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Kesko's year 2007

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10<br />

<strong>Kesko's</strong> <strong>year</strong> <strong>2007</strong><br />

Divisions<br />

Kesko Food<br />

Kesko Food’s retail chains are<br />

K-citymarket, K-supermarket, K-market<br />

and K-extra. The K-food stores offer the<br />

highest quality and most comprehensive<br />

product selections on the market<br />

combined with the best service at<br />

competitive prices.<br />

K-food stores are visited by nearly 820,000<br />

customers every day. In <strong>2007</strong> the total<br />

number of customer visits reached 300 million.<br />

From the viewpoint of success, every customer<br />

visit is decisive.<br />

The operations of Kesko Food and its<br />

chains always aim to provide customers with<br />

a successful shopping experience. This is<br />

ensured by the highest quality and most comprehensive<br />

product selections on the market<br />

combined with the best service, competitive<br />

prices and by taking customers’ wishes into<br />

account.<br />

The K-retailer entrepreneur is responsible<br />

for his or her store’s customer satisfaction,<br />

personnel, and profitability of business. Good<br />

service, competence and knowledge of local<br />

circumstances provide competitive edge.<br />

Kesko Food provides K-retailers with strong<br />

support for price competition, building selections,<br />

marketing and service. These are supported<br />

by efficient international sourcing,<br />

acquisitions of store sites, advanced logistical<br />

solutions and diverse research and training.<br />

Kesko Food’s subsidiary Kespro Ltd offers<br />

delivery and wholesale services for business<br />

customers. Kespro Ltd is the leading wholesaler<br />

in the HoReCa business in Finland. Its<br />

customers include hotels, restaurants, catering<br />

companies, service station stores, kiosks,<br />

bakeries, the manufacturing industry and<br />

distributors. Kespro serves its customers on a<br />

comprehensive basis and offers the best<br />

sourcing solutions.<br />

Over 1,000 K-food stores<br />

for different customer needs<br />

The K-food store concepts cater for various<br />

consumer needs from daily local services to<br />

hypermarkets where customers may shop for<br />

the needs of the whole week.<br />

The key features and customer promises<br />

of the K-food store concepts are:<br />

K-citymarkets are hypermarkets, which<br />

offer their customers diversified and wide<br />

selections of food, non-food, and home and<br />

speciality goods. The low price level and the<br />

best selections of K-citymarkets strengthen<br />

the customer promise which is “Good shopping.<br />

And a whole lot more.” There are 56<br />

K-citymarkets in Finland in 43 towns.<br />

K-supermarkets are food stores and their<br />

customer promise is “A better than average<br />

food store”. Competitive advantages include<br />

food expertise as well as wide and diversified<br />

selections of fresh products. K-supermarkets<br />

have a total of over 160 employees with specialist<br />

qualification for foods managers.<br />

These meat and fish experts give customers<br />

cooking advice. The chain consists of 158<br />

stores.<br />

K-markets are high-quality and reliable<br />

food stores near customers. In addition to the<br />

good basic selections, K-markets offer customers<br />

freshly baked local bread, high-quality<br />

fruit and vegetables, versatile ready-to-eat<br />

food choices and the best local services.<br />

K-market retailers and their staff ensure<br />

friendly service. Many service stations also<br />

have a K-market on their premises. The customer<br />

promise is “The retailer takes care of<br />

it”. There are 453 K-markets.<br />

K-extras are neighbourhood stores in<br />

which customers can find daily essentials and<br />

which focus on personal service. Additionally,<br />

as the name implies, many K-extras located in<br />

the countryside offer extra services, such as<br />

the sale of agricultural and builders’ supplies,<br />

fuel distribution, lottery and postal services.<br />

The customer promise of the K-extra chain is<br />

“Good service for you”. There are 223 K-extras.<br />

The best food ideas and<br />

solutions at low prices<br />

K-food stores provide their customers with<br />

the best food ideas and solutions at low<br />

prices. Kesko Food’s strategy focuses on:<br />

●●<br />

individual service and approach<br />

for each customer<br />

●●<br />

chain concepts that comply with<br />

the customer structure<br />

●●<br />

competitive price level<br />

●●<br />

strong store network<br />

●●<br />

active renewing, learning and<br />

management<br />

●●<br />

the basis is customer information and<br />

improved use of it in all activities<br />

The individual service and approach refer<br />

to the chain and store-specific wide selections<br />

and customer programmes. The wide selections<br />

also comprise high-quality Pirkka products.<br />

Each customer is given a reply to the<br />

question “What are we having today?”.<br />

K-food retailers and their staff are responsible<br />

for taking customers’ wishes into<br />

account. In addition to the chain-specific<br />

selection, the stores also sell local suppliers’<br />

products and local food.

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