Selgros likely to reach 1bn-euro mark within a year

“We enjoyed a 27% sales increase in the first half of 2007 against the same time in 2006, and we hope to maintain the same growth rate until the end of the year,” said representatives of Selgros Cash&Carry Romania.
The company reported a 2.15 billion-RON (611.8 million euros) turnover in 2006, so this year’s estimated growth rate could take sales of the Selgros network to 2.73 billion RON (approximately 830 million euros).
The business increase comes amid network expansion, with the launch of three stores this year, in Suceava, Iasi and Galati, which followed total investments worth 45 million euros.
The retailer had targeted sales worth 1 billion euros by 2011, however, if the business maintains the same growth rate registered over the last two years, the target could be reached next year. A car show, held in the car park of the Selgros store in Suceava last week, attracted a large number of visitors, and also helped to boost sales.
“At a similar show in Selgros Oradea, we had 7,000 visitors. Our partners at this event were local car and off-road vehicle dealers,” specified Pia Krauss, the company’s marketing manager.
Selgros’s rival, Metro Cash&Carry, was also involved in staging an auto show this year. The retailer utilised the area of the former Otopeni Metro Cash&Carry store to stage SIAB 2007 (Bucharest International Auto Show) – the largest car show in Romania.
The exhibition area covered 50,000 square metres, while the event attracted 250,000 visitors over ten days.
Both Selgros and Metro Cash&Carry have organised fairs for their suppliers, with a similar event planned in the coming days, at the Selgros store in Bacau.
The Selgros Cash&Carry network, which currently numbers 16 stores, plans to expand by a rate of 2-3 new stores each year, and eventually reach 21 stores.