The figures of the subsidiary of the French distributor are on the rise again: it ended its third quarter in positive terms, after two consecutive declines this year.
Carrefour Belgium observed an increase in comparable sales (i.e. of products offering similar characteristics) of 5.2% in the third quarter, whereas it had to deplore a drop of 7% in the first quarter and 4.8% in the second. These results are attributed to recent decisions. “In an extremely competitive market marked by a…
Carrefour Belgium observed an increase in comparable sales (i.e. of products offering similar characteristics) of 5.2% in the third quarter, whereas it had to deplore a drop of 7% in the first quarter and 4.8% in the second. These results are attributed to recent decisions. “In an extremely competitive market marked by a difficult economic situation and high inflation, the first measures put in place by the new management team are bearing fruit. Operational indicators, such as the market share trend, show signs of improvement”, says Carrefour. As a reminder, Geoffroy Gersdorff became the new managing director for Belgium in July, his mission being to reconnect with growth. He is also the first Belgian to head the subsidiary since Carrefour bought and renamed GB 22 years ago. In recent months, the brand has focused more than ever on purchasing power and strengthening its own brands, in particular Simpl, an entry-level brand which now offers more than 1,000 references. These brands, very popular with customers, are up to 30% cheaper than the national ones and represent 40% of the shopping cart. The company has taken particular care with its communication aimed at consumers, by promoting, among other things, products at less than 1 euro or by freezing its prices. Carrefour Belgium has not only been confronted with falling figures: the distributor has also had to face logistical problems, not to mention a deficient e-commerce. Due to changes to the online store, some of the customers could no longer place their orders remotely. Note that the Carrefour group itself obtained better results than expected in the third quarter, with sales growth of 19%, to 23.5 billion euros.
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