In 2019, Valora communicated its strategy until 2025, which it is consistently pursuing, for the entire Group and its Retail and Food Service divisions in order to move closer to its vision of having the best food and convenience concepts. The strategy is based on five strategic pillars:
Expansion of the sales outlet network
Valora wants to further expand its network of sales outlets. The main focus in Retail will be on the convenience formats such as avec and ServiceStore DB, as well as k kiosk and cigo where Valora also sees growth potential. Growth in Food Service will be principally through BackWerk, especially with new locations in the Netherlands plus shop-in-shop presence (clip-ins). Selective expansion is planned for the other formats. In addition, Valora is open to suitable acquisition opportunities in its core business of foodvenience.
Increasing the offering’s attractiveness
The expansion of the higher-margin food category, especially fresh products, will play a major part in optimising the current range. Regional, vegetarian and vegan or also fair trade and organic offerings are growing in importance. In addition, Valora aims to further expand its range of digital and other services. Tobacco is still a major frequency and profit contributor, whereby alternative products are also promising.
Stronger position as a promotion platform
In addition to expanding its own product range, Valora aims to further consolidate its position as a preferred marketing platform. The direct customer contact in the Valora formats allows partner companies to present their products and strengthen their brand value, notable examples being promotions for food, tobacco products and press articles.
Expansion of market position with pretzels
In its B2B business, Valora aims to exploit the integrated value chain for pretzel production and build on its strong market position. The Food Service division’s main expansion focus is on the two biggest global pretzel markets, i.e. Germany and the US.
Strengthening vertical integration
Thanks to own brands such as ok.– or Caffè Spettacolo and Valora’s in-house pretzel production, vertical integration is a key competitive advantage. Valora wants to exploit this strength even more and increase the proportion of own brands in its overall product mix. At the same time, Valora aims to establish an even stronger market position when marketing its own brands.
More efficiency to improve profitability
Valora does not rely solely on growth, profitability is also essential to ensure the sustainability of its business model. Processes are improved through automation, retail analytics and efficient working procedures. Enhanced cooperation within the Group enables know-how transfer across borders, formats and topics.
New food and technology concepts
Valora aims to access new income sources through innovation in order to remain competitive. The Group’s objective is to launch fresh food and further new concepts and products. Valora also uses new technologies to develop software-based solutions for customers, its own operations and the organisation. In so doing, Valora aims to offer its customers convenience not only in terms of its products, but also in terms of the shopping experience. It takes more than courage to pursue this innovative course, speed and agility are also very important. Valora relies on internal expertise and is expanding its in-house skill set for food and technological development. It also welcomes innovation from industrial partners and offers them, through its sales outlet network, a platform so it can work with them to pioneer new foodvenience market models.
More entrepreneurship, customer focus and employer appeal
Valora relies on entrepreneurial operators and motivated staff to implement its strategy. It plans to further expand the agency or franchise model. Valora wants to offer its staff an open and dynamic working environment in which they can progress consistently. Valora’s objective is to build on employees’ strengths, nurture their talent and enable them to take the initiative and implement ideas with vigour. Valora will not just recruit people with the necessary professional skills, but also those who are compatible with the company’s culture. As a result, Valora will sustainably enhance its appeal as an employer.
For people and the environment
As a responsible company, stakeholders expect Valora to contribute to sustainable development and to limiting global warming to 1.5 °C. As part of its ESG commitment, Valora therefore pursues a comprehensive approach to sustainability based on the three action areas of People, Planet and Products. The company wants to use its resources sparingly. The priority is fair employment conditions for all employees in the network. Valora wants to offer good opportunities to employees and to become an attractive place to work for everyone. Valora is also setting out to become climate-neutral by 2050. To this end, Valora is implementing measures to avoid food waste, reduce energy consumption and protect the climate. Finally, Valora aspires to offer environmentally friendly, fair products and healthy alternatives while also paying attention to the issue of sustainable packaging.