chinese brand on it”, Houppermans adds. “Only with a Tesco brand or whatever. So, the opportunity is: ‘Can you develop private label for UK supermarkets?’”   For UK supermarkets, the appeal would be lower costs, he says: “It would be cheaper. The platform talks about premium pricing, but it must be read as premium pricing compared with China. The supplier could have higher margins while the retailer gets lower prices than buying from European suppliers, even with the necessary logistical costs.”   That being so, Houppermans sees a potential market in the discounters, notably Aldi. After all, Aldi supermarkets in China already sell “Aldi-branded private label goods which are all produced by those factories [in Luohe]”, he says. “Costco is the same. I can imagine now the next step would be to convince Aldi that they also start importing to maybe Australia and the UK.”   Doors already open The FDF’s Hyde says Chinese-manufactured products already find their way on to UK supermarket shelves: “As I understand it, some products, both branded and supermarket own label, are already manufactured in China. It’s the things you would expect, such as noodles, rather than ones that are domestically produced in large quantities. So it would not be a new occurrence, but it could happen in greater quantity in the future.”   He says FDF members report being reliant on China for specialist products such as green tea and pumpkins, but the ambitions expressed from China now span “much broader categories and everyday food and drinks”. The Grocer approached Tesco, Sainsbury’s, Waitrose and Aldi, none of which responded to enquiries about Chinese imports.   The Luohe platform acknowledges it has barriers to overcome, including “lack of brand recognition”. It plans to “enhance regional public brand awareness” through Google Ads and UK food exhibitions.   There are also “potential regulatory barriers” in UK food safety regulations, including labelling requirements, allergen warnings, Defra certification for meat products and BRCGS certification for packaging. The China-based Laboratory and Fangyuan Certification Group is assisting enterprises in achieving compliance. Some categories will be ruled out by regulatory hurdles, says Hyde. “They can’t export products with dairy in them into the UK, including dairy composite products, even if the dairy isn’t part of China itself. It’s part of an old EU law that was inherited.”   There are also “quite high” tariffs on Chinese food arriving in the UK, though typically not as high – or unpredictable – as the US. Trump’s scattergun volley of tariffs on countries across the world in April hit goods from China with a 54% levy. The levy reached 145% in May in the tit-for-tat trade war between the two countries, before dropping to 30%, where it stands as of 26 November, according to Expana’s weekly tariff report. In a similar timeframe, Chinese food exports to the US decreased by 12%, according to the FDF. Meanwhile, Chinese producers exporting to the UK “face the UK global tariff – they don’t get any preferential rates”, says Hyde. This varies according to food type, with processed foods attracting in the region of 5%-20%.   “The UK global tariff was inherited from the EU,” says Hyde. “It can be pretty steep. In spite of that, we’re seeing quite persistent increases in exports from China. It’s quite a broad range of products and some of the increases, albeit from a relatively small starting base, are high in percentage terms.  The stats are quite consistent now, showing consistent increase. I wouldn’t be surprised if it continues.”   John Miller, chief economic analyst for Trade Data Monitor, says: “An export economy like China’s abhors a vacuum, and the UK remains one of the world’s richest markets for food exports. That’s why, in 2025, UK imports of Chinese fish, edible fruits and nuts, sugars, and coffee and tea have all increased. Source: The Grocer and DRC Read more: #smartdiscount #china #uk #europe #privatelabel #assortment #jd #alibaba #meituan #ownbrands #development #growth #food #expansion #production #luohe #platform #henan #suppliers #thegrocer #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google

  • Peru: Discounters impact sales of basic products and begin to supply B2B

    Discount Retail Chain such as the main once Mass, Tottus and Economax (Makro) impact the Peruvian winemaking industry. This analysis focuses on understanding the perception of the Peruvian winemaker, its stability, its expectations and, mainly, the impact of the discounter channel in development in Peru. The LOCK Research & Insights seeks to take the pulse of the winemaker periodically on certain axes that are monitored on a regular basis. As José Luis Quezada, Director of the Retail Area at LOCK Research & Insights: "The methodology used for this report consisted of the application of face-to-face surveys. For the development of the study, a total of 1,729 winemakers in various regions of the country were interviewed. The collection of the information, or fieldwork, was carried out in September 2025." The study sample did not focus only on Lima, but also covered cities throughout the country. In the northern zone, Piura, Chiclayo and Trujillo were visited; in the south, Arequipa, Cusco and Ica were included; and in the central zone, specifically Huancayo, thus achieving a representative panorama of the different Peruvian regions and the diversity of contexts in which winemakers operate. The initial survey asked winemakers a macro question to find out if they felt affected by discounters , a segment that has been expanding its points of sale nationwide. This approach made it possible to measure the initial perception of the impact that chains such as Tiendas Mass or 3A, from the Aje Group, are having on the traditional channel, offering a clearer picture of their influence on local merchants. Wineries facing the growth of the discounter Despite the growth of the discounter channel, only 16% of the winemakers interviewed stated that they had been directly affected by its presence. According to José Luis Quezada, Director of the Retail Area at LOCK Research & Insights, "Although this percentage seems small, it confirms that the negative impact is already visible , and the main impact reported translates into a loss of sales." Among those who reported some negative effect, 84% indicated that the main consequence has been to sell less. In terms of customer loss, only a smaller percentage of winemakers, 13%, indicated that they had lost buyers due to the discounter. This reinforces the idea that the arrival of these channels does not generate a total replacement of customers, but a coexistence of channels: consumers continue to visit the warehouse for certain categories and the discounter for others, mainly basic basket products. The impact of discounters has not been uniform at the national level. In the southern and central areas, specifically in Huancayo, a higher percentage of winemakers feel negatively affected. On the contrary, the regions of Lima and the north of the country show a more stable perception, due to the fact that the presence of the discounter is already more normalized. As Quezada explains, "The impact, although limited, is already visible in specific territories and in key categories." Key categories under pressure from discounters The pressure from discounters is concentrated in specific categories, with Dry Staples being the most affected, with 33% of mentions. This includes products such as rice, noodles, beans, sugar, biscuits and preserves. According to José Luis Quezada, Director of the Retail Area at LOCK Research & Insights, in statements to Peru Retail: "Discounters seek to position own brands with lower prices as an entry point to these categories." The second most impacted category is Home Cleaning, which includes detergents and soaps, with 8% of mentions. Winemakers recognize that the main advantage of the discounter is its price proposition. Quezada explains that "many categories of the basic basket move like commodities, where price is the main driver, and discounters have greater strength there." Faced with this pressure, the most frequent reaction of winemakers was to improve their assortment, with 36% of responses. Meanwhile, 33% of those affected have not yet made changes and only 16% have chosen to lower prices. As Quezada told Peru Retail: "Lowering prices implies better negotiation with manufacturers, a strategy that requires time and planning." In addition, 29% of winemakers said they had adjusted their inventory or changed categories in their assortment. To counteract discounters, they are increasing the presence of fresh products. However, the categories where inventory fell the most were Dry Basic Foods and Home Cleaning, reinforcing the competitive pressure faced by the traditional channel. Discounters as an alternative sourcing channel A finding that reflects the reconfiguration of the channel is that 7% of wineries say they occasionally stock up on discounters. According to José Luis Quezada, Director of the Retail Area at LOCK Research & Insights , in statements to Peru Retail: "This practice occurs mainly to take advantage of promotions and buy high-turnover products." Although it is a minority percentage, it shows that discounters are emerging as an alternative sourcing channel. The categories that winemakers buy most frequently from discounters to resell are again Dry Basic Foods, which accumulate 44% of the response rate. Quezada explained: "Although the frequency of purchase is not yet regular and 75% do so only occasionally, this indicates that discounters are consolidating themselves as a strategic option for certain products." Despite this, wineries continue to defend their differential attributes. The winemaker maintains strengths in proximity, service and trust with the customer. As Quezada concludes: "The discounter is not going to replace the warehouse, but it does force the traditional channel to rethink its value proposition and improve its assortment and category management strategies." This shows that, although a new competitor appears, the relationship and loyalty with the customer is still key. Read more: Discounters impact sales of basic products and begin to supply some warehouses #smartdiscount #peru #mass #tottus #economax #growth #categories #wines #alcohol #growth #development #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

  • Germany: Netto is once again Central Germany's most popular discounter

    Discount Retail Chain Netto Marken-Discount, owned by EDEKA, is once again Central Germany's most popular discounter for the 9th time in a row. Netto Marken-Discount remains the first choice for customers in Central Germany: In the current Central German Brand Study, the food retailer was voted the most popular discounter in Thuringia, Saxony and Saxony-Anhalt for the ninth time in a row and thus once again successfully prevailed against competitors. The study, which is conducted annually by MDR Media GmbH and the IMK Institute for Applied Marketing and Communication Research, is considered an important barometer of sentiment for brands and retailers in eastern Germany. 3,000 people from Central Germany were surveyed, among other things, on which shopping locations they mainly buy food and beverages and which offer the best shopping experience, the best prices and the greatest freshness. What customers appreciate about Netto Marken-Discount? Low prices, easily accessible branches, friendly employees and a wide range of products make Netto the first choice for most respondents. Especially in times of rising living costs, the discounter convinces with regional proximity and a strong range of private labels. "To be voted the most popular discounter brand in Central Germany for nine years in a row is a special award. It shows that our customers appreciate our commitment to proximity, fair prices and a reliable shopping experience, for which we say thank you," says Christina Stylianou, Head of Corporate Communications at Netto. Read more: Netto Marken-Discount erneut Mitteldeutschlands beliebtester Discounter - Supermarkt Inside #smartdiscount #netto #privatelabel #germany #popular #supermarket #drc #discount #retail #consulting #discountretail #discountretailconsulting #retailconsulting #google #harddiscount #hd

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