Portuguese price comparison site KuantoKusta (KK) plans to expand into the food retail business from the beginning of 2020.
According to the company, its goal is to allow customers to access different and exclusive products from several distribution chains in a single shopping basket, in a single delivery, without having to visit different companies.
In practice, this means that KK's 'supermarket' segment, which enables users to compare prices of 15 grocery chains, will become a part of its marketplace business model.
A Wide Range Of Products
With more than 3 million visitors per month (+20% year-on-year), KuantoKusta offers over 1 million articles for price comparison and 1.2 million for purchase.
It plans to increase the number of daily orders from 100 to more than 1,000.
By October of this year, it will also increase the number of stores from 160 to 500.
The company recently signed an agreement with DHL for delivery of more than 100,000 orders.
The CEO of KK, Paulo Pimenta, said the marketplace segment is "in constant growth and has enormous potential."
Figures show that online consumption accounts for 6-8% of total consumption in Portugal, compared to 30% in Spain, and even higher in France.
KK believes that its marketplace segment will represent 50% of the company's turnover by the end of 2019 - a figure that should grow to 80% in 2020, with a significant push from food retail.
Speaking to Jornal Economico, Pimenta said that the company is also eyeing growth outside of Portugal.
It plans to set up a franchising model in Spain that could replicate the success achieved in Portugal.
He pointed out that marketplace revenue in Europe is set to grow by 7.3%, with a turnover that could reach €481 billion.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine.