Salling Group plans ambitious expansion of Netto stores in Poland

The Danish retail giant Salling Group, known for its Netto discount stores, has announced plans to significantly expand its presence in Poland. The company aims to increase the number of Netto outlets by 350, bringing the total to 1,000 by the end of 2028. This ambitious expansion reflects Salling Group’s commitment to deepening its investment in the Polish market and enhancing its service to local customers.

Salling Group’s expansion strategy includes the implementation of its innovative Netto 4.0 concept, which is currently being tested in select stores in Grodzisk Mazowiecki and Borzęcin Mały. The concept focuses on improving the shopping experience with new solutions tailored to meet customer needs. Initial feedback has been encouraging, with positive sales results indicating that these changes resonate well with shoppers.

Since opening its first Netto store in Szczecin in 1995, the chain has steadily grown its footprint in Poland. The growth trajectory accelerated in 2020 when Salling Group acquired 300 Tesco stores and several distribution centers, swiftly converting them to the Netto format. This acquisition significantly increased the total number of Netto stores to over 660 across the country, further entrenching the brand in the Polish retail landscape.

Anders Hagh, CEO of Salling Group, expressed the company’s aspirations for the Polish market, stating, “We have big ambitions in Poland, and the coming years will make us an even more important player for Polish customers. With the goal of reaching 1,000 stores, we aim to enhance our position in the market while ensuring we remain responsive to our customers’ needs through innovative solutions.”

Brian Nyeng Olesen, CEO of Netto Polska, echoed Hagh’s sentiments, emphasizing the importance of customer engagement and the company’s commitment to making Netto the first choice for Polish shoppers. He remarked, “Thanks to our new strategy, we will open 350 new stores across Poland over the next four years, focusing on how we can become even more integral to our customers’ lives.” Olesen highlighted that all new store openings planned for the end of the year will incorporate the new 4.0 concept, aligning with the company’s goal to continuously improve the shopping experience.

In conjunction with its store expansion, Salling Group has unveiled a new business strategy for the years 2025-2028, which includes plans for acquisitions and mergers in existing and new markets. The strategy sets an ambitious goal of achieving an annual turnover of over PLN 57 billion (over DKK 100 billion) while allocating up to PLN 7.5 billion (up to DKK 13 billion) for investments. The company also plans to invest significantly in new systems and solutions to support its 60,000 employees across Denmark, Germany, and Poland.

Salling Group’s CEO underscored the company’s readiness to seize emerging opportunities: “In recent years, we have established a position that enables us to act quickly and confidently. Our goal is to make Salling Group an even larger and more influential player in the retail sector, positively impacting the daily lives of our over 12 million customers each week.” He also emphasized the group’s commitment to giving back to the community through its ownership structure, the Salling Foundation.

Additionally, the company plans to launch the Salling Seeds fund, which will invest PLN 285 million (approximately DKK 500 million) in innovative startups within technology, sustainable development, and retail. This initiative aims to acquire new knowledge and solutions that better serve customer needs.

Currently, Netto operates more than 660 stores in Poland and employs over 9,000 people. Salling Group, which includes notable brands such as Bilka and F-tex, operates a total of 1,746 stores across Denmark, Germany, and Poland. The company reported a turnover of PLN 40 billion (DKK 70 billion) for 2023, positioning itself as a key player in the European retail market. The Salling Group is solely owned by the Salling Foundation, comprising the Kobmand Herman Sallings Fond and the Kobmand Ferdinand Sallings Mindefond, which further underscores the company’s commitment to social responsibility.

Source: Salling Group and ISBnews