Chains of small stores suffering biggest loss 2007

According to the Retail Analysis 2007 study by GfK Hungária, discount stores and hyper markets improved their respective market positions, while the FMCG sector slipped into relative recession last year. The most surprising finding of the study is that modern retail channels gained more at the expense of Hungarian chains, than at the expense of independent stores. There was a shift in consumption towards cheaper, private label products in 2007. The market share of private labels reached 24 per cent in the FMCG sector. Household spending rose by only 6,7 per cent, while food prices grew by 11.5 per cent. Modern retail channels now account for over two-thirds of the FMCG market. As shown in the GfK Gain & loss analysis, both average basket values and the number of customers increased in hyper markets. The market share of supermarkets remained unchanged at 15 per cent in 2007. Average spending also increased in discount stores last year – at the expense of Hungarian retail chains.