Belarus' Eurotorg Sees Like-For-Like Sales Up In Q3, Despite 'External Uncertainties'
Belarus-based retailer Eurotorg has posted a 5.0% increase in like-for-like sales in the third quarter, despite what its CEO described as a year filled with "external uncertainties".
As in many other markets, the group's like-for-like performance in the quarter was largely driven by an increase in average basket size (+10.3%), while traffic was down (-4.8%), as shoppers visited stores less but spent more due to the COVID-19 pandemic.
“Eurotorg delivered solid operational results for the third straight quarter, despite the external uncertainties that the current year has brought us," commented chief executive Andrei Zubkou. "This robust growth confirms the resilience of our business model and further validates the strategy we have adopted.
“Strong LFL sales growth indicates that customers are appreciative of our market-leading convenience-format stores, and the company fully understands their preferences."
Reported sales in the quarter were up 8.7% to BYN 1.2 billion, equating to a 10.8% decline in US dollar terms.
In the third quarter, the group opened 19 new stores, of which 18 were convenience-format stores, as well as ramping up its online presence – during July and September, the retailer's online grocery service generated 800,000 orders, an increase of 29.9% year-on-year.
It has also extended its online grocery presence into regional parts of the country, adding that it was able to 'speed up delivery times and improve the fresh category offer for customers in non-metropolitan areas'.
“In addition to traditional brick-and-mortar stores, we have successfully responded to increased demand for grocery delivery, and moved quickly to improve our offer across all regions of Belarus," said Zubkou.
“As always, we continue to focus on those factors we can control – operational efficiency and expanding services where demand is highest, while paying particular attention to the safety of our employees and customers. We are confident that this approach creates a solid platform for the company’s further growth.”
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.