Execution of CEE retail trends - part two

Date : 05 November 2018

Following the article where we looked at the first two trends shaping Central and Eastern Europe’s grocery retail market, we are going to review the next two trends - Build trust with organic and local ranges and Healthy living, healthy eating focus.

Build trust with organic and local ranges

Retailers look to build shopper trust in private label by investing their ranges. They are adding and expanding organic and local produce that shoppers perceive to be of higher quality.

Kaufland Slovakia launched a local private label range ‘Z lásky k tradícii’ (From love to tradition) in June 2018, following the launch of the range 'Vreau din România' (I want from Romania) in Romania in November 2017.

Source: Kaufland Slovakia

Lidl aims to bring more local varieties of fruits and vegetables to store. It collaborates with domestic fruits and vegetables suppliers in Romania, Hungary and Croatia.

Russia’s top three retailers, X5, Lenta, and Magnit, are adding more local fresh food in stores located in the eastern regions.

Promotion of organic food consumption is part of Carrefour's marketing campaign ‘Act for Food’ in Europe. The retailer is promoting the ‘Carrefour Bio’ line with its ‘Healthy Shelf’ initiative at a 10% discount. It is also supporting Polish food suppliers in obtaining an organic food certification.

Source: Carrefour Poland

Healthy living, healthy eating focus

Healthy foods are becoming a more common feature in CEE grocery retail. Retailers are adding or expanding health-focused ranges, they have expanded free-from ranges and reduced additives from products. New marketing campaigns are often used to promote such assortments.

Kaufland Poland launched a healthy food aisle, ‘Aleje Zdrowia’ (Health Aisle). The aisle has been already rolled out in 30 out of over 211 stores with more installations in the pipeline. In Romania, the retailer introduced the ‘ABC for a full life’ campaign to inform and encourage shoppers about healthy eating and lifestyle. It promotes the campaign online, in promotional leaflets, and on billboards.

Source: www.kaufland.ro

Lidl Croatia added its organic private label ‘Lidl Bio’ to the range in line with the rest of the discounter’s European operations. It is also expanding the free-from gluten and lactose ranges, and meat-free alternatives (vegetarian and vegan).

Slovenia’s Mercator launched its gluten-free line Free Zone that offers a mix of confectionery products in over 140 stores. It also runs a marketing campaign in Bosnia-Herzegovina to promote its organic range Bio Zone.

Source: Lidl Croatia, Mercator Slovenia

Carrefour Poland launched the Système d'Étiquetage Nutritionnel Simplifié (SENS) in May 2018. This system of labelling promotes healthier eating by showing shoppers the dietary value of a product. It uses triangles with various colours and sizes that includes nutritional content of each product and advises on frequency of consumption.

Source: Carrefour Poland

What Next?

Look out for part three of our Central and Eastern Europe: outlook for 2018 revisited piece that will look at the final trend – Retailers trial digital solutions.

Subscribers can access the full Central and Eastern Europe: outlook for 2018 presentation