Europe roundup: positive results and meal inspiration

In this instalment, our analysts for Europe offer their take on some of the region’s latest developments and initiatives. Here’s what you need to know about:

• Carrefour has strong start to the year

• REWE passes €100bn sales mark

• Kesko provides meal inspiration

• Lidl Germany offers meal deals

Carrefour’s Q1 2026 positive results driven by France and Spain

Carrefour’s positive start to 2026 is led by its operations in France and Spain. Meanwhile, Brazil remains resilient in a challenging market, with high interest rates and food volumes remaining low. In France, Carrefour grew by 1.9% with LFL sales increasing by 1.4% compared to Q1 2025. The retailer is benefiting from former Cora stores now fully integrated into Carrefour’s commercial model. In Spain, Carrefour sales increased by 3.4% and LFL sales were up by 3.1%, gaining momentum from convenience and the online channel.

Senior Insight Analyst, Lucy Beaumont’s view: Carrefour continues to implement its 2030 strategy since launching it in February, focusing on defending purchasing power. Initiatives such as 200 cost price products in France and its 1000 products at unbeatable prices campaign in Spain, helps to build its reputation of being price competitive in its core markets. We expect to Carrefour leverage its private label across its core markets throughout 2026 to strengthen its price competitiveness in France, Spain and Brazil. Watch out for our updated Carrefour’s strategic outlook in May 2026.

REWE Group crosses €100bn in revenue

In 2025, the Group grew 4% overall, hitting the milestone in revenue for the first time in the group’s almost 100-year history. In Germany, growth was driven by REWE’s independent retailers, with 7.2% YoY growth. Centrally run supermarkets grew 3%, while discounter Penny saw 0.7% increase in sales in a tough trading environment. REWE international, which covers Penny, BILLA, BIPA and IKI across several markets, grew 4.8%.

Senior Insight Analyst, Michela Pearson’s view: in a challenging trading environment in both its home market of Germany and across international markets, the REWE Group is proving that its targeted investments are supporting sustainable growth. Despite the reduction in its EBITA, several sectors are performing well and helping the group solidify its position as a key European retailer.

Kesko launches AI-powered assistant to support meal inspiration

Kesko’s K‑Supermarket banner is piloting an AI‑powered talking assistant on digital out‑of‑home screens across Helsinki, Lappeenranta and Tampere, offering passersby personalised recipe ideas through two‑way voice interaction. The animated “Lil’ shop assistant” appears on shopping‑centre billboards, inviting shoppers to speak directly to the screen and receive tailored meal suggestions based on their preferences. Speech is processed in real time by an AI model connected to a curated recipe database, enabling natural conversation without any keyboard input. Users can save suggested recipes via QR code.

Senior Insight Analyst, Rachel Sibson’s view:  Kesko’s pilot shows how retailers can use AI‑enabled OOH media to push meal inspiration earlier in the shopper journey, capturing attention before customers enter the store. Voice interaction removes friction and makes discovery feel more intuitive. As AI models become more capable, we expect to see wider use of conversational assistants that blend media, inspiration and conversion into a single touchpoint.

Lidl Germany introduces meal deals

Through the Lidl Plus app shoppers can select from three different meal deal options that give 30% off the total price of purchasing the products individually. The deals have been targeted at the breakfast mission, with one consisting of a drink and bakery item, and the lunch mission, with deals for a protein, side and drink or a ready meal, sweet treat and drink available.

Insight Partner, Dan Butler’s view: this is a strong initiative that delivers clear, relevant value on everyday breakfast and lunch missions while driving Lidl Plus engagement and basket growth through simple, mission‑based bundles. The mechanics of the deal feel a little bit clunky though, with shoppers having to select the products they want and activate a coupon in the app to redeem the deal.

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