László Pekó: “Coop isn’t just a network, it is a way of life – and has been for 30 years”

László Pekó
president
CO-OP Hungary

– Looking back after thirty years: how do you remember the launch of Coop?

– It was a very good decision to create the Coop chain of stores. The early years were full of challenges: we had to coordinate procurement, consolidate the Pro-Coop wholesale network and find a balance between independence and common interest.

– Which was the moment when you felt Coop had become more than just a business – that a community was also building up behind it?

– Perhaps in the early 2000s, when the network began to grow dynamically and more and more companies joined us through acquisitions and collaborations. That was when I really felt that Coop was no longer just a chain of stores, but a nationwide community.

– Several players in the retail sector have given up on rural areas, but you are still building on them. Is it economically viable or is it more of a mission to supply small towns?

– We have always been strong in smaller towns and villages and have tried to maintain these communities. I have always believed that the small shop is the heart of the village. Coop workers get up at dawn to make sure that every shelf is stacked with food, even in the most remote villages. They are the ones who prove day after day: perseverance is the heart of commerce.

– You manage one of the largest Coop networks. What has changed most in store management over the past decades?

– Today the group is one of the biggest owners of Co-op Hungary. We conduct our commercial activities through three companies: in 2024 Mecsek Füszért had a turnover of HUF 74.5 billion, Nyírzem Zrt. realised HUF 30 billion sales and Szabolcs Coop Zrt.’s business performance was HUF 6.9 billion – together, we generated a turnover of more than HUF 111 billion. Coop works with more than 1,100 domestic suppliers, including many small and medium-sized enterprises.

– When is it worth investing in a store and when is it better to consider other solutions?

– In recent year we have spent more on our own units than on acquisitions: for instance in 2023 we built a new warehouse in Veszprém from HUF 3.5 billion. Although the profitability of retail is currently weaker, we continue to work on improving the quality of our stores.

– Digitalisation is now unavoidable. How can you apply it in a way that the human touch isn’t lost?

– Digitalisation is an important tool, but it isn’t a goal. It helps us work faster and more accurately, but it doesn’t replace people. For Coop automation doesn’t mean fewer hands, but more time for the customer.

– Coop has always emphasised the importance of Hungarian products. What does this mean to you?

– For me Hungarian products are synonymous with trust. When domestic goods are placed on the shelf, we aren’t only offering a product but also a story – the work of Hungarian farmers and Hungarian families. The customer knows that by buying these products, they are supporting their own community.

– How do you see the future? What role can Coop play in rural Hungary in the long term?

– I am optimistic about the future, because I see the perseverance and solidarity of people. Today rural stores aren’t just places to shop, but community spaces. Wherever Coop is present, there is life.

– After three decades what do you consider to be the most important lesson?

– The human factor is still decisive today: without a good store manager and professionally trained, customer-oriented employees, no store is worth anything. For me retail has always been about people. I want to teach future generations to respect customers and value their colleagues. Today more than 3,500 people work for the Coop Group in 30 companies, and 60% of the stores operate in villages with fewer than 2,000 inhabitants. (x)