Food Retailing - Ireland - November 2003

EXECUTIVE SUMMARY – ISLAND OF IRELAND
EXECUTIVE SUMMARY – EUROPE
Polarisation in Food Retailing
Further consolidation
Acquisition or organic expansion?
European consumer expenditure on food reaches €950bn
Modest upturn in European economies forecast
EUROPEAN SUMMARY AND OUTLOOK
Report scope
Definitions
Stores
Buying groups, voluntary groups and co-operatives
Countries and companies covered
 THE EUROPEAN FOOD RETAIL MARKET
Spending on food, drink and tobacco
Figure 1: Europe: Spending on food, drink and tobacco, 2002
Food retailers
Figure 2: Europe: All food retailers' sales, 1998-2002
Figure 3: Europe: Food retailers’ share of all retail sales, 1998-2002
Figure 4: Europe: Sales by food retailers, 1998-2002
Figure 5: Europe: Food retailers’ share of all retail sales, 2002
Figure 6: Europe: Retail sales per capita, by country, 2002
Leading retailers
Figure 7: Europe: Leading food retailers, 2002
Figure 8: European food retailers: Pan-European concentration, 2002
Concentration levels
Figure 9: Europe: Share of top five retail groups, by country, 2002
Figure 10: Europe: Market shares of leading players, 2002
Corporate activity
Figure 11: Europe: Corporate activity by European food retailers, 2002
Figure 12: Europe: Corporate activity by European food retailers, 2003
Figure 13: European retailers: Corporate deals, 2002-03
 OUTLOOK
Diversity
Larger stores vs discounters
Growth potential
Ready-meals
Non-foods
Expansion – Internationalisation and consolidation
Two models
The Ahold saga
Expansion through acquisition
Safeway and consolidation
Multiples vs voluntary groups
Consolidation
E-commerce
European food retailing
 PROSPECTS AND FORECASTS
Forecast basis
Figure 14: Europe: Food retailers’ sales, share of all retail sales, 1996-2007
Figure 15: Europe: Food retailers sales growth, 1997-2002 and 2002-07
Figure 16: Europe: Food retailers and growth, 1997-2007f
EUROPEAN CONSUMER TRENDS
 INTRODUCTION
 COMPARISON OF GROCERY SHOPPING PATTERNS ACROSS EUROPE
Major grocery shopping
Figure 17: Percentage of respondents that grocery shop on a daily basis, GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
Figure 18: Summary of major grocery shopping, GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
Other grocery shopping
Figure 19: Use of local independent grocers for other grocery shopping, GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
Figure 20: Other grocery shopping, GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
Weekly spending on all groceries
Figure 21: Percentage of heavy weekly spenders* on all groceries, GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
Figure 22: Weekly spending on all groceries, GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
Lifestyle statements
Figure 23: Agreement with statements relating to food and shopping in GB, Germany, France, Spain, Northern Ireland and the Republic of Ireland, 2001-02
INTRODUCTION – ISLAND OF IRELAND
The single currency
Terminology
BACKGROUND DATA – ISLAND OF IRELAND
Population
Figure 24: Island of Ireland: Population by sex, 1971-2002
Figure 25: Island of Ireland: Population age profile, 2001*
Figure 26: Households in Republic of Ireland and Northern Ireland, 2001 and 2002
Figure 27: Island of Ireland: Average household size, 1998-2002
Figure 28: Republic of Ireland: Counties and major cities, 2002
Figure 29: Northern Ireland – Population by Health and Social Services Board (HSSB) region, 2001
Economy
Figure 30: Republic of Ireland: Gross domestic product, 1995-2002
Figure 31: Republic of Ireland: Consumer prices, 1996-2002
Figure 32: GDP in Republic of Ireland and Northern Ireland, 1995-2002
Figure 33: Republic of Ireland: Consumer spending, 1995-2002
Figure 34: Republic of Ireland: Detailed breakdown of spending on consumer goods, 1998-2002
Figure 35: Consumer spending in Republic of Ireland and Northern Ireland, 1997-2001
Figure 36: Consumer spending by category in Republic of Ireland and Northern Ireland, 1999
Total retail sales
Figure 37: Island of Ireland, Retail sales, 2000-02
THE ISLAND OF IRELAND FOOD RETAIL SECTOR
Market size
Figure 38: Island of Ireland: Consumer spending on food, 2002
Top players
Figure 39: Island of Ireland: Leading players, 2002
Outlook
THE REPUBLIC OF IRELAND FOOD RETAIL SECTOR
 INTRODUCTION
Market value
Top players
Figure 40: Republic of Ireland: Leading food retailers, 2002
Outlet trends
Outlook
 THE REPUBLIC OF IRELAND FOOD, DRINK & TOBACCO MARKET
Market value and trends
Figure 41: Republic of Ireland: Consumer spending on food, drink and tobacco, 1998-2002
Figure 42: Republic of Ireland: Average weekly household expenditure on food, beverages & tobacco, by product type, 1999/2000
Retail prices
Figure 43: Ireland: Consumer price inflation, 1997-2001
Figure 44: Republic of Ireland, national average prices for food, drink & tobacco, by product, 1997 and 2001
 FOOD RETAILERS
Sales values and trends
Figure 45: Republic of Ireland: Food retailers' sales, 1998-2002
Figure 46: Republic of Ireland: Food retailers' sales as a percentage of all retail sales, 1997-2002
Outlet and enterprise data
Figure 47: Republic of Ireland: Food retailers' outlet numbers, 1988-2000
Figure 48: Republic of Ireland: Grocery outlet numbers, by type, 1994-2000
Leading players
Figure 49: Republic of Ireland: Leading food retailers, 2002/03
Market shares
Figure 50: Republic of Ireland: Leading food retailers, market shares, 2002
 PROSPECTS AND FORECASTS
Prospects
Forecasts
Figure 51: Ireland: Sales by food retailers, 2002-07f
Figure 52: Ireland: Food retailers’ sales as % of all retail sales, 2002-07f
THE NORTHERN IRISH FOOD RETAIL SECTOR
Market value
Top players
Figure 53: Northern Ireland: Leading food retailers, 2002/03
Figure 54: Northern Ireland: Leading players’ market shares, 2002
Prospects and forecasts
MAJOR COMPANY PROFILES
Figure 55: Aldi: Share of all German food retailers’ sales, 1998-2002
Figure 56: Aldi: Share of all European food retailers’ sales, 1998-2002
Background
History
North-South divide
Competition at home
Expansion abroad
Financial data
Figure 57: Aldi Gruppe: Estimated European sales data, 1998-2002
Outlets
Figure 58: Aldi Gruppe: European outlet data, 1999-2002
Non-European activities
Products
E-commerce
SWOT
Figure 59: Safeway: Share of all UK food retailers’ sales, 1996/97-2002/03
Background
Safeway
The bid
International
Financial data
Figure 60: Safeway Plc: Financial performance, 1997/98-2002/03
Figure 61: Safeway-BP Joint Venture: Financial performance, 1998/99-2002/03
Outlets
Figure 62: Safeway: Upgraded stores, 2000/01-2002/03
Figure 63: Safeway: Store portfolio by store size, 1999-2003
Figure 64: Safeway: Outlet data, 1998/99-2002/03
Figure 65: Safeway-BP Joint Venture: Outlet data, 1998/99-2002/03
Products
E-commerce
SWOT
Figure 66: Sainsbury’s Supermarkets: Share of all UK food retailers' sales, 1998-2002
Background
International
Recent problems
Systems and distribution
Safeway
Nectar card
Financial services
Financial data
Figure 67: J Sainsbury: Group financial performance, 1998/99-2002/03
Figure 68: Sainsbury’s Supermarkets: Sales growth, 1998/99-2002/03
Outlets
Figure 69: Sainsbury’s Supermarkets: Outlet data, 1996/97-2002/03
Products
E-commerce
SWOT
Figure 70: Schwarz: Share of all German food retailers’ sales, 1998-2002
Figure 71: Schwarz: Share of all European food retailers’ sales, 1998-2002
Background
Financial data
Figure 72: Schwarz: European food sales data, 1998/99-2002/03
Outlets
Lidl
Figure 73: Lidl: European outlet data, 1999-2003
Kaufland
Figure 74: Kaufland/other fascias: Estimated European outlet data, 1999-2002
Products
E-commerce
SWOT
Figure 75: Spar (Europe): Sales as share of all European food retailers sales, 2000-02
Background
Financial data
Figure 76: Spar International: Sales, 2000-02
Outlets
Figure 77: Spar International: Outlet data, 2000-02
Products
E-commerce
SWOT
Figure 78: Tesco (UK): Sales as share of all UK food retailers' sales, 1998-2002
Figure 79: Tesco: Share of all European food retailers' sales, 1998-2002
Background
Safeway – UK
Clubcard and financial services
International activity
Figure 80: Tesco: International expansion, 1994-2003
Financial data
Figure 81: Tesco: Group financial performance, 1998/99-2002/03
Figure 82: Tesco: Like-for-like sales growth, by country, 2000/01-2002/03
UK
Other Europe
Other
Interim results
Outlets
Figure 83: Tesco: Outlet data, 1998/99-2002/03
UK
Figure 84: Tesco: UK store formats, 2001-04
Figure 85: Tesco: UK store portfolio, by size, 2002 and 2003
Ireland
Eastern Europe
Figure 86: Tesco: Eastern Europe store portfolio, 2002-03
Far East
Products
Logistics
E-commerce
SWOT
MINI COMPANY PROFILES
Dunnes Stores
Background
Financial data
Figure 87: Dunnes Stores: UK financial performance, 2000-02
Outlets
Products
Background
Financial data
Figure 88: Musgrave: Group financial performance, 1999-2002
Figure 89: Musgrave: Super Valu, Centra sales, 2000-02
Outlets
Figure 90: Musgrave: Outlet data, 2001-02
Superquinn
Background
Financial data
Outlets
ISLAND OF IRELAND CONSUMER TRENDS
 REPUBLIC OF IRELAND
Introduction
Frequency of major grocery shopping
Figure 91: Frequency of major and other grocery shopping, Republic of Ireland, 2002
Day of the week for major grocery shopping
Figure 92: Particular day for major and other grocery shopping, Republic of Ireland, 2002
Type of shop used for major and other grocery shopping
Figure 93: Type of shop used for major and other grocery shopping, Republic of Ireland, 2002
Figure 94: Type of shop used for regular major grocery shopping, by demographic sub-groups, Republic of Ireland, 2002
Weekly spending on groceries
Figure 95: Weekly spending on groceries, by gender, Republic of Ireland, 2002
Figure 96: Weekly spending on groceries, by demographic sub-groups, Republic of Ireland, 2002
Distance travelled to make regular grocery purchases
Figure 97: Distance travelled to make regular major grocery purchases, Republic of Ireland, 2002
Transport used to make regular grocery purchases
Figure 98: Transport used to make regular major grocery purchases, Republic of Ireland, 2002
Lifestyle statements by demographics
Figure 99: Top five lifestyle statements, Republic of Ireland, 2002
Figure 100: Lifestyle statements by gender and presence of children, Republic of Ireland, 2002
Figure 101: Lifestyle statements, by age, Republic of Ireland, 2002
Figure 102: Lifestyle statements by income, Republic of Ireland, 2002
 NORTHERN IRELAND
Introduction
Frequency of major grocery shopping
Figure 103: Frequency of major and other grocery shopping, Northern Ireland, 2002
Day of the week for major grocery shopping
Figure 104: Particular day for major and other grocery shopping, Northern Ireland, 2002
Type of shop used for major and other grocery shopping
Figure 105: Type of shop used for major and other grocery shopping, Northern Ireland, 2002
Figure 106: Type of shop used for major and other grocery shopping, Northern Ireland, 2002
Figure 107: Type of shop used for regular major grocery shopping, by demographic sub-group, Northern Ireland, 2002
Weekly spending on groceries
Figure 108: Weekly spending on groceries, by demographic sub-group, Northern Ireland, 2002
Distance travelled to make regular grocery purchases
Figure 109: Distance travelled to make regular major grocery purchases, Northern Ireland, 2002
Transport used to make regular grocery purchases
Figure 110: Transport used to make regular major grocery purchases, Northern Ireland, 2002
Lifestyle statements by demographics
Figure 111: Top five lifestyle statements, Northern Ireland, 2002
Figure 112: Lifestyle statements, by gender and presence of children, Northern Ireland, 2002
Figure 113: Lifestyle statements, by age, Northern Ireland, 2002
Figure 114: Lifestyle statements by income, Northern Ireland, 2002