Retailing in Bulgaria
Euromonitor International's Retailing in Bulgaria examines whether recent high growth rates can be sustained in an economic downturn. Growth has been boosted by richer consumers spending more and some companies’ decision to sell a wider range of non-food products. Rising sales have supported expansion into new markets, new store formats and moves into private label products. However, the economic downturn has set some of these strategies back, this analysis looks at whether grocery retailers will continue to enjoy similar rates of growth in the future.
Tables: 174 | Publication date: Feb 2008
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- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Non-store retailing; Store-based retailing
Executive summary
Growth in 2007 slows down
The retailing sector in Bulgaria grew somewhat slower in 2007, following the jump in consumer prices from the second half of the year, which resulted in limited consumption, as many consumers restructured and limited their expenses. The temporal problems of the market, however, were somewhat softened by the improving economical situation in Bulgaria especially the higher disposable income of the consumers, which is increasing the consumption levels.
Concentration in the retail trade is increasing
Retail concentration was increasing in 2007, as the big retail chains increased their presence on the market. Smaller retailers found it hard to resist the changing market conditions and were joining the retail chains under franchise contracts. At the same time, a bigger share of all retail sales was through the big supermarket chains, which gradually expanded their network towards the smaller cities. Along with expanding their operations, many retailers were also trying to keep their customers with improvements in the service offered, the introduction of consumer loyalty programmes, regular price promotions, etc.
Non-grocery retailers pass grocery chains in terms of sales
The leading grocery retailers in Bulgaria like Billa Bulgaria, Bolyari and CBA Bulgaria fell behind the durable goods retailer like K&K Electronics in terms of sales. Other non-grocery retailers like Videolux and Germanos are also close to the grocery chains. The main reason for the shift is the successful expansion of the non-grocery chains, their superior marketing strategies and the fact that with more disposable income the consumers are buying durable goods more frequently than before.
Store-based retailing dominates retailing
Non-store retailing remained marginal with just 1% of all retail sales in Bulgaria in 2007, with sales of only Lev182 million. All other retail sales in Bulgaria were through store-based retailing. Non-store retailing is not favoured by most Bulgarians, and while some sectors such as internet retailing have huge potential for growth, only companies operating in direct selling like Avon Bulgaria and Oriflame Bulgaria are successful..
Retail market expected to grow faster going forward
Retailing in Bulgaria is expected to grow faster in the forecast period compared with the review period, with sales predicted to grow by 40% in constant value terms, to reach Lev21 billion in 2012. This fast growth will be mainly a result of the expanding operations of multinational retail chains and the growing demand from the consumers, due to the general positive increase in disposable income.
Table of contents
RETAILING IN BULGARIA : MARKET INSIGHT
EXECUTIVE SUMMARY
Growth in 2007 slows down
Concentration in the retail trade is increasing
Non-grocery retailers pass grocery chains in terms of sales
Store-based retailing dominates retailing
Retail market expected to grow faster going forward
KEY TRENDS AND DEVELOPMENTS
Growing inflation is limiting retail trade growth
Growing disposable income fuelling consumer expenditure
The shopping malls and trade centres are growing in popularity
Big retail chains are reshaping retailing in Bulgaria
Independent retailers unite in franchise chains
MARKET INDICATORS
Table 1 Employment in Retailing 2002-2007
MARKET DATA
Table 2 Sales in Retailing by Sector: Value 2002-2007
Table 3 Sales in Retailing by Sector: % Value Growth 2002-2007
Table 4 Sales in Retailing by Grocery vs Non-Grocery 2005-2007
Table 5 Sales in Store-Based Retailing by Sector: Value 2002-2007
Table 6 Sales in Store-Based Retailing by Sector: % Value Growth 2002-2007
Table 7 Sales in Non-store Retailing by Sector: Value 2002-2007
Table 8 Sales in Non-store Retailing by Sector: % Value Growth 2002-2007
Table 9 Retailing Company Shares: % Value 2004-2007
Table 10 Grocery Retailers Company Shares: % Value 2004-2007
Table 11 Grocery Retailers Brand Shares: % Value 2004-2007
Table 12 Non-Grocery Retailers Company Shares: % Value 2004-2007
Table 13 Non-Grocery Retailers Brand Shares: % Value 2004-2007
Table 14 Non-store Retailing Company Shares: % Value 2004-2007
Table 15 Non-store Retailing Brand Shares: % Value 2004-2007
Table 16 Forecast Sales in Retailing by Sector: Value 2007-2012
Table 17 Forecast Sales in Retailing by Sector: % Value Growth 2007-2012
Table 18 Forecast Sales in Store-Based Retailing by Sector: Value 2007-2012
Table 19 Forecast Sales in Store-Based Retailing by Sector: % Value Growth 2007-2012
Table 20 Forecast Sales in Non-store Retailing by Sector: Value 2007-2012
Table 21 Forecast Sales in Non-store Retailing by Sector: % Value Growth 2007-2012
APPENDIX
Operating environment
Cash-and-carry/Warehouse Clubs
Table 22 Cash-and-carry/Warehouse Clubs: Sales Value 2002-2007
Table 23 Cash-and-carry/Warehouse Clubs: Sales by National Brand Owner: Sales Value 2004-2007
Table 24 Cash-and-carry/Warehouse Clubs: Number of Outlets by National Brand Owner: 2004-2007
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - BULGARIA
AGRO-INDUSTRIAL EOOD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Agro-Industrial EOOD: Key Facts
Summary 3 Agro-Industrial EOOD: Operational Indicators
COMPANY BACKGROUND
Chart 1 Agro-Industrial EOOD: Elemag, Exterior
Chart 2 Agro-Industrial EOOD: Elemag, Interior
PRIVATE LABEL
COMPETITIVE POSITIONING
Summary 4 Agro-Industrial EOOD: Competitive Position 2007
BILLA BULGARIA EOOD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 5 Billa Bulgaria EOOD: Key Facts
Summary 6 Billa Bulgaria EOOD: Operational Indicators
COMPANY BACKGROUND
Chart 3 Billa Bulgaria EOOD: Billa Exterior
Chart 4 Billa Bulgaria EOOD: Billa Interior
PRIVATE LABEL
Summary 7 Billa Bulgaria EOOD: Private Label Portfolio
COMPETITIVE POSITIONING
Summary 8 Billa Bulgaria EOOD: Competitive Position 2007
BOLYARI AD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 9 Bolyari AD: Key Facts
Summary 10 Bolyari AD: Operational Indicators
COMPANY BACKGROUND
Chart 5 Bolyari AD: Picadilly Interior
PRIVATE LABEL
Summary 11 Bolyari AD: Private Label Portfolio
COMPETITIVE POSITIONING
Summary 12 Bolyari AD: Competitive Position 2007
CBA BULGARIA AD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 13 CBA Bulgaria AD: Key Facts
Summary 14 CBA Bulgaria AD: Operational Indicators
COMPANY BACKGROUND
Chart 6 CBA Bulgaria AD: CBA Exterior
Chart 7 CBA Bulgaria AD: CBA Interior
PRIVATE LABEL
Summary 15 CBA Bulgaria AD: Private Label Portfolio
COMPETITIVE POSITIONING
Summary 16 CBA Bulgaria AD: Competitive Position 2007
DOMKO OOD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 17 Domko EOOD: Key Facts
Summary 18 Domko EOOD: Operational Indicators
COMPANY BACKGROUND
Chart 8 Domko EOOD: Domko
PRIVATE LABEL
COMPETITIVE POSITIONING
Summary 19 Domko EOOD: Competitive Position 2007
GERMANOS BULGARIA EAD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 20 Germanos Bulgaria EAD: Key Facts
Summary 21 Germanos Bulgaria EAD: Operational Indicators
COMPANY BACKGROUND
Chart 9 Germanos Bulgaria EAD: Germanos, High Street
Chart 10 Germanos Bulgaria EAD: Germanos, Mall
PRIVATE LABEL
COMPETITIVE POSITIONING
Summary 22 Germanos Bulgaria EAD: Competitive Position 2007
K&K ELECTRONICS OOD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 23 K&K Electronics OOD: Key Facts
Summary 24 K&K Electronics OOD: Operational Indicators
COMPANY BACKGROUND
PRIVATE LABEL
Summary 25 K&K Electronics OOD: Private Label Portfolio
COMPETITIVE POSITIONING
Summary 26 K&K Electronics OOD: Competitive Position 2007
KAUFLAND BULGARIA EOOD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 27 Kaufland Bulgaria EOOD &Co. KD: Key Facts
Summary 28 Kaufland Bulgaria EOOD &Co. KD: Operational Indicators
COMPANY BACKGROUND
PRIVATE LABEL
Summary 29 Kaufland Bulgaria EOOD &Co. KD: Private Label Portfolio
COMPETITIVE POSITIONING
Summary 30 Kaufland Bulgaria EOOD &Co. KD: Competitive Position 2007
PRAKTIKER BULGARIA EAD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 31 Praktiker Bulgaria EAD: Key Facts
Summary 32 Praktiker Bulgaria EAD: Operational Indicators
COMPANY BACKGROUND
PRIVATE LABEL
COMPETITIVE POSITIONING
Summary 33 Praktiker Bulgaria EAD: Competitive Position 2007
VAN HOLDING AD - RETAILING - BULGARIA
STRATEGIC DIRECTION
KEY FACTS
Summary 34 Van Holding AD: Key Facts
Summary 35 Van Holding AD: Operational Indicators
COMPANY BACKGROUND
Chart 11 Van Holding AD: Fantastico, Deli
Chart 12 Van Holding AD: Fantastico, Frozen Food
PRIVATE LABEL
Summary 36 Van Holding AD: Private Label Portfolio
COMPETITIVE POSITIONING
Summary 37 Van Holding AD: Competitive Position 2007
HYPERMARKETS IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 25 Hypermarkets: Value Sales, Outlets and Selling Space 2002-2007
Table 26 Hypermarkets: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 27 Hypermarkets Company Shares by Value 2004-2007
Table 28 Hypermarkets Brand Shares by Value 2004-2007
Table 29 Hypermarkets Outlets by Brand 2004-2007
Table 30 Hypermarkets Selling Space by Brand 2004-2007
Table 31 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 32 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
SUPERMARKETS IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 33 Supermarkets: Value Sales, Outlets and Selling Space 2002-2007
Table 34 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 35 Supermarkets Company Shares by Value 2004-2007
Table 36 Supermarkets Brand Shares by Value 2004-2007
Table 37 Supermarkets Outlets by Brand 2004-2007
Table 38 Supermarkets Selling Space by Brand 2004-2007
Table 39 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 40 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
DISCOUNTERS IN BULGARIA
HEADLINES
TRENDS
PROSPECTS
SECTOR DATA
Table 41 Discounters Company Shares by Value 2004-2007
Table 42 Discounters Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 43 Discounters Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
CONVENIENCE STORES IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 44 Convenience Stores: Value Sales, Outlets and Selling Space 2002-2007
Table 45 Convenience Stores: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 46 Convenience Stores Company Shares by Value 2004-2007
Table 47 Convenience Stores Brand Shares by Value 2004-2007
Table 48 Convenience Stores Outlets by Brand 2004-2007
Table 49 Convenience Stores Selling Space by Brand 2004-2007
Table 50 Convenience Stores Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 51 Convenience Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
FORECOURT RETAILERS IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 52 Forecourt Retailers: Value Sales, Outlets and Selling Space 2002-2007
Table 53 Forecourt Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 54 Forecourt Retailers Company Shares by Value 2004-2007
Table 55 Forecourt Retailers Brand Shares by Value 2004-2007
Table 56 Forecourt Retailers Outlets by Brand 2004-2007
Table 57 Forecourt Retailers Selling Space by Brand 2004-2007
Table 58 Forecourt Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 59 Forecourt Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
MIXED RETAILERS IN BULGARIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 60 Mixed Retailers: Value Sales, Outlets and Selling Space 2002-2007
Table 61 Mixed Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 62 Mixed Retailers Company Shares by Value 2004-2007
Table 63 Mixed Retailers Brand Shares by Value 2004-2007
Table 64 Mixed Retailers Outlets by Brand 2004-2007
Table 65 Mixed Retailers Selling Space by Brand 2004-2007
Table 66 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 67 Mixed Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
HEALTH AND BEAUTY RETAILERS IN BULGARIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 68 Health and Beauty Retailers: Value Sales, Outlets and Selling Space 2002-2007
Table 69 Health and Beauty Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 70 Health and Beauty Retailers Company Shares by Value 2004-2007
Table 71 Health and Beauty Retailers Brand Shares by Value 2004-2007
Table 72 Health and Beauty Retailers Outlets by Brand 2004-2007
Table 73 Health and Beauty Retailers Selling Space by Brand 2004-2007
Table 74 Health and Beauty Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 75 Health and Beauty Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
CLOTHING AND FOOTWEAR RETAILERS IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 76 Clothing and Footwear Retailers: Value Sales, Outlets and Selling Space 2002-2007
Table 77 Clothing and Footwear Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 78 Clothing and Footwear Retailers Company Shares by Value 2004-2007
Table 79 Clothing and Footwear Retailers Brand Shares by Value 2004-2007
Table 80 Clothing and Footwear Retailers Outlets by Brand 2004-2007
Table 81 Clothing and Footwear Retailers Selling Space by Brand 2004-2007
Table 82 Clothing and Footwear Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 83 Clothing and Footwear Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
FURNITURE AND FURNISHINGS STORES IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 84 Furniture and Furnishings Stores: Value Sales, Outlets and Selling Space 2002-2007
Table 85 Furniture and Furnishings Stores: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 86 Furniture and Furnishings Stores Company Shares by Value 2004-2007
Table 87 Furniture and Furnishings Stores Brand Shares by Value 2004-2007
Table 88 Furniture and Furnishings Stores Outlets by Brand 2004-2007
Table 89 Furniture and Furnishings Stores Selling Space by Brand 2004-2007
Table 90 Furniture and Furnishings Stores Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 91 Furniture and Furnishings Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
DIY AND HARDWARE STORES IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 92 DIY and Hardware Stores: Value Sales, Outlets and Selling Space 2002-2007
Table 93 DIY and Hardware Stores: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 94 DIY and Hardware Stores Company Shares by Value 2004-2007
Table 95 DIY and Hardware Stores Brand Shares by Value 2004-2007
Table 96 DIY and Hardware Stores Outlets by Brand 2004-2007
Table 97 DIY and Hardware Stores Selling Space by Brand 2004-2007
Table 98 DIY and Hardware Stores Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 99 DIY and Hardware Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
DURABLE GOODS RETAILERS IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 100 Durable Goods Retailers: Value Sales, Outlets and Selling Space 2002-2007
Table 101 Durable Goods Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 102 Durable Goods Retailers Company Shares by Value 2004-2007
Table 103 Durable Goods Retailers Brand Shares by Value 2004-2007
Table 104 Durable Goods Retailers Outlets by Brand 2004-2007
Table 105 Durable Goods Retailers Selling Space by Brand 2004-2007
Table 106 Durable Goods Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 107 Durable Goods Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
LEISURE AND PERSONAL GOODS RETAILERS IN BULGARIA
HEADLINES
OVERVIEW
SECTOR DATA
Table 108 Leisure and Personal Goods Retailers: Value Sales, Outlets and Selling Space 2002-2007
Table 109 Leisure and Personal Goods Retailers: Value Sales, Outlets and Selling Space: % Growth 2002-2007
Table 110 Leisure and Personal Goods Retailers Company Shares by Value 2004-2007
Table 111 Leisure and Personal Goods Retailers Brand Shares by Value 2004-2007
Table 112 Leisure and Personal Goods Retailers Outlets by Brand 2004-2007
Table 113 Leisure and Personal Goods Retailers Selling Space by Brand 2004-2007
Table 114 Leisure and Personal Goods Retailers Forecasts: Value Sales, Outlets and Selling Space 2007-2012
Table 115 Leisure and Personal Goods Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2007-2012
VENDING IN BULGARIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 116 Vending: Value 2002-2007
Table 117 Vending: % Value Growth 2002-2007
Table 118 Vending Company Shares by Value 2004-2007
Table 119 Vending Brand Shares by Value 2004-2007
Table 120 Vending Forecasts: Value 2007-2012
Table 121 Vending Forecasts: % Value Growth 2007-2012
HOMESHOPPING IN BULGARIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 122 Homeshopping: Value 2002-2007
Table 123 Homeshopping: % Value Growth 2002-2007
Table 124 Homeshopping Company Shares by Value 2004-2007
Table 125 Homeshopping Brand Shares by Value 2004-2007
Table 126 Homeshopping Forecasts: Value 2007-2012
Table 127 Homeshopping Forecasts: % Value Growth 2007-2012
INTERNET RETAILING IN BULGARIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 128 Internet Retailing: Value 2002-2007
Table 129 Internet Retailing: % Value Growth 2002-2007
Table 130 Internet Retailing Forecasts: Value 2007-2012
Table 131 Internet Retailing Forecasts: % Value Growth 2007-2012
DIRECT SELLING IN BULGARIA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 132 Direct Selling: Value 2002-2007
Table 133 Direct Selling: % Value Growth 2002-2007
Table 134 Direct Selling Company Shares by Value 2004-2007
Table 135 Direct Selling Brand Shares by Value 2004-2007
Table 136 Direct Selling Forecasts: Value 2007-2012
Table 137 Direct Selling Forecasts: % Value Growth 2007-2012