ATB-Market LLC, ATB Corporation company, the largest retail chain in Ukraine, has been
The ATB retail chain was founded in 1993 in Dnepropetrovsk as a group of six groceries. Named ATB-Market short for AgroTechBusiness in 1998, the company has operated all its stores as a single-brand mono-format retailer since.
In 25 years company saw the chain grow to the largest national retailer. At the beginning of 2019 ATB retail chain operates 1088 stores in 279 localities in 24 regions of Ukraine sustaining high growth rates. Research-backed development of marketing strategy, logistics, food product quality control and customer service have secured a dominant position of the company in the trade industry of the country both by number of customers and by turnover and tax expenses.
More than 3,5M Ukrainians make purchases from ATB stores every day. The retail chain turnover for 2019 was UAH 126.8bn. ATB-Market is the largest employer with a workforce of more than 55 thousand employees. Both management team officers and the front-line employees received professional training in the company's training centers.
A strong commitment to the result, competency development, compliance with the code of corporate practices and conduct, ownership and accountability of every employee position the company to achieve its mission to provide Ukrainians with high-quality food and nonfood staples at the lowest possible price.
Named ATB-Market short for AgroTechBusiness, the company laid the foundations for ATB Corporation. The company was incorporated in Dnepropetrovsk in 1998.
ATB chain history dates back to 1993. It had then six groceries in Dnepropetrovsk city.
Reorganization turned Soviet legacy stores to self-service market chain operating in discounter format. Product mix was reduced to 800 items, prices were kept to a minimum. ATB becomes the lowest-cost consumer-grade market outdoing the convenience stores.
ATB extends the length of its product mix to 2,500 SKUs, and later to 3,500 SKUs. A unified standard is put in place: floor area of 800 sq.m and 10 checkouts.
To cut costs, the premises are bought out rather than leased. ATB aggressively expands in small towns competing with other big chains present there. At the same time, the company takes care of development of logistics centers. ATB converts the single structure into the advanced distribution center, determines the most efficient and effective routes from the center to the stores and puts in place a strict product delivery schedule. Logistics costs are 2.5 times less.
ATB-Market opens 30 to 50 stores annually in the territory of Eastern, Central and Southern
During the economic crisis, when most large retailers reduce the number of outlets and have tough talks with their creditors, ATB opens more than 200 stores. The discounter winningformula turned effective. In 2010, ATB revenue reached UAH10.8bn compared to 2008, retail chain gross revenue went up 2.5 times.
The period 2013 to 2014 was challenging time for ATB nationwide retail chain.
In the first half year 2014 when eastern Ukraine became the battleground and a large part of the territory was lost, the company closed 152 stores and a distribution center.
After the occupation of Crimea that was recognized by the world community in Resolution adopted by the UN General Assembly on December 19, 2016, the company closed 59 stores and a distribution center located on the peninsula.
ATB Corporation suffered losses of more than UAH 7 bn.
То ATB retail chain strengthens its presence in Western Ukraine. ATB food discounters proved to be a good fit for Lviv Region trade infrastructure. The Corporation acquired 17 outlets of Barvinok chain and in February 2016 these outlets opened for operation rebranded as ATB stores.
An active expansion is not limited to Western Ukraine alone. ATB-Market is bolstering its efforts to tap into Odesa Region market. To date, turnover figures in the region have beaten analysts' forecasts.
PLB development has given the company a cost advantage and the benefit of carrying exclusive product range in the stores of ATB chain thus benefiting the customers who can buy high-quality PLB products 10%-20% cheaper than comparable branded goods.