Carrefour Brazil is seeking to double sales of organic products by 2020, according to company president Noël Prioux.
Currently, organic products, on average, account for around 0.6% of total sales in Brazil.
In addition to doubling participation by 2020, Prioux believes that it would be possible to rapidly achieve a 5% share, due to growing consumer interest in healthy products, reports daily O Estado de Sao Paulo.
Organic Investment
As part of the retailer's 'Act for Food' movement, Carrefour plans to invest in changes in store visuals and logistics to help transport products shipped by small suppliers or producers from states located far from the group's stores.
By the end of the year, Carrefour will implement specific aisles to house organic products in 50 of its stores, before expanding this to the entire network in 2019.
The retailer is also seeking to make these products more affordable, by reducing the price difference between organic and non-organic products, from the current 25% to around 15%.
Political Situation
Commenting on the state of the Brazilian economy, Prioux pointed out that the uncertain socio-political environment is having an impact on consumer decisions, as they are no longer as willing to spend, and are waiting to see what the economic situation will be.
Carrefour intends to invest BRL 1.8 billion (€416.3 million) in the Latin American country in 2019, the same amount it spent this year.
The company’s plans for Brazil also include the opening of wholesale stores, hypermarkets and supermarkets, as well as advancements in the digital arena.
Previously, Prioux announced that the retailer is to commence testing the Scan & Go system by the end of the year, which allows consumers to scan their purchases directly through a mobile phone app.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine
