Italian retailer Gruppo Selex plans to invest €300 million next year on the opening of 121 new outlets, as well as the renovation of 112 existing stores, a 40% increase on 2020.
In January, the retailer expects to surpass the threshold of 2,500 stores, accounting for a share of more than 10% of the Italian retail market, including hypermarkets, supermarkets, superstores, discounters and drug stores.
The company's growth strategy will focus on supermarkets and superstores, as well as on the expansion of its digital channel. E-commerce service CosiComodo, active in 13 Italian regions, registered a growth rate of 270% this year as a result of the COVID-19 pandemic.
Preparing For 2021
While praising this year’s performance, general manager Maniele Tasca expects that 2021 will be “complicated” due to the economic crisis, although the company is prepared, he added.
According to Tasca, priorities include promoting competitiveness, increasing the offer of private label brands Selex, Vale and Il Gigante, investing in the group's store network and expanding its e-commerce coverage.
Increased emphasis will also be placed on the quality of ingredients, i.e. that they are of Italian origin and traceable through a transparent supply chain.
Environmental protection will continue to be important for the group, with preference given to recyclable packing and recycled materials, while at the same time helping to facilitate disposal.
Growth Target
The company has set an ambitious growth target for 2021, aiming to increase turnover by 4.1% to €12.8 billion.
Gruppo Selex expects to close 2020 with a consumer turnover of €12.3 billion, 10.3% higher than in 2019.
Productivity (sales per square metre) is likely to be up 7%, a strong increase compared to the market average and the previous year, although this was influenced by the COVID-19 pandemic.
In 2020, Selex welcomed a new partner, Gruppo CDS, a family-run retail business in Sicily, which is active through three regional brands, offering more than 150 stores in seven provinces. The group will formally become part of Gruppo Selex from 1 January 2021.
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine
