Billa Bulgaria invested over BGN 100 million (€51 million) in 2024, including BGN 44 million (€23 million) in a new logistics base near Stara Zagora and nearly BGN 60 million (€31 million) in store expansion and renovations.
Seven new stores, including locations in Teteven and Svishtov, opened in the past year, bringing the total to 165 stores in 51 cities by the end of the year.
In an interview with the Bulgarian news portal Capital, Billa Bulgaria's CEO, Vigintas Shapokas, projected continued growth in 2024, with a 6.6% turnover increase through October despite deflation, and a 4.5% rise in customer numbers.
He added that Billa has retained its approximately 20% market share in 2024, achieved between 2021 and 2023.
Billa Bulgaria saw the strongest sales growth in 2024 in three categories: pork, driven by the 'Bulgarska Ferma' brand and in-store butchers; nuts and dried fruits due to an expanded assortment and the new 'Nice Bites' brand; and ready-made grilled meats (attributed to convenience and Chef Viktor Angelov's involvement).
Consumer behaviour in the past year was largely influenced by high prices, which led to increased reliance on promotions and loyalty programmes.
Around 78% of Bulgarians reportedly shopped on promotion, and over 50% of Billa's turnover came from promotions.
Loyalty programmes were used by 43% of consumers, and the retailer boasted over 2.2 million cardholders, with nearly 1.5 million active users.
Key Retail Trends
According to Billa Bulgaria's CEO, three key retail trends emerged in 2024.
Firstly, the percentage of shoppers opting for supermarkets increased to 40% from 36% in the previous year, prompting Billa's expansion, particularly into smaller settlements with the Billa Dnes format.
The format is now present in Teteven, Pleven, Silistra, and Sofia, and a new store is expected to open at Burgas.
Secondly, demand for local products has grown, with 63% of consumers now seeking them – up from 57%.
This has led Billa to partner with numerous Bulgarian suppliers and offer produce through its Billa Gradini programme, focused on reduced-pesticide fruits and vegetables.
Finally, online shopping is becoming increasingly prevalent, with Billa's Glovo partnership expanding to four cities – Sofia, Plovdiv, Varna, and Pleven – and witnessing over 80% turnover growth and 70% order growth.
Use Of Technology
Recognising the potential of AI, Billa Bulgaria has transitioned to digital price labels, eliminating paper labels by 60% and reducing errors.
At the same time, QR codes are now used for food items close to their 'use by' dates to improve inventory management and ensure product quality.
Additionally, Billa is exploring AI-driven solutions for internal efficiency, such as optimising promotional product deliveries and automating store orders.
Investments
Shapokas added that Billa Bulgaria plans to invest over BGN 60 million (€31 million) in 2025, of which BGN 44 million (€22 million) will be for the opening of 13 new stores, expanding Billa’s presence in existing cities and potentially entering smaller settlements like Vidin, Gorna Oryahovitsa, and Tryavna.
Additionally, over BGN 14 million (€7 million) will be allocated for renovating six existing branches to align with modern retail trends and enhance customer experience.
Finally, around BGN 4.7 million (€2.4 million) will complete the new warehouse, optimising logistics in Eastern Bulgaria and improving delivery efficiency.
