Supermarkets eye expansion

Supermarket chains across Greece are planning new investments this year, as part of efforts to maintain or increase their market shares in conditions that are far from ideal for consumers.

The drive to secure more business is being accelerated by the widespread belief that consumers are increasingly ceasing to be loyal to specific chains and would rather look for the best possible value for their money, as expressed through the prices of the products themselves, the variety of options, the shopping experience and service. 

The challenge for companies in the sector is even greater given that for at least another six months they will have limited possibilities to exercise their own commercial policy, since a regulation capping the profit margins on basic products has been extended, along with the so-called “household basket” of affordable products, until June 30, 2024.

It is no coincidence that the estimates of market research company Circana point to a marginal increase in sales volume for the sector in 2024, of just 0.3%; it sees total supermarket sales rising by 4.8% in 2024 compared to 2023, with unit prices increasing by 4.5%.

All major chains are also planning on expanding their networks with new stores during the year, industry sources say.