„We had been very successful for the first 20 years”

By: trademagazin Date: 2007. 06. 27. 08:00

We are in a small family store in the medieval city centre of Spoleto. This is a typical example of the traditional retail businesses which still hold a 30 per cent market share in Italy, according to Nielsen data. „Losfizioso” (Delicacies) – is written on the sign over the entrance of the store in Piazza del Mercato . 3000 thousand items are displayed in only 45 square meters for the 80 customers, who visit the store daily, on average. The store of Quintal Borri was opened in 1979 and had been prospering for the first 20 years. However, as an increasing proportion of regular customers are now retired, they tend to spend less money . Credit is available in the store, with debts listed in a book. Sometimes, it is not very easy for them to get their money. Stock is purchased through the CC Sigma purchasing partnership, which makes deliveries to similar stores nation-wide. They stock 56 kinds of meat products and 70 kinds of cheese. Several brands of cheese made with truffle are also sold. The price of cheese is between EUR 8,50 and 22,60 for a kilogram. The third pillar of the assortment is gastronomy, with 25 buffet products. Salads and fish dominate this category. Average prices per kilogram are between EUR 11and 25, except for sardines which sell for EUR 65. We can get a fairly accurate picture of Italian eating habits from the assortments of such neighbourhood stores. For example, a strong cult of soups is apparent from the 20 types of seeds and beans sold. There are 32 types of pasta to choose from, with 30 items among noodles alone. Italian breakfast usually includes jam or honey. 9 kinds of jam are sold with prices ranging from EUR 1,65 to 2,15 for 400 gram jars. There are also ten kinds of honey for EUR 3,40 for 250 gram size jars. Sweet biscuits are also popular occupying 15 shelf meters. The assortment of wines is composed of 15 different labels, with white wine from Spoleto and Umbria dominant. Of olive oil, 9 kinds are sold. We are surprised not to see any bakery products or bread. These are sold in specialised bakery shops. Regarding competition, Quintal Borri is not worried about supermarkets. She says the main competition she has to face is from similar shops, like the one opposite her place.

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