Carrefour investing in prices, expanding in Spain

Date : 16 March 2021

Jon Wright

Head of Insight - RA EMEA

As Carrefour receives approval for its takeover of Supersol in Spain and cuts prices on everyday staple products, amongst other developments, we round up news from the retailer.

Carrefour completes acquisition in Spain…

Carrefour’s acquisition of the Supersol chain has been approved by the local competition authority, Defensa de la Competencia, which will enable it to complete its €78m purchase of its 172 proximity stores. The acquisition supports Carrefour’s growing omnichannel focus in the country, especially its ecommerce operations which will be supported the new stores’ presence in Spain’s key urban areas. The retailer said about 90% of the estate are in the cities of Madrid, Malaga, Cadiz, and Seville) and will become new order pick-up points. Carrefour said it expected to convert the stores to its banners (Express, Market and Supeco) by the end of 2021.

…As it lowers prices on 1,600 products for everyday needs

Carrefour Spain has announced it is investing in its prices, reducing the price of more than 1,000 private label products. Separately it has cut the price of 600 SKUs, which are a mix of branded and private label products, to €0.99. Carrefour said it was focusing the price investment on products that were the most important for shoppers and were spread across packaged food products, fresh and non-food ranges too. The initiative mirrors steps taken by Carrefour in Belgium, where it froze pricing on 20,000 products in Q4 2020, which it said in its Q4 / FY results statement, helped it gain share in the market.

Carrefour Italy crowdsources feedback for product innovation…

Carrefour Italy worked with locally based organic food producer Fruttagel to launch a new tomato puree, whose composition and price were set by surveying shoppers. They survey was organised by the association Chi è il padrone?! La marca del consumatore (Who's the boss? The consumer's brand), which aims to give shoppers a more central role in the food supply chain. Shoppers were able to put across their views on the origin of the tomatoes that would be used in the product, how they were grown and how they were produced. The final part was about the pricing and how it would be divided between different parts of the supply chain, from farmer to the retailer.

…As its Supeco operations in France launch its ecommerce site

Supeco has launched its ecommerce site, after announcing the plan in Q4 2020. The retailer said the process of establishing the store took two weeks from start to finish and was spurred by the closure of non-essential stores due to COVID-19 restrictions implemented by the French government. Shoppers purchase products online and click and collect them at the store. Initially launched in France, Carrefour has said the online store will be extended to Romania and Spin in 2021.

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