Tesco may dominate its home market, but it's only ranked seventh in Europe, according to a new index created by IGD. In its European Grocery Retailing 2001 report, Tesco is the only UK based retailer in the top 10. Asda scrapes in at 12 as part of Wal-Mart's European presence, and M&S just misses out in 13th position. The largest retailer is Carrefour with a 7.2% share of the grocery market, followed by Metro and Auchan. Aldi and Lidl, who have a minimal presence in the UK, are in fourth and fifth position. The report estimates the top 12 retailers have a combined European turnover of 345bn euros, with Carrefour accounting for 51bn euros. However the worldwide turnover of the 12 is 577.9bn euros with Wal-Mart accounting for 32% of the total. The report suggests e-commerce "has the potential to dramatically change the retail structure and alter the league table". It points out there are several clicks and bricks' retailers, such as Iceland and Condis in Spain, which have online market shares far greater than their share of the bricks and mortar market. However, it also warns that several high-profile dotcom failures, including Somerfield's 24-7, have dampened enthusiasm. The report forecasts that consolidation and organic growth will concentrate greater market shares with the leading retailers. The top 10 retailers had a combined market share of 37.4% in 2000, and IGD forecasts this will rise to 45.9% in 2005 and 60.5% in 2010. The report also suggests a number of retailers, outside the leading group in the index, have the potential to become major EU retailers or alter the market through mergers and acquisitions. It names these companies as Sainsbury, Delhaize, Ito-Yokado, Costco and three major US grocery retailers ­ Kroger, Albertson's and Safeway. {{NEWS }}

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