
REWE Group intends to significantly expand and invest in its Retail International division. The aim is to increase gross turnover to more than 20 billion by 2025 through organic growth and to increase the number of stores to around 5,000, according to Deputy CEO Jan Kunath.
The focus is on securing and expanding its own market position in the countries in which REWE Group is already active through targeted investments and smaller acquisitions. "I would currently rule out entering other countries," explains Kunath. However, if an opportunity arises to obtain an attractive market position in a Central, Southern or Eastern European country through an acquisition, this will certainly be examined, provided it involves the supermarket or discounter business.
The plan is to invest around five billion euros between 2021 and 2025. The investments will be tailored precisely to the conditions in the country. While there are still enough blank spots for new locations in Bulgaria and Romania, in the Czech Republic, for example, more money is being invested in digitalisation, e-commerce and new warehouses. Specifically, Billa Czech Republic is planning to launch a delivery service in the second quarter.
In Austria, on the other hand, "the introduction of the Kaufmann model will be a real game changer", says Kunath. "I am firmly convinced that the combination of the intrinsically motivated merchant with a perfectly functioning organisation is unbeatable." The launch is planned for the turn of the year 2022/2023.
REWE Group currently operates around 4,500 stores abroad in Austria, the Czech Republic, Slovakia, Italy, Bulgaria, Romania, Hungary, Croatia and Lithuania. REWE Group operates the BILLA, PENNY, ADEG and BIPA brands in Austria, BILLA and PENNY in the Czech Republic, BILLA in Slovakia and Bulgaria, PENNY in Italy, Romania and Hungary and BIPA in Croatia. Foreign business accounts for around a third of the Group's earnings.