ZF English

Corner store shopping costs

15.07.2010, 23:06 5

Snacks and products bought on impulse, such as soft drinks,yoghurts, and confectionery are 17-30% more expensive in smallconvenience stores than in supermarkets or hypermarkets, reveals aZF analysis based on prices of 15 of the best selling products insuch stores.


In Bucharest, a market that accounts for around 30% of localFMCG trade, i.e. around 6-7 billion euros, there are currentlyaround 1,000-2,000 small convenience stores and mini-markets,around 130 supermarkets and 18 hypermarkets, according to data fromretailers and market research companies.
"The price difference between a small convenience store, and asupermarket or a hypermarket mainly has to do with margins: thesales volume is much lower in a mini-market, so the operator needsto cover its fixed costs through a higher mark-up," explains MariusCaluian, general manager of market research company MEMRB Romania& the Republic of Moldova.
Although big retail chains have changed the face of Romanian retailover the last five years, small merchants such as operators ofsmall food stores and mini-markets still hold 50% of themarket.

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