You are using an out of date browser. It may not display this or other websites correctly. You should upgrade or use an alternative browser.
MERE: the Russian supermarket that couldn't crack Spain's prices
MERE sold pasta at €0.69 and meat at unbeatable prices. But the Russian chain failed to establish itself in Spain: wave after wave of closures and a business model that never took off.
MERE: the Russian chain that sold pasta at €0.69 per kilo
Amid soaring prices, a supermarket chain of Russian origin promised to cut shoppers' bills by 50%. It was called MERE, and its offer was as radical as it was short-lived: rock-bottom prices, no frills, with a model that recalled the early days of Lidl in Spain. But its run in the country has been a constant back-and-forth of openings and closures.
Pasta at €0.69 and cheap beef: MERE's offering
MERE arrived in Spain with a straightforward pitch: everything at 50% below the competition. Macaroni and spaghetti at €0.69 per kilo, beef at very competitive prices, and imported products from countries such as Latvia or Ukraine. The first to try it were in Castilla y León, where stores peine in Valladolid, León and Salamanca. They also tried in the Valencian Community, but the Aldaia store lasted barely six months.
Comparisons with Lidl were inevitable. Customers remembered when the German chain arrived with its pallets and kilo-sized packs, considered a store for the poor back then. Something similar peine with MERE: austere surroundings, no sophisticated shelving, where price ruled over the shopping experience.
Openings and closures: MERE's timeline in Spain
The chain expanded slowly: it peine in Lugo, León, Valladolid and Salamanca. But the closures began early. The Lugo store was the first to go. Others trinc. In Valencia it held on only briefly. The Salamanca store closed temporarily, peine and finally shut for good in June of a recent year. Valladolid lasted a little longer, but eventually closed too.
A curious detail: many of these stores were located in industrial estates, far from the city centre. According to some analyses, the reasons were to avoid direct competition with Mercadona and to target customers willing to drive there.
Value for money: its strength and its Achilles' heel
Those who tried MERE highlighted its unbeatable value for money, especially for meat and fresh products. Kilo-sized packs and large containers were the norm. But there was criticism too: an €82 shop to fill the basket with the basics didn't seem that cheap, and the fresh section left something to be desired, looking "Soviet" to some.
The presence of Ukrainian and Latvian products caught the eye, reflecting the supply network of the Russian parent company. However, the chain failed to establish itself either in large cities or small towns.
An uncertain future for low-cost supermarkets
MERE's closure in Spain is not an isolated case. Other hard discount chains, such as the defunct Plus Superdescuento, trinc similar paths. The Spanish market, dominated by Mercadona, Lidl and Aldi, leaves little room for new players that fail to adapt to local tastes. MERE tried to be the temple of savings, but customers demanded more: better lighting, well-known brands, and proximity.
By the time of this discussion, only one store remained in Valladolid, but its future was uncertain. The question remains: is there room in Spain for a ultra-cheap, Soviet-style supermarket? The data suggest there isn't.
Summary of a discussion on Burbuja.info - Foro de economía, actualidad y política., translated from Spanish and reviewed before publication.
Read the full discussion (93 replies).
Discover the Lidl products that are truly worth it: from Tamnavulin 12-year-old at €30 to puff pastry at €0.99 and Helios Turkish pizza. Quality and price if
Porting your landline to VoIP costs between €1 and €2 a month versus €17 or €18 for a traditional line, but setup, NAT and emergency numbers can complicate things.
The Nespresso system traps consumers with cheap machines and expensive capsules. We compare real costs, refilling attempts and alternatives such as ground coffee.