The European retailer ranking will have a a new number two this year according to LZ forecasts. With the takeover of wholesaler Lekkerland, Rewe Group will outstrip the German discount primus Aldi and position itself behind Schwarz Group.
According to estimates, the Cologne-based Rewe Group will rise to new number two in European food retailing by the end of 2020. The retailer’s gross sales are expected to rise to around 75.6 billion euros at the end of the financial year as a result of the takeover (compared to around 60 billion euros in 2019).
As a matter of fact the Cologne-based company is not only
overtaking French market leader Carrefour and British leader Tesco – it is also
leaving behind discount siblings Aldi Nord und Süd, which only last year took
second place among top-selling European retailers and are expected to generate
gross sales of around 70.1 billion euros in 2020. However, the gap to number
one, Schwarz Group, remains considerable: the parent company of banners Lidl
and Kaufland is estimated to generate gross revenues of around 126.9 billion
euros in Europe by the end of this year.
However, Rewe is not in a comfortable position between these two discount heavyweights: With Aldi, a high-growth rival is breathing down Rewe‘s neck, and is likely to make up the purchased gap of around 5 billion euros bit by bit with its momentum showing better growth – and in addition there are current talks going on between Aldi Nord and Casino about a takeover of French discounter Leader Price , which might lead to a conclusion.
Online retailer Amazon will also continue to make up ground in European food market. It is expected to improve its ranking from 9th rank last year with estimated gross sales of EUR 45.6 billion (excluding its marketplace) to 7th rank behind Edeka. Their planned market entry in Netherlands could have an additional positive effect here.