Dutch Retailer Jumbo Sees Turnover Up 3.8% In First Half
Dutch retailer Jumbo Groep Holding has posted a 3.8% increase in turnover in the first half of its financial year, to €3.9 billion.
Organic growth in the period was 3.3%, which, Jumbo said, was ahead of the market average of 2.3%.
Jumbo saw its market share rise to 19.5% in the first half of the year, and the group says that it intends to build on that with the opening of several new stores over the coming six months, including the conversion of around 25 EMTÉ supermarkets, following its recent acquisition thereof.
As part of the joint takeover of the EMTÉ estate from Sligro, Jumbo has acquired 79 supermarkets, which CEO Frits van Eerd says enables the company to maintain its growth agenda.
"This expansion is another milestone and a great step in the development of our family business," van Eerd said.
"This allows us to continue to build on our omnichannel strategy, which aims to be available to as many places as possible and at as many moments as possible for all our customers," he continued.
The first renovated EMTÉ store is set to open in Nijmegen on 19 September.
Jumbo also recently announced its entry into Belgium and confirmed that the first supermarket locations therein have now been confirmed.
'Jumbo is currently building a dedicated organisational structure for Jumbo Belgium in order to make the introduction into the Belgian market a success,' read a company statement.
Jumbo also noted that online sales grew by two thirds in the first half of the year, with the business recently inaugurating a second e-fulfilment centre, in Raalte.
Turnover at Jumbo's La Place foodservice business rose by 30%, to €78.5 million, in the first half of the year, with the opening of six restaurants, in the Netherlands and abroad.
It now operates 98 restaurants in total, 14 of which are located outside the Netherlands.
In its half-year statement, Jumbo wrote that it sees an 'increasing demand for convenience among customers, as well as a growing interest in healthy and tasty food'.
It wrote that both Jumbo and La Place are actively responding to this with the expansion of assortment and service elements, as well as the roll-out of 'various innovations in the field of food experience'.
"The continuing favourable development of turnover in the first half of 2018 lays a solid foundation for our ambition to become the leading omnichannel food retailer in the Netherlands," said van Eerd.
He added that the group is committed to "further growth by sticking to our customer focus and distinctive high-quality offer at the lowest prices, while at the same time implementing a considerable number of innovations in terms of customer convenience and shopping experience around delicious and healthy food."
© 2018 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.