SPAR Italy has reported a 2.2% increase in turnover, to €4 billion, in its financial year 2021, on the back of store network expansion and increased private-label sales.
The company also attributed its growth to investment in store renovations and supply chain.
It opened more than 90 new stores in this period, and private label accounted for 20.6% of its grocery sales.
SPAR Italy also opened a 18,000 square-metre logistic hub near Bologna, in Castel San Pietro, which saw an investment of €33 million by Aspiag Service.
Company-owned stores accounted for 67% of the total turnover, while independent SPAR stores generated 33%, the company noted.
SPAR Italy operates 1,374 retail outlets in three formats, with total retail sales area spanning approximately 806,102 square metres.
Out of this total, 433 stores are owned by regional operators and 941 are independently owned by SPAR retailers.
Stores under the DESPAR banner accounted for 35% of total retail sales, while EUROSPAR contributed 38%, and INTERSPAR 27%.
SPAR Italy saw 'strong' expansion in Sardinia, following the entry of retail group Fratelli Ibba in the market.
The retailer achieved a 12.7% market share in the region, from 65 stores.
SPAR Italy aims to increase its turnover by more than 5% in 2022 through 82 new store openings and over €100 million in investments.
The focus on DESPAR private label will remain strong, the retailer said, adding that it plans to introduce 200 new products to the range in the near future.
Commenting on the company's performance, Paul Klotz, president of DESPAR Italia, said, “In a complex and challenging context, SPAR Italy regional companies have really been there for their local communities in 2021, ensuring a high level of service throughout the pandemic.
"Our brand is driven by sustainability, and our SPAR team members’ daily work is driven by our community, care, and quality values. Our turnover and private label share growth confirm that we are on the right track."
© 2022 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.