2. Who we are
‘Partner to entrepreneurial food retailers
and food service professionals’
3. 66%
How we operate
Buying Systems
Sales Trading
Support
Brand
Development
Supply ‘Retailer at the centre
Chain
of what we do’
CONSUMER
Store
Marketing Develop-
ment
Training Finance
Site
Selection
8%
(€0.6bn)
5. Shape of the business
Sales €4.8bn (+50% over 5 years)
3,200 neighbourhood and convenience
stores
32,000 employed in Ireland
Profit margin 1.3%
6. Our retail partners
Being a good neighbour
Store owners
Local employer
Community active
Support local producers
and suppliers
7. Our UK brands performed well in 2009
+11%
+10%
+8%
+5%
+3%
SuperValu Centra Budgens Londis UK market
8. Irish grocery market reshaped
Market Stakeholder
Market of €14bn NI Consumer
UK land border Retailer
Stores per head ROI Supplier
Price deflation
Sourcing
9. The rise of the Superconsumer
In control
More informed and considered
Shopping on their own terms
Empowered
10. Values still important
VFM primary driver
Most believe haven’t hit bottom yet
Strong support for local
Sustainability still an issue
12. Our way of working
Values
Working hard
Honesty
Achievement
Not being greedy
Long term stable relationships
13. Delivering lower prices
South/North
% Price Difference
+34%
+12%
+10%
July '08 Dec '08 Feb '10
14. Working with our international suppliers
Improved sourcing
Driving efficiency
Support for Irish
15. Supporting Local
75% of everything sold produced or sourced in Ireland
100% Irish for beef, lamb, poultry and pork worth €250m
100% own brand dairy products, Irish worth €50m
16. Code of Practice
Industry must work together to restore trust
Code must address retailer and supplier issues
Particular target of SMEs
21. Supporting our retail partners
Major employers
Tackling costs
Struggling with rents
No NAMA for retailers
‘Partner to entrepreneurial food
retailers and food service professionals’
22. Our brands have outperformed
2009 Sales performance Irish outlook
% growth % consumer spend
SuperValu Centra ROI Market 2009 2010 2011
+1%
-1%
-4% -4%
-7% -7%
23. Emerging stronger
‘Companies that continue to invest
in their brands in a recession emerge
with a sustainable competitive advantage’
Notas del editor
Majority of our business – SuperValu, Centra and Budgens - operates to a retail partnership model. This model is characterised by: Close working relationships and extensive interaction with our retail partners High degree of compliance 95%+ purchasing loyalty Recommended retail prices Promotional implementation Category management, range and merchandising NPD introduction Reward for stands and compliance The ‘Top 300’ Londis stores are moving towards this model. Just over a quarter of our business – Londis, Mace, Daybreak and Day Today – operate a partial retail partnership model. This way of operating involves: Strong and growing purchasing loyalty Implementation of key promotions Guidance on range and merchandising Commitment to improving store standards Less than 10% of our business goes through a traditional cash and carry format – with a growing focus on food service customers and SME’s.