Discount retail is the first to report growth in sales for 2009, the first year when the major store chains experienced a drop in consumption. The biggest operator of discount stores, Penny Market, reached 1.7 billion RON (400 million-euro turnover) last year, up 23% compared with the decline posted in 2008. The advance in euros stood at 7%.
"Sales saw a significant increase in the stores opened in 2007 and 2008, as well, while those stores opened even earlier posted 5.3% business growth in 2009, compared with the previous period," said Marcel Thiele, CEO of Penny Market, which comprises 100 stores. Penny Market is held by German group Rewe, the second leading player in the Romanian trade. Carrefour, the third leading retailer in Romania posted 4.6% decline in sales in euros and about 9% increase in sales in RON in 2009, while continuing to make investments in expansion.
The discount retail might be the only market segment in the local trade sector to have posted organic growth in 2009, the first year when the major chains saw decline in consumption in Romania.
The other discounters operating on a market that ZF put at one billion euros, Plus, Profi and Minimax expected sales growth last year, as well, but Penny Market is the first to announce 2009 results.
The business of the retailer went up by 7% if calculated in euros last year, a pace calculated in line with the average exchange rate announced by the NBR.
"Last year we posted gross sales of 1,699 million RON compared with the 1,376 million RON value in 2008. Part of the growth was because of the expansion of the network, but one quarter of the store openings of 2009 were done in December, and thus did not contribute much to the turnover," Marcel Thiele said.
The French at Carrefour were the first food retail chain to announce 2009 financials last week. Carrefour saw its busines
