BMI View: The Dutch Mass Grocery Retail (MGR) sector will expand at a modest pace throughout our
forecast period to 2020, on the back of existing sector maturity providing only limited opportunities for
investors. Growing health awareness and demand for convenience will continue to impact consumption
patterns, while returning consumer confidence will have a positive effect on more premium categories.
Latest Trends & Industry Developments
? Dutch grocery conglomerate Ahold completed its merger with Belgian rival Delhaize in summer 2016,
creating the fourth largest food retailer in Europe with sales of more than EUR54bn (USD60.9bn), as
well as 6,500 shops and 375,000 employees.
? Food sales will experience only modest growth over the next five years, due to existing sector maturity
and limited inflationary pressures. Demand for convenience and rising health awareness will affect
consumption patterns, resulting in strong growth for private-labels and organic produce
? Craft beer and wine will outperform commercial beer and spirits. In the soft drinks segment, fruit juices
will outperform carbonated soft drinks as consumers opt for healthier alternatives.