Retail Chains in Bulgaria: Investments, Employment, and Salaries

Major retail chains in the country have invested significant funds in recent years, reaching nearly 6 billion leva over the past 15 years. This solid investment, according to an analysis by the Institute for Market Economics, has led to a significant increase in employment and higher salaries in the sector. The analysis, reflecting the role and socio-economic contribution of the industry, highlights the important role of retail chains in the national economy.

As of the end of 2024, major retail chains provide jobs for nearly 60,000 people, with average monthly wages exceeding the average salary in the retail sector in the country by over 50 percent. These figures reflect not only a growth in employment, but also an improvement in working conditions for thousands of employees.

The analysis was prepared on the occasion of the third edition of the MORE THAN TRADE forum, organized by the Association for Modern Trade, which took place earlier this week in the capital. The event, which brought together representatives of the sector, was a platform for discussing trends and challenges facing modern trade.

According to the study, for the period 2020 - 2024, companies in the modern trade sector have made investments of over 2.5 billion leva. These funds have been invested in various areas, including logistics, the introduction of new systems and processes, expansion of activities and the opening of new locations in the country. This investment process clearly demonstrates the sector's commitment to development and modernization.

In 2024, companies in the industry generate revenues of over 20 billion leva and provide jobs for nearly 60,000 people. This represents a share of 27 percent of the total number of employed persons in the sector, which underlines their key importance for the labor market. In the years following the pandemic, major retail chains have created nearly 10,000 new jobs, which is an important factor for economic recovery.

Monthly wages in the sector reach 2465 leva, which is more than 50 percent above the average salary in retail and higher than the average salary for all companies in the country, the analysis notes. This fact is indicative of the improved working conditions and the companies' efforts to retain and attract qualified employees.

The combined effect of modern trade on domestic demand in the country marks a growth of over 30 percent in the last two years and reaches 15.5 billion leva in 2024. The direct effects of the activities of modern trade are estimated at 9.3 billion leva. Of these, over 5.8 billion leva are directed to Bulgarian producers and suppliers of food and non-food goods. Also, 1.5 billion leva are allocated for external services and materials from Bulgarian companies, 1.4 billion leva represent net income of employees in the chains, and over 580 million leva are investments in the Bulgarian economy.

To the direct effects are added 5.4 billion leva of additional effects along the value chain, created thanks to the activities of suppliers of goods and partners of the chains, as well as over 810 million leva of induced effects from the consumption of the income of households of those employed in modern trade, it is stated in the analysis. These data highlight the wide range of influence of retail chains on the economy.