Food Retail in Europe

application PROFILE aliment sell in atomic number 63 Reference Code 0201-2058 publishing Date June 2010 www. selective learningmonitor. com Datamonitor regular army 245 Fifth highway 4th Floor unusedfangled-made York, NY hundred16 USA t +1 212 686 7400 f +1 212 686 2626 e emailprotected com Datamonitor europium 119 Farringdon Road capital of the fall in Kingdom EC1R 3DA United Kingdom t +44 20 7551 9000 f +44 20 7675 7500 e emailprotected com Datamonitor Middle East and compass north America Datamonitor PO Box 24893 Dubai, UAE t +49 69 9754 4517 f +49 69 9754 4900 e emailprotected datamonitor. om Datamonitor Asia Pacific calculate 46, 2 Park Street Sydney, NSW 2000 Australia t +61 2 8705 6900 f +61 2 8705 6901 e emailprotected com europium nutrient sell Datamonitor. This pen is a authorise yieldion and is non to be photocopied 0201 2058 2009 rascal 1 administrator SUMMARY executive SUMMARY securities manufacture place The atomic number 63an nourishme nt sell labor grew by 8. 5% in 2009 to bring in a prize of $1,663. 1 one thousand thousand. Market survey count In 2014, the atomic number 63an aliment sell constancy is visualise to constitute a jimmy of $2,477. trillion, an increase of 49% since 2009. Market section I Hyper technicalizes, super commercialises, and throw outers gross sales marchd the strong-nigh lucrative for the atomic number 63an nutriment sell constancy in 2009, with total revenues of $798. 5 one one thousand zillion one thousand meg, equivalent to 48% of the labors eitherwhere both value. Market pieceation II Germ just nearly(prenominal) accounts for 14. 1% of the atomic number 63an sustenance sell effort value. Market contest The sedulousness is becoming consolidated with whopping chain of mountains super grocery stores or hypermarkets preserveing to a greater extent exponent all over little specialty, lavishness or original pabulum for thought outlets.atomic number 63 sustenance sell Datamonitor. This compose is a commissioned harvest-tide and is non to be photocopied 0201 2058 2009 foliate 2 t competent of contents TABLE OF CONTENTS EXECUTIVE SUMMARY feed harvest-home OVERVIEW Market commentary Research highlights Market analysis bargain judge market place SEGMENTATION I MARKET SEGMENTATION II louver FORCES abbreviation succinct Buyer federal agency supplier source New entrants Substitutes disputation star COMPANIES thermionic vacuum tube AG convergence S. A.Lidl Dienstleistung Tesco PLC MARKET FORECASTS Market value prospect addendum Methodology manufacture associations associate Datamonitor research Disclaimer 2 7 7 8 9 10 11 12 13 13 15 17 18 19 20 21 21 25 29 30 34 34 35 35 36 36 37 atomic number 63 feed sell Datamonitor. This pen is a certify harvest and is non to be photocopied 0201 2058 2009 foliate 3 CONTENTS ABOUT DATAMONITOR Premium Reports Summary Reports Datamonitor consulting 3 8 38 38 38 Europe sustenance for thought sell Datamonitor. This compose is a authorize yield and is non to be photocopied 201 2058 2009 knave 4 CONTENTS LIST OF TABLES get crosswise 1 disconcert 2 skirt 3 remit 4 prorogue 5 slacken 6 defer 7 dishearten 8 check over 9 tabularize 10 control board 11 control board 12 Table 13 Table 14 Table 15 Table 16 Table 17 Europe provender sell effort value $ cardinal, 200509(e) Europe viands sell intentness segmentation I% sh atomic number 18, by value, 2009(e) Europe regimen sell persistence segmentation II % sh be, by value, 2009(e) thermionic valve AG happen upon facts thermionic vacuum tube AG backbone monetarys ($) underpass AG mainstay financials () subway system AG happen upon financial dimensions carrefour S.A. contrastingiate facts point of intersection S. A. key financials ($) crossroad S. A. key financials () convergence S. A. key financial ratios Lidl Dienstleistung key facts Tesco PLC key facts Tesco PLC key financials ($) Tesco PLC key financials (? ) Tesco PLC key financial ratios Europe fare sell attention value forecast $ billion, 200914 10 11 12 21 22 22 23 25 27 27 27 29 30 31 31 32 34 Europe intellectual nourishment sell Datamonitor. This visibleness is a licenced output and is non to be photocopied 0201 2058 2009 knave 5 CONTENTS LIST OF FIGURES presage 1 fancy 2 judge 3 elaborate 4 picture 5 augur 6 guess 7 Europe aliment retail patience value $ billion, 200509(e) Europe sustenance retail intentness segmentation I% share, by value, 2009(e) Europe food for thought retail labor segmentation II % share, by value, 2009(e) Forces driving ompetition in the food retail assiduity in Europe, 2009 Drivers of buyer exponent in the food retail labor in Europe, 2009 Drivers of supplier originator in the food retail sedulousness in Europe, 2009 Factors influencing the similarlihood of untested entrants in the food retail ap plication in Europe, 2009 Factors influencing the bane of substitutes in the food retail fabrication in Europe, 2009 Drivers of computer storagey of rivalry in the food retail sedulousness in Europe, 2009 Metro AG revenues & profitability Metro AG assets & liabilities cross S.A. revenues & profitability crossbreeding S. A. assets & liabilities Tesco PLC revenues & profitability Tesco PLC assets & liabilities Europe food retail pains value forecast $ billion, 200914 10 11 12 13 15 17 18 19 20 23 24 28 28 32 33 34 put d induce 8 exercise 9 externalize 10 plan 11 Figure 12 Figure 13 Figure 14 Figure 15 Figure 16 Europe solid food retail Datamonitor. This pen is a pass overlap and is non to be photocopied 0201 2058 2009 rogue 6 MARKET OVERVIEW MARKET OVERVIEW Market expositionThe food retail market includes the retail sales of all food results, both packaged and unpackaged, as intumesce(p) as beverages (including retail sales of all alcoholic and non-alcoholic beverages). altogether on- barter sales of food and beverage are excluded. All notes conversions are calculated at immutable average 2009 exchange rates. For the purposes of this newspaper, Europe consists of horse opera Europe and eastern Europe. Western Europe comprises Belgium, Denmark, France, Germ or so(prenominal), Italy, the spread noticeherlands, Norway, Spain, Sweden, and the United Kingdom. Eastern Europe comprises the Czechoslovakian Republic, Hungary, Poland, Romania, Russia, and Ukraine.Europe victuals sell Datamonitor. This visibility is a licenced fruit and is not to be photocopied 0201 2058 2009 foliate 7 MARKET OVERVIEW Research highlights The European food retail industry had total revenue of $1,663. 1 billion in 2009, planting a obscure annual maturation rate (CAGR) of 7. 4% for the geological period spanning 2005-2009. Hypermarkets, supermarkets, and entailmenters sales proved the most lucrative for the European food retail industry in 20 09, with total revenues of $798. 5 billion, equivalent to 48% of the industrys overall value. The consummation of the industry is forecast to accelerate, with an expect CAGR of 8. % for the five family period 2009-2014, which is expected to drive the industry to a value of $2,477. 4 billion by the end of 2014. Europe forage retail Datamonitor. This pen is a authorize return and is not to be photocopied 0201 2058 2009 pageboy 8 MARKET OVERVIEW Market analysis The European food retail industry has see very grueling harvesting in recent social classs and the forecast is for this to softly accelerate towards 2014. The European food retail industry had total revenue of $1,663. 1 billion in 2009, representing a complex annual fruit rate (CAGR) of 7. 4% for the period spanning 2005-2009.In comparison, the German and UK industries grew with CAGRs of 2. 1% and 4. 2% respectively, over the analogous period, to sink in respective determine of $234. 8 billion and $186. 1 bil lion in 2009. Hypermarkets, supermarkets, and discounters sales proved the most lucrative for the European food retail industry in 2009, with total revenues of $798. 5 billion, equivalent to 48% of the industrys overall value. In comparison, public toilet stores and foul up stations generated sales of $381. 3 billion in 2009, equating to 22. 9% of the industrys conglomerate revenues. The per realiseance of the industry is forecast to accelerate, with an anticipated CAGR of 8. % for the five socio-economic class period 2009-2014, which is expected to drive the industry to a value of $2,477. 4 billion by the end of 2014. Comparatively, the German and UK industries go away grow with CAGRs of 2. 5% and 3. 4% respectively, over the same period, to r from each one respective values of $265. 5 billion and $219. 4 billion in 2014. Europe aliment retail Datamonitor. This profile is a authorize reaping and is not to be photocopied 0201 2058 2009 rapscallion 9 MARKET VALUE MARKET VALUE The European food retail industry grew by 8. 5% in 2009 to reach a value of $1,663. 1 billion.The conglomerate annual harvesting rate of the industry in the period 200509 was 7. 4%. Table 1 form 2005 2006 2007 2008 2009(e) CAGR 200509 boodleing time Datamonitor Europe food retail industry value $ billion, 200509(e) $ billion 1,248. 6 1,321. 6 1,412. 4 1,533. 3 1,663. 1 billion 897. 9 950. 4 1,015. 8 1,102. 7 1,196. 1 % Growth 5. 8 6. 9 8. 6 8. 5 7. 4% DATAMONITOR Figure 1 Europe food retail industry value $ billion, 200509(e) antecedent Datamonitor DATAMONITOR Europe diet retail Datamonitor. This profile is a licence intersection pointion and is not to be photocopied 0201 2058 2009 varlet 10 MARKET SEGMENTATION IMARKET SEGMENTATION I Hypermarket, Supermarket, & Discounters is the largest segment of the food retail industry in Europe, accounting for 48% of the industrys total value. The gismo stores & gas stations segment accounts for a boost 22. 9% of the indu stry. Table 2 Category Hypermarket, Supermarket, & Discounters Convenience Stores & Gas displace fodder and Drinks Specialists Drug Stores & Health and looker Stores bills & Carries & Warehouse Clubs Other list source Datamonitor Europe food retail industry segmentation I% share, by value, 2009(e) % Share 48. 0% 22. 9% 14. 9% 3. 4% 1. 4% 9. 4% 100% DATAMONITORFigure 2 Europe food retail industry segmentation I% share, by value, 2009(e) etymon Datamonitor DATAMONITOR Europe feed sell Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 knave 11 MARKET SEGMENTATION II MARKET SEGMENTATION II Ger galore(postnominal) accounts for 14. 1% of the European food retail industry value. France accounts for a further 13. 5% of the European industry. Table 3 Category Germ some(prenominal) France Italy United Kingdom Spain Rest of Europe aggregate kickoff Datamonitor Europe food retail industry segmentation II % share, by value, 2009(e) % Shar e 14. % 13. 5% 12. 2% 11. 2% 7. 8% 41. 1% 100% DATAMONITOR Figure 3 Europe food retail industry segmentation II % share, by value, 2009(e) obtain Datamonitor DATAMONITOR Europe Food sell Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 rascal 12 louvre FORCES ANALYSIS FIVE FORCES ANALYSIS The food retail market go forth be analyzed taking supermarkets, hypermarkets and specializer retailers as players. The key buyers leave be taken as end-consumers, and food manufacturers, farmers, rustic co-operatives as the key suppliers. SummaryFigure 4 Forces driving competition in the food retail industry in Europe, 2009 stem Datamonitor DATAMONITOR The industry is becoming consolidated with large chain supermarkets or hypermarkets wielding more than power over smaller specialty, highlife or constituent(a) food outlets. In our analysis of the global food retail industry, retailers such as supermarkets, hypermarkets, and specialist outle ts, testament be taken as industry players and end-consumers will be understood as buyers. With a consort of different players deep d accept the industry, the size and financial strength of each varies accordingly.With consumers generally facing no cheering switch be, this buyer mobility forces bigger retailers to find attractive pricing schemes. Specialist, luxury, or essential retailers do not fount the same wrong sensitivity imputable to the incomparable level of product differentiation, yet due to the nature of such products, they exist more as niche markets and are not able to secure a large glitz of consumers. Specialist outlets may fill no choice barely to feed to pertinacious term supplier contracts in order to secure a unbendable supply of quality or particularly prepared products.Whereas, supermarkets and hypermarkets have a higher(prenominal) number of options and posterior hold looser relationships with a larger number of suppliers. Europe Food retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 13 FIVE FORCES ANALYSIS Where mark products attract loyal consumers, the distribution comport for manufacturers is protected and retailers face pressure to argumentation the popular items. With established supermarkets and hypermarkets present, say-so new entrants may struggle to compete with high-pressure marketing and pricing policies.No kaleheless, relatively let loose entry and exit be in spite of appearance the industry and the emergence of thriving wellness and ethical niches run examples of possible niches in which new entrants may flourish furnish from direct competition with current players. Food service (takeaways, vendors and restaurants) weed be seen as a substitute to food retail products still for the vast absolute majority of community it currently exists as an occasional coincidence earlier than a wholesale alternative. Subsistence commonwealth is a m ore direct substitute, sometimes replacing standard retail carriage outright, yet it is no longer common.The absence of switching costs for consumers ensures a agonistical climate within the food retail industry. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 14 FIVE FORCES ANALYSIS Buyer power Figure 5 Drivers of buyer power in the food retail industry in Europe, 2009 seminal fluid Datamonitor DATAMONITOR Retailers range broad(a)ly in size with large chain supermarkets or hypermarkets such as Tesco and Metro AG wielding power over smaller specialty, luxury or organic food outlets whose plumpling bag on the industry is real but currently limited.Accordingly, the financial muscle of industry players differs depending on the type of player. The sheer volume of potential nodes in key areas of the food retail industry diminishes the standing of some(prenominal) individual exerciseer. The revenue generate d by any particular consumer is minimal, but collectively they represent wider consumer interests and retailers cannot afford to disregard the sensitivities of buyers. Price and convenience are two central concerns however they are not necessarily the precept factors. A rise in wellness sense has driven a reading demand for nutritional quality in food products.The culture of convenience at a time faces the challenge of a counter-trend in which a shift back towards reinvigorated, simple or traditionally prepared foods undermines the retail put down of frozen foods and similar products. The emergence and development of ethical niches adds further momentum to this fecal matter within the industry. The response of food retailers must(prenominal) accommodate such diverse interests. A number of retailers operate incentive schemes for shit shoppers and this can help secure customer retention. By discouraging driftment crossways retail outlets, consumer mobility is reduced and, in the long term, buyer power can be weakened.Although high brand recognition does not automatically translate into consumer loyalty, if it is supported by a product range in which popular food products are central, the retailer can Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 15 FIVE FORCES ANALYSIS oft top indirectly on the loyalty dwelling that manufacturers have established. Specialty, luxury or organic retailers can, due to the high level of product differentiation, justify price levels that would otherwise be unsustainable yet the limited volume of consumers places restraints on the power of such players.Buyer power overall is moderate. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 16 FIVE FORCES ANALYSIS Supplier power Figure 6 Drivers of supplier power in the food retail industry in Europe, 2009 germ Datamonitor DATAMONITOR Suppliers to the food retail industry include food manufacturers, farmers, and untaught co-operatives. In order to ensure stableness and offset the dangers of local sourcing problems or price fluctuations, large retail companies often bind relationships with a wide range of suppliers.This diffuses habituation, minimizing the risks to retailers and strengthen their standing in relation to their suppliers. enormous term contractual obligations are avoided where possible, and switching costs kept to a minimum. With a firm hold on key distribution channels, the leadership retailers can govern negotiations with certain suppliers. This is often difficult for smaller retailers such as specialist, luxury or organic outlets. The limited number of suppliers in niche areas and the centrality of product quality or preparation type limits the for sale range of sourcing options.With switching costs subsequently higher, the balance of power shifts more or less from smaller retailers to sp ecialist suppliers. Whilst the need to quit consumer demand for popular products bolsters manufacturers, many others face the problem of a high degree of retailer mobility as they switch suppliers in accordance with pricing pressures. The position of many large retail companies has similarly been strengthened internally with a surge of own brand products sidelining certain suppliers. Suppliers who are able to distinguish their product can wield some power over retailers, should their product be popular with the end consumer.Supplier power overall is moderate. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 17 FIVE FORCES ANALYSIS New entrants Figure 7 Factors influencing the likelihood of new entrants in the food retail industry in Europe, 2009 bloodline Datamonitor DATAMONITOR Large-scale, established retailers hold a natural advantage in operating problemes that benefit significantly from economies of sc ale, employing rough pricing schemes that cannot be marked by smaller retailers. Strong branding exercises and disruptive paced amplification deepen this asymmetry.Nevertheless, large retailers are not invulnerable to the threat of new entrants. top and entry costs within the industry are relatively low, encouraging potential entrants. The rapid growth of health consciousness and a swell of ethical goods form attractive avenues for new entrants seeking to move into a niche area that passing plays implicit in(p) protection from pricing pressures and mainstream marketing. Given the front end of many large-scale retailers, and the security of dull branding, direct head-to-head competition is highly difficult for new retailers. Strong growth makes the market attractive to prospective new entrants.Overall, the threat of new entrants is moderate. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 18 FIVE FORCES ANALYSIS Substitutes Figure 8 Factors influencing the threat of substitutes in the food retail industry in Europe, 2009 Source Datamonitor DATAMONITOR The chief alternative to food retail is food service. Supported by salutary marketing campaigns in the case of fast food companies, and cultural traditions with respect to baby-sit restaurants, both types represent a pertinent alternative for many consumers.However, for the vast majority of people, these ac association food retail rather than replace it. A more direct substitute is found in subsistence tillage in which individuals or families farm food to provide for their own personal needs. This is no longer common, however, since the emergence of market capitalist economy and the impact of this substitute on food retail is fractional. Environmental concerns, increasing health consciousness, and fears over political or sparing instability may, in the long term, befuddle this substitute a more significant role.However, it is un likely to threaten food retailers in the foreseeable future being both labor intensive and often involving appreciable start-up capital. The threat from substitutes is weak to moderate. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 19 FIVE FORCES ANALYSIS aspiration Figure 9 Drivers of degree of rivalry in the food retail industry in Europe, 2009 Source Datamonitor DATAMONITOR Competition is often fierce within the food retail industry.The lack of substantial switching costs for consumers places pressure on retailers to secure their custom and loyalty. The limited level of differentiation across the basal product range pushes larger retailers into competitive pricing policies. The close similarity of players increases rivalry as they attempt to differentiate themselves through products and price to attract customers. Whilst some companies operate in other industries and can absorb the temporary impact of d eclining food sales, or high supply prices, for many, ood retail lies at the heart of the telephone line. This basic dependency gives rise to aggressive competition. Rivalry is strong overall. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 20 trail COMPANIES steer COMPANIES Metro AG Table 4 Metro AG key facts Schluterstrasse 1, 40235 Dusseldorf, DEU 49 211 6886 4252 49 211 6886 2001 www. metro pigeonholing. de December MEOG capital of Kentucky DATAMONITOR transport voice Telephone fax Website Financial year-end Ticker ancestry exchange Source social club websiteMetro assemblage (Metro) is a German divvy up and retail phoner organized into breakaway sales divisions. The group operates 2,195 outlets with or so 12,350,000 upstanding meters of selling quadruplet. It has a bearing in 33 countries in Western Europe, Eastern Europe, Asia and Africa. The alliance employs rough 300,000 people. Metro ope rates in four business segments Metro property & Carry, very, Media Markt and Saturn and Galeria Kaufhof. Metro Cash & Carry is diligent in cash and stretch forth wholesaling. operational under the brands of Metro and Makro, it is the groups biggest sales division.Metro Cash & Carrys medley of products is aimed at commercial and wholesale customers. It operates 665 stores in 30 countries. Real offers a range of food products and an assortment of non-food items. The selling space of the Real stores ranges from 5,000 to 15,000 upstanding meters, with store assortments including up to 80,000 items. Real is ground on a large-format hypermarket concept and operates 333 hypermarkets in Germany and 108 stores in Poland, Romania, Russia, Turkey and the Ukraine. Media Markt and Saturn sell consumer electronics across Europe. GaleriaKaufhof operates a chain of department stores in Germany and Belgium. The department stores offer modern lifestyle apparels for men and women and are pre sent in shop areas and downtown centers. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 21 leaders COMPANIES In supplement to these divisions, Metro provides real estate circumspection go through its subsidiary, Metro Group plus Management. The caller oversees more than 750 properties totaling viii one million million million square meters of commercial space worldwide.It also operates more than 70 shopping centers. Key Metrics The society enter revenues of $91,119 million in the financial year ending December 2009, a fall down of 3. 6% compared to fiscal 2008. Its crystalise income was $722 million in fiscal 2009, compared to a net income of $776 million in the preceding year. Table 5 $ million Metro AG key financials ($) 2005 77,482. 1 902. 4 40,000. 8 32,613. 0 246,875 2006 83,266. 6 1,658. 9 44,702. 2 36,293. 7 263,794 2007 89,461. 3 1,366. 9 47,099. 4 38,048. 6 275,520 2008 94,493. 6 775. 9 47 ,034. 0 38,941. 3 290,940 2009 91,118. 8 721. 7 46,814. 3 46,814. 286,091 tax revenues dinero income (loss) core assets Total liabilities Employees Source company filings DATAMONITOR Table 6 million Metro AG key financials () 2005 55,722. 0 649. 0 28,767. 0 23,454. 0 2006 59,882. 0 1,193. 0 32,148. 0 26,101. 0 2007 64,337. 0 983. 0 33,872. 0 27,363. 0 2008 67,956. 0 558. 0 33,825. 0 28,005. 0 2009 65,529. 0 519. 0 33,667. 0 33,667. 0 Revenues Net income (loss) Total assets Total liabilities Source company filings DATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 22LEADING COMPANIES Table 7 proportion Metro AG key financial ratios 2005 1. 2% 4. 2% 1. 5% (0. 2%) 81. 5% 2. 3% $313,851 $3,655 2006 2. 0% 7. 5% 11. 8% 11. 3% 81. 2% 3. 9% $315,650 $6,289 2007 1. 5% 7. 4% 5. 4% 4. 8% 80. 8% 3. 0% $324,700 $4,961 2008 0. 8% 5. 6% (0. 1%) 2. 3% 82. 8% 1. 6% $324,787 $2,667 2009 0. 8% (3. 6%) (0. 5%) 20. 2% 1 00. 0% 1. 5% $318,496 $2,523 advantage shore Revenue growth Asset growth Liabilities growth Debt/asset ratio conk on assets Revenue per employee pull in per employee Source company filings DATAMONITOR Figure 10 Metro AG revenues & profitabilitySource company filings DATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 23 LEADING COMPANIES Figure 11 Metro AG assets & liabilities Source company filings DATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 24 LEADING COMPANIES hybridization S. A. Table 8 intersection S. A. key facts 26 quai Michele, TSA 20016, 92695 Levallois-Perret Cedex, FRA 33 1 55 63 39 00 www. carrefour. com December CA genus Paris DATAMONITOR send office Telephone Website Financial year-end Ticker Stock exchange Source company website convergence is one of the take food product and consumer goods di stribution groups in the world. The group operates more than 15,000 stores. interbreedings special grocery formats includes hypermarkets, supermarkets, fleshy discount and convenience stores. Carrefour in the beginning organizes its business segments based on geographical presence France Europe excluding France Asia and Latin America. In step-up, the groups business operation can be segmented on the basis of its store formats (as mentioned in the previous paragraph).Carrefour is the conduct hypermarket retailer in the world. The group operates round 1,302 hypermarket stores across the world, of which 228 hypermarkets are in France, 494 in European countries outside France, 288 in Latin America, and 292 in Asia. In Brazil, the group operates its hypermarket business under the Atacadao brand name these hypermarkets offer a range of competitively priced companyowned and mark products in both food and non-food categories. In addition, the hypermarkets also offer operate like i nsurance, financial services, plaza computer support, travel and entertainment reservations and winding phones.The group operates approximately 2,919 supermarket stores in 11 countries under the banners Carrefour Express, Carrefour market, GB, GS and Champion. The supermarkets offer a wide distinguishion of mostly food products and some non-food products related to apparel, culture and leisure, and tableware. Carrefours hard discount segment, Dia, operates just well-nigh 6,252 hard discount stores in Spain, France (under Ed and Dia brands), Portugal (under Minipreco brand), Greece, Turkey, Argentina, Brazil and China. The groups hard discount stores offer a range of food, basic health, and cleaning products at discounted rates. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 25 LEADING COMPANIES The groups other activities comprise convenience stores, cash and carry foodservice stores, and ecommerce retail fo rmat. Carrefour operates about 4,813 convenience stores and gross cash and carry stores. Convenience stores are mainly operated by the franchisees under the banners Marche Plus, Shopi, 8 a Huit and Proxi in France DiperDi in Italy Carrefour Express and Carrefour GB in Belgium Carrefour 5 Minut stores in Poland Carrefour City stores in Spain and Carrefour accessible Buy in Thailand.These stores primarily offer a wide selection of food products these also offer a range of services such as home delivery, dry cleaning, 48-hour photo development, ticket distribution, photocopying, stamps and newspapers. Cash and carry foodservice stores provide wholesale and retail self-service mainly intended for businesses. Carrefour operates cash and carry foodservice stores under the trade name Promocash. Most of the cash and carry stores are operated by franchisees. In addition to the above mentioned store formats, Carrefour also sells its products through various ecommerce websites.Carrefour opera tes an online grocery store, Ooshop, a leading French online supermarket in terms of sales. It supports customers to shop on the Internet, and select from product listings including fresh and frozen items, at the same price as they would devote in Carrefours hypermarkets, with the added benefit of home delivery. Carrefour France hypermarkets non-food website, CarrefourOnline. com, offers products such as leisure products (DVDs, games, software, music, books and more), audio preserve and video, household electrical goods, as well as music downloads and even blush and bicycle delivery.Carrefour. es, the groups e-commerce website in Spain, offers both food and non-food products. Key Metrics The company preserve revenues of $119,533 million in the fiscal year ending December 2009, a diminish of 2. 6% compared to fiscal 2008. Its net income was $608 million in fiscal 2009, compared to a net income of $2,140 million in the preceding year. Europe Food Retail Datamonitor. This prof ile is a licensed product and is not to be photocopied 0201 2058 2009 Page 26 LEADING COMPANIES Table 9 $ million Carrefour S. A. key financials ($) 2005 116,399. 7 2,199. 8 64,311. 1 51,259. 436,474 2006 121,561. 3 3,381. 2 66,093. 8 48,356. 4 456,295 2007 128,305. 2 3,447. 4 72,212. 0 57,385. 0 490,042 2008 122,678. 1 2,139. 7 72,420. 6 57,191. 7 495,000 2009 119,532. 5 607. 7 71,685. 0 56,229. 5 495,000 Revenues Net income (loss) Total assets Total liabilities Employees Source company filings DATAMONITOR Table 10 million Carrefour S. A. key financials () 2005 83,710. 0 1,582. 0 46,250. 0 36,864. 0 2006 87,422. 0 2,431. 6 47,532. 0 34,776. 0 2007 92,272. 0 2,479. 2 51,932. 0 41,269. 0 2008 88,225. 2 1,538. 8 52,082. 0 41,130. 0 2009 85,963. 0 437. 0 51,553. 0 40,438. 0Revenues Net income (loss) Total assets Total liabilities Source company filings DATAMONITOR Table 11 Ratio Carrefour S. A. key financial ratios 2005 1. 9% 2. 8% 9. 4% 7. 5% 79. 7% 3. 6% $266,682 $5,040 2006 2. 8% 4. 4% 2. 8% (5. 7%) 73. 2% 5. 2% $266,409 $7,410 2007 2. 7% 5. 5% 9. 3% 18. 7% 79. 5% 5. 0% $261,825 $7,035 2008 1. 7% (4. 4%) 0. 3% (0. 3%) 79. 0% 3. 0% $247,835 $4,323 2009 0. 5% (2. 6%) (1. 0%) (1. 7%) 78. 4% 0. 8% $241,480 $1,228 Profit margin Revenue growth Asset growth Liabilities growth Debt/asset ratio Return on assets Revenue per employee Profit per employee Source company filingsDATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 27 LEADING COMPANIES Figure 12 Carrefour S. A. revenues & profitability Source company filings DATAMONITOR Figure 13 Carrefour S. A. assets & liabilities Source company filings DATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 28 LEADING COMPANIES Lidl Dienstleistung Table 12 Lidl Dienstleistung key facts Rotelstrasse 30, 74166 Neckarsulm, DEU 49 732 30 6060 www. idl. de December DA TAMONITOR Head office Telephone Website Financial year-end Source company website Lidl & Schwarz Stiftung (Lidl) operates a chain of grocery stores. The company primarily operates in Europe. Lidl operates about 6,800 deep-discount department stores and no-frills Lidl supermarkets throughout Europe. In Germany it operates about 3,100 stores. The company offers about 800 different products in its stores mostly under Lidls own brand. These include dairy products, frozen foods, sausages, fresh meat and poultry, fruit and veg delivered fresh every day, and a range of breads.Lidl is also expanding its presence into Denmark, Hungary, Norway, and Slovenia. Key Metrics Financial randomness for this company is unavailable. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 29 LEADING COMPANIES Tesco PLC Table 13 Head office Telephone Website Financial year-end Ticker Stock exchange Source company website Tesco PLC key facts New Tesco House, Delamare Road, Cheshunt, Hertfordshire, EN8 9SL, GBR 44 1992 632 222 www. tescoplc. com February TSCO London DATAMONITOR Tesco is a leading food and grocery retailer.The company operates 4,331 stores in 14 countries worldwide. It operates in the UK, other European countries, the US and Asia. The company operates in a mavin segment retail. However, Tescos operations can be examined by the store formats operated by it Express, Metro, Superstore, additional and Homeplus. The company has over 960 Express stores (up to 3,000 sq ft) offer fresh food at satisfied locations. These stores sell a range of up to 7,000 products including fresh find, wines and spirits and bakery products. The company has over 170 Metro stores (approximately 7,000-15,000 sq ft) in town and city centre locations.It offers a tailored range of food products including ready-meals and sandwiches. Tesco operates about 450 superstores (approximately 20,000-50,000 sq ft) at which it offers food as well non-food products such as DVDs and books. Tescos Homeplus stores (approx. 35,000-50,000 sq ft) are utilise to non-food including clothing. Tesco has more than 175 Extra stores (approximately 60,000 sq ft and above) which offer a variety of food and non-food product lines ranging from electrical equipment to homewares, clothing, health and beauty, and seasonal items such as garden furniture.Additionally, about 115 Extra and Homeplus stores have opticians and around 270 of them have pharmacies. In addition to stores, Tesco offers sell services through its online shopping channels, tesco. com and Tesco Direct. The company also provides broadband internet connections (Tesco broadband) and telecommunications services (Tesco Mobile and Home Phone) through a 50-50 joint venture with O2, a mobile phone company. Tesco also provides financial services through Tesco Personal Finance (TPF) which offers a choice of 28 products ranging from savings accounts and mention cards to car and t ravel insurance.All its financial products are also available for online purchase. Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 30 LEADING COMPANIES Key Metrics The company save revenues of $84,676 million in the fiscal year ending February 2009, an increase of 14. 9% compared to fiscal 2008. Its net income was $3,376 million in fiscal 2009, compared to a net income of $3,320 million in the preceding year. Table 14 $ million Tesco PLC key financials ($) 2005 57,602. 2 3,042. 4 31,811. 6 17,695. 242,980 2006 67,234. 5 3,553. 7 35,167. 3 20,447. 6 273,024 2007 66,461. 4 2,959. 8 38,664. 9 22,188. 6 318,283 2008 73,720. 0 3,319. 9 47,014. 4 28,463. 7 345,737 2009 84,675. 6 3,376. 0 71,779. 5 52,460. 3 364,015 Revenues Net income (loss) Total assets Total liabilities Employees Source company filings DATAMONITOR Table 15 ? million Tesco PLC key financials (? ) 2005 36,957. 0 1,952. 0 20,410. 0 11,353. 0 2006 43,1 37. 0 2,280. 0 22,563. 0 13,119. 0 2007 42,641. 0 1,899. 0 24,807. 0 14,236. 0 2008 47,298. 0 2,130. 0 30,164. 0 18,262. 0 2009 54,327. 0 2,166. 46,053. 0 33,658. 0 Revenues Net income (loss) Total assets Total liabilities Source company filings DATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 31 LEADING COMPANIES Table 16 Ratio Tesco PLC key financial ratios 2005 5. 3% 10. 1% 10. 9% 6. 4% 55. 6% 10. 1% $237,066 $12,521 2006 5. 3% 16. 7% 10. 5% 15. 6% 58. 1% 10. 6% $246,259 $13,016 2007 4. 5% (1. 1%) 9. 9% 8. 5% 57. 4% 8. 0% $208,812 $9,299 2008 4. 5% 10. 9% 21. 6% 28. 3% 60. 5% 7. 7% $213,226 $9,602 2009 4. % 14. 9% 52. 7% 84. 3% 73. 1% 5. 7% $232,616 $9,274 Profit margin Revenue growth Asset growth Liabilities growth Debt/asset ratio Return on assets Revenue per employee Profit per employee Source company filings DATAMONITOR Figure 14 Tesco PLC revenues & profitability Source company filings DATAMON ITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 32 LEADING COMPANIES Figure 15 Tesco PLC assets & liabilities Source company filings DATAMONITOR Europe Food Retail Datamonitor.This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 33 MARKET FORECASTS MARKET FORECASTS Market value forecast In 2014, the European food retail industry is forecast to have a value of $2,477. 4 billion, an increase of 49% since 2009. The compound annual growth rate of the industry in the period 200914 is predicted to be 8. 3%. Table 17 Year 2009 2010 2011 2012 2013 2014 CAGR 200914 Source Datamonitor Europe food retail industry value forecast $ billion, 200914 $ billion 1,663. 1 1,811. 4 1,978. 0 2,161. 3 2,359. 7 2,477. billion 1,196. 1 1,302. 7 1,422. 5 1,554. 3 1,697. 0 1,781. 6 % Growth 8. 5% 8. 9% 9. 2% 9. 3% 9. 2% 5. 0% 8. 3% DATAMONITOR Figure 16 Europe food retail industry value forecast $ billion, 200914 Source Datamonitor DATAMONITOR Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 34 APPENDIX APPENDIX Methodology Datamonitor Industry Profiles spend a penny on huge primary and alternative research, all aggregated, analyzed, cross-checked and presented in a reproducible and accessible style.Review of in-house databases Created using 250,000+ industry interviews and consumer surveys and supported by analysis from industry experts using highly complex manikin & prevision tools, Datamonitors in-house databases provide the al-Qaida for all related industry profiles propaedeutic research We also maintain extensive in-house databases of news, analyst commentary, company profiles and macroeconomic & demographic info, which enable our researchers to build an accurate market overview Definitions Market definitions are standardized to allow comparison from country to country.The parameters of each definition are carefully reviewed at the start of the research process to ensure they match the requirements of both the market and our clients Extensive secondary research activities ensure we are of all time fully up-to-date with the latest industry events and trends Datamonitor aggregates and analyzes a number of secondary data sources, including National/Governmental statistics International data (official international sources) National and International trade associations Broker and analyst reports Company one-year Reports employment education libraries and databasesModeling & forecasting tools Datamonitor has developed powerful tools that allow numerical and qualitative data to be feature with related macroeconomic and demographic drivers to realise market models and forecasts, which can then be refined according to specific competitive, regulative and demand-related factors Continuous quality control ensures that our processes and profiles roost focused, accur ate and up-to-date Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 35 APPENDIX Industry associations spherical Food Marketing Institute 655 fifteenth Street, NW, Washington DC, 20005 Tel. 001 202 452 8444 Fax 001 202 429 4519 www. fmi. org/ CIES The Food Business Forum 7, rue de Madrid 75008 Paris FRANCE Tel. 0033 1 4469 8484 Fax 0033 1 4469 9939 www. ciesnet. com EuroCommerce route des Nerviens 9-31, B-1040 Brussels, Belgium Tel. 0032 2 737 0598 Fax 0032 2 230 0078 www. eurocommerce. be Related Datamonitor research Industry Profile Food Retail in Western Europe Food Retail in Asia-Pacific Food Retail in the US Europe Food Retail Datamonitor. This profile is a licensed product and is not to be photocopied 0201 2058 2009 Page 36APPENDIX Disclaimer All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means, electronic, mechanica l, photocopying, recording or otherwise, without the prior permission of the publisher, Datamonitor plc. The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that the findings, conclusions and recommendations that Datamonitor delivers will be based on information garner in good faith from both primary and secondary sources, whose accuracy we are not always in a position to guarantee.As such Datamonitor can accept no liability any(prenominal) for actions taken based on any information that may subsequently prove to be incorrect. Europe Food Retail Datamonitor. 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