Retail expected to grow by 4% in Poland in 2009

2009-08-19



The value of the retail market in Poland is expected to grow by 4% to PLN 247bn (€59.2bn) in 2009, according to a recent Euromonitor International report quoted by Rzeczpospolita. Hypermarkets have been reporting a reduction in the rate of growth – sales are expected to improve by 5.8%, and supermarkets and discount stores to grow by 8% and 9.5% respectively in 2009. At the end of 2008 there were 267 hypermarkets in Poland. The large retailers are refraining from opening new stores in 2009.
According to Slawomir Nitek, the deputy director of the Netto discount chain, quoted in the newspaper, the hypermarket arena is close to saturation point in Poland. Furthermore, as a result of the crisis, customers have reduced spending on non-food products, which had accounted for a substantial share of hypermarket sales.
However, discount and supermarket chains have been gaining in popularity in Poland. Poles are tending to choose smaller stores located in town centres, rather than large hypermarkets located on the outskirts, according to Wojciech Kruszewski, the chairman of the Lewiatan retail group, quoted in the newspaper.
The small traditional stores are expected to report a 4% increase in sales, but several thousand stores will disappear from the Polish market. In 2008 as many as 7,000 small groceries closed. Polish customers have abandoned shopping at traditional stores, where prices are up to 20% higher than those of hypermarkets and discount stores.