“Global Retail has been a success story since 2009.”
Derek Tanner (l.) and Uwe Sommer (r.)
Since the Global Retail Division was established, you have been responsible for global expansion. What were the biggest challenges you faced initially?
One of our aims in setting up this division is to establish a uniform presence for the Lindt brand – one that is instantly recognizable worldwide – in all our shops. Since Lindt & Sprüngli has a highly decentralized management structure, it wasn't always easy, especially at the beginning, to accommodate all the wishes and expectations of the individual countries. A clearly defined strategy, measurable goals, a consistently implemented global concept and a well-defined job specification for our retail employees were the building blocks for a successful start.
The Global Retail Division employs around 1,800 people worldwide in Lindt Shops. What are the biggest challenges here?
For many clients coming into our shops, this is their first real contact with our brand, so we are looking to communicate our core values, such as premium quality, Swiss tradition, product diversity, and a commitment to sustainability. Good training of our staff is essential for this. Unfortunately, staff turnover in our shops happens regularly, as tends to be the case in the retail trade. Making sure all our sales staff are well trained and able to fulfil our expectations is a major chal-lenge, but we have developed a special training program for this purpose.
Before 2009 Lindt & Sprüngli had no track record as a retailer. How does the company manage to acquire prime locations for its shops?
That was certainly a very big challenge, especially at the beginning: property companies and shopping mall operators were not familiar with our Group, we had no track record to speak of, and our brand image had no clear signature. The first step was to produce a new, elegant, and “up-market” shop design. Then we had to prove that we could actually achieve the projected sales figures. Our sales per square foot are now higher than the industry average. This has allowed us to build very solid relationships with international realtors and mall operators, who are now happy to offer us prime retail sites and locations.
What have been the other major developments in recent years?
Closer cooperation between countries has been – and continues to be – a crucial success factor, as it encourages us to learn from each other and continuously develop. It has also allowed us to test successful concepts such as our Pick & Mix range, which has become a global sales hit. Our own shops are also the best place to communicate our brand values. This year, for example, we have successfully established the “LINDT Difference” worldwide. Normally, we also welcome every customer with a free sample of a LINDOR truffle, which is one of the most effective promotional tactics for our flagship product.
Looking ahead, where do you see the Global Retail Division in 2020?
In recent years we have steadily improved the overall sales in this division, achieving impressive double-digit growth. As a result, Global Retail now makes a significant contribution to the performance of the Lindt & Sprüngli Group. We want to maintain this strong growth in the years ahead and thereby improve the profitability of the Group as a whole.
Derek Tanner first helped to set up Global Retail in 2009 and has managed this business very successfully ever since. During this time he has played a key role in developing a uniform shop concept, expanding the global network of Lindt Shops and recruiting highly motivated staff.