Lidl strengthens, one more year, its position as one of the leading supermarket chains driving wealth and job creation in Andalusia, according to the 2021 Business Impact Report of Lidl in Spain, prepared by the consulting firm PwC, which details the economic and social impact generated by the company at state level.
In the case of Malaga, Lidl registers the highest number of direct employees of all of Andalusia with about 900 jobsEither. Likewise, it stands out as the Andalusian province where, in absolute terms, Lidl has generated the most direct impact, with almost 45 million euros. At the global level, the chain’s activity contributed some $245 million to GDP and 5,100 jobs (growing more than 18% and 17.5% more than in 2020, respectively).
Following the conclusions of this study, thanks to the opening of new storescreation of local jobs and its strong commitment to regional suppliers, the company increased, in fiscal year 2021 (between 03/01/2021 and 02/28/2022) by almost 12% its overall impact on GDP from Andalusia, bringing in more than 1,580 million euros (a figure that represents 1.09% of the regional total). Of these, more than 150 million euros correspond to the direct contribution of Lidl, while the remaining 1,430 million are generated indirectly and induced through the company’s activity in the region.
The aforementioned report also reveals a significant increase in brand impact on the Andalusian labor market in fiscal year 2021, already underway responsible for more than 33,900 jobs -between direct, indirect and induced- (1.08% of the regional total), which represents an increase of 12% compared to 2020 (some 3,550 more employees).
In fiscal year 2021, the company increased its workforce in Andalusia by more than 5.5% to reach 3,120 employees, while the remaining more than 30,770 correspond to jobs that the school has generated indirectly and induced through its activity in the CCAA. In addition, Lidl exercises a significant multiplier effect on the Andalusian labor market: for each direct job it creates, it generates 10 more in the region.
This consolidation of the brand’s use is largely explained by its expansion in the region. Since the arrival of Lidl in Andalusia in 1994, opening its first store in Granada, it has developed an expansion plan that has led it to currently have almost 130 points of sale, two logistics platforms in operation In Malaga and Two Sisters (Seville) and another under construction in Escúzar (Granada).
Local purchases and customers of the Andalusian orchard
Lidl’s commitment to product and Andalusian suppliers play a fundamental role to explain its positive impact in the region. In this sense, in its firm commitment to the Andalusian agri-food industry, the company has increased its purchases in the autonomous community by more than 13% last year. (expected to exceed more than 1,550 million euros) and 82% exported to its network of international points of sale. The supermarket chain is thus asserting itself, once again, as one of the main export platforms for local products, in particular from the Andalusian orchard, of which it has been the first customer for years.
This bet also means one more step in Lidl’s firm commitment with local producers, started years ago. The company currently collaborates on a recurring basis with more than 80 Andalusian suppliers from which it purchases typical CCAA items such as beers, dairy products, cheeses, regional wines from the different DOs, among others. Most of them are sold permanently and the rest temporarily depending on the season.
Growth in other Andalusian provinces
Almería is positioned, According to the report prepared by PwC, as the province where Lidl makes the highest contribution to GDP (423 million euros, 3.20% of the provincial total) and employment (3.22% of the entire labor market in Almería, with more than 9,430 direct, indirect and induced jobs).
Thanks to its activity in Almeria, Lidl is one of the companies that contributes the most to the labor market: For each direct job you create, you generate 30 more. In addition, his garden is essential since the chain exports 91% of the regional product it buys in the provinces, to supply its international network of stores.
Huelva is the third Spanish province, after Almería and Murcia, where the supermarket chain produces the greatest economic impact: it generates 1.80% of GDP and 1.90% of employment. So much so that, during 2021, increased its overall contribution to GDP from almost 30 million euros to almost 168 million euros. In terms of employment, the German firm generated more than 600 new jobs in the last fiscal year and, for each direct job it creates, it generates 28 other indirect and induced jobs in the province.
In Granada, during 2021, Lidl brought nearly 185 million euros (1.21% of the total) and generated nearly 4,000 direct, indirect and induced jobs (1.14% of the total), i.e. 8% more than in 2020. The construction of its fFuture logistics platform in Escúzar will allow the company to increase its positive impact in the province over the next few years.
In Seville, in the last financial year, the company contributed almost 295 million euros to the GDP provincial, almost 13% more compared to 2020. On the territory as well some 700 employees were generated more compared to the previous year, with more than 6,250 jobs today (between direct, indirect and induced).
During 2021, Cadiz has also stood out in this growth, increasing the total number of jobs by 8% generated in the province (between direct, indirect and induced) compared to the previous year, up to over 2,500, and almost 9% its overall impact on GDPup to 123 million euros.
In the province of Cordoba, Lidl has increased its economic impact on GDP to almost 80 million euros in 2021, 8% more than in 2020. In addition, in Cordoba, Lidl is already responsible for a total of 1,620 direct, indirect and induced jobs And for every direct job it creates, it already generates 9 additional ones.
Lidl’s positive contribution also reached the province of Jaén, with an increase in the impact on the provincial GDP of more than 7% compared to the previous yearexceeding 65 million euros, and is already the source of some 1,290 jobs (between direct, indirect and induced) at the local level, i.e. 5% more than in 2020.