Netto Germany, Real And Others Create New Procurement Group
Retailers including Netto Germany, Metro Group's Real chain and Bünting Gruppe have announced the creation of a new procurement collaboration.
The RTG Retail Trade Group is a joint venture between Real, Netto Germany, Bartels-Langness, Bünting, Klaas & Kock, Georg Jos. Ownership shares are divided equally between all parties.
The director of Netto International, Morten Møberg Nielsen, said that the move enables the Dansk Supermarked-owned business to "match the major German chains". He added that the move will also enable the operator to "exploit synergies and benefit from increased scale".
Netto Germany's commitment to RTG Retail Trade Group replaces its existing procurement agreement with Edeka in the country, which commenced in 2012.
The RTG Retail Trade Group will initially focus on developing procurement collaboration in the areas of food and non-food, as well as provide a platform for the national and international suppliers to all participating retailers to gain an increased share of the market.
In addition, the joint venture is also seen as a potential platform for further cooperation in the areas of e-commerce and logistics.
The joint venture is pre-approved by local competition authorities and commenced operations on 3 April. Netto opened its first store in Germany in 1990 and today operates close to 350 stores in the country.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine