Slajd 1

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PRESS MEETING March 10, 2005
G r o w t h f r o m K n o w l e d g e
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Agenda
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How do our clients perceive us?
2
Retail market
3
Purchase behaviour of city residents
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How do our clients perceive us?
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Key attributes of GfK Polonia
We offer advanced analyses

• Affinity Index shows how the number of
  indications of a given agencys attribute
  deviates from that in a situation when other
  agencies are indicated equally frequently.
• The value of 100 shows that an agency ranks the
  same compared to the total of rated agencies in
  terms of a given attribute.
• The values below 100 show that an agency ranks
  lower compared to other agencies in terms of a
  given attribute.
• The values above 100 show that an agency ranks
  higher compared to other agencies in terms of a
  given attribute.

Affinity Index
Source based on a report of research Research
Agency Clients 2004 conducted by Polskie
Towarzystwo Badaczy Rynku i Opinii (Polish
Society of Market and Opinion Researchers)
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Key attributes of GfK Polonia
We have a high quality team of interviewers

• Affinity Index shows how the number of
  indications of a given agencys attribute
  deviates from that in a situation when other
  agencies are indicated equally frequently.
• The figure of 100 shows that an agency ranks the
  same compared to the total of rated agencies in
  terms of a given attribute.
• The values below 100 show that a given attribute
  is ascribed to an agency less frequently than to
  other agencies.
• The values above 100 show that an agency ranks
  higher compared to other agencies in terms of a
  given attribute.

Affinity Index
Source based on a report of research Research
Agency Clients 2004 conducted by Polskie
Towarzystwo Badaczy Rynku i Opinii (Polish
Society of Market and Opinion Researchers)
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GfK Polonia profile
The graph illustrates GfK Polonia attributes, of
which the number of indications was above 100.
It means that GfK Polonia ranks higher compared
to the total of rated agencies in terms of given
attributes. (The attributes were more frequently
ascribed to GfK Polonia compared to other
research agencies).
Affinity Index
Source based on a report of research Research
Agency Clients 2004 conducted by Polskie
Towarzystwo Badaczy Rynku i Opinii (Polish
Society of Market and Opinion Researchers)

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Our achievements in 2004

• PKJPA certificates in all of the 6 areas subject
  to certification
• The best team of interviewers
• An above-average rise in GfK Polonia revenues on
  the Polish market (13.4 )
• New tools, analyses, products

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Retail market
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RETAIL MARKET
TOTAL OF RETAIL OUTLETS GROCERY OUTLETS

• GROCERY OUTLETS
• 117.800

• 1 vs. 2003

MODERN DISTRIBUTION CHANNELS
TRADITIONAL DISTRIBUTION CHANNELS

• SUPERMARKETS
• ?460 foreign ?500Polish
• DISCOUNT OUTLETS (?1.357)
• 2.300

• BIG GROCERIES(?5.700)
• MIDDLE-SIZED GROCERIES (?25.400)
• 31.100

HYPERMARKETS 224 (foreign) 16 (Polish)

• SMALL GROCERIES
• 61.400

SPECIALISED GROCERIES 22.800
INCL.

• SELF-SERVICE OUTLETS
• 20.000

Changes vs. the previous year
Supermarkets
Discount outlets
Hypermarkets
Last year change
?1

• 18

• 3-4

• 1

• 1

• 7

• For all modern distribution channels a rise in
  the number of outlets has been recorded a slight
  fall in the number of specialized and small
  grocery outlets

Polish and foreign hypermarkets
Source GfK Liczenie sklepów, GUS data,
secondary research
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RETAIL MARKET
TOTAL OF RETAIL OUTLETS CHEMISTRY-COSMETICS
OUTLETS

• CHEMISTRY-COSMETICS OUTLETS
• 21.000

• 1 vs. 2003

• DRUGSTORES
• 9.100

CHEMISTRY/ COSMETICS 11.000
PERFUMERIES ?930
Changes vs. the previous year

• 1

• 2

0

• A slight fall in the total number of chemistry
  and cosmetics outlets

the figure includes natural herbal outlets
Source GfK Liczenie sklepów, GUS data,
secondary research
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RETAIL MARKET
TOP 10 RETAIL CHAINS BY COUNTRIES
share in total sales of FMCG products

• Biedronka
• Tesco
• Geant Polska
• Auchan
• Carrefour
• Real
• Ahold
• E.Leclerc
• Intermarche
• Plus Discount

• El Corte Ingles
• Carrefour
• Mercadona
• Eroski
• Auchan
• Unide
• Caprabo
• Repsol
• Spar Espanola
• Ahold

• Tesco
• Grupa Metro
• Louis Delhaize
• Tengelmann
• Auchan
• Spar
• Rewe
• BEE
• dm
• AS Watson

• Grupa Metro
• Ahold
• Grupa Schwarz
• Rewe
• Tesco
• Tengelmannl
• Globus
• Grupa Delhaize
• Carrefour
• Spar

• Coop Italia
• Auchan
• Carrefour
• Conad
• Esselunga
• Grupa Metro
• Eni
• PAM
• Finiper
• Rewe

• Tesco
• Grupa Metro
• Rewe
• Grupa Schwarz
• Carrefour
• Ahold
• M-Market
• Prima Zdroj
• Grupa Delhaize
• Jednota Nove Zamky

• Grupa Metro
• Rewe
• Edeka
• Aldi
• Grupa Schwarz
• Tengelmann
• ITM (intermarche)
• Karstadt
• Schlecker
• Globus

• Carrefour
• Leclerc
• ITM (Intermarche)
• Casino
• Auchan
• Systeme Ul
• Louis Delhaize
• Grupa Schwarz
• Grupa Metro
• Aldi

• Top 10 Polish retailers have just under 25
  market share in other European countries market
  share of TOP 10 retailers is higher than 50

Retail market FMCG
source MM Planet Retail
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RETAIL MARKET
PRESENCE OF INTERNATIONAL RETAIL CHAINS
Total number of retail chains
7
6
13
11
10
10
10
8
8
2

• The largest number of international retail chains
  operate in Poland

source MM Planet Retail
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RETAIL MARKET
CONSOLIDATION OF SALES
FMCG (main retail distribution channels)

• Traditional outlets
• Big, middle-sized, small groceries
• Specialised
• Chemistry-Cosmetics

• Modern distribution channels
• Hypermarkets
• Supermarkets
• Discount outlets

Total sales in main distribution channels
?
?
?
?
?
?
?

• Sales is continuing to consolidate

excluding alternative distribution channels
source GfK desk research, GfK Badanie w
sklepach tradycyjnych, GUS data
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Purchase behaviour of city residents
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PURCHASE BEHAVIOUR OF CITY RESIDENTS
SHOPPING PLACES
What sort of outlets do you do the shopping for
grocery and chemistry-cosmetics products? The
questions was asked to 512 respondents, residents
of four cities with more than 200.000 people (A
few aided responses could be made)
GROCERY PRODUCTS
respondents

• At commodity market
• From people visiting homes with country-cottage
  eggs

CHEMISTRY-COSMETICS PRODUCTS
respondents

• Slightly more consumers - city residents do the
  shopping at modern outlets than at traditional
  outlets

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PURCHASE BAHAVIOUR OF CITY RESIDENTS
SHOPPING PLACES
Where do you most often do the shopping for
grocery and chemistry-cosmetics
products?(unaided)
GROCERY PRODUCTS
CHEMISTRY-COSMETICS PRODUCTS
N512
N512
Others
Others
At bazaar/markets
At bazaar/markets
At small traditional community groceries or
chemistry-cosmetics not controlled by big retail
chains
At small traditional community groceries not
controlled by big retail chains
At big modern self-service outlets controlled by
big retail chains
At big modern self-service outlets controlled by
big retail chains

• ?40 of consumers city residents most often do
  the shopping for grocery products at modern
  distribution channels, while many more (60) do
  the shopping for chemistry-cosmetics products
  there

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PURCHASE BAHAVIOUR OF CITY RESIDENTS
SHOPPING PLACES
Why do you do the shopping for grocery products
at this place?(a few responses could be made -
unaided)
Where do you most often do the shopping for
grocery products?(unaided response)
ALL RESPONDENTS N512

• Fresh products
• Well-known, trustworthy outlets
• I dont like hypermarkets
• I dont like crowd
• Habit
• I know what I get, everything is fresh
• I know shop-assistants, very nice atmosphere
• Well-known outlet

N277
At small traditional community groceries not
controlled by big retail chains
respondentów
Others

• I save time, because I dont do the shopping at
  a few outlets
• I can get everything at one place
• I can use a payments card

N221
At bazaar, markets
At big modern self-service outlets controlled by
big retail chains
respondentów

• Consumers city residents who prefer shopping
  for grocery products at traditional grocery
  outlets cited convenient outlet location and
  good-quality products as a reason. Retail chain
  outlets compete by setting lower prices

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PURCHASE BEHAVIOUR OF CITY RESIDENTS
SHOPPING PLACES
Where do you most often do the shopping for
chemistry-cosmetics products? (unaided responses)
Why do you most often do the shopping for
chemistry-cosmetics products at this place?(a
few responses could be made - unaided)
ALL RESPONDEDNTS N512
N200

• I dont like hypermarkets
• Well-known, trustworthy outlets
• Well-known shops

At small traditional community groceries not
controlled by big retail chains
respondentów
Others
At bazaar, markets
N305

• I can use a payment card
• I can get everything at one place
• Everything is close at hand

At big modern self-service outlets controlled by
big retail chains
respondentów

• Consumers city residents who prefer shopping
  for chemistry-cosmetics products at modern
  distribution channels cited reasonable prices and
  frequent promotions as a reason.

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PURCHASE BEHAVIOUR OF CITY RESIDENTS
CONSUMER SPENDING
What percentage of your budget intended for
monthly purchases of chemistry-cosmetics and
grocery products do you spend at retail chain
outlets and what percentage at other point of
sales?(unaided)
respondents

• The consumers budget intended for purchases of
  grocery and chemistry-cosmetics products is quite
  evenly between modern and traditional
  distribution channels

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More information available at GfK Polonia Sp. z
o.o. Phone [phone] Ul.
Smulikowskiego 4 Fax [phone]-389
Warszawa e-mail firma_at_gfk.pl Instytut
Badania Opinii Internet http//www.gfk.pl
Thanks for your attention!