Metro Cash & Carry implements new private label strategy

Metro Cash & Carry has unveiled a new private label strategy that encompasses six key brands specifically designed by the company to meet the needs of professional customers. Their unique characteristics are: a balanced assortment, a clear customer focus and a competitive price.

The new private label portfolio is being implemented in all 30 countries of presence, the company's press service reports.

"By launching a new private label strategy, we are further focusing on the needs of our professional clients such as hotels, restaurants, retailers and offices. Our knowledge and understanding of their business has helped create a high-quality, user-friendly and unique product range," said Frans Muller, chief executive of Metro Cash & Carry International and member of the Board of Directors of the Metro Group. “Given their attractive price point, Metro's private labels will help our customers grow their business as much as they can.”

Balanced portfolio of six exclusive brands

Metro Cash & Carry's new private label (PL) development strategy foresees a reduction in their number and a focus on six brands. Thus, the private label portfolio acquires a clear and understandable structure for the target customer groups. The company's brands are developed in close collaboration with customers who have identified their top needs for product quality, use, packaging and price. In addition, Metro Cash & Carry has conducted a variety of market research as well as in-depth internal and external laboratory tests.

The results of these studies and surveys formed the basis of the development strategy for the following six private labels:

1. Aro is sold at an input price (below the average market price) and offers guaranteed quality food and non-food products.
2. fine food offers high quality products for brick-and-mortar grocery retailers and gas stations.
3. Horeca Select provides catering establishments with high-quality food and non-food products for professional use in the kitchen.
4. H line covers a range of food and non-food products that form a turnkey business solution for hotels, cafes, restaurants and catering companies. The combination of professional look and ease of use of H-Line products is a good alternative to franchising.
5. Rioba presents an exclusive range of products related to coffee and cocktails for bars, cafes, restaurants, hotels, service companies and offices.
6. Sigma offers exclusive products to ensure the daily work of offices. Sigma targets all customer groups and helps them run their business.

Sales share growth

All six private labels offer a balanced combination of innovation, ease of use and competitive pricing. On average, the price of goods under the brands of the company is 10-20% lower than the cost of similar branded products, while the quality of Metro goods is comparable to the highest standards in the market. This is ensured by strict quality requirements, as well as a well-established system of its control.

“The new approach allows us to offer true added value to professional clients. Which is especially important in an economic downturn,” said Thomas Rudelt, Head of Corporate Governance at STM. “We are confident that our private labels will be well received by customers.”

Until 2012, Metro Cash & Carry intends to increase the share of private label sales in total sales from 10% to 20% at the international level. Based on 2008 figures, this is estimated to be around 6 billion euros. The new private label portfolio is now being rolled out in all 30 countries in which Metro operates.

An integral part of the company's strategy

The new approach to private label development is an important part of Metro Cash & Carry's overall strategy. To ensure continued growth, the company pays even more attention to the wishes of its customers: restaurants, hotels, retailers, service companies and offices. Along the way, the company has already taken significant steps such as improving its private label development strategy, modernizing the retail space of stores, implementing a delivery project and customer service departments, while Metro continues to offer competitive prices and a well-planned assortment. Together, these measures will help Metro Cash & Carry cement its position as the leader in the wholesale market.

Reference: Metro Cash & Carry operates 660 wholesale centers in 30 countries. The company employs more than 100,000 people and generated sales of 33.1 billion euros last year. Metro Cash & Carry is a trading division of the German Metro Group, one of the largest international trading companies in the world. In 2008, Metro Group sales reached 68 billion euros. About 300,000 employees work in 2,200 stores of the company in 33 countries. The Metro Group includes the following sales divisions: Metro/Makro Cash & Carry - the international leader in wholesale trade, hypermarkets Real, Media Markt and Saturn - the European leader in the home appliances market and department stores Galeria Kaufhof

In METRO Cash and Carry hypermarkets you can buy goods of your own brands. This product is cheaper than similar products from other manufacturers. At the same time, it is of high quality and will suit you perfectly, whether you are an individual and buy it for yourself, or a legal entity and buy it for sale.

METRO private labels

METRO Chef

Products: meat, cold cuts, meat delicacies, fresh and frozen fruits and berries, fresh and frozen vegetables and mushrooms, fish and seafood, bread and bakery products, groceries, cheese, butter, eggs, milk and dairy products, confectionery, sweets, cookies, cakes, marshmallows, pastries, pizza, pancakes, dumplings, dumplings, sauces and seasonings, ketchup, mayonnaise, sauces, seasonings, marinades.

METRO Professional

Specialized non-food products for the restaurant and hotel business: dishes, textiles, garden products, professional equipment.

METRO PREMIUM

An exquisite range of premium products for connoisseurs of high gastronomy: cheese, eggs, olive oil and much more. Unrivaled quality for a delightful culinary experience.

ARO

Products of the low price segment: meat, fish and seafood, fruits and berries, dairy products, cheese, butter, eggs, bread and bakery products, drinking water, groceries, semi-finished products, sauces and seasonings, tea, coffee, confectionery, juices, fruit drinks , nectars, office goods, dishes, household chemicals, household goods, car goods, textiles, garden and summer cottages, pet goods.

FINE LIFE

Products of the middle price segment: meat, fish and seafood, vegetables and mushrooms, fruits and berries, dairy products, cheese, butter, eggs, juices, fruit drinks, nectars, bread and bakery products, groceries, semi-finished products, sauces and seasonings, tea, coffee , confectionery, diet food.

RIOBA

A complete business solution: from preparing fresh coffee and original cocktails to serving them. Excellent quality comparable to premium brands. Goods: coffee, tea, juices, fruit drinks, nectars, drinking water, confectionery, dairy products, semi-finished products, sauces and seasonings, groceries.

SIGMA

Assortment of stationery and office equipment. Quality and functionality at affordable prices.

Goods: office supplies, stationery, folders and archiving systems.

Tarrington House

A wide range of dishes and textiles for the home, as well as seasonal goods and furniture for outdoor recreation. Stylish design at attractive prices. For comfort at home and in the country.

Additional METRO own brand names also exist. These products are designed to meet the personal needs of the company's customers.

Felsgold

Assortment of beer produced in France, Germany. The products are of high quality and attractive prices. The composition uses natural ingredients.

Alcoholic drinks

A wide range of wines from different countries. Various types of strong alcohol
Exclusive offer. High quality.

TAILOR & SON

A wide range of clothing for men. It is distinguished by stylish design and attractive prices. You can buy products made from cashmere, pure wool and other quality materials.

LAURA DI SARPI

A wide range of women's clothing and underwear. Stylish design at attractive prices. Best choice for material: cashmere, pure wool, etc.

AUTHENTIC

A wide range of quality women's and men's clothing for everyday life, as well as underwear. Products are produced in the low and medium price segment.

METRO GROUP is a group of German companies that controls the third largest European retail chain and the fourth largest in the world. The business format of Cash & Carry stores provides for small-scale wholesale trade in food products, household chemicals and household goods. The total network of the company includes more than 750 shopping complexes in 26 countries of the world, its turnover exceeds €30 billion. The total number of METRO employees is about 112,000 people.

The effective work of the entire holding is achieved thanks to the strong position of the group's trading divisions, which are engaged in the market with independent activities in their own segments. The holding also includes Real hypermarkets, MakroCash & Carry self-service stores, Saturn household appliances supermarkets. In addition, the company is engaged in the promotion of its own brands, developed on the basis of a study of customer demand. The quality of such goods is subject to regular checks and complies with generally accepted international standards.

Story

Professor Otto Beisheim became the founder of the famous world brand Metro Cash & Carry. It happened in Germany in 1963. Five years later, the concept of Cash & Carry began to spread outside the country. The company's shares are listed on the stock exchange in Frankfurt.

The activity of METRO GROUP in Russia started in 2000, it became the 21st country where the group continued its expansion. In 2001, two shopping centers were opened in Moscow at once.

Network structure

In Russia, as of the beginning of 2016, there were 86 Cash & Carry hypermarkets covering 48 regions of the country. Of these, 12 are located in the Moscow District, three each in the region of St. Petersburg, Novosibirsk and Yekaterinburg. In addition, they are in Kazan, Rostov, Nizhny Novgorod, Samara, Krasnoyarsk, Omsk, Ufa. The company employs 20,000 people. Sales for 2014 in Russia exceeded 209.45 billion rubles. The trading area of ​​one store is about 10 thousand m². The assortment line is represented by 60,000 goods of Russian and foreign production, including own brands.

BRIEFLY ABOUT THE NETWORKMETROCASH& CARRY

Metro Cash&Carry is an international network of small wholesale stores in the FMCG segment. According to the results of 2011, it takes the 4th place in the annual industry-wide generally recognized rating of the largest retailers in Russia INFOLine & Retailer Russia TOP-100. It is part of the Metro Group, which is the world's third largest retail company in terms of turnover (66.7 billion euros in 2011).

Metro Group was founded in 1996 from the merger of Metro Cash & Carry, Kaufhof Holding AG and Asko Deutsche Kaufhaus AG. Subdivisions of the Metro Group are represented by 2200 shopping centers in 33 countries. The number of employees is about 280,000 people (Metro Group in Russia - 23 thousand people). The structure of METRO Group includes the following trading divisions, each operating in a specific market segment:

• Metro /Makro Cash & Carry - the international leader in small wholesale trade in the Cash & Carry format;
• hypermarkets Real;
• MediaMarkt/Saturn - operator in the market of electronics and home appliances;
• Galeria Kaufhof - department stores.

Metro Cash & Carry has been present in Russia since 2000, when the company's head office was registered in Moscow. In November 2001, the first two Metro Cash & Carry outlets opened in Moscow.

As of July 1, 2012, METRO Cash & Carry LLC manages 65 hypermarkets in 42 regions of Russia in the Volga, Northwestern, North Caucasian, Siberian, Urals, Central and Southern federal districts. The total retail space of the company is 522.9 thousand square meters. m. In May 2012, the first store of the new network format was opened - the Metro Punct supermarket. The number of assortment positions in Metro Cash & Carry hypermarkets is 25-35 thousand units, the number of SKUs in the Metro Punct supermarket is 4.1 thousand units. The company's online store operates in Russia www.metro-brand.en,

According to the INFOLine&Retailer Russia TOP-100 rating, the net revenue of the Metro Cash & network in 2011 reached 140 billion rubles, an increase of 3% compared to 2010. When compiling the rating, INFOLine specialists use data from financial statements of retailers, expert surveys and interviews with chain representatives, their press releases, materials from websites, prospectuses and investment memorandums, as well as data from INFOLine’s own research within the scope of “Retail” and own archive of materials since 2001, analyze the operational and financial performance of more than 1,000 retail chains in Russia related to all retail segments, except for sales of cars and motorcycles, as well as motor fuel.

Metro Cash & Carry has been developing private labels in Russia since 2001, when the company entered the Russian market. In September 2011, the network was awarded the INFOLine Private Label Profi award in the "Introduction Leader" nomination as the winner among Russian networks in terms of the number of private label trade names, which in 2010 reached 4,200 SKUs.

INFOLine has been analyzing the development of Russian retail for 10 years. Since 2004, the agency first quarterly and then monthly publishes the report "Rating of FMCG Retail Chains". INFOLine sells the product "Business information on retail chains in Russia: Rating of retail chains and market overview". Its main goal is to provide information about retail chains operating in various segments of the Russian retail market, as well as to meet the needs for operational, statistical and analytical information about the Russian retail market and its segments.