Belgian retailer Colruyt is investing €20 million in its Cru chain, which offers fresh, local and artisanal products, according to media reports.
Cru reported a loss of €5.2 million in sales in its previous financial year, according to a report in the publication De Tijd.
The new investment is ‘proof of’ Colruyt’s belief in the potential of Cru, the report noted.
Cru operates stores in Antwerp, Ghent, Overijse and Dilbeek, and Colruyt is betting on more efficient operations, including the optimisation of staffing levels and cutting back on operating hours in some departments.
Restructuring Of Dreamland, Dreambaby
Elsewhere, the retailer also plans to restructure its Dreamland and Dreambaby businesses.
Dreambaby offers a wide range of baby items from all major brands, as well as its private label, Dreambee. Dreamland offers toys, school supplies, and gifts.
Both businesses are experiencing decreasing volumes and a substantial negative impact on their profitability.
Dreamland and Dreambaby employ about 1,100 people, and the restructuring plan could impact around 192 employees and involve the closure of one Dreamland store and five Dreambaby stores.
Jef Colruyt, CEO of Colruyt Group, stated, “Assessing all options, this has been a difficult consideration for us as management. We are fully aware of the human and social consequences of this restructuring intention, and we will do our utmost to work together constructively with the parties involved and offer employees the necessary support.
“We are convinced that such an intention can ensure that the strong brands of Dreamland and Dreambaby have a future in this rapidly evolving market context.”
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