Large retail chains become Serbia’s default shopping channel as consolidation gathers pace

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Large supermarket chains have become the dominant purchasing channel for Serbian households, with new consumer research showing that 71.5 per cent of citizens shop at a major retail chain every day or at least once a week. When consumers who visit large stores several times a month are included, the proportion rises to 87 per cent.

The findings show how far Serbia’s grocery market has moved from a fragmented network of neighbourhood shops, open markets and regional retailers towards organised chains with national procurement, logistics and distribution systems. Large operators now influence not only where consumers shop but also the prices paid to suppliers, the visibility of domestic brands and the commercial terms under which food producers reach the market.

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The survey was conducted by Konzumer, with logistical support from Demostat, and covered 1,024 respondents. The sample reflected Serbia’s population structure by gender, education, age and place of residence, based on the 2022 census.

The most common shopping pattern was visiting a retail chain several times a week, reported by 37.8 per cent of respondents. Another 20.8 per cent said they shopped in large stores every day. These results indicate that supermarket chains are no longer used primarily for occasional bulk purchases. They have become embedded in everyday household consumption.

Only 4.5 per cent of respondents said they visited a large supermarket once every six months or less frequently. Within that group, 2.2 per cent of all respondents said they never shopped at a major chain and instead relied on smaller local stores.

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Consumers who completely avoid large chains were most commonly men aged 40 to 49, living in rural parts of southern or eastern Serbia and generally having lower levels of formal education. This profile suggests that continued dependence on independent shops is increasingly associated with geography, store accessibility and settlement structure rather than a broad national preference for traditional retail.

The age breakdown points to particularly intensive use among younger consumers. Approximately 25.3 per cent of people aged 18 to 39 said they visited a major chain every day. Among consumers aged up to 49, the share was slightly higher at 26 per cent.

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Daily use declined among older groups. Around one-fifth of consumers aged up to 65 described large chains as an everyday shopping destination, compared with only 12.9 per cent among those older than 65. Even among older respondents, however, shopping several times a week remained the most common pattern.

More than half of respondents under the age of 29 visited large retail stores several times a week. The corresponding proportion exceeded 40 per cent among consumers aged up to 39 and stood at roughly one-third in the remaining age categories.

The pattern reflects the expansion of modern convenience formats as much as the appeal of large hypermarkets. Operators such as Ahold Delhaize, through Maxi, Mega Maxi and Shop&Go, have developed formats ranging from neighbourhood convenience stores to large supermarkets. Lidl Serbia has expanded the discount model, while Idea, Roda and Mercator, historically controlled through Croatia’s Fortenova Group, retain an extensive national network.

Domestic operators including Univerexport, DIS, Gomex and Aman remain important, particularly outside central Belgrade. Their competitive position increasingly depends on purchasing scale, private-label development, logistics efficiency and access to attractive urban and regional locations.

Regional differences in the survey reflect the uneven development of Serbia’s organised retail infrastructure. In Vojvodina43.9 per cent of respondents said they shopped at a large chain several times a week. The proportion was 37.5 per cent in Belgrade36.6 per cent in western Serbia and Šumadija, and 32.3 per cent in southern and eastern Serbia.

Vojvodina’s leading position can be linked to its dense urban network, stronger logistics infrastructure and the presence of both national and regional chains. Univerexport, headquartered in Novi Sad, has built a network of more than 200 stores, while Maxi, Lidl, Idea, Roda and Gomex also maintain broad coverage across the province.

Belgrade remains Serbia’s most valuable retail market in purchasing-power and turnover terms, but the capital’s result is shaped by a more diverse range of shopping options. These include supermarkets, convenience outlets, shopping-centre stores, open markets, specialist food retailers and rapidly expanding delivery platforms.

Southern and eastern Serbia continue to present a more fragmented commercial landscape. Lower population density, weaker household purchasing power and longer travel distances make some locations less attractive for full-format supermarkets. Local retailers retain greater relevance in smaller municipalities, but they face growing pressure as national chains expand through compact stores requiring less investment and lower sales volumes to remain viable.

The growing dominance of major chains has important consequences for consumers. Large retailers can reduce unit costs through centralised purchasing, automated distribution centres and stronger negotiating positions with suppliers. They can also offer broader product ranges, private-label goods, loyalty programmes and frequent promotional campaigns.

Yet scale does not automatically produce lower consumer prices. A concentrated market can allow leading operators to preserve margins, transfer commercial risks to suppliers and maintain similar pricing structures. Serbian consumers have experienced prolonged food-price pressure, making the relationship between retail concentration, wholesale costs and final shelf prices an increasingly sensitive economic and regulatory issue.

The government previously responded to price pressures through temporary interventions affecting retail margins and selected essential products. Such measures can provide short-term relief, but they do not resolve the structural issues determining food prices: limited competition in some product categories, import costs, agricultural productivity, processing capacity, distribution expenses and the bargaining imbalance between large retailers and smaller suppliers.

Retailers with extensive store networks possess significant control over product placement, promotional campaigns, payment periods, rebates and listing fees. For Serbian food manufacturers, access to organised retail provides national market coverage but can also compress margins and increase working-capital requirements.

Small producers face the greatest pressure. Supplying a national chain requires consistent volume, standardised packaging, food-safety certification, dependable logistics and the ability to tolerate deferred payment. Producers unable to meet these requirements may remain confined to local stores, open markets or direct sales, limiting their ability to scale.

The market is also entering a new ownership cycle. Alta Retail, part of Serbia’s Alta Group, agreed in 2026 to acquire Fortenova’s Serbian retail assets, including Idea Marketi and associated operations. The Idea network covers more than 80 cities and towns, with over 300 Idea stores, approximately 33 Roda outlets and two Mercator hypermarkets reported ahead of the transaction.

The acquisition has the potential to shift a major retail platform from regional foreign ownership to a Serbian financial and investment group. Its importance extends beyond the transfer of store brands. The transaction involves warehousing, wholesale operations, supplier contracts, logistics infrastructure, commercial property and access to household spending across much of the country.

At the same time, additional foreign retailers are assessing Serbia. Italian discount operator Eurospin has been preparing a potential entry, while Fix Price has established a Serbian subsidiary and developed a local team. Carrefour has also been associated with possible market-entry plans.

New entrants could strengthen price competition, although the final effect will depend on the scale and speed of their expansion. A handful of stores in Belgrade and Novi Sad would have limited impact on national pricing. A meaningful competitive shift would require distribution infrastructure, dozens of locations and purchasing operations capable of challenging Ahold Delhaize, Lidl and the Idea–Roda–Mercator platform.

Discount operators could exert the strongest pressure through private-label products and simplified store formats. Serbia’s price-sensitive consumer base makes the market suitable for such models, particularly after several years of cumulative food inflation. The commercial challenge is that lower household purchasing power also limits sales per square metre, while property, energy, labour and logistics costs continue to rise.

The survey’s 87 per cent figure confirms that organised retail already controls access to most Serbian consumers. The next phase of competition will therefore be determined less by convincing households to abandon traditional shops and more by taking market share from established chains.

Store location, loyalty data, private-label pricing and supply-chain efficiency will become increasingly important. Retailers will also compete through smaller urban formats, e-commerce, home delivery and personalised promotions rather than relying solely on new hypermarkets.

Independent stores will remain relevant in villages, smaller towns and neighbourhoods where proximity matters more than product range. Their role, however, is becoming more specialised. They are increasingly positioned around immediate convenience, personal service, local produce and extended opening hours rather than the price and assortment advantages of national chains.

Serbia’s grocery market is moving into a period in which consumer habits are already consolidated but ownership and competitive boundaries are changing. Large chains have secured the purchasing frequency needed to dominate distribution. The contest now centres on who controls those networks, which suppliers gain shelf access and whether incoming discount formats can convert Serbian consumers’ sensitivity to price into a durable redistribution of market share.

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