{
  "docId": "019dd923-5de0-76bd-a168-29079190b36a",
  "docSlug": "51c796a55b6e7200",
  "documentTitle": "Grocery profitability outlook –Europe",
  "authorId": "McKinsey",
  "authorName": "McKinsey",
  "documentKindSlug": "consulting-deck",
  "documentKindLabel": "Consulting deck",
  "sourceTypeSlug": "strategy_consulting",
  "sourceTypeLabel": "Strategy consulting",
  "presentationDate": null,
  "orientation": "landscape",
  "aspectRatio": 1.778,
  "pageNumber": 38,
  "pageCount": 53,
  "prevPage": 37,
  "nextPage": 39,
  "slideType": "impact_sizing",
  "function": "quantify_impact",
  "density": "dense",
  "nDataPoints": 12,
  "notes": "The chart uses a waterfall-like logic to show the impact of retail media on revenue, operating expenses, and EBITDA between 2023 and 2029.",
  "elementsJson": [
    "headline_text",
    "bullet_list",
    "bar_chart_stacked",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-5de0-76bd-a168-29079190b36a/38",
  "deckHref": "/decks/019dd923-5de0-76bd-a168-29079190b36a",
  "deckJsonHref": "/decks/019dd923-5de0-76bd-a168-29079190b36a.json",
  "deckAnchorHref": "/decks/019dd923-5de0-76bd-a168-29079190b36a#slide-38",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "Monetizing Retail Media (RM) has emerged as driver of profitability with margins reaching up to 70% within 3 years of launching.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd951-cdee-73ea-b077-06e309096057",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.7,
        "w": 0.45,
        "x": 0.5,
        "y": 0.2
      },
      "kind": "chart",
      "text": "PP&L impact of hyper/supermarkets, % of revenue",
      "attrs": null,
      "subkind": "bar-vertical",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c480d6de-a0e6-446a-8416-25ad5c191899",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.3,
        "x": 0.04,
        "y": 0.75
      },
      "kind": "list",
      "text": "RM additional revenue: 0.75 – 1.5%\nRM EBITDA margin: 40 – 70%",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "23a985af-94cf-4cf2-9e35-d65d011f920c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.35,
        "w": 0.45,
        "x": 0.04,
        "y": 0.25
      },
      "kind": "list",
      "text": "Grocery retail has traditionally been a low margin industry... Monetizing Retail Media (RM) has emerged as driver of profitability... Impact dependent on (online) scale...",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "48778d53-206a-4d84-9d9d-f2734c4cd434",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "EBITDA margin: 0.25–0.75pp",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd951-cdee-73ea-b077-0975ecb29e9b",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.25,
        "x": 0.04,
        "y": 0.2
      },
      "kind": "paragraph",
      "text": "Context & assumptions",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "863895e1-e3b2-49b1-95ce-f4e505cc7e29",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.9,
        "x": 0.04,
        "y": 0.9
      },
      "kind": "source-note",
      "text": "1. Includes COGS, SG&A and other Opex | 2. 2029 EBITDA margin and operating expenses presented as share of 2029 revenue (=100%)\nSource: McKinsey analysis, expert input",
      "attrs": {
        "numbered": true
      },
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "77229062-f148-4ed9-8b46-bdbae646a721",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.9,
        "x": 0.03,
        "y": 0.03
      },
      "kind": "title",
      "text": "Monetizing Retail Media towards 0.75 – 1.5% additional revenue could give an EBITDA uplift of 0.25 – 0.75%",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c2c7a745-5097-42ab-8a24-3e51cf1eb34b",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [
    {
      "metricRaw": "EBITDA margin",
      "numberRaw": "0.25–0.75pp",
      "numberKind": "percent",
      "actionTitle": "Monetizing Retail Media towards 0.75 – 1.5% additional revenue could give an EBITDA uplift of 0.25 – 0.75%",
      "calloutText": "Monetizing Retail Media (RM) has emerged as driver of profitability with margins reaching up to 70% within 3 years of launching.",
      "numberScale": null,
      "numberValue": 0.75,
      "metricFamily": "margin_return",
      "numberCurrency": null
    }
  ],
  "tools": [],
  "frameworks": [],
  "arcBeats": [
    {
      "to": 38,
      "from": 23,
      "beatId": "6b1fda6d-e5f5-47b2-80de-2d7e24a3c00d",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Solution",
      "beatSlug": "problem-agitate-solution-solution-provide-relief",
      "evidence": "The deck offers solutions to improve profitability, such as stepping up private label quality, reshaping store networks, driving COGS reduction, and monetizing retail media.",
      "position": 2,
      "confidence": 0.8,
      "parentBeatName": "Resolution",
      "parentBeatSlug": "resolution"
    }
  ],
  "loops": [
    {
      "to": 38,
      "from": 34,
      "name": "Quick Win Big Bet",
      "slug": "47-quick-win-big-bet",
      "bestFor": "Transformation planning, 100-day plans, resource allocation",
      "matchId": "e002bfed-f033-476c-bfed-dbcb8e1d569d",
      "evidence": "The deck highlights the potential impact of quick wins and big bets, such as improving private label quality and monetizing retail media, on EBITDA margins.",
      "position": 2,
      "objective": "What are the potential impact of quick wins and big bets on profitability?",
      "structure": "The Full List -> Quick Wins (Low effort, High impact) -> Big Bets (High effort, High impact) -> Sequenced Roadmap",
      "confidence": 0.6,
      "description": "Separate initiatives into immediate wins and longer-term strategic bets"
    }
  ],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}