By Ashley Nickle
Kantar Consulting sees growth on the horizon for H-E-B, and one reason is the investment the retailer has made in e-commerce.
Elley Symmes, a senior analyst for Kantar, described San Antonio, Texas-based H-E-B as a power regional player that has consistently outperformed the grocery industry.
“What they do in their private label development, assortment, and then also the store experience that they drive is just light-years ahead in effectiveness and productivity, so we really just see that as a driving force for them going forward, and their ability to really resonate with that local Texas consumer and then also invest for the future,” Symmes said.
“They acquired that third-party delivery player Favor, which is a Texas-born logistics and last-mile-delivery company, and they’re really committed to continue driving that local Texas force going forward,” Symmes said.
H-E-B operates 333 stores and had about $23 billion in sales in 2018, according to a ranking by Kantar of the top 50 U.S. retailers.
Kantar reports that H-E-B had a sales compound annual growth rate of 5% for 2013-2018 and forecasts that the rate for 2018-2023 will be 4%.
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