Turkey is now home to nearly as many discounter stores as Germany, has a more competitive domestic retail landscape than any other emerging market, and is embracing new forms of retail at an astonishing rate. As you explore the potential of the Turkish retail landscape, there are three forces of change you need to understand as Turkey moves into a new phase.
- 1. Modernization
The biggest change in Turkey that you will need to prepare for will be the modernisation of the existing trade – through non-food focused shopping plazas but also through small food-focused convenience formats. Grocery modernisation is occuring in two ways: 1) existing retailers are investing in “reinventing & upgrading” stores they already operate 2) retailers are launching new concepts in new places. Successful supermarket and discounter chains will replace traditional retail stores with more efficient and cheaper supermarket and discount stores.
- 2. Regional Expansion
The dynamics of regional expansion in Turkey are complex. Firstly, expansion is being driven by existing businesses, namely discounters, opening new stores in new cities and towns. Secondly, ramping up e-commerce operations is set to continue as retailers look to offer new solutions to shoppers. The effects of this will vary by region and it will be important for you to ready your business accordingly – especially in those regions that are changing most rapidly.
- 3. New Business Models
Retailers have identified the scaling up of operations as a means of counteracting discounter dominance in the country. The easiest way of doing this is proving to be through franchising as it allows chains to significantly grow their scale without the financial burden. Perhaps the most striking demonstration of this speed of change comes from discounter/convenience retailer UCZ “cheap”, which opened over 1000 stores in less than a year.
Overall, Turkey is a retail market that will transform rapidly, as it modernises and in turn becomes more sophisticated. On 18 November in Istanbul, Kantar Retail’s experts will provide new and valuable insights on how these changes will manifest and impact your short and long-term business planning in ways that will allow you to drive share, capture profits, and win shoppers.
You can expect:
- A clear view of the Total Channel Landscape:
- An overview of Turkish Shoppers and their Multi-channel Tastes
- Deeper knowledge of your key customers changing financial models
- A look at the New Set of Winning retailers in Turkey
- The changing investments that leading discounters are making in the discount format
- Peer-to-peer networking with senior FMCG executives tasked with growing business in Turkey
For more information about the workshop Click here
For full information on the Turkish grocery landscape read Kantar Retail’s latest Turkey Food Retail Country Report 2014