In Germany, Woolworth has been one of the country’s most successful retail companies for several years now, opening more than 100 new stores every year. As a result, the store network has now grown to over 630 department stores.
Fifteen years ago, the low-cost retailer was threatened with extinction, but now the chain is showing how department stores can work. The discounter Woolworth is not feeling the effects of German consumers’ reluctance to spend and wants to significantly increase the pace of its expansion. “I am optimistic that we will triple sales and the number of stores in the next five years,” said Roman Heini, CEO of Wolworth, to Handelsblatt. That would be more than 2000 stores in total.
Apparently, general inflation appears to bring the low-cost retailer numerous additional customers. In the Christmas period, sales grew by more than ten percent, says Heini, and are now well over one billion euros per year, which is a doubling in just three years. “People are looking to Woolworth as an alternative and affordable place to shop.”
