Spanish supermarket chain Coviran has increased its market share in Portugal, as it seeks to gain a foothold in the small supermarket category.
As of the end of 2019, Coviran boasted a 1.06% market share in Portugal, while in Spain it has a stable 2.32% share. If only stores with a retail space of 800 square metres are taken into account, the retailer's share rises to 8.96% in Spain and 2.81% in Portugal.
Coviran ended 2019 with a network of 2,427 franchisees and 2,855 stores, of which 2,563 are located in Spain and 292 in Portugal.
Gross sales in 2019 increased 6.7% year-on-year to €1.46 billion, of which €160 million was generated in Portugal and €1.3 billion in Spain.
Adjusted EBITDA increased 1.74% to €8.2 million, while capex amounted to €19.7 million, mainly due to the modernisation of its store network, brand image, digital transformation, and improvements in profitability and competitiveness.
Last year, Coviran opened its first supermarket in Portugal under the new Coviran Plus concept, which has been present in Spain for several years.
The retailer is also rolling out a sustainability retailing model that incorporates improved accessibility, the fight against food waste, energy efficiency, responsible contracting and collaboration with the local economy.
In 2019, Coviran began drawing up a new five-year strategic plan with the aim of optimising and boosting the performance of its supermarkets by focusing on a more competitive, sustainable, digital and multi-channel model.
It has also reformulated its private label products, with a focus on health, innovation and sustainability, including the launch of specific products for people with food intolerance.
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine