CONAD: Specialty Private Label Becomes A Premium Retail Brand

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ConadCONAD: Specialty Private Label Becomes A Premium Retail Brand


Ah! Italia! Crisis, recession, negative figures: Italy is often indicated as one of the most uncertain European countries and as a risk for the Eurozone.

In Italy, the sales volume in the traditional retailers show a negative trend, sales of non-food products are going down, per sales-receipt gets lower, consumers are turning to high convenience distribution channels (discounts) and sales due to promotions are increasing (25,7%, with a peak of 27,3% in October 2012 and of 34,5% in the hypermarkets). In search of convenience, consumers alter their buying behavior, shopping less in hyper and supermarket formats, shifting to discounters and superstores.

In the midst of all this, we can fortunately point to an amazing case of excellence and growth: In 2012, Conad, a cooperative and one of Italy’s leading retailers with 3.052 stores (40 E.Leclerc Conad, 180 Conad Superstore, 918 Conad, 862 Conad City, 790 Margherita, 192 Todis and 70 other channels) invested 400 million Euro in the creation of 106 new stores, and has created 4.400 new jobs.

Today, Conad is present in 108 out of the 110 Italian provinces and will close the financial year 2012 with a turnover growth of 8%. More precisely, according to Gnlc Nielsen, the foreseen 2013 turnover is of €10.970 billion, €809 million more than in 2012 (+7,96%).

Gnlc Nielsen also reports that Conad’s growth comes from the development of its sales network and market share gains of 17,6% in the supermarket sector (increase of 4,1% when compared to 2011) and 14,1% in neighborhood stores (+6,8% when compared to 2011); the market share in the hypermarket segment is of 4,6%, with a total market share (average of all sales channels) of 11,1%, which corresponds to a growth of 0,8% when compared to 2011.

Read the entire article and learn about the Conad Private Brand Portfolio