Private label driving sales at SPAR Austria

Keshia Beadle
Senior Retail Analyst
@RetailAnalysis

Date : 14 May 2020

SPAR Austria has made significant progress with its private label offer, contributing to its total sales of €7.2 bn in 2019, up from €6.88 bn in 2018.

High share of private label

The share of SPAR Austria's private label products is over 40% of total sales, with around 7,500 products sold across food and non-food. Sales of its private label ranges were up 5.4% in 2019, reflecting the success of the ranges. A number of these products are also available in the wider SPAR Austria International Group, which operates stores in Hungary, Slovenia, Croatia and Northern Italy.

Demand for organics is up

The retailers organic line, SPAR Natur*pur celebrated its 25th anniversary in 2019. Sales of the range were up 16% and consumers continue to demand more in this area. SPAR has over 1,000 products in the Natur*pur range and offers an additional 670 organic products as part of its other ranges, including SPAR Vital and SPAR PREMIUM. Performance of its premium and budget ranges were also up, increasing 10% and 8% respectively and contributing to the overall increase in private label sales.

Sustainability and responsibility

Consumer demand for eco-friendly, socially responsible products is also on the rise and SPAR Austria has undertaken a number of initiatives in this area. It offers a large range of sustainable items, including over 300 Fairtrade products. It has removed over 1,000 tons of sugar and almost all palm oil from its private label products. It has also increased the focus on animal welfare in its meat sourcing processes. A plastic reduction initiative was launched in 2019 with alternatives to plastic introduced. This includes encouraging shoppers to bring their own containers and reusable bottles for drinks.

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