According to Nielsen’s Grocery Shop Directory, K-food stores’ market share was up 3.4 percentage points at 36.2% in 2016. Adding to that Suomen Lähikauppa’s 1.5% market share before the acquisition, the market share rises to 37.7%. K Group’s food store network is by far the widest in Finland; there were 1,448 K-food stores at the end of 2016. Nielsen’s data is based on full-year 2016 figures.
”K Group’s 2016 market share was as we expected. A systematic implementation of our strategy has paid off and our market share stands at its highest in 15 years,” says Jorma Rauhala,Kesko’s Executive Vice President and President of the grocery trade.
”According to Nielsen’s Grocery Shop Directory, grocery sales increased by 0.9% in 2016 compared to the previous year. Last year’s 1.6% volume growth is the best since 2007. The increase was particularly supported by the liberalization of food store opening hours and the decrease in the food price level. In 2016, liberalised opening hours impacted especially on the performances of large supermarkets and hypermarkets. We are very pleased to see our K-Supermarket chain markedly improve its market share. Taking account of the intense price competition in the grocery trade, we can be satisfied with our performance. Finnish people increasingly appreciate K-food stores’ operating model which is based on excellent quality, selection and service. The over 1,400 K-food stores of ours across Finland are different, customised to meet the local customer demand in terms of selection and service,” says Rauhala.
K Group continues to develop its grocery trade division and all food store chains. Tens of millions of euros of capital expenditure will be spent in the existing and the new store network in the next few years. The K-Market brand reform, launched last year, will be followed this year by the renewal of the K-Supermarket and K-Citymarket chain brands.
K-food store numbers as at 31 Dec. 2016 according to Nielsen
|
|
|
2016 |
2015 |
|
K-food stores, total |
|
1,448 |
885 |
|
K-Citymarket |
|
80 |
81 |
|
K-Supermarket |
|
228 |
219 |
|
K-Market |
|
655 |
477 |
|
Neste K (est. 29 March 2016) |
|
54 |
0 |
|
Valintatalo, Siwa, Euromarket** |
|
340 |
- |
|
|
|
|
|
|
Others |
|
91 |
108 |
** Suomen Lähikauppa’s stores as of 12 April 2016
Further information:
Jorma Rauhala, EVP, President, Kesko’s grocery trade, tel. +358 105 322 211
Karoliina Partanen, Vice President, communications, Kesko’s grocery trade, tel. +358 105 320 744
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