Private label increase kills Rema 1000’s growth

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Rema 1000’s focus on their own brands interferes with the targeted speed of growth.
Sales and market shares have been standing still over the past year, according to recent figures from Nielsen.

Dagens Næringsliv higlights the January and 2015 figures from Nielsen, which shows that mainly Coop Extra and Kiwi are growing siginificantly among Norwegian food retail chains with over seven percent aggregate organic growth.
The biggest single chain, Rema 1000, however shows zero growth.

According to Lars Kristian Lindberg, purchasing and category director of Rema, the chain has larger volumes than ever.
“We have never sold so much goods as now. But we have been busy selling even more goods from the cheapest option. There are private label products that give us more volume, but goes out of value growth in the short term, “he tells Dagens Naeringsliv.

At the same time he believes in the best result so far for Rema 1000, both for the chain and for individual merchants.