Real sets out to boost private label share of sales to 20% by 2012

Hypermarket operator Real held by the Metro group intends to have its private labels generate 20% of sales by 2012, compared with 3.5% at the moment, that is around 23 million euros for 2008. The promoter of the Real Quality – launched on the Romanian market yesterday, was Romanian Dusan Wilms, former COO of Real International, who will be back at the helm of Metro Cash & Carry Romania in June. This brand developed internationally replaced about 25 different brands last year that the company had on the market. “Dusan Wilms was my boss at Real in 2007 and he was the one that backed the idea that I suggested at that time, to unify all the brands into one, which would be more representative of us. Real Quality was launched in the network in Germany first in 2008 and then in all the countries where Real operates,” said Tjeerd Jegen, chief executive of Real Hypermarket Romania. With the introduction of Real Quality, the network is tackling the medium price segment with private labels, on which most already established brands of major producers like Coca Cola, P&G and Danone are positioned. The retailer has been selling private label products in Romania since 2006. These products, branded Tip, where the cheapest on the shelves.