Dutch Retailer SPAR Accelerates Israeli Expansion with New Stores
Translated & summarized from Ice by baba
The Dutch supermarket chain SPAR is significantly expanding its operations in Israel, with plans to open six new stores in the coming year following a substantial investment. Entrepreneur Amit Ze'ev is leading the expansion, aiming to challenge local chains and suppliers by offering international brands and diverse store formats. SPAR stores are open on Saturdays, which already contribute 15-17% of total sales, and the company is also pursuing a franchise model for independent retailers.
The story in 5 lines · by baba
- SPAR is opening six new stores in Israel within the next year.
- The Dutch retailer is investing tens of millions of shekels in its Israeli expansion.
- SPAR aims to be a major international alternative to local Israeli supermarket chains.
- Saturday sales already represent 15-17% of SPAR's total revenue in Israel.
- The company is also offering a franchise model to independent retailers.
The Dutch supermarket chain SPAR is significantly increasing its presence in Israel's food retail market. Just six months after Menora Holdings became an equal partner in the Israeli franchise, entrepreneur Amit Ze'ev is leveraging the group's financial backing for an investment of tens of millions of shekels. SPAR aims to establish a genuine international alternative to local supermarket chains and challenge major suppliers who distribute international brands in Israel. The expansion is already underway, with plans to open six new stores within the next year, following the recent launch of a store in Shoham. Two major branches, one on Allenby Street in Tel Aviv and another in Kiryat Ono, are being developed with an estimated investment of 10 million shekels. Negotiations are also in advanced stages for three additional locations to open within two years.
A notable aspect of SPAR's operation is its weekend openings, with stores remaining open on Saturdays. Sales on Saturdays currently account for a significant 15% to 17% of the chain's total revenue. Ze'ev's strategic plan encompasses various store formats, from convenience stores and urban shops to larger supermarkets, indicating a long-term vision for massive growth. "The aspiration is to be a leading chain. I am building logistics infrastructure and information systems for a giant network, not for 30 branches," Ze'ev stated in an interview. In addition to directly operated stores, SPAR Israel is also offering a flexible partnership and franchise model to small, independent retailers. Existing store owners can maintain independent operation and pricing while adopting the SPAR international branding and gaining direct access to its global procurement system at reduced prices. Utilizing SPAR's substantial global purchasing power, Ze'ev is also engaging with international brand importers to break the local market's concentration and introduce new consumer offerings.
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