Türkiye flag Türkiye: Buying and Selling

The distribution network in Türkiye

Evolution of the Sector
The Republic of Turkey has a young population of 85.3 million people fueling consumption. Grocery sales were USD 76 billion as of the end of 2021 (USDA).
As a result of low presence of organized or modern retailers in smaller towns and villages, traditional grocery retailers such as bakkals (traditional small grocery shops) and pazars (street produce markets), are still the main way of grocery shopping in those places. As the food retail market is very price-sensitive and the profit margins are low, domestic grocery store chains will probably continue to dominate the Turkish market at least for the near term. The traditional grocery retailers accounted for 38.6% of the total revenues in the retail sector in 2021, reaching USD 27 billion.

However, the market share of the modern organized grocery retailers is increasing. Supermarkets continue to dominate the modern food retail sector, with 31.8% market shares (USD 22.3 billion in sales) in 2021. Discounters represent 24.8% of the grocery retailers (USD 17.4 billion in revenues). Convenience stores and hypermarkets accounted for 2.5% and 1.4% of market share each.

Consumers have started to prefer hard discounters or discounters offering private label products, which are on average 30% cheaper than the name brand. Discount grocery retailers such as BIM and A101, are transforming the market and are opening up compact stores everywhere. Grocery supermarket retailers such as Migros and CarrefourSA are opening smaller convenience stores like M-Jet and CarrefourSA Express to compete.

High value imported items are increasing in number and variety in national and international hypermarkets like Migros, Metro, Carrefour and others which cater to higher income consumers.

During the COVID19 pandemic, with the first case declared on March 11th, 2020 in Turkey, grocery stores remained open and operational while shopping malls closed down. Reportedly, major grocery chains have had record sales turnovers of food and beverages due to the pandemic, especially before the mandatory weekend lockdowns in major cities in Turkey. The pandemic situation has given all online grocery retailers a major boost. Migros is the online market leader.
Market share
The food retail sector in Turkey can be put into two major groups: organised and unorganised retailers. Organised retailers include multi-format retailers, local (regional) supermarkets, discount retailers, and gas station stores. Unorganised retailers, also called the traditional market, constitute smaller, individual convenience stores called bakkal in Turkish and open-air bazaars. The top 10 grocery store chains by market shares in 2021 (USDA) :

•    BIM with 18.7% market shares - discount market chain
•    A 101 with 12.0% - hard discount market chain
•    Migros with 9.2% - multi-format supermarket chain
•    Sok with 8.3% - discount market chain
•    CarrefourSA with 2.6% - joint venture of Carrefour of France and Sabanci Holding of Turkey
•    Sec Market with 1%
•    Ekomini with 0.9%
•    Hakmar with 0.8%
•    MacroCenter with 0.6%
•    Onur Market with 0.6%

Retail Sector Organisations
Turkish Federation of Shopping Centres and Retailers (TAMPF)
Turkish Council of Shopping Centres
Retailers Council of Istanbul

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Latest Update: December 2022

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