BULGARIA: Local supermarket chain Picadilly closes sites, moves to premium segment | Progresiv

Bulgarian supermarket chain Picadilly will decrease the number of its sites and reposition itself, opting for products in the medium and high end of the market. The supermarket chain plans to focus on sites located in large shopping centers and to offer goods in the the higher segment of the market and better service, according to a media statement of the company, as cited by dnevnik.bg.

The repositioning has been planned on the basis of market research indicating that this is what customers of the supermarket chain want. As part of the restructuring process, some of the stores of the chain will be upgraded, mostly the ones in Sofia and Varna, and the ones located in shopping centers. The supermarket chain says on its website that it is looking to buy or hire new sites in Sofia and Varna. Repair works are underway at Picadilly’s site in City Center Sofia and the stores in Serdika Center and Mall of Sofia are also to be upgraded.

Picadilly’s restructuring strategy also involves optimizing the chain, including closing low-performing sites. The supermarket chain says that the employees working in the closed sites will be offered jobs in the other stores. The turnover of the supermarket chain in 2014 stood at 198.7 million leva, up by 3.5% from 2013. The company posted a loss of 41.8 million leva in 2014 and 48.5 million leva in 2013. (www.novinite.com)