Italian retailer Conad has opted to invest in product categories offering higher margins, such as premium and healthy-eating, in an attempt to deal with a current period of stagnating sales.
The company recently introduced new product lines, such as Verso Natura, targeted at customers looking for bio, eco, vegan and fair trade products. Other examples of such specialisations within the retailer are Sapori & Dintorni and PetStore.
In an interview with Italia Oggi, the chairman and CEO of Conad, Francesco Pugliese, said the new strategy is based on profiling the shopping habits of consumers, both in-store and online.
In his opinion, the future for the grocery retailers is not solely based around e-commerce because, among other things, fresh products always need to be purchased at the store.
Conad has seen 4% growth in turnover this year, thanks to the opening of 88 stores in 2016 and an overall investment of €188 million.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. To subscribe to ESM: The European Supermarket Magazine, click here.
