Swiss retailer Coop-Gruppe today (19 February) played down the threat that the imminent entry of German discount giant Lidl could have on its business.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Coop, Switzerland’s second-largest food retailer, enjoyed rising sales and earnings in 2008 and insisted its wide range of products and varies store formats would withstand Lidl, which plans to open its first stores in the country next month.
“We have a strong position in Switzerland,” a Coop spokesman told just-food. “One reason is because our assortment is pretty large compared to Lidl’s.”
The spokesman said that Coop sells around 40,000 products in its largest stores and claimed that the Lidl outlets will sell around 1,200.
Across Europe, cash-strapped consumers are looking for cheaper products as they stretch their spending amid the downturn. The trend has fuelled growth at retailers perceived as offering better value for consumers, including the UK’s Morrisons and Belgium’s Colruyt.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataHowever, the Coop spokesman said the Swiss economy is relatively strong with unemployment currently low.
The spokesman pointed to still healthy demand for organic food and said Coop was the country’s largest retailer in that category.
Lidl today announced plans to enter Switzerland next month with the opening of 13 stores.
The retailer said the outlets would be located in seven cantons throughout the European country, including Lucerne and Zurich.
