Wikipedia
Rewe (stylized as REWE; German pronunciation: [ˈʁeːvə]) is a supermarket chain in Germany and the main brand of Rewe Group headquartered in Cologne.[1] The name originated from an abbreviation of the original name "Revisionsverband der Westkauf-Genossenschaften" (Audit union for Westkauf-Cooperatives). With about 3,300 stores, Rewe is the second largest food retailer in Germany behind EDEKA.
Key Information
In 2011, the company started a delivery service with a test run in Frankfurt am Main, which was gradually expanded to locations throughout Germany. With this approach, Rewe was a pioneer in online grocery delivery within Germany. As of 2015, they have publicised plans for investing more heavily in their online presence.[2]
Their own store brand products are branded "ja!" (German for "yes", discounter price), "REWE Beste Wahl" (German for "best choice, "normal" price), "REWE Feine Welt" (German for "fine world", high price, special items), "REWE Bio" (Organic), "REWE Bio + vegan" (Organic and vegan),[3] "REWE frei von" (German for "free of", allergen-free),[4] "REWE Regional" and "REWE to go".[5]
The Bundesliga club 1. FC Köln is sponsored by Rewe on their jerseys until the end of the 2020–21 season.[6]
References
[edit]- ^ "Unternehmensregister". Bundesanzeiger Verlag. 1 March 2018.
- ^ "Germany Update: Lidl's Growth Targets, Metro and REWE", Retail Analysis, 19 June 2015. Accessed 7 June 2015.
- ^ "REWE Bio : Vegan – besser Bio-zertifiziert". www.rewe.de (in German). Retrieved 27 October 2021.
- ^ "REWE frei von: Gluten- und laktosefreie Produkte". www.rewe.de (in German). Retrieved 13 October 2023.
- ^ "Unsere REWE Eigenmarken". www.rewe.de (in German). Retrieved 27 May 2019.
- ^ "1. FC Köln | REWE". fc.de (Memento from 29 September 2020 in Internet Archive) (in German). Archived from the original on 29 September 2020. Retrieved 26 May 2019.
External links
[edit]Grokipedia
History
Founding and early years (1927–1945)
The REWE Group traces its origins to January 1, 1927, when 17 purchasing cooperatives in the Rhineland and Westphalia regions united in Cologne to form the Revisionsverband der Westkaufgenossenschaften, abbreviated as REWE. This cooperative auditing association was established primarily to enable collective procurement of food and other goods, allowing independent retailers to strengthen their position against rising competition and price pressures in the post-inflation German economy. By centralizing purchasing, REWE aimed to achieve economies of scale, improve bargaining power with suppliers, and ensure stable supply chains for its member cooperatives.[1] In the early years, REWE experienced steady growth through organizational enhancements and regional expansion. A key milestone came in 1932 with the introduction of uniform outlet lettering, which standardized branding across affiliated stores and fostered a cohesive identity for the cooperative network. This visual unification helped build customer recognition and loyalty amid economic challenges. By 1935, REWE had expanded its reach by incorporating several purchasing cooperatives from Central Germany, broadening its operational footprint beyond the original Rhineland-Westphalian base and enhancing its collective purchasing capabilities. These developments solidified REWE's role as a major player in Germany's cooperative retail sector.[7] By 1940, REWE had reached its pre-war peak, encompassing 106 cooperatives and approximately 8,000 members, with influence extending from the Rhineland to Central Germany. This growth reflected the cooperative's success in attracting independent retailers seeking mutual support in procurement and auditing services. However, the onset of World War II severely disrupted operations, as wartime restrictions limited supplies, rationing hampered distribution, and bombing campaigns destroyed many facilities and records. By late 1944, REWE had relocated key functions to safer areas like the Sauerland region, but by April 1945, the organization was left effectively at a standstill, with its infrastructure in ruins and business activities halted.[7][8]Post-war growth (1946–1972)
Following the end of World War II, REWE resumed its operations in late 1945, with full activities restarting by 1946, as the cooperative navigated severe shortages of basic goods across Germany, where the war had destroyed infrastructure and agricultural production, leading to widespread rationing and economic hardship.[9][10] The headquarters, which had been relocated during the war to avoid bombing, returned to Cologne, allowing the organization to begin rebuilding its network of regional cooperatives and member stores amid the divided occupation zones.[9] This period of recovery was marked by efforts to restore supply chains for essential items, as REWE's member retailers struggled to meet consumer demand in a devastated economy.[9] To address ongoing supply challenges and establish a stronger market presence, REWE introduced its first private labels in 1949, including Rewe Dreistern for staple groceries such as flour, salt, and table oil, and Rewe Kronjuwel for products like margarine.[11] These trademarks represented an early step in product standardization and branding, enabling the cooperative to package and distribute basic commodities more efficiently during reconstruction, when imported goods remained scarce and local production was limited.[11] By focusing on everyday essentials, REWE helped stabilize supplies for its affiliated stores, contributing to the gradual normalization of retail operations in western Germany.[9] By the late 1960s, as economic conditions improved, REWE pursued greater efficiency through centralization; in 1968, the regional cooperatives transferred key management functions to the central headquarters in Cologne, culminating in the establishment of REWE-Zentralfinanz eG on July 1 to handle unified financial operations.[9] This restructuring streamlined decision-making and resource allocation across the growing network, reducing redundancies among the independent regional entities and positioning REWE for scaled expansion in the competitive retail sector.[9] The move marked a shift from fragmented local governance to a more coordinated national structure, enhancing the cooperative's ability to negotiate purchases and support member retailers.[9] The culmination of these post-war developments came in 1972, when REWE adopted its current cooperative partnership model through the founding of REWE-Zentral-Aktiengesellschaft (REWE-ZAG) on July 1, integrating the operational business under a joint-stock framework while preserving the cooperative ownership.[9] This model formalized the partnership between the central organization and independent retailers, promoting shared profitability and long-term collaboration without fully dissolving regional autonomy.[9] By balancing centralized control with entrepreneurial incentives, it laid the foundation for sustained growth, reflecting REWE's evolution from wartime survival to a robust retail cooperative.[9]Expansion and diversification (1973–present)
Following the consolidation of its cooperative structure in 1972, which facilitated joint purchasing and operational synergies among member retailers, the REWE Group pursued aggressive expansion and diversification strategies starting in the early 1970s. This period marked a shift from primarily domestic wholesale operations to building a multinational retail presence, with key moves into discount formats and international markets. By entering new sectors and geographies, REWE transformed from a German-focused cooperative into one of Europe's largest retail groups.[12][13] A pivotal diversification occurred with the introduction of the PENNY discount chain, initially founded in 1973 by the Leibbrand Gruppe but fully integrated into the REWE Group through acquisition in 1989. This move allowed REWE to capture the growing demand for low-price grocery options in Germany and later expand PENNY internationally, establishing over 3,000 stores across Europe by the 2020s and positioning it as a core pillar of the group's discount segment. Complementing this, REWE ventured into the do-it-yourself (DIY) sector by acquiring the toom Baumarkt chain in 2007 from EDEKA, which had originated with its first store opening in 1978; the acquisition bolstered REWE's non-food retail footprint, growing to more than 300 stores focused on home improvement and gardening supplies.[14][15] International growth accelerated in the 1990s, beginning with the acquisition of the Austrian supermarket chain Billa in 1996, which provided REWE with an immediate foothold in Central Europe and expanded to over 1,100 stores in Austria alone. Following the fall of the Iron Curtain, REWE entered Eastern European markets in the early 1990s, starting with operations in Hungary and Poland; notable acquisitions included the Delvita chain in Slovakia in 2005 for €7.7 million, adding 11 stores, and subsequent expansions in the Czech Republic, Romania, and Russia through organic growth and takeovers like the 13 Njam Njam supermarkets in Moscow in 2008. In 2021, REWE sold its Russian operations (Billa Russia) to Lenta LLC.[16][17][18][19][20][21] These efforts established REWE with stores in 10 countries, with a strong emphasis on Central and Eastern Europe where turnover grew by 10% annually in the mid-2000s. Diversification into tourism began with the full acquisition of DER Touristik from Deutsche Bahn in 2000, creating the DERTOUR Group as REWE's travel arm; this was significantly expanded in 2015 through the purchase of Kuoni Group's European tour operations for an undisclosed sum, integrating brands like Apollo and enhancing REWE's presence in leisure travel across 21 countries.[22][23] By 2024, these strategies had culminated in a network of more than 12,000 stores, including supermarkets, discounters, and DIY outlets across 10 countries, underscoring REWE's scale as a pan-European retailer.[5] To sustain this momentum, the group announced a €16 billion investment program in 2024, spanning 2024–2028, targeted at modernizing stores, enhancing digital infrastructure, and expanding real estate and logistics in key markets like Germany and Austria. This commitment reflects ongoing efforts to adapt to evolving consumer preferences and competitive pressures in retail and tourism.[3]Corporate structure
Cooperative ownership and governance
The REWE Group operates as a Genossenschaft, or cooperative society, under German law, which emphasizes democratic ownership and mutual benefit among members rather than profit maximization for external investors. At its core is REWE Zentral-Aktiengesellschaft eG, the central cooperative entity that coordinates the group's retail, tourism, and service operations across Europe while upholding the principles of collective purchasing and independent entrepreneurship. This structure allows for a hybrid model that integrates 1,573 independent retailers as active members (as of 2024), fostering long-term stability and alignment with cooperative values such as sustainability and community focus.[4][3] Ownership of REWE Zentral-Aktiengesellschaft eG is held exclusively by six owner cooperatives, comprising five regional REWE cooperatives and FÜR SIE Handelsgenossenschaft eG, which together represent the group's foundational purchasing and trading networks. These shareholder cooperatives, rooted in the independent retailer base, ensure that control remains internal and decentralized, with no shares available on public stock markets, thereby shielding the organization from short-term market pressures and external takeovers. This closed ownership model supports strategic investments in areas like supply chain efficiency and member services without the influence of outside capital.[24][25] Governance within this framework is characterized by a dual-board system and participatory mechanisms that promote transparency and member involvement. The Supervisory Board, composed of representatives from the shareholder cooperatives and independent experts, oversees the Management Board's strategic direction, risk management, and compliance, ensuring decisions align with cooperative principles and long-term goals. Key decisions, such as amendments to bylaws or major structural changes, are ratified through annual general assemblies of the member cooperatives, where delegates from the regional entities vote democratically, reinforcing the bottom-up decision-making process inherent to the Genossenschaft model. This governance approach balances centralized coordination with regional autonomy, enabling adaptive responses to market dynamics while maintaining accountability to the membership.[26][24]Management and leadership
The Management Board of the REWE Group, as the executive body responsible for strategic direction and operations, consists of seven members as of November 2025, overseeing the company's retail, digital, and international activities under the supervision of the Supervisory Board.[27] Lionel Souque has served as Chief Executive Officer since July 2017, with his contract extended by the Supervisory Board until the end of 2028.[28] Under his leadership, the REWE Group has accelerated its digital transformation, including advancements in e-commerce and technology integration across retail operations, while driving international expansion in markets such as Central and Eastern Europe and tourism services.[29][30] Jan Kunath, Deputy Chief Executive Officer since July 2017, is set to leave the board at the end of 2025 after deciding not to extend his contract.[31] His tenure has emphasized operational efficiency, including supply chain management and sustainability initiatives, as well as oversight of retail international and IT strategies.[32] Other key executives include Christoph Eltze, Chief Digital and Technology Officer since July 2022, who leads innovation in digital retail solutions and technological infrastructure.[27] Telerik Schischmanow serves as Chief Financial Officer since July 2022, managing financial strategy and performance.[27] Dr. Daniela Büchel, Chief People and Sustainability Officer since January 2023, handles human resources and sustainability efforts.[27] Recent leadership stability is evident in the extension of contracts for REWE International AG board members, including Marcel Haraszti, Michael Jäger, and Christoph Matschke, through the end of 2025 to support ongoing international operations; in May 2025, a reorganisation was announced, with Haraszti assuming expanded responsibilities for Central and Eastern European full-range business from October 2025, alongside new appointments such as Erich Szuchy as CEO of BILLA Austria from July 2025.[33][34]Business operations
Retail segments
The REWE Group's retail operations are primarily conducted through its trading division, which encompasses a diverse portfolio of store formats focused on food, consumer goods, and specialized retail. This division emphasizes full-service grocery provision, discount models, and convenience-oriented outlets, with a strong commitment to fresh produce, private-label products, and customer-centric assortments tailored to regional needs.[4] REWE supermarkets form the cornerstone of the group's retail presence in Germany, operating over 3,800 stores that function as full-service grocery retailers. These outlets, managed either as subsidiaries or by independent REWE retailers, offer a broad range of products including fresh fruits, vegetables, bakery items, and private labels such as REWE Beste Wahl, which prioritize quality and sustainability. The format highlights daily fresh goods and an inviting store layout to enhance the shopping experience for families and everyday consumers.[5][35] PENNY, the group's discounter brand established in 1973, operates more than 2,100 stores in Germany, delivering low-price groceries through an efficient, no-frills model. PENNY focuses on essential food items, household products, and promotional deals, with private labels comprising a significant portion of its assortment to maintain affordability. Internationally, PENNY extends this discount approach with over 1,550 outlets, reinforcing REWE's position as a key player in value-oriented retail.[36][37][38] In the convenience segment, REWE to go provides quick-service options with more than 900 locations, primarily at high-traffic sites like petrol stations and train stations, stocking grab-and-go meals, snacks, and beverages with an emphasis on fresh, ready-to-eat items. Complementing this, nahkauf convenience stores, numbering approximately 450 and run by independent retailers, target smaller communities with compact formats of 400 to 800 square meters, offering streamlined selections of groceries, fresh local produce, and daily essentials for families and seniors.[39][40] Beyond food retail, the group operates specialized formats such as BIPA, a health and beauty drugstore chain with around 570 stores in Austria, featuring international brands alongside own-label cosmetics, personal care, and household items in a customer-friendly environment. Additionally, toom Baumarkt serves the DIY sector with more than 300 stores in Germany, providing tools, building materials, gardening supplies, and home improvement products through large-format outlets that support both professional and hobbyist needs.[41][14]Tourism and other services
The DER Touristik division, now known as the DERTOUR Group since its rebranding in 2024, represents REWE Group's primary engagement in the tourism sector.[42] Acquired by REWE in 2000 from Deutsche Bahn, making it a wholly owned subsidiary, DERTOUR Group has grown into one of Europe's leading travel organizations, ranking as the second-largest tour operator on the continent.[43][44] It operates a diverse portfolio of brands, including DER, ITS, Kuoni, Apollo, and Exim Tours, offering package holidays, long-haul trips, and specialized travel experiences across more than 16 European countries.[45] A key expansion milestone occurred in 2015 when DER Touristik acquired the European tour operating businesses of Kuoni Group, including its operations in Switzerland, the UK, Scandinavia, and Benelux, to strengthen its position in the luxury and premium travel segments.[46] This acquisition integrated established brands like Kuoni and enhanced DERTOUR's network, enabling broader access to high-end destinations and customized itineraries.[46] In September 2025, DERTOUR Group completed the acquisition of Switzerland-based Hotelplan Group, adding further business units including travel agencies and strengthening its European footprint.[47] Today, the group serves millions of travelers annually through a combination of owned and partnered services.[43] Beyond tour operations, DERTOUR Group maintains an extensive network of approximately 2,000 travel agencies across Germany, Great Britain, France, Eastern Europe, and Scandinavia, providing in-person consultation and booking services.[45] These agencies complement digital offerings, with online booking platforms such as dertour.de, its-reisen.de, and kuoni.co.uk allowing customers to access tailored holiday packages, flights, and accommodations directly.[48] The division also manages hotel and resort brands like Aldiana and Sentido, focusing on sustainable and experiential stays in key destinations.[49]Geographic presence
REWE Group's core market is Germany, where it operates over 8,000 stores across various retail formats, including more than 3,800 REWE supermarkets, approximately 2,123 PENNY discount stores, over 300 toom Baumarkt DIY outlets, and additional nahkauf convenience stores, making it the second-largest food retailer in the country with around 13% market share.[5][36][14][50][51] In Austria, REWE maintains a strong presence in Central Europe through nearly 1,300 BILLA supermarkets and hypermarkets (including BILLA PLUS), employing over 32,000 people and serving as one of the country's leading grocery providers.[52][53] The company extends its operations to additional European countries, including Italy, Romania, the Czech Republic, Hungary, Slovakia, and Poland, with formats such as BILLA, PENNY, and BIPA tailored to local markets; for instance, PENNY operates over 420 stores in Romania and approximately 240 in Hungary as of 2024.[37] Overall, REWE's retail footprint encompasses 12,409 outlets and travel agencies across 21 European countries as of the end of 2024.[5] REWE holds a leading position in Germany's grocery sector and has achieved notable growth in Eastern Europe since the 1990s through strategic acquisitions and organic expansion, particularly in discount and supermarket segments.[54][55]Financial performance
Overview of revenue and profitability
The REWE Group's total external sales have demonstrated robust long-term growth, rising from €31.22 billion in 2006 to €84.8 billion in 2022, driven primarily by organic expansion, acquisitions, and increasing market penetration in European retail markets. This trajectory underscores the company's resilience and strategic focus on core operations through economic cycles up to 2019. By 2017, annual total external sales had already reached €57.8 billion, reflecting a compound annual growth rate that positioned REWE as one of Europe's leading retail cooperatives.[56][57] Profitability metrics in the pre-2020 period highlight operational efficiency amid competitive pressures. In 2017, the group reported operating income (EBITA) of €491.4 million and net income of €337.8 million, benefiting from cost controls and revenue diversification. These figures represented a stable margin profile, with EBITA margins around 0.85% on total revenue, supporting reinvestments in store networks and supply chain enhancements.[56] The company's balance sheet strength is evident in its asset base and workforce scale. Total assets stood at €19.5 billion in 2017, encompassing extensive real estate holdings, inventory, and international subsidiaries that bolstered operational capacity. By 2019, REWE employed 363,633 people across its operations, enabling service delivery in thousands of stores and contributing to revenue stability through labor-intensive retail models.[58][59] Key financial drivers include the retail segment, which accounted for over 90% of revenue through supermarkets, discount stores, and convenience formats, alongside contributions from tourism services that added diversification. In 2022, for instance, travel and tourism generated €4.94 billion, complementing the dominant retail focus while mitigating sector-specific risks up to 2019. (Total external sales include revenues from approximately 1,600 independent member retailers in Germany.)[57]| Metric | Value (Year) | Source |
|---|---|---|
| Total External Sales | €84.8 billion (2022) | REWE Group Annual Report 2022 |
| Operating Income (EBITA) | €491.4 million (2017) | REWE Group GRI Report 2017 |
| Net Income | €337.8 million (2017) | REWE Group GRI Report 2017 |
| Total Assets | €19.5 billion (2017) | REWE-Zentralfinanz eG Combined Financial Statements 2018 |
| Employees | 363,633 (2019) | REWE Group Press Release 2019 |