GERMANY: Rewe’s expansion plans, channel trials and private label development | Progresiv
Rewe announces its investment and expansion strategy, alongside its growth plans for the convenience channel and developments in private label. 
For the year 2015, Rewe Group will have spent around 1.7 billion euros on the construction and conversion of around 1,100 stores, across all banners. Around 200 of these will be new stores or expansions. Discount banner Penny, which has seen some challenges in recent years, will see over 80 stores open or reopen after modernisation. Rewe is continuing to expand domestically and internationally, and by investing in modernising the estate and focusing more on fresh, it is seeing sales growth across most banners.
Rewe continues to open petrol station convenience stores in Germany, with ten now up and running. The trial is in partnership with Aral, which has 2,500 fuel stations across the country. Building on the success of the trial, Rewe hopes to open stores in up to half of all Aral fuel stations, a decision that will be made at the end of 2015.
Having recently announced the exit of Penny from Bulgaria, Rewe is committing to its Billa banner in the country, with plans to reach 150 stores in the next three years, up from 92 currently. Where possible, Billa will take over some of the Penny outlets. Billa is also celebrating its 15th anniversary in Bulgaria, with a three week period of promotional activities, including discounts and prize draws, to reward the loyalty of its customers.
Having first launched its 'Best of Romania' own brand in 2014, Billa is to expand the number of products in the range, with Romanians increasingly interested in buying private label and local products. By the end of 2015, the retailer plans to develop its product ranges in the basic food categories, canned goods and confectionery. (www.igd.com)
