Following its successful initial establishment and market validation, Supermarkets Italiani entered a period of strategic expansion and operational refinement that would solidify its position as a leading force in Italian retail. A pivotal moment in this phase was Bernardo Caprotti’s consolidation of control over the company. By the early to mid-1960s, Caprotti systematically acquired the shares held by his brothers and, crucially, by its initial American partner, IBEC (International Basic Economy Corporation, founded by Nelson Rockefeller), and the Italian financial group La Centrale. This process, completed by 1965, effectively granted him sole control of the enterprise. This decisive move was critical; it allowed Caprotti to fully implement his distinct vision for the company, focusing on a meticulous approach to store management, product quality, and supply chain efficiency, free from the often-conflicting constraints and diverse stakeholder interests that had previously influenced the company’s direction. The elimination of the American influence, which advocated for a more standardized, less quality-obsessed approach, allowed Esselunga to forge a uniquely Italian identity rooted in Caprotti’s uncompromising standards. This centralization of leadership became a defining characteristic of Esselunga's subsequent development and operational philosophy.
Under Caprotti's singular direction, the company embarked on a calculated expansion strategy, primarily concentrating its growth in Lombardy and later extending into Tuscany and other Northern Italian regions. This cautious, organic growth model stood in stark contrast to the more rapid, national expansion strategies favored by some competitors, such as Standa (owned by Montedison and later Silvio Berlusconi) or the emerging chains of Rinascente's SMA. Esselunga's approach allowed it to maintain rigorous control over store quality, logistics, and product assortment. Each new store opening was meticulously planned, often involving a detailed study of local demographics, income levels, traffic patterns, and consumer habits to ensure optimal market penetration and profitability. For instance, the company prioritized locations in affluent urban and suburban areas of Italy's industrial heartland, like Milan and its surrounding provinces, recognizing the rising disposable incomes that characterized Italy's "economic miracle" era (Il Boom Economico) from the late 1950s through the 1970s. The emphasis was not merely on increasing the number of outlets—though the store count steadily grew from a handful in the late 1950s to dozens by the 1970s—but on ensuring each new location upheld the company’s exceptionally high operational standards and profitability metrics, allowing Esselunga to achieve significant market share in its core regional markets.
Key innovations during this period centered around enhancing the customer experience and solidifying competitive positioning in an increasingly crowded retail landscape. Esselunga became renowned for its strong focus on fresh produce, meats, and baked goods, establishing extensive internal production and processing capabilities for many of these items. This vertical integration, particularly in highly perishable categories, allowed the company to guarantee unparalleled quality and freshness, a critical differentiator in a country with a deep-seated culinary culture. Unlike many rivals who relied more heavily on external suppliers, Esselunga developed its own state-of-the-art bakeries, producing fresh bread and pastries daily for its stores, and sophisticated meat processing centers that ensured precise cuts and optimal hygiene. This internal production model became a hallmark of Esselunga’s commitment to quality control and efficiency, often leading to better product consistency, reduced waste, and enhanced supply chain reliability compared to competitors. This strategy resonated deeply with Italian consumers who prioritized the freshness and authenticity of their food.
One of the most impactful innovations was the introduction of the Fìdaty card in 1979. This was one of the earliest and most sophisticated customer loyalty programs in Italian, and indeed European, retail. At a time when loyalty programs were rudimentary or non-existent in much of Italy, the Fìdaty card not only incentivized repeat purchases through a points system redeemable for discounts or exclusive products but also provided invaluable, detailed data on consumer purchasing patterns. Utilizing early mainframe computer systems, this data allowed Esselunga to tailor marketing campaigns with unprecedented precision, optimize product assortments at a store-specific level, and understand customer preferences and demographics far more deeply than its competitors. The program fostered a strong sense of loyalty among its rapidly growing customer base, creating a direct and measurable connection that was difficult for competitors to replicate. This strategic use of customer data, long before digital analytics became commonplace, underscored Esselunga's forward-thinking approach and gave it a significant competitive advantage in understanding and catering to its market. By 1985, millions of Italians held a Fìdaty card, generating an unparalleled wealth of consumer insights.
Further solidifying its competitive edge, Esselunga heavily invested in developing its own private label products. Introduced strategically in the late 1980s, these own-brand items offered consumers high-quality alternatives to national brands, often at more competitive prices. Unlike many early private labels in other markets which were perceived as economy or inferior options, Esselunga's private label strategy was designed to extend the Esselunga brand promise of quality and value across a wider range of products, from pantry staples to more specialized gourmet items. This required stringent quality control measures, robust in-house testing, and strong, collaborative relationships with suppliers to ensure that private label goods met or even exceeded national brand quality, thereby further enhancing brand trust and loyalty. The success of its private label lines, which by the early 1990s contributed a significant portion of store sales and gross margins, proved a powerful tool for profitability and market differentiation, giving Esselunga greater control over pricing and product specifications.
Organizational scaling during this breakthrough period involved developing a highly efficient and centralized logistics system, recognized as an industry benchmark. Esselunga invested heavily in modern, large-scale distribution centers and an advanced transportation network. A prime example was the development of its primary logistics hub in Limito di Pioltello, near Milan, which by the 1980s handled tens of thousands of different SKUs daily. This system ensured that fresh products reached stores quickly and efficiently, often within hours of production or delivery to the distribution center, minimizing waste and maximizing shelf life. Sophisticated inventory management, cross-docking operations, and temperature-controlled transport across its fleet were crucial for supporting the company’s ambitious expansion while rigorously maintaining its quality standards. The ability to manage its vast product range, from ultra-fresh produce to processed goods, with such precision became a core operational competence that distinguished Esselunga in the market, allowing for consistent product availability and reduced operational costs.
By the end of this period, roughly encompassing the late 1980s and early 1990s, Esselunga had transformed from a pioneering concept into a significant market player within the Italian modern retail sector, particularly dominant in Lombardy and Tuscany. Its unique blend of cautious, organic growth, stringent quality control, innovative loyalty programs, robust private labels, and an efficient logistics network had established a powerful and recognizable brand synonymous with quality and value. The company had successfully navigated the initial skepticism of the Italian market towards large-format retail and built a substantial and deeply loyal customer base, achieving a market share of over 10% in its core regions by the early 1990s. Bernardo Caprotti's unwavering vision, hands-on management style, and relentless pursuit of operational excellence were instrumental in shaping a company that was not only highly profitable but also deeply respected for its commitment to consumer value. This strategic groundwork positioned Esselunga for continued success and resilience, even as the retail landscape prepared for new challenges, including intensified competition from international players and the eventual advent of discount formats and e-commerce.