Russian discounter Mere continues to expand
The opening date for the first store in both countries has been announced as "early 2020". Mere is also making progress in Belarus, the Russians' first European foreign market, under the flag of Swetofor (Russian: traffic light). After the first store opened here in summer 2017, the store network has already grown to more than 30 branches.
From local hero to heavyweightSince its launch in the Siberian city of Krasnoyarsk ten years ago, Torgservis has become a retailer of national importance in Russia. The no-frill discounter even made it into the top 10 in the Russian food retail sector last year, according to estimates by national market researchers. Swetofor stores can now be found in Moscow and even in Kaliningrad.
In 2019 Torgservis has expanded its mainly franchise-operated store network in the mother country by about 500 stores, information provider Infoline reports. This makes the company one of the fastest-growing food retailers in the country, behind market leader X5 Retail Group and Magnit.
Corona crisis gives impetusInfoline CEO Ivan Fedyakov expects that the corona crisis will also have a positive effect on the discounter. "About 20 per cent of the Russian population lives at the poverty line," he says, so the low-cost format has a stable clientele. Market observers also see a positive development dynamic for the future due to falling purchasing power and consumer restraint in Russia.
This text was originally published in German and machine-translated into English.