Despar launches an investment plan with an endowment of 100 million to develop the network and potential offer of its own brand products. Over the course of the year, 35 supermarkets will be inaugurated and another 33 stores will be renovated. On the results front, Despar Italia, a consortium company that brings together six food distribution companies and their affiliates under the Despar brand, closed 2023 with revenues of 4.4 billion euros, up 5.6% compared to 2022. A result contributed to by a significant consolidation of the sales network in all the territories covered by the member companies, including new openings (56) and restyling of stores (34) and the important contribution of the branded product, the strategic growth driver of the brand, which achieved revenues of 1 billion and a market share of 22.4%. Almost two thirds of the revenues were achieved in direct sales points while the affiliates achieved a 57% growth in turnover between 2019 and 2023. The distribution of takings by brand sees 35% generated by Despar stores, a brand that identifies the neighborhood supermarket of up to 800 square metres, 38% by Eurospar stores (medium sized supermarket between 800 and 2,000 square metres) and 27 % from Interspar sales points (the large supermarket, over 2 thousand m2). The positive trend is recorded in all store formats, with the medium-sized ones, the Eurospars, recording the best growth performance (+6.7% compared to 2022), also driven by solid growth of the network. During the year, the staff increased by over 300 workers, slightly exceeding 14,500 workers.
The development strategy
«In 2024 we expect to exceed 4.5 billion in collections, with approximately 100 million euros of investments in expanding the sales network – says Filippo Fabbri, General Director of Despar Italia -. The development of the brand product will continue to be one of our strategic growth drivers with the aim of exceeding one billion euros in revenues in 2024 and reaching a market share of 25% of our MDD products by 2025. Ambitious prospects that we aim to achieve in a market context that is certainly challenging, but where we are certain that we can assert ourselves with ever greater strength by leveraging our strengths: quality, convenience, valorisation of Italian supply chains and products and an ever closer bond with customers and with the territories in which we operate”. The branded product plays a central role in the development path of the brand which has reached an MDD share of 22.4%, up 1 point compared to 2022 (Source NielsenIQ), recording positive performances in both value and volume. Sales of Despar brand products in 2023 will reach one billion with an increase of 12.8% compared to 2022, while volumes increased by 7.1% compared to the previous year. There are 16 Despar MDD lines for over 4,700 references. The product lines that recorded the best performances were the mainstream Despar range, with growth in value of +16%, the Despar Premium line, dedicated to gastronomic excellence, +7% in value, the Food to go line, Enjoy, which, thanks also to the launch of new products, grew in value by +55% and in volume by +83%, and finally the Free from health line, which grew by 20% in value and 22% in volume. A growth path that Despar Italia intends to pursue also in 2024 with the launch of over 200 new references, in addition to the updating of existing lines, looking at new market trends and segments with interesting growth spaces such as premium and specialized assortments, such as for example organic and functional, products with a higher protein content or the range of medium-high range products that enhance short supply chains and typical local products that have always been in the brand’s DNA.
«In an increasingly changing context, influenced by events of which we are all fully aware and suffered by all – concludes Gianni Cavalieri, President of Despar Italia – our Group has continued to grow thanks to the dedication and constant commitment of all the member companies who operate daily in the area to consolidate and promote the Despar brand. A common effort which, together with our partner suppliers, allows us to pursue our objectives, first and foremost that of increasingly expanding and consolidating our range of branded products, a distinctive feature of Despar and an element of recognition of our brand. An ambitious project that we aim to achieve through constant commitment to innovation, sustainability and the promotion of ever greater synergies between all our members and, above all, with partner producers, both on a commercial and communicative and relational level, enhancing the principles and values that have always distinguished Despar.”
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2024-04-18 23:15:34
