Italian retail cooperative, Gruppo VéGé is to focus on expanding its private-label offerings and invest in digitalisation in order to drive growth in 2024.
The company expects to achieve a turnover of €13.78 billion in 2023, representing a 9.4% increase from the previous year, according to media reports. The company has projected further growth, to €14.48 billion, in 2024.
The retailer plans to open 78 new outlets in 2024 alone, including five hypermarkets and 60 supermarkets.
During the presentation of its new commercial and marketing plans for 2024 in Milan, Gruppo VéGé said it is leveraging promotional strategies to support sales during the current inflationary period, while also expanding its private-label product range to include 'first-price', mainstream, and premium options.
The cooperative will also focus on strengthening its management control area and automating and digitising company processes.
On the consumer side, the group is continuing to focus on environmental, social, and economic sustainability. The company is implementing initiatives aimed at nutritional sustainability and the fight against food waste. Additionally, it will enhance customer engagement and optimise processes to better meet the evolving needs of its customers.
Gruppo VéGé said it will maintain its “complementary relationship” between private-label brands and industrial brands, while at the same time focusing on finding optimisations, synergies, and efficiency. The group is also working to address the loss of purchasing power among Italian families by maintaining a competitive positioning.
The group is also committed to training the managers of tomorrow through institutes such as VéGé Academy.
Gruppo VéGé’s multi-brand and multi-format national network has been steadily growing for the past nine years, and the group now ranks fifth in the Italian modern distribution market.
The group consists of 32 principal companies, and boasts a national market share of 7.5% and 3,052 stores, spanning a sales area of 2,337,873 square metres.
Earlier this year, Gruppo VéGé ceased its participation in the Aicube 4.0 purchasing agreement, founded in 2019 together with Carrefour Italia. The group also ceased its four-year-long partnership with Metro Italia.