REWE Group Sustainability Report 2018

REWE Group Portrait

GRI 102-1: Name of the organization

GRI 102-2: Activities, brands, products, and services

GRI 102-3: Location of headquarters

GRI 102-5: Ownership and legal form

Company structure

The cooperative REWE Group is an international trade and tourism group. REWE (Revisionsverband der Westkaufgenossenschaften) was established in 1927 by 17 purchasing cooperatives. Today, REWE Group consists of two independent combines with the parent company REWE-ZENTRALFINANZ eG, Cologne, Germany, (RZF) and REWE-Zentral-Aktiengesellschaft, Cologne, (RZAG). REWE Group is proud of its cooperative roots. The Supervisory Board, shareholders, retailers and the Management Board of REWE Group view the long-term cooperative structure as a guarantee of independence and self-determination. In 2007, this commitment was reaffirmed in the Travemünde Declaration. The headquarters of REWE Group have been located in Cologne ever since the company was established. As of 31 December 2018, the parent company and 412 subsidiaries (previous year: 396) are included in the Combined Financial Statements (see also the Combined Management Report for the 2018 Business Year, page 3). The number of stores of REWE retailers in Germany was over 1,700 in 2018.

REWE Group is active in various business segments:

The sales lines of REWE Group include the supermarkets and consumer stores operated by the brands REWE, REWE CENTER and BILLA, as well as MERKUR, the discounter PENNY and the toom DIY stores. These are supplemented by the convenience stores (REWE To Go) and the e-commerce activities of REWE Lieferservice as well as ZooRoyal, Weinfreunde and Kölner Weinkeller. The company’s own production operations Glocken Bäckerei and the quality butcher Wilhelm Brandenburg also supply premium store-brand products.

Travel and tourism forms the Group’s second core business. Its activities are performed under the umbrella of DER Touristik Group. Companies here include the tour operators ITS, Jahn Reisen, DERTOUR, Meiers Weltreisen, ADAC Reisen, Kuoni, Helvetic Tours, Apollo and Exim Tours, as well as over 2,400 travel agencies (including DER Reisebüro, DERPART and cooperation partners), the hotel brands lti, Club Calimera, Cooee, PrimaSol and Playitas Resort, and the direct operator clevertours.com (for a detailed description of the individual business segments, also see the Combined Management Report for the 2018 Business Year, pages 4–5).

GRI 102-4: Location of operations

GRI 102-6: Markets served

GRI 102-7: Scale of the organization

GRI 102-10: Significant changes to the organization and its supply chain

Markets and countries with significant business activities

In 2018, REWE Group operated over 15,600 stores in 22 European countries and employed 360,315 people (previous year: 345,434). Total external revenue generated in 2018 increased to 61.2 billion euros (previous year: 57.8 billion euros). In its home market of Germany, REWE Group generated revenue of 43.6 billion euros (previous year: 41.7 billion euros) in over 10,700 stores and with a workforce of 259,496 people (previous year: 254,097). The number of employees abroad increased to 100,819 (previous year: 91,337).

REWE Group is the market leader in the food retail sector in Austria, where it operates BILLA supermarkets, MERKUR consumer markets and PENNY discount stores. The portfolio is rounded out by BIPA drugstores, which sell many items found in chemist shops except for medications, and the stores operated by independent ADEG retailers. With the BILLA supermarket format, Retail International is also represented in Bulgaria, the Czech Republic, Russia, Slovakia and Ukraine. In Croatia, the BIPA brand also operates drugstores. PENNY International is represented in Italy, Austria, Hungary, Romania and the Czech Republic. The revenue of International Full-Range Stores rose to 9.4 billion euros (previous year: 8.9 billion euros) and International Discount Stores rose to 4.8 billion euros (previous year: 4.5 billion euros).

Today, Travel and Tourism has its own group structure under the umbrella of REWE Group. For this purpose, the six German organisers were combined in DER Touristik Deutschland GmbH and DER Touristik Group GmbH was founded as an international holding. In 2018, DER Touristik generated invoiced revenue of 6.7 billion euros.

The network of the combine’s destination agencies is constantly growing. For example, the agencies Go Vacation Africa and Go Vacation India were started in 2017. In 2018, Destination Services was founded in Croatia. With its entry into Mauritius in 2019, DER Touristik Group is present in 25 destinations with 56 offices.

Through the purchase of Travel Lab SAS, known as Kuoni France, DER Touristik Group entered the French market in March 2018. As a result, Travel and Tourism is active in 15 European countries and is expanding in the premium segment.

More topics:

Employee Structure

GRI 102-8, 102-41

Supply Chain

GRI 102-9

Risk Management

GRI 102-11

Industry Initiatives and Memberships

GRI 102-12, 102-13

Principles and Guidelines

GRI 102-16, 102-17

Sustainability Strategy

GRI 102-18 – 102-21

Stakeholder Dialogue

GRI 102-40, 102-42 – 102-44

Materiality Analysis

GRI 102-45 – 102-47, 102-49

Report Profile

GRI 102-48, 102-50 – 102-56

Economic Performance

GRI 201

Compliance

GRI 205, 206, 307, 419

Public Policy

GRI 415

Data protection

GRI 418