Pepco has been present in Hungary for ten years – expansion continues

The company entered Hungary in 2015, in an optimal market environment, and quickly found its place in the retail sector. In the beginning, Budapest and Northeastern Hungary were the main focus of the expansion, and then the network was expanded with street stores in addition to large shopping centers. “Purchasing power is not the only factor that determines where we open a store – the accessibility of the location is at least as important a factor,” emphasized Gergely Potyi.

Pepco also showed a significant advantage last year compared to Tedi and Kik. The key to the company’s success is the price-performance ratio, the assortment covering more than 500 product categories, and continuous development. In addition to the favorable price, it is important for customers to get a quality product for their money, while the store layout and service are also customer-friendly.

Pepco offers stable employment, is constantly increasing the number of its employees, and tries to motivate them with internal promotions. “You can even get from the store to a regional management position,” Potyi emphasized. Supporting the work-life balance is also important for the company.

The company’s store closures in Germany surprised many, but according to Potyi, this was a targeted, strategic transformation that serves the long-term strengthening of the company. At the same time, the Pepco Group increased its sales and gross margin for the third consecutive quarter.

Pepco also plans to open larger stores of 450-500 square meters in the future, but decisions are always made based on the economic return of the given location. In the saturated market, they continue to see potential in larger cities and settlements with fewer than 40,000 inhabitants.

According to Potyi, Pepco’s success over the past ten years has been that it has been able to expand faster and more flexibly than its competitors, and it wants to maintain this advantage in the future.