ROMANIA: Penny Market wants 13% higher business in 2018 | Progresiv
Penny Market retailer reported a 17% growth in turnover for 2017 compared to 2016 (for all stores, including new openings) and a similar for like-for-like (which does not include stores inaugurated in 2017), up by 7%. For this year, the company is expecting a 12-13% advance in Penny Market sales. 
Regarding last year's results for Rewe Romania, the company that manages both Penny Market chain discount chain and a real estate division, the turnover rose by 5% over the previous year, to about 3 billion lei.
"2017 was very good for us, and the figures speak for themselves about the company's evolution. For Penny Market we recorded a 17% increase in turnover compared to 2016, we grew steadily and we expanded our chain in 2017 with 26 stores. We will invest in Romania and develop our business here so that in 2025 we will reach 400 stores", said Daniel Gross, General Director of Rewe Romania.
Also in the achievements chapter, Penny Market highlights having completed to remodelings in 2017, 51 stores benefiting from a new image.
After the retailer has invested nearly 170 million euros over the last two years, this year, the company will allocate a budget of 80 million euros, which will go to the new planned and remodeling openings as well as to the logistics and personnel. Penny Market aims to acquire more land for the construction of the planned stores, with 80% of the stores being developed from scratch by the company.
As for the retailer's assortment, the company reports investments of 1.8 billion lei in Romanian products in 2017. In 2018, the budget in this direction will exceed 2 billion lei, according to Penny Market representatives. Currently, the discounter collaborates with 70 local suppliers and about 60% of the assortment comes from the local market. This year, Penny plans to raise this figure to 70%.
Since the beginning of this year, the discounter has opened two stores in Breaza and Targu Jiu and the following two openings are scheduled for Turda and Mangalia. For each store inaugurated, the retailer hires about 15 people.
Penny Market ended 2017 with 26 stores opened, the chain reaching 221 operational stores in Romania at the end of last year.
