Delhaize has released details of a new corporate strategy that will see €300m of costs cut by 2012 and an increase in discount format openings, as well as an increased presence in growth markets such as Greece, Romania and Indonesia.
The Belgian retailer revealed the strategy, which is outlined under the heading 'New Game Plan', to investors at its annual analysts meeting in Athens, Greece.
As part of the strategy, Delhaize is looking to further increase price competitiveness and triple the number of store openings across all markets in addition to realising an additional €300m annual operating cost saving by 2012.
According to Delhaize, the plan means a greater focus on accelerated growth, increased efficiencies and stronger intra-group integration, with savings funding price investments and other sales building initiatives as well as supporting profitability.
'Today, Delhaize Group has a strong and proven building platform of leading brands and market shares, best-in-class profitability and a solid balance sheet,' said group president and CEO Pierre-Olivier Beckers. 'Now is the right time to capitalise on our strengths and further accelerate.
'The goal of our 'New Game Plan' is to deliver value leadership in all our markets leading to superior revenue and profit growth, and to make of Delhaize Group a more effective acquisition platform through additional synergies, shared knowledge and shared services,' he added.
Additional areas that Delhaize will look at as part of the 'New Game Plan' include building industry-leading initiatives in health and wellness and focusing on corporate responsibility.
