Europe and Other Markets
Where would you like to see you products distributed? We can take you into markets in the EU and elsewhere
Portugal, Spain, France, Germany, Austria, Netherlands, Belgium, Poland, Italy, Greece, Bulgaria, Ukraine, Belarus, Hungary, Romania, Lithuania, Estonia, Cypress, Malta …
Europe's Grocery Sector
Spending power differs widely across Europe with Grocery Spend per Capita (2013) in Norway at €5 300 and at the other end of the scale, Belarus at €200. Highest countries include Switzerland, Ireland, Denmark, Luxembourg and the UK. As with most markets, the consumers across countries are very different. Even within a country from rural to urban, there are differences often driven by life stages.
Grocery retail market buying behaviour also differs for example, in France, 32% of shopping is done in Hypermarkets, whereas in Germany, Hypermarkets only account for 9.1% (2002). 32% of grocery shopping in Germany is done in discount stores and in France, 7%. In Western Europe, Hypermarkets are forecast to grow at 2%, supermarkets & neighbourhood shops at 2.6%, discount at 4%, convenience & forecourt at 5.3%, drugstores at 4.4% and cash & carries at 1.8%.
There will be a continued shift away from the Hypermarket due to saturation in some markets, lack of investment, less desire for "one stop shopping", online shopping, rising land and development costs, difficulty in finding and securing appropriate space and increasing restrictive planning authorities. Although they will not die, their growth will slow down. Shoppers are generally moving to convenience shopping. with over 25000 in the UK, 12000 in France and 8200 in Germany. Discounters also continue to grow, but have some negatives such as limited assortment and no services. This model is however diversifying and is bringing in some branded products. With regards to online shopping, it is not really known as to where this will go, but many retailers in the modern world feel the need to be present with more questions than answers.
Although considered a first world trading environment, there are many barriers that exist across the continent and beyond Europe in getting your products into Europe's retailers.
There are vast differences across countries, regions - North, South, East & West and the people across the continent in terms of their culture, aspirations, perceptions, needs and wants . No company can be successful in penetrating this market if they do not understand the intricacies of each of these factors in relation to the grocery trading environment.
Before considering entry, markets need to be analysed, route to market needs to be understood and the consumer buying behaviour of each country needs to be studied, and only then, product can be developed or introduced into a particular market.
One size does not fit all.
OpenBox has the experience and understands what it takes for you to successfully penetrate these markets.
We can assist you in understanding a market and developing or refining your products according to the dynamics, or we can simply assist you in finding a suitable distributor in a particular country if your products are deemed already suitable.
This is a lot more complex and detailed than what you would expect, so please contact us for more details. There is no easy entry into grocery retailers in Europe and there is equally no easy entry into the homes of the consumer.