Supermarket turnover increased by 6.4%: Greeks spend less on leisure, but more on household needs

Greek turnover supermarkets in the first five months of the year, it grew by 6.4% and reached €5.753 billion. At the same time, the country’s residents began to spend less on leisure, but increased spending on food.

Turnovers at Greek supermarkets continue to grow, although households are increasingly feeling the pressure from prices. In the first five months of the year, their turnover reached €5.753 billionan increase of 6.4% compared to €5.409 billion in the same period last year.

According to Circana, organized food retail added almost €350 million turnover And this is not just the effect of price increases: unit sales increased by 3.9%, while the average price per unit increased by 1.7%.

In other words, buyers aren’t just paying more for the same products. They actually buy more through supermarkets. It’s just too early for wallet owners to rejoice at this: a significant part of the growth is not due to abundance, but to the fact that people are transferring expenses from cafes, restaurants and entertainment to home consumption.

Greeks are cutting back on leisure spending

Circana’s data shows not an increase in well-being, but a change in consumer behavior. Greeks spend less outside the home, cook more often themselves and leave an increasing part of their budget in supermarkets.

When a family eats out less often, reduces entertainment and spends money more carefully on services, part of the budget still goes to basic needs. Food cannot be canceled, you can only buy it cheaper, choose a promotion, switch to a private label, or cook it at home instead of a restaurant. The great economic strategy of the 21st century: less joy, more supermarket bags.

The trend is clearly visible in the sales structure. Packaged food grew 6.2% in value and 3.8% in volume. Products by weight increased by 8.8%, primarily due to fresh vegetables, meat and fish. At the same time, sausages and cheeses showed a slight decrease.

Earlier, Athens News wrote that food prices in Greece remain one of the main problems for households, and the rising cost of basic goods continues to put pressure on the family budget. Food prices in Greece are preparing for a new breakthrough.

Discounts have become part of the normal price

Another important indicator is the share of sales on shares. Now 26.4% of sales in supermarkets they go through discount mechanisms. This helps contain the average price that a buyer actually pays.

But there is also a downside. When a quarter of sales come through promotions, the discount ceases to be a pleasant exception and becomes part of the regular pricing system. The buyer no longer just chooses a product. He is forced to hunt for the price, compare shelves, applications, loyalty cards and “bargain” offers, which sometimes look profitable only after three minutes of meditation on the price tag.

Athens News recently wrote about the end of the profit margin for supermarkets and the authorities’ promises to keep prices down in the summer. Prices without brakes: authorities lift markup restrictions. Separately, we examined the story of almost 1,900 “secret” discounts, the list of which the authorities do not publish in full. 1,898 secret discounts: citizens are invited to take the government at its word.

Private label continues its offensive

Against the backdrop of high prices, the share of private label goods, that is, products under the own brands of retail chains, continues to grow. Their sales increased by 6.3%, and their share reached 27.4% of the market.

Buyers are increasingly choosing such products in basic categories: food, paper products, cleaning products and household goods. The logic is clear: if a brand has become too expensive, the consumer chooses not the “favorite taste of childhood”, but something that does not break a hole in the weekly budget.

This does not necessarily mean a drop in quality. But this definitely means a change in power in the market: the higher the share of private label, the greater the power of large chains not only over the shelf, but also over manufacturers. The supermarket no longer just sells goods. It is increasingly becoming a brand itself.

Athens News wrote separately about the hidden increase in price due to a decrease in the weight and volume of packaging: Hidden price increases: how we are deceived in supermarkets.

Online supermarkets have almost stopped

Electronic sales of supermarkets for five months amounted to €133 millionan increase of only 1%. This is no longer rapid growth, but rather the maturation of the channel.

The number of online orders decreased by 3%, but the average basket value increased by 5%. Shoppers are placing fewer orders but placing more items in them: the number of units per order has increased by 3%, and the average price per unit has increased by 2%.

Fresh products remain the main category in online sales. They account for 35% of the electronic channel and have contributed positively to growth. Packaged food and household goods online were little budged, drinks and water were down 3%, and baby and children’s products were down 10%. But pet products, with a share of only 1%, grew by 11%.

Increased turnover does not mean things have become easier for people

Formally, the numbers for the chains are good: turnover is growing, volumes are not falling, private label is strengthening, shares support demand. But for the consumer, this is not a story of well-being.

Rather, this is a story about the redistribution of costs. Households are not tired of buying food, because food, oddly enough, is difficult to give up. They are cutting back on external spending and transferring money to supermarkets, where they are trying to maintain their usual level of consumption through discounts, private labeling and tighter basket control.

Therefore, the growth of supermarkets by 6.4% is not only the success of retail chains. This is also an indicator that the Greek consumer has become more careful, poorer in choice and much more attentive to price. He didn’t stop spending. He simply spends more and more often on what is necessary rather than on what is pleasant.

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