Supermarkets: More Than Just Food Retailing - Spain - November 2014

EXECUTIVE SUMMARY
Spending and inflation
Sector sales and forecast
Leading retailers
Online
The consumer – Where they shop
The consumer – Attitudes to Dia, Lidl and Aldi
The consumer – Why they don’t shop at Dia/Lidl/Aldi
What we think
SPENDING AND INFLATION
Key points
Consumer spending
Figure 1: Spain: Consumer spending on food and drink ( incl. VAT), 2009-14
Inflation
Figure 2: Spain: Harmonised indices of consumer prices: Annual % change food and drink, Mar 2013-Sept 2014
Figure 3: Spain: Harmonised indices of consumer prices: Annual % change, 2009-13
DISTRIBUTION OF SPENDING
Figure 4: Spain: Estimated distribution of spending on food, beverages, and tobacco, 2013
SECTOR SIZE AND FORECAST
Key points
Sector sales
Figure 5: Spain: Retail sales, excl. VAT, 2009-14
Figure 6: Spain: Retail sales forecasts, excl. VAT, 2014-19
Sector sales mix
Figure 7: Spain: Estimated sales mix for the grocers’ sector, 2013
Retail enterprises and employee numbers
Figure 8: Spain: Number of retail enterprises, 2008-12
Figure 9: Spain: Number of full-time-equivalent employees in retailing, 2008-12 (Number of full time equivalent employees by sector)
THE RETAILERS – FINANCIALS AND OUTLETS
Key points
Mercadona dominates the sector
Winners – Discounters and other proximity retailers
Losers – Larger store formats
Condis rolls out Condislife format
Figure 10: Spain: Leading grocery retailers, by sales, excl. VAT, 2011-13
Figure 11: Spain: Leading grocery retailers’ outlet numbers, 2011-13
Figure 12: Spain: Leading grocery retailers’ estimated sales per outlet, 2011-13
THE RETAILERS – MARKET SHARES
Figure 13: Spain: Leading grocery retailers’ shares of all food retailers sales, 2011-13
ONLINE
Key points
Online shoppers
Figure 14: The consumer: Percentage of all individuals purchasing online in the past 12 months, 2008-13
Market size and leading retailers
Figure 15: Spain: Leading retail websites by visitor numbers,
THE CONSUMER – WHERE THEY SHOP
Key points
What we asked
Main grocery destination
Figure 16: Spain: Where consumers buy main weekly shop, October 2014
Top-up shop destinations
Figure 17: Spain: Where consumers buy their top-up shopping, October 2014
THE CONSUMER – ATTITUDES TO DIA, LIDL AND ALDI
Key points
What we asked
More than 50% of consumers now shop more at discounters
Figure 18: Spain: Consumer attitudes to Dia/Lidl/Aldi – Agreement with statements, October 2014
Sticking with Dia/Lidl/Aldi even if they had more money
Figure 19: Spain: Attitudes to Dia/Lidl/Aldi – Changing shopping habits, October 2014
Fresh foods improving
Figure 20: Spain: Consumer attitudes to Dia/Lidl/Aldi – Quality of products, October 2014
Choice improving but still some limitations
Figure 21: Spain: Consumer attitudes to Dia/Lidl/Aldi – Choice of products, October 2014
Non-grocery special deals are a key selling point
Figure 22: Spain: Consumer attitudes to Dia/Lidl/Aldi – Non-grocery products, October 2014
THE CONSUMER – WHY THEY DON’T SHOP AT DIA/LIDL/ALDI
Key points
What we asked
Limited ranges and few stores limit shopper numbers
Figure 23: Spain: Why consumers don’t do any/more of their grocery shopping at Dia/Lidl/Aldi, October 2014
Women more concerned about limited ranges
Figure 24: Spain: Why consumers don’t do any/more of their grocery shopping at Dia/Lidl/Aldi by gender, October 2014
Poor perception of quality in Madrid
Figure 25: Spain: Why consumers don’t do any/more of their grocery shopping at Dia/Lidl/Aldi, by region, October 2014
Figure 26: Spain: Where consumers buy their top-up shopping, by region, October 2014
ALDI
What we think
Germany
Elsewhere
Where next?
Company background
Company performance
Figure 27: Aldi: Group financial performance, 2009-2013
Figure 28: Aldi: Outlet data, 2009-2013
Figure 29: Aldi: Outlet data, 2009-2013 (continued)
Retail offering
GROUPE AUCHAN
What we think
Exposed in weak eurozone and under threat from trend away from hypermarkets
Looking for growth
Defensive purchasing alliances
Company background
Company performance
Figure 30: Auchan: Group financial performance, 2009-13
Figure 31: Auchan: Revenue by region, 2009-13
Figure 32: Auchan: Retail sales estimates by country (Europe only), 2009-13
Stores
Figure 33: Auchan: Outlet data (Consolidated stores only), 2009-13
Groupe Auchan – Non retail activities
Retail offering
CARREFOUR
What we think
Where next?
Company background
Company performance
Figure 34: Carrefour: Group financial performance, 2009-2013
Figure 35: Carrefour: Outlet data, 2009-2013
Figure 36: Carrefour (Europe): Outlet numbers (incl franchisees and partners, excluding cash and carry), 2009-13
Retail offering
DIA
What we think
2013 in review
Sells French operations
Aquires El Arbol
Company background
Company performance
Figure 37: Dia: Group financial performance, 2011-2014
Figure 38: Dia: Group outlet data, 2011-13
Retail offering
LECLERC
What we think
Price focus key to success
Driven to succeed
Collection remains the preferred online delivery method
Company background
Company performance
Figure 39: E.Leclerc: Group sales performance, excl. VAT, 2009-13
Figure 40: E. Leclerc: Estimated international sales by country, excl. VAT, 2011-13
Figure 41: E. Leclerc: Group outlet data, 2009-13
Retail offering
LIDL/KAUFLAND (SCHWARZ GROUP)
What we think
Online
Where next
Company background
Company performance
Figure 42: Schwarz Group: Group financial performance, 2009/10-2013/14
Figure 43: Schwarz Group: Outlet data, 2009/10-2013/14
Figure 44: Schwarz Group: Outlet data, 2009/10-2013/14 (continued)
Figure 45: Schwarz Group: Outlet data, 2009/10-2013/14 (continued)
Figure 46: Schwarz Group: Outlet data, 2009/10-2013/14 (continued)
Retail offering
MERCADONA
What we think
A more difficult year
Continued investment in stores
Rethinking fresh
Company background
Company performance
Figure 47: Mercadona: Financial performance, 2009-13
Figure 48: Mercadona: Outlet data, 2009-13
Retail offering
SPAR EUROPE
What we think
Enhanced own-label offering targeting meal-times
Pushing its convenient shopping destination credentials
Limited online grocery shopping option
Positioning itself as a healthy food retailer
Improving the in-store checkout experience for its customers
Tailored formats offering additional sales growth opportunities
Expanded everyday general merchandise range
Company background
Company performance
Figure 49: SPAR International: Retail sales by country, 2009-13
Figure 50: SPAR International: Outlets, 2009-13
Figure 51: SPAR International: Retail sales area, 2009-13
Figure 52: SPAR International: Sales per sq m, by country, 2009-13
Retail offering
APPENDIX – THE CONSUMER – SPAIN
Figure 53: Retailers used for main and top-up grocery shopping, Spain, October 2014
Figure 54: Attitudes towards discount supermarkets in Spain, by most popular retailers used for main and top-up grocery shopping – Any grocery shop, Spain, October 2014
Figure 55: Attitudes towards discount supermarkets in Spain, by next most popular retailers used for main and top-up grocery shopping – Any grocery shop, Spain, October 2014
Figure 56: Reasons for not shopping/not shopping enough for groceries at discount supermarkets, by most popular retailers used for main and top-up grocery shopping – Any grocery shop, Spain, October 2014
Figure 57: Reasons for not shopping/not shopping enough for groceries at discount supermarkets, by next most popular retailers used for main and top-up grocery shopping – Any grocery shop, Spain, October 2014
Responsibility for grocery shopping
Figure 58: Those in household responsible for grocery shopping, by demographics, Spain, October 2014
Where people shop
Figure 59: Most popular retailers used for main and top-up grocery shopping – Any grocery shop, by demographics, Spain, October 2014
Figure 60: Next most popular retailers used for main and top-up grocery shopping – Any grocery shop, by demographics, Spain, October 2014
Figure 61: Other retailers used for main and top-up grocery shopping – Any grocery shop, by demographics, Spain, October 2014
Attitude statements
Figure 62: Agreement with the statement ‘The quality of fresh meat at discount supermarkets has improved in the last 2 years’, supermarkets in Spain, by demographics, October 2014
Figure 63: Agreement with the statement ‘The quality of fresh fruit and vegetables at discount supermarkets has improved in the last 2 years’, supermarkets in Spain, by demographics, October 2014
Figure 64: Agreement with the statement ‘The quality of fresh bakery products at discount supermarkets has improved in the last 2 years’, supermarkets in Spain, by demographics, October 2014
Figure 65: Agreement with the statement ‘The choice of brands available at discount supermarkets has improved in the last 2 years’, supermarkets in Spain, by demographics, October 2014
Figure 66: Agreement with the statement ‘I can’t buy all the groceries I need at discount supermarkets’, supermarkets in Spain, by demographics, October 2014
Figure 67: Agreement with the statement ‘I’d like to see a bigger choice of non-grocery items at discount supermarkets’, supermarkets in Spain, by demographics, October 2014
Figure 68: Agreement with the statement ‘The choice of items available within certain ranges at discount supermarkets is too limited’, supermarkets in Spain, by demographics, October 2014
Figure 69: Agreement with the statement ‘I would shop less at discount supermarkets if I had more money^’, supermarkets in Spain, by demographics, October 2014
Figure 70: Agreement with the statement ‘I sometimes buy non-grocery items I didn’t plan to buy when shopping at discount supermarkets’, supermarkets in Spain, by demographics, October 2014
Figure 71: Agreement with the statement ‘I sometimes visit discount supermarkets specifically to buy non-grocery items I’ve seen advertised in advance, supermarkets in Spain, by demographics, October 2014
Figure 72: Agreement with the statement ‘I do more of my grocery shopping at discount supermarkets than I did two years ago’, supermarkets in Spain, by demographics, October 2014
Figure 73: Agreement with the statement ‘I’m less tempted to buy additional grocery items that I don’t really need at discount supermarkets’, supermarkets in Spain, by demographics, October 2014
Figure 74: Most popular reasons for not shopping/not shopping enough for groceries at discount supermarkets, by demographics, Spain, October 2014
Figure 75: Next most popular reasons for not shopping/not shopping enough for groceries at discount supermarkets, by demographics, Spain, October 2014
Figure 76: Other reasons for not shopping/not shopping enough for groceries at discount supermarkets, by demographics, Spain, October 2014