Distribution network

In the reporting year, retail was again dominated by shopping tourism, strong competition and price reductions. Nevertheless, the ten Migros Cooperatives reported a healthy growth trend. Sales in the supermarkets/hypermarkets in Switzerland came in at CHF 11.524 billion, representing an increase of 1.3% on the previous year. With a price reduction of 0.1%, real growth was 1.4%. In the five specialist markets (Micasa, SportXX, Melectronics, Do it + Garden, OBI), the Migros Cooperatives generated sales of CHF 1.344 billion (–2.0%) in 2013. With a price reduction of 3.6%, the Migros specialist markets grew by 1.6% in real terms in comparison to the previous year. The biggest price cuts were made at Micasa (–5.4%), Melectronics (–3.8%) and for cosmetic products (–2.7%).

Considerable profits for the range of sustainable products
Sales from the range of sustainable products again rose considerably to a total of CHF 2.01 billion. The pleasing growth is due, in particular, to the commitment made as part of the Generation M sustainability programme. Since launching the programme in 2012, more than 50 promises have been made to tomorrow's generation. The programme represents a long-term commitment by Migros to protect the environment, promote sustainable consumption, interact with society and employees in a socially acceptable and exemplary way and campaign for a healthy lifestyle.

In the reporting year, eleven new promises were made as part of Generation M. Two promises revolve around animal-friendly husbandry. By 2020, Migros wants to ensure that the strict animal welfare standards are also met for all animal products from abroad. In addition, Migros catering has made a commitment to only offer Swiss beef, veal, pork and chicken by 2015 at the latest. Furthermore, all branches will be constructed in an even more environmentally friendly way from 2014 onwards.

Discounts on organic products
For the range of sustainable products, the UTZ label (products from socially and environmentally friendly cultivation) was the biggest growth driver (+59.3%). The range of chocolate under the Frey brand, as well as the Migros Ice Tea range, have now been completely switched to UTZ. The Max Havelaar label for fair trade products (+17.1%) and products from sustainable fishing and fish farming carrying the MSC and ASC labels (+16.9%) achieved above-average growth. In 2013 Migros became the world's first retailer to introduce MSC-certified tinned pink tuna. In addition, it switched its entire range of own-brand products to the sustainable fishing method of pole and line.

 
In the reporting year, Migros reduced the prices of 100 organic products by 10% on average under the «Bio für alle!» (Organic for everyone!) slogan. These price reductions were made possible due to higher demand for organic products, which in turn enables Migros to reduce costs through higher volumes. Sales from organic products rose correspondingly by 9.1%.

Ten years of Lillibiggs
To mark the 10th anniversary of Lillibiggs, the Migros children's platform www.lillibiggs.ch was given a facelift and new content in 2013. By repositioning the children's programme, Migros is aiming to offer the best and most valuable children's programme in Switzerland.

Targets and outlook
Migros will continue to do everything it can to offer its customers the best value for money in the future. Efficiency gains and lower purchasing costs will be passed on consistently in the form of cheaper prices. At the same time, Migros promises to broaden its social and ecological commitment. With the «Von uns. Von hier.» (From us. From here.) campaign, which will run for several years, Migros is focusing communications on its own brand, for Migros is the only retailer in the world to produce a large proportion of its product range in its own industrial companies. This campaign aims to show how much care the company puts into production as well as the wide range of unique products that it offers.

Charts on the 10 Migros Cooperatives