Spain looks straightforward on paper: 48 million consumers, a modern retail sector, and steady grocery spend growth. That’s exactly why so many international FMCG brands underestimate it, and why several quietly exit within a few years of launching.
Retail concentration is the first blind spot, and it just hit a new height. Mercadona closed in 2025 with a record 27% of national market share, and short-assortment chains (Mercadona, Lidl, Aldi and Dia together) now hold 38.9%. Private labels reached 45.6% of total FMCG value in 2025, up 1.7 points versus 2024. In practice, the real gatekeeper for a new entrant isn’t the shopper, it’s the retail buyer deciding whether to give up shelf space.
Why brands stumble after that first hurdle:
A recent example: The Russian discount chain Mere entered Spain in 2021 with plans for up to 100 stores by 2025. It only ever opened five, closed most within months, and its Spanish operation changed hands in 2025 after never reaching the scale needed to compete.
The Goodnews
Every one of these is fixable, and none requires more capital, only better sequencing. Brands that map retailer priorities and regional differences up front, clear compliance before packaging is final, and build a real route-to-market plan before launch consistently land well and grow steadily from there. Spain rewards brands that do the groundwork; it just doesn’t forgive brands that skip it.
Ready to get the sequence right from day one? SAY HOLA! and let’s build an entry strategy built for lasting success in Spain.
Sources:
https://worldpanelbynumerator.com/insights/en-espana-el-surtido-corto-alarga-su-buena-racha
https://www.foodretail.es/retailers/espana-el-pais-europeo-donde-mas-crece-la-marca-blanca.html
https://www.investinspain.org/es/publicaciones/barometro
https://www.kantar.com/inspiration/fmcg/ten-years-of-fmcg-innovation-in-spain-what-the-data-reveals