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Weak growth in turnover in specialist trade in Germany
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According to surveys carried out by the Klaus Braun consultancy, the trend to much lower growth in turnover in the German wholefood trade continued at the end of last year. In consequence, the retail wholefood trade achieved total growth last year of only 1.3%.
Turnover in the various retail outlets
Farm shops increased their sales by 9.2% in 2015. With a fall in turnover of 1.8% in the final quarter, their annual growth rate in 2016 was 2.3%.
Wholefood stores and specialist wholefood stores recorded a rise in 2015 of 8.5 %, a result that was almost repeated in 2016 (-0.1%)
The organic supermarkets achieved a rise in turnover in 2015 of 9.8%. For 2016 they recorded growth of 1.6%.
Profiling is essential!
“This severe reduction in turnover is in our estimation not a temporary phenomenon in the specialist wholefood trade. The last time we reported on similarly weak daily turnover was at the beginning of the financial crisis in 2008 (the overall result at that time was 1.2 %),” Klaus Braun explains.
He maintains that upheavals and challenging corporate activities in the retail wholefood trade have determined developments in 2016, and that in 2017 it's essential to change course. “The owner-managed specialist trade must target and communicate its unique selling points convincingly in order to maintain its position in the market long-term and not to become replaceable. Braun's forecast: in the short term, growth is likely to stay at a relatively low level on account of the huge competitive pressure.”