The distribution network in Poland
- Evolution of the Sector
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Due to the Covid-19 pandemic, grocery retail sales declined by 0.9% in 2020 compared to 2019 (CBRE). According to CBRE’s estimates, food products sales will increase on average by 2.5% per year in 2021-2025. Food and non-alcoholic beverages retail sales reached PLN 211.3 billion in 2020 (Statista).
Grocery retail market in Poland is highly saturated, the combined market share of the 20 largest grocery retailers is nearly 75%. Disposable incomes and spending in the country are picking up, backed by rising employment, growing wages and a new social program, Family 500 Plus, which is aimed at families with children. Consumers pay more attention to the convenience of shopping (store location, suitable sales area, a wide offer, but without having to walk long distances while shopping), the availability of fresh food such as meat, fruit and vegetables, as well as attractive promotions. Polish consumers increasingly appreciate the convenience of shopping in mid-sized commercial establishments such as discounters, convenience stores and supermarkets. In line with this trend, some brands have been shifting away from large to smaller store formats. Independent small shops are very common in Poland, although they face growing competition from supermarkets, which are opening in smaller cities and towns. Finally, discount retailers focused more on improving the quality of the product range and interior design. However, in Polish consumers' minds, discounters continue to be positioned as the cheapest sales channel.
- Market share
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The sector is dominated by multinational retail hypermarkets incl. Tesco (UK), Auchan (France), Carrefour (France), Leclerc (France) and discounters Lidl (Germany) and Biedronka (Portugal). Leading neighborhood stores include chains such as: Leviatan, Spolem and Carrefour Express.
Jeronimo Martins Polska (Biedronka) is the outstanding leader in grocery retailers, with PLN 61.3 billion in revenue and more than 3,000 stores in 2021. Then there is Schwarz- Gruppe (Lidl and Kaufland) with only PLN 34.1 billion in turnover and around 1,000 stores.
- Retail Sector Organisations
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Polska Rada Centrow Handlowych (Polish Council for Shopping Centers)
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Latest Update: July 2024