The 2025 Figures for Consumer Goods: Growth, Turnover, Volumes
In 2025, consumer spending in Italy consolidated its recovery: in the first four months, sales exceeded 45 billion euros, with packaged consumer goods (PCG) growing by +4.4% in value and +2.6% in volume. Compared to 2024 (which saw +1.9% growth), there has been an acceleration, driven mainly by the fresh food sector: fruit and vegetables +7.9%, fish +7.7%, meat +5.6%. The shopping cart remains a priority for families, who are sacrificing other items (restaurants and durable goods -1.8% [4]) to focus on everyday goods. Demand for healthy, fresh, and affordable products is growing, while non-food items are slowing down.
The Best Retailers in Italy and Around the World
Discount and personal care on the rise in Italy
In the Italian landscape of 2024-2025, some of the best large-scale retail chains stand out for their growth performance, format, and strategies adopted. First and foremost is the Italian discount segment, the real driver of expansion in recent years. The share of discount stores in total large-scale food retail has reached about 23% of spending (it was 18.9% in 2019), thanks to the shift of many consumers towards this low-price format. Three operators dominate the discount sector with almost 70% of the market: Eurospin, Lidl, and MD. Eurospin, Italy’s leading discount retailer, accounts for 31% of the sector with over 1,200 stores and a focus on “smart shopping” (high value for money). Lidl Italia, part of the German Schwarz Group, is the foreign retailer that has invested most heavily in the Italian market: it closed the 2023/24 financial year with record sales of €7.15 billion, up +21.6% year-on-year. This means it accounts for around 22% of total Italian discount sales [16] and now accounts for over 6% of total large-scale retail sales in Italy. Lidl’s strategy combines aggressive network expansion (over 730 stores, with a target of 1,000 stores by 2030) [18]) and ongoing investments in efficiency, assortment (wide range of private label products), and local marketing.
MD, an Italian discount chain founded by Patrizio Podini, has also established itself as the third player: in ten years, its share has risen from 5.4% to 15.6% of the segment. [16]. MD achieved this growth thanks to constant efforts to recalibrate its product range to suit customer tastes (introducing more fresh products and brand manufacturers alongside private label products) and strong communication campaigns that have made the brand more recognizable. [16]. The success of Lidl, MD, and other discount stores (e.g., Aldi, Penny, IN’s) indicates that investments in store openings, competitive prices, targeted assortments, and branding can pay off even in challenging market conditions.
In addition to discount stores, other formats and groups also achieved remarkable results. DMO, known for the Caddy’s (personal care) and L’Isola dei Tesori (pet store) chains, benefited from growth in segments adjacent to traditional grocery. In particular, L’Isola dei Tesori—with over 400 pet care stores—exceeded €300 million in turnover in 2024, becoming the second largest pet chain in Italy after Arcaplanet. Supported by the post-pandemic boom in pet ownership, DMO has attracted the interest of even big players: in 2025, Conad and foreign investors made offers to acquire L’Isola dei Tesori, valued at around €400 million [21][22]. This demonstrates how specialization in strong niche markets (e.g., pet food, personal care) and omnichannel retailing (DMO operates both physical and online stores) can generate high performance and external growth opportunities.
At the same time, DMO has continued to open new stores (Beauty Star aims to reach 100 stores with new acquisitions in Northern Italy)[39][40] and enhanced logistics (52,000 sq m central warehouse) [41][42]. Also in beauty retail, there are signs of consolidation: Ethos Profumerie (a long-standing consortium of 300 perfumeries) merged with UniBee in 2025, creating a new hub of around 500 stores, which has been operating since September. “Ethos, which is celebrating its 30th anniversary, is joining forces with Unibee to create a new entity,” announces Maria Eva Virga [43] – joining forces to compete with giants such as Douglas and Sephora.
On the international fashion and retail front, the strategies of groups such as Calzedonia are worth mentioning. In 2024, Calzedonia redefined its branding as Oniverse to emphasize a total omnichannel approach. With over 5,700 stores worldwide, the Verona-based group (Calzedonia, Intimissimi, Tezenis, etc.) closely integrates physical and digital, as discussed in more detail below, offering a successful model that can be replicated on a global scale.
Global Retailers: who wins and why
Looking beyond national borders, the best global retail brands share some key characteristics. Large international groups such as Walmart, Amazon, and Costco continue to dominate in terms of revenue, but their leadership is underpinned by heavy investment in technology and new business models. Walmart, for example, achieved growth of around 5% in 2024 thanks to an aggressive omnichannel strategy: food e-commerce up +22%, enhanced rapid delivery services, and a boom in retail media advertising revenue (+26%).)The American giant is integrating AI and automation to improve logistics and customer experience, while promoting membership and loyalty programs that have reached historic highs.
At the same time, in Europe, the Schwarz (Lidl/Kaufland) and Aldi groups are competing for the top spot in food retail, expanding into various countries with discount formats and competitive hypermarkets. Large generalist chains and affordable luxury brands (e.g., Inditex, Ikea, H&M) are also continuing to evolve their formats to remain relevant. In Asia, innovations such as Alibaba’s phygital supermarkets (Hema) and the convergence between e-commerce and neighborhood stores stand out. In summary, successful retailers worldwide are investing in omnichannel strategies, international expansion, targeted product ranges, and digital solutions to engage customers. The global retail market grew by 8.5% last year [26] and is heading towards a 2026 in which resilience and the ability to adapt quickly to the “Next Normal” will make all the difference.
What Brands and retailers ran learn from this cycle
An analysis of the 2019-2025 cycle in the consumer goods sector offers retailers several strategic insights ahead of 2026. After challenging years (pandemic, inflation, changing habits), 2025 marks a new beginning but also a market that has changed in terms of consumer priorities and competitive dynamics. To successfully plan for retail in 2026, it is necessary to capitalize on the winning levers that have emerged during this period:
Continuous innovation
Product and service innovation remains fundamental. This means introducing ranges in line with new trends (e.g., healthy food, convenience food, sustainable products) and experimenting with new concept stores. The intelligent use of technology is an integral part of innovation: global retailers are adopting AI to optimize supply chains, demand, and personalize shopping experiences. Walmart, for example, has automated over 50% of its logistics centers and employed generative AI to improve efficiency and customer satisfaction. In Italy, brands such as Luxottica and Inditex are integrating predictive supply chains and omnichannel customer journeys. SMEs can also implement projects on inventory intelligence, dynamic pricing, and recommendation engines.
Proximity and flexible formats
The centrality of proximity is one of the key lessons of the cycle. Consumers appreciate the convenience of nearby stores, stocked according to local needs and perhaps integrated with useful services. Brands that have invested in neighborhood and small-format stores (e.g. D.IT’s Sigma supermarkets, or new urban concepts such as Conad City or Coop di quartiere) have achieved above-average results[29]. This does not mean abandoning large stores, but rather making each format more flexible and hybrid: for example, hypermarkets that incorporate dining areas or service corners..
Omnichannel customer experience
Today’s shopping experience is seamless across channels: click & collect, digital coupons, in-app loyalty programs, and smart services. Brands that integrate physical, mobile, and online stores—such as DMO, Tezenis, Zara, and Action—gain loyalty and higher average basket values.62% of mall visitors appreciate loyalty programs; 61% like personalized offers. Enhancing digital platforms in synergy with physical stores becomes crucial for building loyalty and increasing the average shopping cart value.
Retail media and new revenues
Retail media is emerging, monetizing traffic, data, and digital platforms. Walmart Connect has increased advertising sales by 26%, contributing to operating profit growth. In Italy, companies such as Esselunga, Conad, and Coop are developing their own retail media divisions for targeted campaigns, generating additional high-margin revenues. Investing in digital marketing, AI for segmentation, and dedicated budgets will be strategic in 2026. The retail brand strategy will need to include budgets dedicated to retail media and analytical skills to maximize ROI, leveraging AI to segment audiences and personalize messages.
Sustainability and brand value
Sustainability has become a competitive prerequisite. Since 2019, environmental projects such as green logistics and carbon-neutral stores have grown. Coop has increased the share of sustainable branded products to 27%, while Esselunga and Lidl are investing in renewable energy. Sustainability strengthens reputation and attracts loyal customers, while also improving operational efficiency. In 2026, the extensive integration of ESG objectives into retail strategies is expected.
In conclusion, the 2019-2025 cycle teaches us that sustainable growth in retail requires innovation, proximity, omnichannel experience, retail media, AI, and sustainability. These combined levers strengthen competitiveness and prepare brands and retailers to face a constantly evolving market in 2026.
