Building Europe’s pre-eminent discount variety retailer Pepco Group offers price leadership and a differentiated proposition across our fleet of close-proximity stores.

Our strengths

Unique direct sourcing operation

Pepco Global Sourcing (PGS) maximises our buying scale and operating efficiencies, thereby reducing costs and improving margins. With the full product development chain for clothing and general merchandise managed within the Group, our vertically integrated model provides flexibility in sourcing.

Differentiated products

Leveraging our scale and sourcing strategy, we offer a diverse range of clothing and general merchandise products to meet the needs of our core shopper – families on a budget. Understanding customer preferences, prioritising price leadership and focusing on quality are key to delivering customer satisfaction and growing our market share.

 

 

 

 

Local stores in convenient locations

Pepco operates over 4,000 conveniently located stores across 18 countries. By focusing on standardisation and repeatability across our operations, we aim to expand our store footprint efficiently, in line with our growth objectives.

Infrastructure and distribution network

We continue to invest in the development of high-quality, scalable infrastructure, including information technology, warehouses and back-office support. We are also investing in our data and technology to drive increased customer engagement, loyalty and customer lifetime value.

Our colleagues

We aim to maintain the right pipeline of skills within the Group to facilitate the long-term success of our growth strategy. This is underpinned by a strong commitment to ethical and responsible business conduct, honesty and integrity, within the Group and throughout our value chain.

 

Our operating segments

Pepco

Fast-growing European variety discount retailer operating >4,000 stores across 18 countries

  • Quality products at market leading prices
  • Focused on clothing for the whole family and general merchandise, including home décor, toys and seasonal products
  • Pepco is the Group’s primary brand and the focus of our strategy going forward. It represents 93% of Group revenue and 92% of our store footprint

 

Dealz

  • FMCG-led retailer operating 344 stores across Poland
  • Dealz’s FMCG-led focus no longer aligns with the Group’s strategy. As a result, we intend to exit this business in the short to medium term

 

PEPCO GLOBAL SOURCING

Group global sourcing delivering competitive advantage

  • Supply network of 375+ vendors utilising 1,200+ factories
  • Most products sourced through PGS come from China, India and Bangladesh (79%), with a smaller proportion coming from Pakistan, Cambodia and Vietnam along with some near-shore sourcing in Europe
  • Sourced 92% of Pepco Group own-brand products in FY25
  • Delivering end to end sourcing; merchandising, quality assurance and product inspection service.

Vision, Mission, Purpose

Our Vision is to build europe’s leading clothing and general merchandise discount retailer

Our mission is to offer the lowest prices and the best value to families on a budget

Our purpose is to help all our customers live better lives

Our business model

Pepco Group’s business model is designed to leverage our strengths and resources, balancing efficiency with our desire to prioritise operational excellence and the customer experience. By doing so, we aim to deliver sustainable, profitable growth and provide value for all our stakeholders.

Enhanced efficiency

Efficiency is integral to enabling our market-leading pricing
What this means to us:

  • Simplified model and standardised store format streamlines expansion
  • Well trained and skilled colleagues
  • Focused SKU count and inventory management mitigates markdown risk
  • Increasing use of renewable energy in our stores

 

Winning customer proposition

Quality products at market-leading prices in convenient store locations
What this means to us:

  • Consistent focus on our market-leading price proposition
  • Offer centred on staple items with broad appeal that remain resilient to changing trends
  • Friendly and helpful service across our highly accessible store portfolio

 

Operational excellence

Optimising our operations ensures the consistency of our customer experience
What this means to us

  • Careful stock management to ensure consistent availability of products in the sizes customers want
  • Optimised store layout for a quick and convenient customer journey
  • Integrated supply chain ensuring reliable and ethical delivery of products

Our values

Pepco Group values – ‘Care for colleagues, Give our best, Love our customers’ – are at the core of our approach and form the foundation of how each operating company applies its own values.

Care for colleagues

We know our businesses are based around our people and that when we work together, we can achieve more than we can alone.

Give our best

Keeping things simple is key to operating efficiently with low costs and low, simple price points.

Love our customers

Our customer wants and needs are always at the forefront of our proposition. We are focused on providing a holistic range of quality clothing and general merchandise products at market-leading prices.

Strategic framework

Our strategy is designed to focus and modernise our business and apply the discipline needed to drive sustainable, profitable growth and to generate consistently attractive returns on capital.

It centres on delivering exceptional value to both customers and shareholders.

 

  1. Simplify and streamline the Group portfolio
  2. Refocus and digitise Pepco’s customer proposition
  3. Topline growth through measured expansion in CEE
  4. Win in Western Europe
  5. Upgrade our core operating platform