Over the next few years, Coop pays half a billion supermarkets – competitor Norgesgruppen pays even more



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– We are going to bet on supermarkets. Over five years, we will grow from 76 Coop Mega to 100 stores. With the right hand, people will again choose supermarkets.

Enthusiastic, Daniel Kyrre Pedersen, mega chef of Coop, presents one of the successful stores, Coop Mega Nydalen, a former Ica store. After converting to a small supermarket, sales rose 60 percent.

The optimism, despite recent figures, shows that supermarkets continue to lose ground against so-called low-cost stores, which are to a greater extent than supermarkets eager to win price warnings .

In Nielsen's report on the grocery industry, which came Wednesday, the Kiwi, Extra and Cheap Rema, which have the largest increase in market share at the end of the second quarter, compared to last year. Here is the Rema 1000, with Extra, which rose the most with a positive change of 0.5 percentage point after the heavy year of the chain.

The Coop Mega and Menu supermarkets, on the other hand, continue to fall and lost respectively 0.1 and 0.4 points of market share. However, this does not prevent Coop and Norgesgruppen-Styrte Meny from investing in department stores with large, fresh discs.

Chain market share 2017 (2nd quarter) market share 2018 (2nd quarter) 12.4 12.9 0.5
Rema 1000 (low cost) 23.7 21.1 21.5 0.4
Extra (low price) 24.1 0.5
Menu (supermarket) 10.6 10.3 -0.3
Mega Cooperative 4.0 3.9 -0.1 [19659030] Popular Salad Bar

Students Jørgen Kasbo and Thea Lien were stuck a bit by chance at the supermarket in Nydalen on the bathing path.

– The salad bar! We felt like we entered the store, "said the students.

They do not think they have chosen a supermarket.They usually choose the nearest store.

Coop's experience in the transformation of this store becomes important when Coop builds brand new supermarkets.

– The salad bar and hot cupboard for bakery products are something that we have tested in this store, and that s & # The two parties go to our new stores, "says Pedersen

The past 15 years have been difficult for supermarkets that have lost large market shares. Cheap stores took big jafs and coup d'etat 65 percent of the market. In addition, border trade has increased by almost 30 percent between 2012 and 2017, according to Statistics Norway statistics.

40 New Product Stores

– In a market where 556 stores have been open in recent years, we mean we have a good speed on the menu, "said Vegy Kjuus, Meny's director.

He believes that the Norwegian grocery market is focused on prices [1965-19002] – We still believe that there is room for 40 new menu stores, says Kjuus.

Today, the chain has 192 stores. Last year, they lost eight stores and opened three but created 55 new supermarkets in the last decade.

Meny invested NOK 300 million each year in new stores, upgrades, maintenance or concept development. We will continue with that. Mega will run fast if we want to take us back, said Kjuus.

Future supermarket

Coop is more concerned with the fight against the low cost than taking shares of the competing Menu.

Over the next few years, Pedersen will open at least six new supermarkets in Oslo. Many will have elements Coop believes to be the supermarket of the future.

In 2022 he opened the flagship store in Økern, a brand new 3500 m² store. Here we will think that it is new.

– We believe that the store of the future uses technology in a different way than what we can do today, Pedersen says, showing the design of a computer controlled basket. door, the basket will know what kind of commodities you need. You say OK and while the basket sells the goods, you can buy cheese in our dairy, fresh meat, choose seasonal salad among seasonal products or have a cup of coffee in the brenner. "

Coop has about you, overall over time.Today, they have a lot of information, but for the moment they have not used much.

collection of specialty stores

– While you are taking the cup of coffee, you can also get tips for dinner today, whether you want to do it yourself and a cart, or that

– Why should Norwegian consumers choose supermarkets over cheap stores like Extra, Rema and Kiwi?

– It is clear that more and more foods are more concerned.There has never been any other food programs on TV, we are traveling more and we are going to great restaurants.No matter how much the cost low goes, they can never match the selection, quality, service and knowledge, by example, fresh dishes in supermarkets. "

– Tempting

Astri Møen agrees, just moved to Nydalen and fell in love with the salad bar, which attracts her here almost every day.

– The most important, it's that the store is tempting, I do not think the discount stores are .. Here I see that they have items you find in the deli stores, "she says showing the fish dish.

She brings the fishing balls to Rørvik, which she could find in Fjellberg and in other specialized shops.

– I use them in the fish soup. am fond of food and busy with good food.I think about the economy, but above all about quality, says Møen

Growth of 20 to 30%

Coop has a good experience with the shops Ica Supermarket, become Coop Mega, they have recorded a growth rate between 20 and 30%

– Why Coop i Does it tell supermarkets that all figures show for several years that consumers buy in low-cost stores?

to the detriment of everything else. Today, people often have 3-4 stores in the immediate vicinity, but they give nothing but rancor. It's very sad, says Pedersen.

An expert believes that Coop can succeed

Arne H. Reiler, food expert at Effecto Consulting, worries about the disappearance of supermarkets for almost 15 years. Now, he praises the Coop company.

– What Coop did with the little extra price, shows that Coop can when they want. In the past, they suffered from a poor presence in the central-eastern region, says Reiler.

However, there is a break in the sea. Price

– The focus on prices is barely inaccessible. Until now, people choose a store based on price tests and not the supplement that a supermarket can offer. But we hope that many of us enjoy the best stores that retailers, says Reiler.

He does not think that the main competitor, Menu, which is controlled by the Norgesgruppen, will be the biggest challenge

– Is there a good cheap shop? Nearby, the competition is tough, says Reiler and draws Coop's Extra Initiative as a difficult challenge for Coop Mega.

– Cheap stores have improved and especially Extra has invested heavily in a wide selection. You should have special wishes if you do not find what you want in an extra store, "says Reiler.

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