Kesko’s Q1 performance in Finland is a good reminder of that.
The retailer reported net sales growth of 7.1% to €3.03 billion, while its grocery division saw growth in sales, profit and market share for the first time since the pandemic. K Group’s grocery sales grew 4.4%, ahead of the 2.9% market average.
That matters.
Because in a market where consumers remain cautious, it would be easy to assume that price is the only lever.
But Kesko’s results suggest something more nuanced.
Yes, price still matters.
But shoppers are also responding to quality, service, store experience, and the ability of retailers to make everyday shopping feel reliable and relevant.
Online grocery sales were also up 10.5%, showing again that convenience is no longer a “nice to have” in food retail. It is part of the core customer promise.
For European retailers, the lesson is clear:
The winners will be those who understand their local customers best, communicate value clearly, and execute consistently across every touchpoint.
We see this every day: retail growth is built market by market, household by household, and message by message.
Because in grocery, relevance is still one of the most powerful competitive advantages.