11.09.2024 İstanbul

Speaking at the opening of the Local Chains Meet 2024 (YZB) Conference and Fair 2024 organized by the Turkish Retailers Federation (TPF), M. Rifat Hisarcıklıoğlu, President of the Union of Chambers and Commodity Exchanges of Türkiye (TOBB), said: “The retail sector, which is the showcase of the manufacturer, is a business partner where the manufacturer can receive feedback on its products. The retail sector is the most important part of the value chain in the customer-oriented growing and developing system.”

The opening of the summit, which was held for the 15^th time this year at İstanbul Haliç Congress Center, was held with the participation of Minister of Trade Ömer Bolat, TOBB President M. Rifat Hisarcıklıoğlu and TPF Chairman Ömer Düzgün.

Hisarcıklıoğlu stated that he sees the event as a very valuable organization in the journey of strengthening the potential of the retail sector and developing collaborations, and that YZB has become a well-known brand, “The retail sector, which is the showcase of the manufacturer, is a business partner where the manufacturer can receive feedback on its products. The retail sector is the most important part of the value chain in a customer-oriented growing and developing system.”

Stating that the retail sector, which brings the local economy together with the national economy, is the driving force of the economy and that local chains are the locomotive of the sector, Hisarcıklıoğlu said that local chains constitute the backbone of the economy with the strengthening of the local economy, the mobilization of employment and the direct participation of small businesses in the economy.

Explaining that the event enabled the new trends in the sector to be seen, Hisarcıklıoğlu stated that a new process was entered with the shopping habits that moved to digital with the epidemic, the transformation in technology and artificial intelligence.

Stating that consumer habits have changed, Hisarcıklıoğlu said:

“People want access to products that are healthier and at the same time produced with more environmentally friendly production. They demand personalized shopping experiences. I think we are lucky in this respect. In particular, we have very high local capabilities. Our retail sector has an agile structure. Our geography and soils are also very suitable for the production of such products. In order to use these advantages, we need to invest more in technology. We should attach importance to digital transformation, using technology and increasing technological capabilities.”

- “The most valuable land in the world is the mobile phone screen”

M. Rifat Hisarcıklıoğlu underlined that it should be aimed to maximize the consumer experience and said, “Technology, data analysis and changing customer structure are our keywords. At this point, mobile applications provide great convenience to consumers. It also offers a wide customer portfolio to companies. For this reason, your company, your product will either have a mobile application or will definitely be included in a mobile application developed.”

Stating that the most valuable land in the world is the mobile phone screen, Hisarcıklıoğlu said that it is imperative to take part here, stating that the volume of e-commerce is increasing rapidly every year and went on:

“In 2023, the rate of increase compared to the previous year is 116 percent. It was 1.9 trillion liras. The ratio of e-commerce volume to general trade volume increased from 10 percent in 2019 to 20 percent in 2023.”

Explaining that customers are increasingly using mobile applications, this trend will continue and will become even more important in the future, Hisarcıklıoğlu said that this area should not be missed for competition, cooperation with local brands in the provinces should be strengthened, local producers and brands should be established as common stakeholders.

Pointing out that people in the world started to prefer the products of their own region and country more, Hisarcıklıoğlu said:

“We, together with our chambers and exchanges, protect our local products and local values. We protect them by registering them with geographical indication. We ensure that our products are registered not only in our country but also in the European Union (EU). Currently, 27 of our products are registered in the EU. It is no longer possible for anyone to use these products without our knowledge and permission. Make it easier for consumers to access our own domestic products.”

- “Private label branded products prevent both the growth and branding of SMEs”

TOBB President Hisarcıklıoğlu said that data mining, transforming raw data into information and using it has become very important in terms of standing out in competition, and that barcodes offer great opportunities. Hisarcıklıoğlu stated that it is the TOBB Global Standards 1 (GS1) Türkiye organization that delivers these barcodes and ensures the operation of this system in the country, and explained that these barcodes not only enable the product to pass through the cash register quickly, but also allow the stock, order and shipment processes to be managed more effectively.

Stating that there are various problems in the sector and that they are following these problems, Hisarcıklıoğlu said that private label products prevent both the growth and branding of SMEs.

Hisarcıklıoğlu also stated that the same product is presented in the same packaging with low weight and the consumer is deceived, and that a “standard weight application” should be introduced to prevent this, adding that GEKAP and bags cause additional costs and that they expect steps to be taken in this regard.

- Minister of Trade Bolat

Minister of Trade Ömer Bolat stated that the rate of food retailing in the retail sector is 17 percent and said, “Although food retailing continues to be carried out by both organized retailers and traditional retailers, organized retailing is increasing its market share day by day in the world and in Türkiye.”

Ömer Bolat, at the opening of the Local Chains Meet Conference and Fair, stated that the starting point of retailing and trade comes from Akhis in our own tradition, and explained that as the government, they attach great importance to the celebration of Akhism Week and events.

Bolat noted that the retail sector has experienced a rapid change in the last 30-40 years and said, “This change has taken place in all sectors. Especially the spread of digitalization, the emergence of the internet, changes in technology and telecommunications have had significant effects on retail and trade as in every field.”

Minister Bolat stated that there is a need to create a better functioning and fairer supply chain, to improve and strengthen the infrastructure of the sector without abandoning the principles of competition in retail trade.

Bolat reminded that they made amendments to 2 articles of the Law No. 6585 on the Regulation of Retail Trade and noted the following:

“Forcing one of the parties to procure goods or services from any natural or legal person, except for the purpose of meeting quality standards in order for the trade to be fair, transparent and sustainable, reflecting the cost of the campaign to the party that does not want to make campaign sales, not determining the terms of the commercial relationship in the supply of agricultural and food products by written or electronic contract, including provisions in the contract that authorize unilateral changes to the detriment of the other party or are not clear and understandable, We have defined unfair commercial practices as unfair commercial practices and prohibited activities such as charging premiums and fees when no service directly affecting the demand for the product is provided or when the type of service provided and the amount or rate of the service fee are not included in the contract, canceling orders for agricultural and food products that are perishable within 30 days from the date of production, except in cases arising from the fault of the counterparty, within 30 days before the delivery date of the product, and reflecting the costs such as deterioration or loss to the counterparty after the delivery or transfer of ownership of these products.”

Bolat stated that they have redefined the maximum payment periods in commercial relations involving agricultural and food products and said, “In this context, we have set the maximum payment period for agricultural and food products that can deteriorate within 30 days from the date of production as 45 days as a rule, and 30 days in cases where the creditor scale is smaller. Again, in other agricultural and food products, we limited the maximum payment period to 60 days in cases where the creditor scale is smaller.”

- TPF President Düzgün

Ömer Düzgün, President of the Turkish Retailers Federation (TPF), said, “National and international chain stores opened at every corner in our country cause a great sectoral destruction in our cities and neighborhoods.”

Stating that national and international chain stores transfer the capital they obtain locally outside the region, to their head offices or abroad, Düzgün said, “This situation negatively affects regional development and prevents the strengthening of the local economy.”

Düzgün emphasized that local investors create employment by reinvesting their earnings in the region where they are located and thus support economic development by revitalizing regional trade.