Food trade

Kesko Food is the leading operator in the Finnish grocery trade. K-retailers, with whom Kesko Food applies the chain business model, are responsible for customer satisfaction at the more than 1,000 K-food stores. Kesko Food manages the K-food store chains, which are K-citymarket, K-supermarket, K-market and K-extra.

Kesko Food's main functions include the centralised purchasing of products, selection management, logistics, and the development of chain concepts and the store network. Chain operations ensure the efficiency and competitiveness of business.

Kesko Food’s subsidiary Kespro is the leading wholesaler in the Finnish HoReCa business. It offers the best sourcing solutions in the sector for its customers.

K-food stores focus on food and service

Satisfied customers are a prerequisite of success

K-food stores are visited by 900,000 customers every day. Meeting different customer needs and successful encounters with every customer are a prerequisite of K-food stores' success. Customers' requirements have become increasingly individual. Quality and gourmandise, favourable prices, ease of cooking, responsibility, special diets and healthy eating are emphasised in customers' needs and wishes.

The aim of K-food stores is to take customers' different needs and expectations increasingly into account and consequently strengthen customer relationships.

K-food stores' customer-driven competitive advantages include:

  • By far the best fruit and vegetable department, bakery department and service counters offering fresh meat, fish and ready-to-eat meals in the area.
     
  • The widest selections which, in addition to a comprehensive basic selection, include products from local producers, valued by customers of the particular store.
     
  • Nearly 2,000 Pirkka products which combine high quality and permanently low prices. The Pirkka range is undergoing a continuous development. Based on increased customer demand, new Pirkka Organic and Pirkka Fairtrade products are also constantly sought for the range.
     
  • Exiting stores with displays and changing new products, combined with good service. The best food expertise, a versatile supply of recipes, and cooking advice.
     
  • E-commerce and online communications are being actively developed to serve customer needs and make shopping easier.

K-retailers serve customers taking local needs into account

Local K-retailers are responsible for the customer service, competence of personnel, quality, and profitability of business. Making use of customer data, the retailer builds a selection and service that meet customer needs, offering, for example, food from local producers to complement joint selections of the chain.

Strong chain concepts

Chain concepts are K-food stores' strength and chain operations are systematically promoted. Kesko Food's chain operations provide K-retailers with a strong basis for sourcing, building selections, marketing and price competition.
 

K-citymarkets offer their customers the widest selections of groceries and home and speciality goods, a low-priced shopping basket and the best special offers – every day. Their special strengths include fresh bread, meat and fish, fruit and vegetables, diversified food expertise, and eye-catching displays.

www.k-citymarket.fi »


K-supermarkets are better than the average food stores, the strength of which is excellent service and wide selections of food items. In addition to the retailer and other staff, customers are also served by over 160 employees with a specialist food manager qualification. These meat and fish experts provide customers with cooking tips and advice.

www.k-supermarket.fi »


K-markets are reliable, service-oriented and local neighbourhood stores located near customers. In addition to good basic selections, K-markets offer customers fresh bread straight from the store oven, fresh, high-quality fruit and vegetables, and the best local services.

www.k-market.com »

 

K-extras are neighbourhood stores which focus on personal service and provide customers with daily essentials. Many K-extra stores also offer additional services, such as the sale of agricultural and builders’ supplies, fuel distribution, lottery and postal services. 

www.k-extra.com »

 

There were 1,007 K-food stores in Finland in 2010. The K-food store network is the most comprehensive in Finland and 51% of Finns live less than a kilometre away from a K-food store. The neighbourhood store network of K-market and K-extra stores is the most comprehensive in Finland.
 

Market shares and competitors

Market shares 2010

 

Total market €14.5 billion.

 
Competitors

Finland, market share 35% (Nielsen)
Competitors: Prisma, S-market and Alepa/Sale (S Group), Valintatalo, Siwa and Euromarket (Suomen Lähikauppa Oy) and Lidl

HoReCa, Finland, Kespro
Competitors: Meiranova Oy, Metro Chain, Heinon Tukku Oy 

 

Read more about food trade (Annual Report 2010) »