Migros has reported a 0.7% increase in EBIT for 2012 today, and outlined its priorities for the year ahead, in its annual results presentation.
Three main areas of focus for 2013
Migros said 2012 was "a good year", despite economic difficulties, price cuts and the ongoing impact of cross-border shopping tourism. In 2013, Migros will continue such projects as the range optimisation initiative that was begun in 2012. The priorities for 2013 can be divided into three main areas:
- Convenience - expansion of the Migrolino forecourt operation will take centre stage this year as Migros targets leadership in convenience. Having added 20 stores to reach a total of 194 by year-end 2012, Migros believes it can pick up the pace and increase this total to 250 by the end of 2013. Embedding the new partnership with Socar will help achieve this goal
- Strengthen leadership in e-commerce - Migros' total e-commerce sales were up 6% in 2012, to CHF705m. The use of mobile apps will be extended, and Migros will continue to develop innovations such as LeShop.ch DRIVE and RAIL, the social media site Migipedia, and installing collection sites in-store where customers can pick up items ordered online
- Sustainability - in 2012 sales of products under responsibly sourced labels grew by 14%, the Génération M sustainability strategy was launched and Migros reduced its consumption of energy and emissions of CO2. Efforts to maintain leadership as a socially responsible retailer will continue in 2013 and onwards; for example by the end of 2017, Migros' entire private label textiles and clothing assortment will be produced to high ecological and social standards, and meet traceability criteria
Expects 2013 turnover to grow 4-5%
Migros expects turnover for the current year to increase by between 4% and 5%, after consolidation of the acquired German supermarket business Tegut. Sales from e-commerce, convenience and the Depot non-food business are expected to grow above the average.