This article contains promotional content .(May 2015) |
Native name | Finnish: Kesko Oyj Swedish: Kesko Abp |
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Company type | Julkinen osakeyhtiö |
Nasdaq Helsinki: KESKOB | |
Industry | Retail |
Founded | 1940 |
Headquarters | , Finland |
Key people | Jorma Rauhala (President and CEO), Esa Kiiskinen (Chairman) |
Services | Supermarkets and hypermarkets, hardware retail, auto sales, department stores, consumer durables |
Revenue |
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Total assets |
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Total equity |
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Number of employees | 22,476 (average, 2016) |
Website | www.kesko.fi |
Footnotes /references [1] [2] |
Kesko Corporation (Finnish : Kesko Oyj, Swedish : Kesko Abp) is a Finnish retailing conglomerate with its head office in Kalasatama, Helsinki. [3] It is engaged in the grocery trade, building and technical trade, and car trade. It also has operations in Sweden, Norway, Denmark, Estonia, Latvia, Lithuania, and Poland.
Kesko was formed when four regional wholesaling companies that had been founded by retailers were merged in October 1940. [4]
The new Kesko company started operating at the beginning of 1941. The need to purchase goods for the shareholder-retailers and to support their business operations and start cooperation among them resulted in the forming of the K-retailer group.
By the end of the 1940s, Kesko's sales amounted to about 15 billion old Finnish markkas (equivalent to EUR 580 million in 2010), which was about 12% of the overall sales of the central companies operating in the Finnish trading sector.
Kesko's grocery trade division is a key operator in the Finnish grocery trade. The division's main functions include the centralised purchasing of products, selection management, logistics, and the development of chain concepts and the store network.
The division's grocery store chains are K-Market, K-Supermarket and K-Citymarket. In 2021, the chains comprised 1,200 grocery stores, run by some 1,000 independent K-retailers. Over 500 of the stores also offered online grocery sales services. [5] Approximately 50% of Finns live less than a kilometre away from a K-food store.
Formerly Kesko called these four size-grades of their shops K (small), KK (middle-sized), KKK (large), and KKKK (largest), [6] and the chain names were K Extra, K Lähikauppa (= "local shop"), KK Market, KKK Supermarket and KKKK Citymarket; but this naming system has been changed.
Kesko's grocery private brands include Pirkka, Pirkka Parhaat and K-menu.
The main competitors are Prisma, S-market and Alepa/Sale of S Group, M chain stores, and Lidl.
Kesko company Kespro is the leading wholesaler in the Finnish HoReCa business.
Kesko also has small convenience stores, cafes and restaurants which operate at staffed service stations of Neste oil corporation. These service station facilities are branded as Neste K. The convenience store is virtually always found in Neste K station, while whether the station has a cafe or restaurant depends on the size and location of the station. Cafes are branded as Koon Kahvila and restaurants as Koon Keittiö.
K-citymarket's home and speciality goods trade is part of the grocery trade division.
Kesko's building and technical trade division operates in Finland, Sweden, Norway, Estonia, Latvia, Lithuania and Poland. Its chains are Onninen, which serves technical professionals, and K-Rauta, Byggmakker and K-Bygg, which serve both professional builders and consumers.
The division's main functions include the centralised development of chain selections, centralised purchasing and logistics, and the development of chain concepts and the store network.
K-Rauta and Intersport stores in Finland are operated by retailer entrepreneurs. The international business model combines the category management, purchasing, logistics, information system control and network improvements of the company's chains which operate in different countries.
The car trade segment consists of K-Auto (formerly operated as VV-Auto).
K-Auto represents the leading brands in their market area and are responsible for the sales and after-sales services of these brands either through their own or dealer network. The dealer network is complemented by a network of contract service centres.
The division also comprises leisure trade and the chains Intersport and Budget Sport.
In 2014, Kesko's market share in food trade in Finland was 33.1% (Nielsen). At that point, Kesko's competitors in food trade in 2014 were S Group (45.7%), Lidl (7.6%), Suomen Lähikauppa (6.8%), and M chain stores (Nielsen). Kesko later acquired Suomen Lähikauppa in 2016 and the deal increased Kesko's share of the market to about estimated 40%. [7]
In 2019 Nielsen report, Kesko's market share in grocery trade was estimated to be 36.5%. [8]
In April 2016 Kesko completed the acquisition of a competitor Suomen Lähikauppa's stores. In the deal, Kesko acquired all the Valintatalo and Siwa stores. However the Finnish Competition and Consumer Authority (FCCA) approved the acquisition with a condition that Kesko must sell at least 60 of the stores to competitors. All the Siwas and Valintatalos have been rebranded as K-Market stores as of 2017. [9] The total number of stores owned by Suomen Lähikauppa before the acquisition was 643 and it employed 4100 employees. [10] In the same acquisition Kesko also was initially obligated to keep using Tuko Logistics Cooperative as the main supplier for the bought stores for 18 months, but FCCA later revoked this decision on appeal. [11]
A convenience store, convenience shop, bodega, corner store, corner shop, or superette is a small retail store that stocks a range of everyday items such as tea, coffee, groceries, fruits, vegetables, snacks, confectionery, soft drinks, ice creams, tobacco products, lottery tickets, over-the-counter drugs, toiletries, newspapers and magazines.
Jewel-Osco is a regional supermarket chain in the Chicago metropolitan area, headquartered in Itasca, a western suburb. In 2007, the company had 188 stores across northern, central, and western Illinois; eastern Iowa; and portions of northwest Indiana. Jewel-Osco has been a wholly owned subsidiary of Boise-based Albertsons since 1999. The company originally started as a door-to-door coffee delivery service before it expanded into delivering non-perishable groceries and later into grocery stores, and supermarkets. Prior to its 1984 acquisition by American Stores, Jewel evolved into a large multi-state holding company that operated several supermarket chains and other non-food retail chain stores located from coast to coast and had operated under several different brand names.
Retail is the sale of goods and services to consumers, in contrast to wholesaling, which is the sale to business or institutional customers. A retailer purchases goods in large quantities from manufacturers, directly or through a wholesaler, and then sells in smaller quantities to consumers for a profit. Retailers are the final link in the supply chain from producers to consumers.
A grocery store (AE), grocery shop (BE) or simply grocery is a retail store that primarily retails a general range of food products, which may be fresh or packaged. In everyday U.S. usage, however, "grocery store" is a synonym for supermarket, and is not used to refer to other types of stores that sell groceries. In the UK, shops that sell food are distinguished as grocers or grocery shops
Acme Markets Inc. is a supermarket chain operating 161 stores throughout Connecticut, Delaware, Maryland, New Jersey, the Hudson Valley of New York, and Pennsylvania and, as of 1998, is a subsidiary of Albertsons, and part of its presence in the Northeast. It is headquartered in East Whiteland Township, Pennsylvania, near Malvern, a Philadelphia suburb.
Safeway, Inc. is an American supermarket chain. The chain provides grocery items, food and general merchandise and a variety of specialty departments, such as bakery, delicatessen, floral and pharmacy, as well as Starbucks coffee shops and fuel centers. It is a subsidiary of Albertsons after being acquired by private equity investors led by Cerberus Capital Management in January 2015. Safeway's primary base of operations is in the Western United States, with some stores located in the Mid-Atlantic region of the Eastern Seaboard. The subsidiary is headquartered in Pleasanton, California.
The S Group is a Finnish retailing cooperative organisation with its head office in Helsinki. Founded in 1904, it consists of 19 regional cooperatives operating all around Finland in addition to SOK, Suomen Osuuskauppojen Keskuskunta. S Group operates in the markets for groceries, consumer durables, service station, hotel and restaurant services. It is engaged in close competition with Kesko, with which it shares an oligopolistic position in many of the markets it operates in.
The Warehouse Group (TWG) was established by Stephen Tindall in 1982 and is the largest retail group in operation in New Zealand. It is a corporate conglomerate that consists of The Warehouse, Warehouse Stationery and Noel Leeming.
SuperValu, Inc., was an American wholesaler and retailer of grocery products. The company, formerly headquartered in the Minneapolis suburb of Eden Prairie, Minnesota, had been in business since 1926. It is a wholly owned subsidiary of United Natural Foods (UNFI).
King Kullen Grocery Co., Inc., is an American supermarket chain based in Hauppauge, New York. Founded by Michael J. Cullen on August 4, 1930, the company operates 27 locations across Long Island as of 2021.
Roundy's Supermarkets is an American supermarket operator. It owns and operates stores under the names of Pick 'n Save, Metro Market, and Mariano's Fresh Market. The chain is a subsidiary of Kroger. Roundy's operates 149 supermarkets and 107 pharmacies throughout the states of Wisconsin and Illinois. Based on fiscal year 2012 sales, Roundy's was the 37th largest grocery store chain and the 89th largest retailer in the United States. As of December 2015, Roundy's became a subsidiary of Kroger of Cincinnati, Ohio.
Rimi Baltic is a major retail operator in the Baltic states based in Riga, Latvia. It is a subsidiary of Swedish group ICA. Rimi Baltic operates 291 retail stores in Estonia, Latvia and Lithuania and has distribution centres in each country.
O’Reilly Automotive, Inc., doing business as O’Reilly Auto Parts, is an American auto parts retailer that provides automotive aftermarket parts, tools, supplies, equipment, and accessories to professional service providers and do-it-yourself customers. Founded in 1957 by the O’Reilly family, the company operates more than 6,000 stores in 48 states, Puerto Rico and Mexico.
K-Citymarket is a Finnish hypermarket chain owned by Kesko. The chain has about 80 stores in Finland. The first K-Citymarket store was opened in Lahti year 1971. The size of the stores are between 7,000 m² to 10,000 m². In all K-Citymarkets, a K-retailer is responsible for the sale of groceries, and Kesko for the consumer goods side. K-Citymarket's selections include foodstuffs as well as clothing, leisure, sports and home products.
CST Brands, Inc. was an American publicly traded fuel and convenience retailer. It was the second-largest of its kind in North America, with 1,900 outlets in the U.S. and Canada. CST Brands had 2013 revenues of about $12.8 billion and made approximately $360 million in EBITDA. Stores were concentrated in the central and southwestern U.S. states and in eastern Canada. Corner Store was the firm's primary retail brand in the US and in Canada's English speaking provinces. In Canada's French speaking provinces, Dépanneur du Coin was the company's retail brand. In addition to convenience store retail sales, CST Brands also sold fuel under a number of licensed energy brands such as Valero, Exxon, Shell, and Phillips 66.
Kesko Senukai is a group of companies which runs the largest retail chain of do-it-yourself, house building, home repairing and improvement stores in the Baltics. Kesko Senukai is one of the largest companies in Lithuania engaged in retailing, wholesaling, and online trade. It also offers building repair, interior design, electronics, gardening, leisure, real commercial asset management, energy, financial, tourism, and recreation services and goods.
The Finnish Competition and Consumer Authority is the Competition regulator in Finland. It is the regulatory authority of Politics of Finland which works in the field of competition and consumer rights protection. The purpose of the Finnish Competition and Consumer Authority is to create healthy and effective markets in which companies and other operators act responsibly and in keeping with consumers' interests.
Prisma is a Finnish chain of hypermarkets belonging to S Group. In Finland there are currently 74 stores in 51 different cities. The first Prisma store opened in Jyväskylä in 1972. In addition to food and groceries, Prisma's selection includes a wide collection of clothing, sporting goods, books, toys, entertainment and home accessories.
M-Market is a Finnish grocery store chain. The chain was founded by independent retailers in 2006, which was created as a result of cooperation between retailers who opposed the sale of Spar Finland to SOK and resigned from the chain.
Entresse is a shopping centre in the district of Espoon keskus in Espoo, Finland. The shopping centre was opened on 25 November 2008 and is located opposite the older shopping centre Espoontori and the Espoo train station.
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