Spanish retailer Eroski debuted its convenience format 'Eroski Center' in Pamplona, Navarre, on 24 April. The new wholly-owned Eroski Center branch took an investment of €1.4 million, stocking some 10,000 SKUs.
Almost half of the selling space of the 1,300 square meter store is dedicated to fresh produce, with 45 per cent of sales expected to be in the fresh category, with private label making up 30 per cent. Eroski's convenience banner will also have strong regional connections, with the Navarre store stocking goods from 220 local suppliers.
The pilot convenience store is the group's 'lab store', incorporating the group's innovations such as sale of freshly-peeled fruit and freshly-squeezed juices on request, the return of the assisted meat counter which offers a range of local Navarre charcuterie. The store also incorporates a bakery and an in-house pharmacy section with a perfume department.
Mercadona recently opened a supermarket in the Navarre region, with plans to add 19 more over the next five years. Eroski's store opening is seen by some as its counter-offensive move to defend its market share in the region. Alimarket estimates its market share to be 33.9 per cent in the region.
60 New Franchised StoresThe cooperative retailer is also to open 60 new franchises stores in 2013. The group has already opened 10 new stores so far this year, with 12 more to open withing the next two months. The strategy propelling the network expansion is to open stores with a selling space between 300 and 500 square meters, with an assortment of 3,000 SKUs, with an emphasis on fresh produce.
With an investment of €20 million, the new stores will create 300 new jobs. The group's 500 franchisees currently make up 34 per cent of its supermarket division, according to Alimarket. (1 May)
© 2013 - ESM: European Supermarket Magazine by Sadhbh Connor
