2023全球零售力量年度报告-Global Powers of Retailing 2023 Revenue growth and continued focus on sustainability -德勤

GlobalPowersofRetailing2023

Revenuegrowthandcontinued

focusonsustainability

February2023

02

GlobalPowersofRetailing2023|Contents

Contents

ForewordbyEvanSheehan3

Top250quickstatistics4

GlobaleconomicoutlookbyDr.IraKalish5

Top10highlights7

Sustainabilityinretail15

FutureoftheStore30

Top25036

Geographicanalysis51

Productsectoranalysis58

Newentrants62

Fastest5064

Studymethodologyanddatasources69

References

71

Contacts73

Featuredretailexecutiveinterviews

CarolineLaurie

Burberry

JavierLosada

Inditex

DaniellaVega

AholdDelhaize

DonaldMcDonald

BrownThomas

MaureenErickson

Lululemon

VincentViviers

PicknPay

03

GlobalPowersofRetailing2023|Foreword

Foreword

Inayearofstrongyear-on-yeargrowthinretailrevenueacrossthetop250,weseethatsustainabilityremains

highontheagenda.Severalplayersareworkingontheresaleofslightlyusedgoodsandweseemanytechnology-enabledinnovations.Successfulretailerscombinetechnologywiththehumanfactortoprovideoptimalcustomerexperience.AmongtheFastest50,themaindriversofgrowthweretheluxurybrands,e-commerceprovidersanddepartmentstores.

EvanSheehan

GlobalRetail,Wholesale&DistributionLeaderatDeloitte

US$45bilion

Minimumretailrevenue

US$22.6billion

Averageretailrevenue

US$572.7billion

Maximumretailrevenue

31.3%

9.3%

5%

GlobalPowersofRetailing2023|Top250quickstatistics

GlobalPowersofRetailing2023

Top250Retailersshowsignificantrevenuegrowth

Year-on-yearrevenuegrowth

ofTop250retailers

Compositenetprofitmargin

ofTop250retailers

*financialyears

endingwithin12

monthsfrom1July

2021to30June2022

*financialyears

endingwithin12

monthsfrom1July

2020to30June2021

Apparelandaccessoriesretailers

Top250Retailers

showedfastestyear-on-yeargrowth

15.6%

Apparelandaccessories

Hardlinesandleisuregoods

FMCG

Diversiied

73%ofConsumerCXOshaveincreasedinvestmentsinsustainabilityoverthelastyear

“OurLikeNewprogramallowsgueststoextendthelifeofourproductsbybuyinglululemonLikeNewortradinginlululemongearwhentheyaredonewithit.”

–MaureenErickson,

SeniorVicePresidentGuestInnovationatlululemon

Retailersprepareforthefutureofthestore

“Customerslovetheirpersonalexperienceatourexperientialstore,andwe’veensuredthatourdigitalchannelssupportthisin-storeexperience.”

–DonaldMcDonald,

ManagingDirectorofBrownThomas

04

05

GlobalPowersofRetailing2023|Globaleconomicoutlook

Globaleconomicoutlook

ByDr.IraKalish

ChiefGlobalEconomist,DeloitteGlobal

January2023

Whatshouldweexpectin2023?Itseemslikelythatthenewyearmay,inpart,becharacterizedbyareversalorstabilizationofsomeoftheeventsof2022.Thesecouldincludearapidincreaseininflation,surgesincommodityprices,tighteningofmonetarypolicy,andsubstantialsupplychaindisruption.Sometrends,however,arelikelytopersist.Theseincludetightlabormarkets,thebiggestlandwarinEuropesince1945,aslowdownofChina’seconomy,increaseduseofindustrialpolicyandsanctions,andeconomicdisruptionfromclimatechange.

Here,then,arepredictionsforthenewyear:

Inflationshouldrecede.

Thefactorsthatdroveinflationin2021-22arealreadyreversing.Thesefactorsincludedthefollowing:supplychaindisruption,increasesincommodityprices,andexpansivefiscalandmonetarypolicy.Moreover,inflationhasalreadypeakedintheUnitedStatesandmaysoonpeakinEurope.InflationremainsmoribundinJapanandChina.ExpectarapiddeclineininflationintheUnitedStatesandamoremoderatedeclineinEurope.Theexpectationofthispatternisalreadyembeddedinbondyields,whichiswhytheyremainrelativelylow.

Supplychainsshouldstabilize.

Weakeningglobaldemandcombinedwithincreasedcapacitytoproduceanddistributemanufacturedgoodsarealreadycausingadeclineindelays,shortages,andcostsofshipping.OncetheCOVID-19pandemicsituationstabilizesinChina,supplychainsinChinawillalsonormalize.Thismayhelptoeaseinflationandremovebottlenecksthatinhibitoutputinsomeindustries.

Ontheotherhand,fraughtpoliticalrelationsbetweenChinaandtheUnitedStatesmayleadmanycompaniestobuyaninsurancepolicyagainstpoliticalriskbydiversifyingsupplychains.ThiscouldlikelymeanfurtheroutflowsofcapitalfromChinaandmoreinvestmentinsupplychainprocessesinSoutheastAsia,India,CentralEurope,andespeciallyMexico.

Labormarketsshouldremaintight.

Inmanycountries,laborhasbeeninshortsupplyastheworldrecoversfromtheCOVID-19pandemic.Thishasbeenduetoreducedlaborforceparticipation,continuedCOVID-19-relatedillnesses,andasharpdeclineinmigration.Thesefactorsarenotlikelytochangesoon.Thus,evenamidstconcernaboutrecession,jobgrowthcontinuestoberelativelystrongandunemploymentlow.Manycompanies,fearfulofpersistentshortagesoflabor,areprobablyhiringtohoardlaborthatmightbeneededwhentheeconomyrebounds.

Notably,despitetightnessinthelabormarket,wageshavefailedtokeeppacewithinflationinmostadvancedeconomies.Theresulthasbeenweakerconsumerspending.In2023,asinflationrecedes,itislikelythatwagegrowthwillultimatelyexceedinflation.Thisshouldboostconsumerspending.Itmayalsoputpressureonbusinessestoaccelerateinvestmentinlaborsavingtechnology.

Centralbanksshouldstoptightening.

Weknowthatmonetarypolicyactswithalag.Thus,itispossiblethatthesharpincreaseinbenchmarkinterestratesin2022wassufficienttoquellfutureinflation.Still,itislikelythatmajorcentralbankswillcontinuetoraiseratesinearly2023,ifonlytoanchorexpectationsofinflation.Theymaylikelystopthisprocessinthefirsthalfoftheyearandwaittoseethefruitsoftheirlabor.Centralbankswilllikelystarttoreduceratesin2024.

TheUSmayavoidrecession.

SixtypercentoftheUSpopulationbelievesthatthecountryisalreadyinrecession.Andyettheeconomyhasshownremarkableresilience.Despitedecliningrealwages,realconsumerspendinghasgrownassomeconsumershavedippedintotheirsaving.Despitehigherborrowingcosts,businessinvestmenthasgrownasmanybusinesseshavedippedintotheircashreservesandfocusedonthelongerterm.Theonlymajorsectortoexperienceasharpcontractionhasbeenhousing,largelyduetohighermortgageinterestrates.

Withoutadoubt,USgrowthin2023maybeslowerthanin2022duetotighteningmonetaryandfiscalpolicy.Yetarecessionmightbeavoidedduetodecliningenergyprices,strongemploymentgrowth,andeasingofsupplychainstress.Still,arecessionremainsapossibility.

06

GlobalPowersofRetailing2023|Globaleconomicoutlook

Europemayexperiencerecession.

EuropeisdifferentfromtheUnitedStates.Asrealwageshavefallen,realconsumerspendinghasfallen.And,althoughenergypriceshavefallenfromtheirpeaks,naturalgaspricesremainhistoricallyelevated,therebyhelpingtofuelinflationandreducepurchasingpowerforconsumersandbusinesses.Theenergyshock,aresultoftheconflictinUkraine,couldplaytheleadingroleindrivingarecessioninEurope.Inaddition,tighteningofmonetarypolicybytheECBandtheBankofEnglandwillplayarole.Plus,althoughmanyEuropeangovernmentsareofferinglargesubsidiestooffsethighenergyprices,thetrajectoryoffiscalpolicyremainscontractionary.

AlthoughEuropeangovernmentshavetakenstrongmeasurestoprotecttheireconomiesfromtheenergyshock,itislikelythatelectricitypricescouldremainrelativelyelevatedforaprolongedperiod.Thus,manycompaniesinheavyindustry,whichusedtobenefitfromaffordableRussianenergy,areincreasinglylookingoutsideofEuropeforinvestmentopportunities.ThiscouldhaveanegativeimpactonthefutureofEuropeanmanufacturing.

Chinamayreboundonlymodestly.

Withtherelaxationofpandemic-relatedrestrictions,Chinaislikelytoseeamodestreboundineconomicactivityin2023–butnotimmediately.Fornow,themassiveoutbreakofinfectionsissuppressingmobilityandproduction,theresultofwhichislikelytobetemporarilysuppressedeconomicactivity.Yetoncethiscycleoftheoutbreakrecedes,itislikelythatpent-upconsumerdemandwillboostspending.

Still,Chinafacesseveralheadwindsthatmayrestraingrowthin2023.Theseincludeatroubledpropertymarket,weakerglobaldemand,anoutflowofcapitalbyglobalbusinesses,andafraughtrelationshipbetweenChinaandtheWestthatinvolvesrestrictionsoncross-bordertradeandinvestment.

Japanshouldstabilize.

Japan’seconomyisacceleratingfromalowbaseasCOVID-relatedrestrictionsdecreaseandpent-updemandisunleashed.Still,Japan’seconomymayfaceheadwindsfromaweakenedglobaleconomy.Thus,growthislikelytoremainmodest.

Meanwhile,inflationhasacceleratedfromalowbaseduetosupplychaindisruptionandhigherenergyprices.TheBankofJapanhaspartiallyreverseditseasymonetarypolicy,therebyprovidingaboosttothevalueoftheyen.

Indiashouldgrowstrongly.

In2023,Indiamaybecomethemostpopulatedcountryintheworld,surpassingChina.TheIMFestimatesthatthiscouldhappeninApril.Intheyearstocome,whileChina’spopulationdeclines,India’sshouldcontinuetogrowwellintothesecondhalfofthiscentury.

Thisdemographicshiftcouldhaveimplicationsfortheglobaleconomy.Iffornootherreasonthandemographics,ChinamaygrowmoreslowlywhileIndia’seconomymaygrowfasterasdomesticconsumerdemandbecomesaprominentgrowthdriver.Thisisalreadythecase.Indeed,Indiaiscurrentlyoneofthefastestgrowingmajoreconomiesintheworld.ItisimportingrelativelyaffordableoilfromRussia,therebyhelpingtolimittheimpactoftheenergyshockonitseconomy.SincetradeasashareofGDPislowerthaninmostcountries,thisshouldshieldIndiafromthenegativeconsequencesofaglobalslowdown.Therateofinflation,althoughrelativelyhigh,hasfallenrecently.However,sincetheReserveBankofIndia(RBI)hasbeenraisingitsbenchmarkratesinceApril2022,theremaybeamodestdecelerationintherateofgrowthin2023duetoitsimpactondemand.

07

GlobalPowersofRetailing2023|Top10highlights

Top10highlights

Top10retailers,FY2021

Top

250

rank

Changeinrank

Nameofcompany

Country/Geographyoforigin

FY2021

retail

revenue

(US$M)

FY2021

retailrevenuegrowth

FY2021

netproitmargin1

FY2021

return

on

assets

FY2016-

2021

retailrevenue

CAGR2

#countries/geographiesofoperation

%retailrevenuefromforeignoperations

1

0

WalmartInc

UnitedStates

572,754

2.4%

2.4%

5.7%

3.3%

24

31.3%

2

0

A,Inc.

UnitedStates

239,150

12.0%

7.1%

7.9%

20.4%

21

33.2%

3

0

CostcoWholesaleCorporation

UnitedStates

195,929

17.5%

2.6%

8.6%

10.5%

12

27.8%

4

0

SchwarzGroup

Germany

153,754

5.5%

n/a

n/a

7.8%

33

73.0%

5

0

TheHomeDepot,Inc.

UnitedStates

151,157

14.4%

10.9%

22.9%

9.8%

3

8.1%

6

0

TheKrogerCo.

UnitedStates

136,971

4.1%

1.2%

3.4%

3.5%

1

0.0%

7

2

JD.com,Inc

China

126,387

25.1%

-0.5%

-0.9%

28.0%

1

0.0%

8

-1

WalgreensBootsAlliance,Inc.

UnitedStates

122,045

3.7%

1.9%

3.1%

4.7%

6

8.2%

9

-1

AldiEinkaufGmbH

&Co.oHGand

AldiInternational

ServicesGmbH&

Co.oHG

Germany

120,947

e

-0.4%

n/a

n/a

4.8%

19

72.8%

10

0

TargetCorporation

UnitedStates

104,611

13.2%

6.6%

12.9%

8.5%

1

0.0%

Top101,923,7048.0%4.1%7.5%7.9%12.127.9%

Top2505,650,4788.5%4.3%5.9%5.7%11.423.4%

34%

66%

Top10shareofTop250retailrevenue

1Netprofitmarginbasedontotalconsolidatedrevenueandnetincomee=estimate

2Compoundannualgrowthraten/a=notavailable

Source:DeloitteGlobal.GlobalPowersofRetailing2023.Analysisoffinancialperformanceandoperationsforfiscalyearsendedbetween1July2021to30June2022usingcompanyannualreports,SupermarketNews,ForbesAmerica’slargestprivatecompaniesandothersources.

08

GlobalPowersofRetailing2023|Top10highlights

Retailrevenueyear-on-yeargrowthFY2020FY2021

35%

30%

25%

20%

15%

10%

5%

0%

-5%

34.8%

27.6%

25.1%

19.9%

19.8%

17.5%

144%

132%

12.4%

12.0%

92%

10.0%

8.5%

5.2%

8.0%

6.7%

8.3%

5.5%

41%

8.1%

2.4%

3.7%

1.5%

-0.4%

Top250

Top10

WalmartInc.

AInc.

CostcoWholesaleCorporation

SchwarzGroup

TheHomeDepot,Inc.

TheKrogerCo.

JD.com,Inc

WalgreensBootsAlliance,Inc.

AldiEinkaufGmbH&Co.oHGandAldi

InternationalServicesGmbH&Co.oHG

TargetCorporation

Source:DeloitteGlobal.GlobalPowersofRetailing2023.

China’sonlineretailspecialistJD.comrosetwopositionstoseventhplaceintheGlobalPowersofRetailingTop10rankinginFY2021asaresultof25.1%growthinretailrevenue.NonewretailersenteredtheTop10rankingsinFY2021.Despitetheeasingofpandemic-relatedrestrictions,theretailsectorexperiencedongoingdisruptionsduringFY2021.Thevastmajorityofretailerspostedbothpositiverevenuegrowthandnetprofitmargins.ThetopretailerscontinuedtosupporttheirESGstrategies,throughmeasuressuchassettingambitiouscarbonemissionstargets,reducingsingle-useplasticsandprovidingconsumerswiththetoolstomakeenvironmentally-consciousshoppingdecisions.

ThissectionpresentsananalysisoftheTop10retailersintheTop250ranking,basedonvariousthemesincludingretailrevenue,mergersandacquisitions,e-commerce,technology,Environmental,SustainabilityandGovernance(ESG),andnetprofitmargins.Thespecificinformationcoveredforeachretailerdependsontheinformationthatispubliclyavailable.

WalmartInc

Retailrevenue

Forasecondconsecutiveyear,intermsofretailrevenue,Walmartleadstheworld’sTop250globalretailers.Thecompany’sRetailrevenuegrewby2.4%year-on-yearinFY2021toUS$573billion,buildingontheretailer’sstrongperformancereportedinFY2020.Higherconsumerspending,inpartduetogovernmentstimuluspackages,ledtostrongsalesrevenueinitsUSSam’sClub(amembership-onlyretailwarehouseclub)ande-commercesegments.

WalmartInternational’sRetailrevenuefellby16.8%inFY2021,asaresultoftwodivestments:AsdaStoresLtd,whichwassoldtoIssaBrothers,andSeiyuGroup,whichwassoldtoKKRandRakuten.BothdealsclosedinQ1FY2022.BuoyantsalesinWalmart’sremaininginternationalmarketsandfavorableforeignexchangerateswhichcontributedUS$4.5billion,offsetfurtherdeclinesinWalmart’sinternationalsegment.InthefaceofmountinglossesintheIndianmarket,e-commercegiantFlipkart,acquiredbyWalmartforUS$16billionin2018,reinedinM&Aactivityandnewhires,despiteraisingUS$3.6billioninfundingthepreviousyear.1

09

Amazon

GlobalPowersofRetailing2023|Top10highlights

Mergers&Acquisitions

Followingtheacquisitionofaugmentedreality(AR)companyZeekitin2021,Walmartlaunchedits‘BeYourOwnModel’serviceonitsWalmartiOSappinSeptember2022,whereuserscanmodelclothingitemsvirtuallyusingaphotoofthemselves.2ThisfollowedWalmart’spreviouslaunchofseveralotherARfeaturesinJune2022,whichincludedenablinguserstoplacevirtualfurnitureintheirhomes,aswellashelpingcustomersmakepurchasingdecisionsin-store.3Inthesamemonth,thecompanyannouncedtheacquisitionofMemomi,anARopticaltechnologycompanythatenablescustomerstotryonvirtualglassesin-store4.

E-commerce

Walmart’se-commercesalesgrewby12.8%inFY2021,following63.5%growthinthepreviousyear.WitheasingofCOVID-19pandemicrestrictions,consumersreturnedtothephysicalretailchannel,whichaffectede-commercesales.JohnFurner,headofWalmart’sUSoperations,hascommented:"Wedefinitelysawatrafficshiftbackintostoresfrome-commerce”.5However,Walmartremainscommittedtodevelopingitsdigitalchannels.Walmartcurrentlyoperatesover8,000pickupand6,000deliverylocationsasofFY2021.Itmaintaineditsinvestmentsinstorerefurbishments,whichincludedaUS$3.3billioninvestmenttowardsrenovationofitsstoresin2022,aspartofastrategytoblendonlineandin-storeshoppingexperiences.

Walmart’sdevelopmentofitsomnichannelcapabilitiesanditsinterestinengagingwiththetechnologically-nativeGenZandmillennialagegroupsledtothelaunchoftheWalmartCreatorapp,anewplatformthathelpsenablecontentcreatorstomonetizeshoppableproductsfromtheretailerandtoearnacommissionforproductssold,aconceptsimilartoChina’sDouyinsocialmediae-commerceplatform.6Whiletheplatformiscurrentlyinbeta-testing,WalmartCreatorisexpectedtolaunchfullyin2023.

Environmental,SustainabilityandGovernance

Walmart’sFY2022ESGsummaryreportdisclosesthatithadreachedthehalfwaymilestoneforProjectGigaton,whichaimstoreduceoravoidonebillionmetrictonnesofScope3emissionsfromitssupplychainby2030.InApril2022,WalmartalsolaunchedaCircularConnectorplatformwiththeaimto“bridgethegapbetweencompaniessearchingformoresustainablepackagingideasandthosethatofferthem”.7

Netprofitmargin

InFY2021,Walmart’snetprofitmarginfellby0.1percentagepointsto2.4%despiteaconsolidatednetincomegrowthof1.7%.Gainsassociatedwithhigherrevenuewereoffsetbythreefactors:theUS$2.4billionlossofextinguishmentofdebt,duetotheearlyretirementofcertainhigher-ratelong-termdebt;aUS$3.0billionlossfromfairvaluechangesonWalmart’sequityinvestments;andlossesassociatedwiththedivestmentofsomeinternationaloperations.

Retailrevenue

Amazon’sRetailrevenue(firstpartyretailsalesonly)grewby12%inFY2021,followingexceptionalgrowthof34.8%inFY2020.Theretailerreporteddouble-digitsalesinbothitsNorthAmericanandInternationalsegments.Thiswastheresultofhigherunitsales,drivenpartlybyeffortstoreduceproductprices,andfluctuationsinexchangerates,whichhadaUS$3.8billionpositiveimpactinFY2021.TheseincreasesinNorthAmericaandInternationalRetailrevenueswereoffsetpartlybyfulfilmentnetworkinefficienciesandsupplychainconstraints.8

ThelaunchofAmazonPolandin2021,wasfollowedbyAmazonBelgiuminOctober2022,expandingthecompany’smarketfootprintfurtheracrossEurope.AspartofAmazon’scommitmenttosupportlocalbusiness,thecompanylaunched“BrandsofBelgium”,anAmazonmarketplacewhichfeatureslocalretailersandtheirproducts.9Additionally,inJanuary2022,Amazonlauncheditsfirstbricksandmortarfashionoutlet(AmazonStyle)inCalifornia.ThispilotstorehasbuilttechnologyintotheconsumershoppingexperiencethroughtheAmazonShoppingApp,whichprovidesmachinelearning-drivenrecommendations,andtouch-screenslocatedaroundthestore.10

Merges&Acquisitions

AmazonmadeacquisitionstotallingUS$496millioninFY2021.However,thesedidnotincludeanyretail-relateddeals.ThecompanyturneditsattentiontoacquiringtechnologycompaniessuchasCloostermans,amechatronicscompany,toprovideroboticautomationinAmazonwarehouses11andiRobot,theproducersofRoomba,aleadingrobotvacuumcleaner.12AmazonalsopushedfurtherintothehealthcaresectorthroughtheacquisitionforUS$3.9billionofOneMedical,atechnology-focusedhealthcareprovider.13

Environmental,SustainabilityandGovernance

Amazoniscurrentlytheworld’slargestcorporatebuyerofrenewableenergy.14InFY2021,thecompanyannouncedthelaunchof71newrenewableenergyprojects,makingatotalof379across21countriesasofSeptember2022.Amazon’sglobalrenewableenergyportfolioisforecasttogenerate50GWhofcleanenergythankstotheadditionofthesenewprojects.ThisispartofAmazon’sgoaltoreachnet-zerocarbonemissionsby2040.15

NetProfitMargin

Amazon’snetprofitmargininFY2021was7.1%,thesecond-highestnetprofitmarginamongtheTop10afterTheHomeDepot,andup1.6percentagepointsonFY2020.

10

Costco

GlobalPowersofRetailing2023|Top10highlights

Retailrevenue

InFY2021,Costco’sRetailrevenuegrewby17.5%,(comparedto9.2%inFY2020),makingitthesecond-fastestgrowingretailerintheTop10afterJD.com.Thegrowthwasdrivenbya16%increaseincomparablesales,inadditiontotheopeningof20newwarehouses(12intheUS,fourinCanadaandfourinothercountries).InFY2022,thecompanyhasalreadyincreasedthetotalbyanother13(net).InFY2021,therevenuegeneratedfrommembershipfeesgrewby9%,drivenbysign-upsandupgradestoexecutivemembers.Therewasashiftinsalesawayfromcoremerchandisecategories(foodandsundries,andfreshfood)towardancillaryandotherbusinesses.

Mergers&Acquisitions

Inlate2022,Costcocontinueditsinternationalexpansion.BetweenSeptemberandOctober,theretaileropeneditsfirststoresinNewZealandandSweden.OtherinvestmentactivitiesincludedCostco’spurchaseinmid-2022oftheremaining45%stakeinitsjointventureCostco-TaiwanforUS$1.05billion.Itwasannouncedinlate2022thatCostcowouldbeopeningitsthirdandfourthoutletsinChina,followingtheadditionofasecondinDecember2021.

E-commerce

E-commerceaccountedfor7%oftotalsalesatCostco,upfrom6%thepreviousyear,despiteamarginalslowdownto44%indigitalsalesgrowthcomparedto50%inFY2020.TheformationofCostcoLogisticsfromtheearlieracquisitionoffinal-milelogisticscompanyInnovelin202016improvedtheretailer’sdeliverytimesandreducedpricesforcustomers.

NetProfitMargin

Costco’snetprofitmarginincreasedby0.2percentagepointsinFY2021to2.6%,thefirstchangeintwoyears.

SchwarzGroup

Retailrevenue

Theprivately-ownedretailerSchwarzGroupincreaseditsRetailrevenuesby5.5%inFY2021,following10%growthinFY2020,dueinparttotheadditionofanestimated550stores.Whilecontributingonly1%ofRetailrevenue,onlinesalesacrossthegroupamountedtoUS$1.9billion.ThegroupinvestedUS$9billioninorganicgrowththroughstoreexpansion,digitalizationandbranchmodernization.

Lidl,Schwarz’slargestretailbrand,activein31countries,operatedabout12,000storesgloballyinFY2021,anincreasefrom11,550inFY2020.Thebrand’sretailsalesgrewby4.7%toUS$114.3billioninFY2021.WhilethemajorityofLidlretailsalesarederivedfromitsbricksandmortarstores,theretaileralsooperatesane-commerceservicein11countries,andoffersaLidlPlusprogramaspartofitsomnichannelstrategy.

Mergers&Acquisitions

Kaufland,SchwarzGroup’sotherretailbrand,AchievedgrowthinRetailrevenuesof7.4%toUS$30.7billioninFY2021.Kauflandhadabout1,450storesinEuropeinFY2021,comparedtoanestimated1,350inFY2020.InFY2020,Kauflandwasclearedtoacquire92ofMetroReal’shypermarkets17,andinearly2022,theGermanFederalCartelOfficeclearedtheretailertoacquireanadditional13Realstores.18

Environmental,SustainabilityandGovernance

Aspartofitssustainabilitystrategy,SchwarzGroup’reportedinFY2021thatitsuseofplasticinprivatelabelproductpackagingwasreducedby18%acrosscountriesandretaildivisions.Thegroup’sgoalistomakea20%reductionby2025.Italsoreportedthat,onaverageandacrossallcountries,14%oftheplasticsitusedwerefromrecycledsources19.SchwarzGroupannouncedthatitwouldbeexpandingitse-chargingnetworkforelectriccarsatitsstorestoatotalof13,000chargingpoints20.Inordertoinform

in-storecustomersbetterabouttheenvironmentalimpactoftheirshoppingchoices,Lidllaunchedapilotstudyforasustainability‘eco-score’labelinAugust2021.Thelabelwasaddedtoselectproducts,makingLidloneofthefirstmajorretailerstoemploysuchasystem.

TheHomeDepot

Retailrevenue

Forthesecondyearinarow,TheHomeDepotreportedthethird-highestRetailrevenuegrowthamongtheTop10retailers.Thecompany’srevenuesgrewby14.4%toUS$151.2billioninFY2021,followingarecord-breaking19.9%increaseinFY2020.RetailsaleswereboostedbyapositiveshiftintheaverageticketpriceandbuoyantsalesintheHDSupplydivision(adistributorofmaintenance,reportandoperationsproducts),whichwasacquiredinQ4FY2020.

E-commerce

Onlinesalesthroughbothclick-and-collectanddeliverygrewby9.4%andaccountedfor13.7%ofnetsales.Consumerscontinuetousedigitalplatformsfortheirshopping,despitethereopeningofphysicalstor