Friday, 10 April 2020

Konzum Launches Pick Up Service "Pokupi" Amid Coronavirus Crisis

As Poslovni Dnevnik writes on the 10th of April, 2020, Konzum has launched a new service called Pokupi (Pick up) that allows customers to pick up ordered products at Konzum stores. The service is one of Konzum's responses to the increased interest in online shopping as the coronavirus crisis continues to bite, which has in recent weeks led to a massive ten-fold increase in demand and a doubling of the amount of products ordered when compared to regular business.

The Pokupi service is now available in Zagreb at Super Konzum stores in Stenjevec, Gajnice, Spansko, Vrbani, Sarajevska ulica, Dankovečka ulica and Vukovarska ulica, and at Kukuljanov (Rijeka), in the cities of Split and Osijek, and the plan is to make the option available to more Konzum stores in all parts of Croatia.

The purchase process with Konzum's new Pokupi option is very simple. The buyer should first select the Pokupi option when visiting Konzum's online store and then select the products they want, followed by the selection of the location and time they will be picking up the ordered products and then the decision to pay online or when picking up the ordered products. At the agreed time, the buyer should come to the selected Konzum store and contact the security guard at the entrance, who will immediately direct them to the information desk or a specially marked cash register, where they will show their e-mail from Konzum confirming their order.

Konzum, as the only retail chain in Croatia to have its own online store, now enables even more buyers to order products from the comfort and safety of their own homes during the coronavirus crisis, and then pick them up without having to hang around at the store.

Despite the introduction of this excellent service, it is important to keep in mind that the assortment is available through the Pokupi service is less than what is available to customers who choose to have their shopping orders delivered to their home addresses

With Konzum's new Pokupi service, customers are still able to buy products online with delivery options in numerous cities across Croatia and with the Drive-in option in Vrbani in Zagreb.

Konzum notes that in addition to the increased hygiene and coronavirus-spread prevention measures implemented in all of their business units, it has introduced additional measures for its suppliers, who, after every delivery, must disinfect all the equipment they use, including the vehicle and themselves. All of the above requires the extra effort and the engagement of employees dealing with the online store system, whose work is organised in three shifts in order to receive and process as many customer orders as possible.

"We're doing our best to provide even more customers with the online shopping service for groceries, hygiene and household goods and other products they deem necessary. Our warehouses and stores are well equipped and ready to continue with the increased interest in online shopping, but we'd like to ask our customers for their understanding and patience when choosing a delivery or pickup date,'' stated Slavko Ledic of Konzum.

For more on coronavirus in Croatia, follow our dedicated section.

Friday, 3 April 2020

Konzum Begins Cooperation With 200 New Small Croatian Producers

Support for Croatian production and domestic producers has always been Konzum's priority, and this is best confirmed by the fact that around eighty percent of the fruit and vegetables sold by the company are of Croatian origin.

As Poslovni Dnevnik writes on the 3rd of April, 2020, at the initiative of the Ministry of Agriculture and Konzum itself, which offered small producers and OPGs Konzum's shelves to sell their products instead of the now closed markets, as many as 200 new small producers came forward and in the very first with of cooperation with Konzum, 70,000 pieces of lettuce, 18,000 kg of chard, 5,000 kg of parsley and 1,300 kg of young onions were purchased. New suppliers have also joined the group of over 4000 farmers and OPGs with whom Konzum is already working.

The heavily frequented store expects that the quantities purchased from small producers will continue to grow further in the coming period. As the season of local strawberries approaches, Konzum is already in contact with producers from all parts of Croatia to make their products available to be sold.

These are the first concrete results of the project on which Konzum embarked based on the decision by the Civil Protection Staff of the Republic of Croatia on a measure to suspend the operation of marketplaces, to make sure people are still able to buy those same products they'd usually buy at markets, but in Konzum instead.

Within the Fortenova group, placement through Konzum is being handled through PIK Vinkovci, a distributor that purchases products from small agricultural producers, provided they meet the highest quality standards. Therefore, all small farms in Croatia interested in marketing their production to Konzum should contact PIK Vinkovci via this email address: This email address is being protected from spambots. You need JavaScript enabled to view it..

PIK Vinkovci is a specialist in the purchase of fruit and vegetables, since they buy more than 20,000 tons of fruit and vegetables per year and have an extremely good level of cooperation with more than 500 subcontractors. Croatian farmers can also contact Konzum's Marinad and Fragaria partners, who also buy and deliver to Konzum, with the highest quality standards guaranteed.

"In this way, we want to increase that number of 4,000 producers from all parts of Croatia that we partner with, and at the same time help primarily small family farmers and farms that are prevented from selling their products due to the closure of the markets. We'll continue to be a strong partner in domestic agriculture, helping to further strengthen it, and constantly look for new models to continue our mission of preserving the tradition of local production and increasing the number of small producers, and providing them with the quality marketing of their products through a wide sales network,'' said Zoran Mitreski, a member of Konzum's administration.

Fruit and vegetable growers who applied to the company's "Best from Croatia" (Najbolje iz Hrvatske) tender after they have agreed to cooperate with the aforementioned distributors may also be included in this initiative.

Make sure to follow our business page for more. For rolling information and updates on coronavirus in Croatia, stay up to date with our dedicated section.

Sunday, 29 March 2020

Marinada, Supermarket Chains Helping Small Croatian Farmers

March 29, 2020 - The Croatian lockdown and market closures to prevent the spread of the coronavirus particularly affected Croatian farmers, who are no longer available to essential sales channels, thus endangering their livelihoods.

HRTurizam writes that didn’t take long, however, for various Facebook neighborhood, city, and county groups to emerge as online marketplaces that promote local OPGs and their offerings in one place and connect them directly with customers. Also, various IT companies have set up small webshops to assist Croatian farmers in order to facilitate communication and sales.

But since the beginning of the week, Marinada - a leading company in the region in the production, processing, buying and selling of fresh fruits and vegetables - has launched an action for small producers to help small-scale farms. 

Thus, Marinada is helping Croatian farmers get their products on the market.

"We are ready to respond by buying fruits and vegetables from agricultural producers, whether they are our subcontractors or not, standardize the product as much as possible and deliver it to the market," said Marinada owner Denis Matijevic.

Five days later, Marinada reported that the response was excellent and that they had communicated with over 100 producers so far, and 40 of them had cooperated. "For the time being, Swiss chard, lettuce and young onions have been bought, in the order of products that are now in season, and of course we are ready to buy whatever else comes in season," Matijevic points out.

Matijevic also added that in the current situation, it is necessary to take care of a safe and sufficient supply of population, which they do. “It is especially important to take care of small farmers who are now in challenging times. We must not let them stop working, because they are an important link for achieving self-sufficiency in the future,” Matijevic emphasized.

The company is headquartered in Slatina, one of the state-of-the-art pasteurized fruit and vegetable production facilities in the region, and small producers who want to market their merchandise are being asked to come to Marinada's shopping centers located in Virovitica, Varaždin, Donji Miholjac, Zagreb and Opuzen.

Contact Marinada HERE for full details on marketing your merchandise

At the same time, Marinada launched an initiative urging supermarket chains to do the same.

"The initiative was readily accepted by Konzum and SPAR retail chains, which will market these goods to customers, and others are expected to be involved, given the positive reactions," Matijevic concluded.

To further help small domestic farmers who can no longer sell their products at marketplaces, SPAR invites all small producers to contact them to ensure that their products are placed on the SPAR and INTERSPAR store shelves.

“Products from more than 40 small domestic producers and OPGs can be found on our shelves. In addition, we cooperate with small producers of fruits and vegetables through our brand "Croatian Gardens". We invite all small fruit and vegetable growers who can no longer market their products to contact us directly by calling 01 2410 900,” says SPAR.

Konzum will also open a much-needed sales channel to small domestic manufacturers after the markets closed.

"With this initiative, we are ready to offer our buying capacities and sales network to those who are not able to market their products," emphasized Konzum, adding: “Fruits and vegetables of Croatian origin already account for over 80 percent of turnover in that category in Konzum, and through the new initiative we are ready to offer our buying capacities and sales network to those who do not have the opportunity to market their products after the markets closed for domestic producers of fruits and vegetables. Citizens will soon be able to continue buying these products in Konzum stores all over Croatia.”

Interested farmers can contact distributors PIK Vinkovci, Marinada, and Fragarias who will buy and deliver to Konzum.

To read more about lifestyle in Croatia, follow TCN's dedicated page.

Saturday, 14 March 2020

Konzum Prepared, Issues Request to Croatian Coronavirus Stockpilers

Konzum, Croatia's largest retail chain, has stated that its stores and warehouses are adequately equipped, and enhanced hygiene and sanitation measures are being implemented in all shops, warehouses and administration buildings.

As Poslovni Dnevnik writes on the 13th of March, 2020, all of Konzum's warehouses and stores are well-equipped and supplies are stepping up, especially when it comes to groceries and products that customers are seeking the most during these circumstances, Konzum reports.

In this way, Konzum claims that it is fully prepared for increased demand across all of its stores and is taking all measures to respond to any future increase in demand.

"As we expect a further increase in purchases, we've stepped up to the mark and will continue to increase our product inventory. Our staff regularly will make sure the shelves are full and display the products, but we'd like to ask our customers for understanding and patience if some products aren't on the shelves at some point or another - this is only because we aren't getting them out onto the shelves quickly enough.

We focus on food and products that are currently in greatest demand, and some of them are additionally exhibited in store corridors, to make them even more accessible to customers. We're taking all possible measures so that our customers can procure whatever they consider necessary at the moment,'' stated Slavko Ledic, CEO of Konzum.

Konzum's supply chain in Croatia and abroad remains functional

Konzum's supply chain is also functioning well in these moments of growth of demand and all warehouses are well equipped, with additional increases. When it comes to delivering goods from areas such as Italy, Konzum has introduced additional controls on the process of importing goods and continues to follow the recommendations of the competent institutions. In the case of delivery restrictions from one or more countries, there are sufficient supplies of products to be able to continue to operate smoothly.

"In order to provide customers with the necessary supplies in the event of restrictions or interruptions in delivery from vulnerable countries, we're constantly looking for alternative sources of supply. We're placing the greatest emphasis on cooperation with Croatian suppliers, which has been a strategic priority in our operations from the very beginning, as well as in this current situation,'' said Slavko Ledic, CEO of Konzum. Croatian products account for more than 75 percent of Konzum's overall traffic, and in some fresh categories such as fruits and vegetables, meat, fish and bakery products, that figure rises to more than 80 percent.

Konzum has enhanced its safeguards to protect both customers and employees

In all Konzum shops, warehouses and in the administrative building, all preventive protection measures have been taken in accordance with the recommendations of the competent institutions. Thus, in addition to regular hygiene and safety procedures, enhanced hygiene and sanitation measures are being implemented in the supply chain, in shops and offices, as well as the regular disinfection of cash registers, equipment and POS devices.

In order to further protect the safety of both customers and employees, an operational crisis management team has been set up, whose members are available at any time of the day and in a very short time if needed. Procedures and instructions have been prepared for dealing with various possible coronavirus-related scenarios for employees across all stores, warehouses and office buildings.

"Consumers are at the forefront of the safety and health of customers and employees, and therefore we've introduced additional preventative measures to ensure that our customers can safely and seamlessly make their purchases. We'll continue to monitor the situation to respond appropriately should new circumstances arise that would require additional action,'' noted Ledic.

Online shopping

Online shopping is experiencing a huge increase in orders, and Konzum is taking every step possible to simplify the purchase and delivery process for customers and employees and to open as many delivery times as possible.

An additional update was made on Konzum's website to make the whole system function even under greater pressure. The focus is on the products most sought after by customers, but all major product categories are still covered. However, due to the increased number of orders, the Pickup service is not yet available, and the estimated delivery time currently stands at seven days. A number of new Delivery and Drive terms open every day, and Konzum would like to thank all of its customers for their understanding and continued patience.

Konzum has closed its comments by stating that it is constantly monitoring the further development of the situation as a company and it is ready to take additional measures in line with new information as and when needed.

Make sure to follow our dedicated page for more on coronavirus in Croatia.

Tuesday, 13 August 2019

Konzum Thinks Up New Way of Dealing with Workforce Shortage

It seems that all we ever hear and read about (and indeed write about) is the shortage of qualified staff in Croatia. Although the issue existed to a much lesser extent before, ever since Croatia joined the European Union back in July 2013, meaning that freedom of movement of labour was adopted as one of the fundamental freedoms of the Union - the situation has grown into a burning problem.

Croats are leaving the country in their droves in search of a better life, higher wages, more job security and an overall better economic situation in richer Western European countries like the United Kingdom, Ireland and Germany. As the problem progresses and causes tremendous issues, especially during the busy tourist season, some Croatian employers are turning to employing third country nationals (those who are neither Croats or EU nationals), for which the red tape and paperwork is causing additional problems.

For a third country national to be able to work and be legally paid a wage in Croatia, their employer must request a work and residence permit for them from MUP. MUP are infamous for their slow pace and by the time they check the submitted documents and approve a work and residence permit, which can take two months, the employer no longer requires the services of the third country national they have hired. And so the cycle of senselessness continues inanely.

Konzum, one of the largest employers in Croatia, has come up with a fool-proof yet simple way of solving the issue of the staff shortage. As Poslovni Dnevnik writes on the 12th of August, 2019, this summer, Konzum has come up with an entirely new and unique model for tackling the workforce problem, according to a report from Lider.

In addition to hiring students, the staff in the stores are also made up of managers and other employees from Konzum's actual management, who have the opportunity to work one week full-time in stores before or after their time off.

As many as fifty percent of employees from Konzum's board have used this opportunity so far. This is also the best way for colleagues to become familiar with the processes and standards of business within the store itself, Konzum said in a statement.

Make sure to follow our dedicated business page for much more.

Friday, 8 March 2019

Konzum: Large Proportion of Leadership Positions Held by Women!

While many continue to disregard it, gender equality in the workplace continues to be a burning issue for most. Konzum, however, seems to have it well and truly covered.

As Poslovni Dnevnik writes on the 7th of March, 2019, women account for over 74 percent of Konzum's employees, while in the retail section they account for almost 84 percent, with 84 percent of women in the chain's retail section also holding leadership positions.

From cashiers and workers in the warehouse through to employees in lower and middle management, all the way up to managers in some of the giant company's highest positions, women make up 74 percent of Konzum's employees.

Thus, more than 76 percent of all leadership positions within this huge company belong to women, and women also account for nearly 84 percent of retail workers. It is also interesting to note that women in Konzum have entered into some of the departments that were until fairly recently publicly perceived as "typically male", such as the logistics-distribution centre or the business support section.

"We are exceptionally proud to point out that the vast majority of employees in Konzum are women. Their great effort, teamwork, creativity, intuition, and their level of responsibility they put into their tasks daily enrich and enhance Konzum's business. That's why we want to thank them with a number of benefits through which we're striving to make the balancing between work and home life less difficult,'' said Slavko Ledić, CEO of Konzum, congratulating the International Women's Day for Konzum employees.

All parents of first grade kids who work for Konzum have the right to have a day off on their child's first day of the school, and there are as many as 222 other employee benefits available this school year. In December, an amount of money intended for children is paid to all parents, along with other benefits for all employees, such as benefits for newborn babies, christmas bonuses and more, the possibility of working part-time is also readily available.

Konzum has emphasised the fact that it as a company cherishes the policy of equal opportunities for women and men so that everyone gets an equal shot at opportunities for further professional advancement, additional education and training, as well as equality between women and men in high positions, and in terms of wages, so that women and men are equally paid for working in the same positions.

Make sure to stay up to date by following our dedicated business page for much more.

Friday, 1 February 2019

Konzum Raises Wages for Employees, Offers Work for Retirees

With the firm support of the Croatian Trade Union, since the 1st of January this year, Konzum increased the salaries of its employees by a net amount of 350 kuna.

As Poslovni Dnevnik writes on the 1st of February, 2019, this wage increase from Konzum refers to employees who are being paid on the basis of coefficiency and will be paid permanently, in addition to their usual monthly salaries, in an amount that is entirely non-taxable, starting with the first such salary from January this year.

"I'm glad to start this year with some good news for our employees. Their satisfaction is high on the list of our priorities, and with this move we want to show them once again how much we appreciate their daily work and efforts to contribute to stable business and good business results,'' stated Slavko Ledić of Konzum's management board.

This income increase is a continuation of Konzum's policy of improving and increasing its workers' rights and benefits. Due to the formerly enfeebled company's successful business results, from the beginning of 2018 to today, salaries have increased by a total of six percent. With the increase of the paid Christmas bonus in the amount of 1,500 kuna per employee, throughout 2018 there were also numerous other benefits which were secured, such as Easter bonuses, a bonus for children, and paid private health insurance.

Despite Agrokor's ups and downs that have continued to rock the Croatian economy over the past couple of years, Konzum has employed more than 1,300 new workers over the past year, mostly in the retail and logistics sectors. All employees are readily offered flexible working hours, a convenience that is of particular interest to parents, students, and henceforth to retirees to whom half-time employment is open, in accordance with the new statutory provisions.

Make sure to stay up to date by following our dedicated business page.

Saturday, 12 January 2019

Konzum Remains Most Successful Company in Agrokor Group

As Poslovni Dnevnik writes on the 11th of January, 2019, the most successful company in Agrokor's latest reporting period was Konzum, which has continued to deliver handsome revenue and operating profit despite having faced a very long period of uncertainty and adversity.

The 21st monthly business report was published by sixteen companies from the following business segments within Agrokor - retail and wholesale, food and agriculture, covering the period from the 11th of December, 2018, to the 10th of January, 2019.

Operations in the first eleven months of 2018 saw companies realise as much as 21,508 million kuna in revenue, while operating profit stood at 1,716 million kuna.

The most successful company in the reporting period was Konzum, Agrokor's proverbial shining star, whose EBITDA was higher than the plan by as much as 157.9 million kuna, or more than 60 percent, while revenues exceeded the plan by 111 million kuna or 1.4 percent. Consequently, Konzum is the main carrier of operating profit for Agrokor's retail and wholesale business segment.

The largest contribution to the overall operating result of the formerly ailing Agrokor Group was provided by food companies, whose EBITDA was 67.6 million kuna higher than the plan, and almost all companies realised higher profits than the plans. Companies in the segment of agriculture experienced a fall in revenues and operating profit in relation to the plan, but they compensated for the optimisation of costs and the strengthening of other activities, and in eleven months of 2018, they realised slightly more than 2 billion kuna in revenue, and 172.3 million kuna in operating profit.

As part of the extensive preparations for Agrokor's implementation process, on the last day of 2018, all of the Agrokor Group's mirror companies, which have so far been registered as companies under generic names, have been officially granted new names by the Commercial Court in Zagreb. The new names of companies that will begin operating after the completion of Agrokor's creditor's settlement, consist of their old names and the ''plus'' add-on. For example, after the completion of the implementation process, Konzum will operate under the name Konzum plus, Jamnica under the name Jamnica plus, Zvijezda as Zvijezda plus, Ledo under the name Ledo plus, and so forth.

The old names have been retained within the new names of Agrokor's companies in order to preserve the strong value of these branded companies, which will continue to perform on the market under their current brands even after the implementation of the settlement. At the transition stage, the headquarters of all new companies will be in Zagreb, and after the implementation of the settlement, they will be returned to the cities across various parts of Croatia in which they're currently registered and operating.

Unlike mirror companies like Konzum, the Agrokor d.d. umbrella company will get a brand new name by the end of January, and will no longer use the name "Agrokor", resigning the name to the history books alongside the company's former owner, Ivica Todorić.

Make sure to stay up to date with everything you need to know about doing business in Croatia by following our dedicated business page.

Thursday, 20 December 2018

Agrokor: Has Gigantic Croatian Company Really Survived Crisis?

As Poslovni Dnevnik writes on the 20th of December, 2018, Irena Weber, deputy of Fabris Peruško, the extraordinary commissioner for Agrokor, talked about what the company's plans for next year are, and whether or not Agrokor could become competitive on the market once again.

Has Agrokor survived the crisis, what are the plans for next year, and can the company become competitive on the market once again?

Irena Weber, deputy chief of the extraordinary commissioner in Agrokor, told HRT:

"We came to a rather complex situation, there was no time for adaptation and we immediately went to work and started communicating with the most important stakeholders in order to start the negotiation process as soon as possible, and for it to be completed by the legal deadline - July the 10th," Weber stated.

She pointed out that the results posted on a monthly basis show that all segments within Agrokor have good results. "This applies to the food sector, the agriculture sector, and to the retail sector. Each sector shows a strong recovery trend and we're expecting even better results in 2019," she said.

"Our focus until the end of the year is to set up the implementation plan in its entirety, and we have to carry out what our creditors have agreed and signed for, which means that it's necessary to transfer entire assets from the old group to a mirror society, to form a new group and to ensure that all operational processes are happening, to have a new group with new financial reports and a new ownership structure. The plan is to prepare a process that is in full swing by the end of the year and we expect the whole process to be completed in March 2019,'' the deputy extraordinary administrator said.

She added that all the suppliers were satisfied with how things are going as they had all now been paid.

"At present, the Agrokor Group has no outstanding and unpaid invoices, all have been paid in time in accordance with maturity dates, giving them [the suppliers] the freedom and ability to manage their financial statements," Weber said.

Make sure to follow our dedicated politics and business pages for much more on Agrokor's progress, doing business in Croatia, the domestic political climate, as well as the general business and investment climate.

Friday, 7 December 2018

Croatian Market: Plodine Interested in Purchasing Konzum?

Ever since the Agrokor crisis threatened to sink the domestic economy, the Croatian market has been a rocky one, but despite that, Konzum is back on its feet and is even attracting purchasing potential.

As Poslovni Dnevnik writes on the 7th of December, 2018, Milo Ćurković, the owner and CEO of the popular shopping chain, Plodine, said that although he doesn't believe we that Plodine are the only interested party, he believes that they would be the most ready to take over Konzum.

In terms of revenue and income, Plodine is by far largest company in Primorje-Gorski Kotar County, and when it comes to the top-list of retail chains in Croatia, they're in third place, with a share of between 10 and 20 percent, just like both Lidl and Kaufland, while the almighty Konzum is still gripping onto first place, according to a report from Novi list.

"The crisis in Agrokor was dangerous for the entire economy, however, everything was fine in the sense that the taxpayers didn't have to bear the consequences of it, and that's what is most important," said Ćurković for Novi list, revealing that Plodine is very much interested in purchasing Konzum.

''We absolutely are. The question is, of course, what the [Agrokor's] new owners will do. The new owners are bankers, creditors, and my estimate is that for the bank, this isn't their main business, so, as soon as the company is consolidated, they'll sell that part of the business, which we're ready for and want. I think the entire consolidation process will last two to three years, and we'll be further prepared in that period so that we're fully prepared for that potential acquisition at the right time. This will be the most interesting acquisition for all of us in this sector.

We're waiting to see how the situation in Agrokor will turn out. I don't believe that we're the only ones interested [in purchasing Konzum], but I believe that we're the most ready for the takeover of Konzum. This isn't just about finances. You have to be ready for personnel, organisational, logistical matters, and we've fulfilled those conditions,'' said Ćurković, adding that anyone who succeeds in buying Konzum will definitely be the main player on the Croatian retail market and that nobody would be able to do better.

"Our goal is to be the main player on the Croatian market," concluded Ćurković.

Make sure to stay up to date on the Croatian market, doing business in Croatia, and the domestic business and investment climate by following our dedicated business page.

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