Auchan’s hypermarket division in France has suffered an 'annus horribilis', according to retail consultancy Olivier Dauvers, with the group's hypers segment posting a 3.1% decline in sales last year.
This is the fifth successive year that the group has seen a decline in sales in its French hypermarket division, the analyst claims.
It posted a 1.6% decline in sales in 2016, preceded by a 2.2% decline in 2015, a 1.2% decline in 2014, and a 2.5% decline in 2013.
The data is based on estimates produced by Olivier Dauvers and does not include fuel sales.
Same Pattern
According to Olivier Dauvers, the group has followed the same pattern seen at Géant Casino and Carrefour in recent years when it comes to its hypermarket estate, due to a number of coinciding factors.
This includes, the consultancy said, a "loss of attractiveness" relative to the brand’s hypermarket food offering, and, secondly, the general sales decline in non-food, to which Auchan is particularly exposed, given the high average surface area of its hypermarkets.
Drive Format
Last week, Oliver Dauvers said that Auchan was the second-biggest retailer using the Drive format in France, posting sales of €730 million last year through the format – an increase of 2.8%.
This means that Auchan now holds 12% of the total Drive market.
Overall, Auchan holds 10.6% of the total French grocery market, according to the most recent market share figures from Kantar Worldpanel.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.
