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Poles do not love supermarkets anymore
According to Euromonitor International Company consumer’s market will grow by 4 per cent this year, which is lower than predicted before. Probably big supermarkets will be hit badly by this slow down.
Big supermarkets such as Real, Tesco, Auchan, E.Leclerc start to loose competition with smaller discount markets. “This market sector starts to be saturated. Even huge supermarkets started to open middle size places. What is more, clients do not buy as many AGD and electronic products during the crisis. It hits big operators and not discounts markets that offer mainly food. At the moment they are associated with low prices and good quality” – said Sławomir Nitek, a CDO of Netto discount chain.
Discount markets sector will grow much faster than traditional supermarkets one. It is estimated that the growth should be around 9 per cent. For this reason no one should be surprised that E.Leclerc decided to purchase 25 Billa markets to compete with established discount chains such as Biedronka, Lidl or Netto.
The worst future is predicted for small groceries. Their profit may shrink compared to last year and couple of hundred will be closed. The reason behind this situation is very simple. Small shops have always higher prices than bigger ones and people seem use price as a main criterion during the crisis.
