Experts indicate that the decrease in turnover and growing pressure from other networks force the company to decisive moves. This ends with the introduction of solutions assuming closing some points and reducing the number of jobs, even if new sales models are launched at the same time – we read in the “food portal”.
Currently, the retail sector is characterized by a fierce competition, which further hinders the achievement of profits and requires quick adaptation to the network to changing market needs.
As part of the Auchan restructuring plan in Spain, he intends to close 25 stores, including super- and hypermarkets, which will be associated with another wave of dismissals. In turn, the indications of analysts from Kantar show that in 2024 the share of this network in the Spanish food distribution remained at the level of about 3 percent.
According to the European Supermarket Magazine, Auchan sales slightly dropped to EUR 5 billion. Carrefour also provides for a restructuring plan in Spain after a 1 % decrease. – up to EUR 11.73 billion and the loss of market share, despite the takeover of Supercor stores.
Employment reduction in 10 regions
Analysts predict that a total of more than 700 jobs may disappear, which causes anxiety of involved employees and local communities. Planned closures will cover facilities in ten parts of Spain, such as Madrid, Nawarr or Kantabria, as well as the regions of Castile-la Mancha, Castyl and León, La Rioja, Catalonia, Aragonia, Asturia and the Basque Country.
According to specialists, the company struggles with difficulties in Spain, which results from unfavorable trends on the local market.
The facilities in this country operate under the name Alcampo, and this plan includes closing 25 sales points and exemptions in 145 supermarkets and eight hypermarkets, causing a total loss of several hundred positions. Under the name Alcampo Auchan also offers regional products signed with the company's logo, so the exemptions will also apply to producers cooperating with the network.
