COOP Jednota Slovakia is a consumer cooperative consisting of 31 regional COOP Jednotas –including their members, 9 logistics centres and the COOP Jednota Foundation. Each regional COOP Jednota has its own membership base. The total number of ordinary members of the COOP Jednota group was 170,795 on 31 December 2013. The main mission of COOP Jednota Slovakia is to ensure the social and economic prosperity of the cooperative and its members, namely by creating tools and adopting measures so that its members, the individual COOP Jednotas, can maintain their share of the market. In addition, COOP Jednota Slovakia protects the rights and interests of the members of the cooperative, representing them and promoting their interests within organs and institutions both
in the Slovak Republic and abroad.
The fundamental strategic goals of COOP Jednota Slovakia and the COOP Jednota group are: to bring common procedures together under one roof and ensure uniformity for all members; to complete the logistics system; to integrate the purchase, distribution and selling of fruit and vegetables; to promote the sale of Slovak produce; to synchronise information systems; to strengthen corporate identity in both the immediate and external environments.
The most highly recognised value within the COOP Jednota group as a whole is customer satisfaction, which we aim to achieve by having creative and happy employees and by having good relations with trade partners as well. COOP Jednota Slovakia is a significant shareholder in COOP Euro, a. s., OPTIMA, a. s., Nitra, DRU, a. s., Zvolen, VIC, a. s. Mojmírovce, FROP, a. s., etc.
Performance and market position of COOP Jednota Group
In 2013 consumer cooperatives operating within the COOP Jednota Group had a retail turnover of €1,211 million – an increase of 3.4% on last year.
The figure for the COOP Jednota Group logistics centres was €466.6 million, a year-on-year increase of 20.5%, owing partly to the opening of a new logistics centre in Horný Hričov.
The COOP Jednota Group’s total performance was €1,677.4 million, an increase of 7.2% in comparison with 2012. Despite the economic analyses and forecasts indicating the economic crisis is not over and consumption is stagnating, the COOP Jednota Group has been able to maintain and strengthen its position as leader on the Slovak groceries market, with an estimated market share of almost 20%. This is due to the results it has achieved for some years now.
COOP Jednota – the largest Slovak grocery retailer
The COOP Jednota Group is proud to be able to offer customers the largest selection of Slovak groceries in almost 2300 stores throughout Slovakia.
The consumer cooperative can take pride in the 145 years it has kept the cooperative in Slovak ownership asreflected in the more than 170 thousand members. The COOP Jednota Group has ensured that this loyalty towardsSlovakia is reflected in the proportion of Slovak products available in store. The chain’s 74% of Slovak groceriesattests to the fact that it continued to maintain its position as market leader in 2013 as well.
COOP Jednota continues to help the Slovak economy, not only through the percentage of Slovak groceries on offerin its stores, but also, crucially, by employing people. In 2014 COOP Jednota plans to create around 250 new jobs.With a total of more than 13,000 employees, the COOP Jednota Group is the third largest employer in Slovakia.
The COOP Jednota retail chain is the largest retailer on the Slovak market. Its stores fall into
three categories: Potraviny, Supermarket and Tempo Supermarket. The number of stores in these
categories was 2,226 as at 31 December 2013. COOP Jednota opened 29 new stores, most of
which were Supermarkets or Potravinys.
The Potraviny chain is the most numerous with a total of 1,832 stores. Stores in this category
are up to 200m2 in size.
The Supermarket chain is expanding most rapidly within COOP Jednota. This category includes stores from 200m2 to 1,000m2 in size and as at the end of 2013 there were 376 of them.
The year 2013 also saw an increase in the number of stores over 1,000m2 in size, which fall into the largest category, Tempo Supermarket. We opened two new Tempo Supermarket stores. We are building up the retail chain with an eye on the quality of the services provided, and the freshness and availability of food. We are also concentrating on introducing new Technologies into our stores, such as electronic price tagging and touch displays.
The main aim of the logistics chain is to ensure that a coordinated approach is employed in the supply chain. The year 2013 saw the completion of the logistics system and the modernisation of existing logistics centres to create a logistics centre supplying the full range of goods. As at 31 December 2013 there were nine logistics centres within the COOP Jednota Group logistics system.
2013 was a significant year for COOP Jednota Group logistics, since the brand new COOP Jednota–
Logistické centrum, a.s. Horný Hričov logistics centre was opened on 1 February 2013, with storage facilities of around 15,000m2 providing 137 jobs. The logistics centre supplies around 320 stores belonging to four members of the COOP Jednota Group who are also shareholders of the logistics centre – the consumer cooperatives of COOP Jednota Čadca, Martin, Prievidza and Žilina.
COOP Jednota – the first chain in Slovakia to introduce electronic price – tagging
In 2013 the COOP Jednota Group became the first retail chain to introduce electronic price-tagging
at two Tempo Supermarket stores through COOP Jednota Nové Zámky and COOP Jednota Námestovo. In January 2013 customers of Tempo Supermarket stores in Nové Zámky were the first to try out this novelty, followed in the autumn by shoppers at Tempo Supermarket in Námestovo.
Electronic price-tagging is extremely efficient. In contrast to the traditional paper version, electronic price-tags mean that it is possible to display all kinds of information relating to the product and the price and information can be altered from a central computer at any time. COOP Jednota plans to continue investing in this in 2014 as well with the aim of making the customer’s life as easy as possible.
2013 was a year in which products under the COOP Jednota private label underwent optimisation. During the year we assessed all the private label sales data and consequently slimmed down the number of products COOP Jednota shoppers can purchase within this category. By the end of 2012 there were 741 products available under the basic private label categories, Dobrá cena [Good Price], Tradičná kvalita [Traditional Quality] and Premium. The Tradičná kvalita label includes sub-brands targeted at specific groups of customers, such as COOP Jednota Active life, COOP Jednota Junior, COOP Jednota Mamičkine dobroty [Mum’s Delicacies], Domácnosť [Home], Bio [Organic] and so on.
The retail turnover share of private label products increased by 19% in 2013. The COOP Jednota Group is proud to be able to offer its customers guaranteed quality. In 2013 we carried out 2,500 checks on product quality, indicating that we care about the quality of products on offer in COOP Jednota stores and that we strive to do our best in this area.
Marketing, competitions and campaigns
The 2013 COOP Jednota campaigns primarily aimed to promote the following characteristics: Slovakness, quality, freshness, availability and keeping up with the trends. The element that connects all the campaigns is the ever - popular character duo of “Bača and Honelník” [The Shepherd and the Shepherd Boy], which has been successfully used in all the COOP Jednota Group’s promotional activities since 2008.
The campaigns run in 2013 can be divided into three categories: consumer competitions, product promotions and image campaigns. A number of different promotional tools were used in these.
Alongside the additional services COOP Jednota stores have offered their customers for some years now, such as card payment, Coopkasa (bill payment and deposit service), mobile phone top-ups and paying out customer loyalty payments, in 2013 the cashback facility was extended. The number and volume of transactions increases from year to year and these additional services attract new customers into COOP Jednota stores, thereby increasing store revenues.
Loyalty programmes are an effective marketing means of fostering customer loyalty. A motivated customer is a happy customer. This is one of the reasons the COOP Jednota Loyalty Programme is mainly focused on the COOP Jednota Shopping Card, whereby the individual COOP Jednotas offer customers a discount on the total amount of shopping they do annually.
The popularity of the COOP Jednota Shopping Card is evident in the fact that since 2004 when COOP Jednota Slovakia first began issuing the loyalty card throughout Slovakia, the number of cards has risen from 255,460 to 953,856. COOP Jednotas offer loyalty card holders discounts of 1% to 2% off their shopping – the actual amount is set by the individual COOP Jednota – and customers can claim their discount within a given period once the year has come to a close.
In 2013 the percentage of shopping purchased using the Shopping Card represented more than 50% of total retail turnover and this figure increases year on year.
The consumer cooperatives paid out more than €7.7 million in 2013 on shopping purchased using the Shopping Card, representing an increase of 4.6% on the previous year. Shopping Card holders are also eligible for benefits offered by COOP Jednota loyalty programme partners. Our long-term partners are Tatratour and TIP travel agencies, CK Bubo, Nábytok Tempo Kondela, Kúpele Trenčianske Teplice, and Aquacity Poprad.
COOP Jednota Slovakia has now been publishing its monthly customer magazine for 12 years. Over this time the magazine has become one of the most sought-after COOP Jednota promotional publications among customers and is seen as a partner and adviser on issues concerning shopping, diet and a healthy lifestyle. The magazine’s mission is to provide customers with an up-to-date portrayal of COOP Jednota as the largest grocery retailer in Slovakia with the largest proportion of Slovak products. Therefore, in addition to offering customers a relaxing read, the magazine also includes information on what is happening in the consumer cooperatives, promotional events, COOP Jednota Foundation projects and conveys its position on events occurring in the Slovak economy. Customers can pick up their favourite magazine directly at the checkout – it is distributed to all the units within COOP Jednota.
COOP Jednota Slovakia has now worked with Envi-Pak, a.s. for some years now in fulfilling its
recycling targets and is authorised to use the Green Dot symbol on its private label packaging. Every year Envi-Pak provides the Ministry of the Environment of the Slovak Republic with a Report on Packaging and on Achieving Compulsory Waste Packaging Recovery and Recycling Targets. The environmental awareness of COOP Jednota Group customers increases every year. More than 8.6 tonnes of used batteries and around a tonne of light-bulbs were collected in in-store recycling bins. Approved companies recycle and dispose of the waste in accordance with the legislation.
Regional COOP Jednotas also help protect the environment by investing in new technologies and energy-saving equipment for its stores. They encourage customers to protect the environment and promote sustainable development by providing oxo-biodegradable shopping bags, paper bags and long-life jute bags.
As at 31 December 2013, COOP Jednota Slovakia consumer cooperative had a total of 82 employees, 53% of whom were women.
The total number of employees within the COOP Jednota Group was 13,133 as at 31 December
2013, and 85 % of these were women. The total number of people employed by the consumer
cooperative at the end of 2013 was 10,933.
The current human resources strategy is to train and develop employees at all management levels of the COOP Jednotas. The training and development we provide corresponds to our strategic aims and project goals in the business, finance and human resource management of the COOP Jednota Group.
In 2013 we invested €260,000 in staff training and development.
More than 1,900 executive and managerial members of staff undertook training modules.
Code of conductThe code of conduct sets out the various rules and guidelines on staff conduct and on internal and external relations between the various functionaries, bodies and individual consumer cooperatives. The code of conduct reflects the ethical values COOP Jednota has signed up to and is committed to upholding. It is via these values that the COOP Jednota group achieves greater added value in the professional conduct of work and thereby fosters trust in customers who shop at COOP Jednota stores.
The consumer cooperative, COOP Jednota Slovakia, set up the COOP Jednota Foundation in 2002 with the goal of providing humanitarian aid, supporting healthcare, sport and education, promoting and fostering culture and the arts, and providing social assistance.
In 2013 a total of €137,896.59 was spent on humanitarian aid. €77,451.59 of this was spent on buying 15 items of medical equipment and €60,445 on humanitarian assistance for disabled and sick children, €50,000 of this was donated to the Help All Slovakia Foundation which entered its third year of fund-raising. The foundation has helped schools and developed activities for young people through its existing projects, “Jednota for School Kids” and “Don’t leave them hanging around”.
During 2013 the foundation spent almost €220,000 on these two projects. Thus, as in 2013, COOP Jednota Slovakia was once again actively engaged with the public providing tangible assistance and taking part in public fundraising, important events, exhibitions, conferences and benefit concerts.
The COOP Jednota brand was awarded theSuperbrands award for the second time by the Slovak Superbrands panel and Slovak consumers. After having won the award in 2013, the COOP Jednota brand won the award again in 2014.
Goals for 2014
• Strengthen our position as the largest grocery retailer in Slovakia
• Achieve growth in the retail turnover of COOP Jednotas and the overall performance of the COOP Jednota Group.
• Consolidate our lead in selling Slovak products by increasing the number on sale in COOP Jednota stores
• Continue opening new COOP Jednota stores and modernising existing stores and making efficient use of new information technologies.
• Optimise and improve the quality of the range of products on sale in COOP Jednota stores in relation to store-size
• Introduce new staff uniforms for those working in COOP Jednota stores
• Continue implementing key projects and follow-up projects
• Complete the electronic communication system between the various units within the COOP Jednota Group and retail suppliers and within the COOP Jednota group
• Modernise and improve the appeal of the COOP Jednota loyalty programe
• Expand the functionality of the existing logistics centres
• Work with contractual partners to replace POS terminals in the COOP Jednota store network and extend and improve additional in-store customer services
• Target the younger age group via online marketing
• Provide training for COOP Jednota employees in keeping with our aims and ongoing projects, improve motivation and satisfaction
• Prepare the foundations for integrating and connecting up various activities within the COOP Jednotas to achieve further business efficiencies in the COOP Jednota Group