In front of an audience of analysts, investors and members of Comex, Alexandre Bompard, CEO of the Carrefour group, presented his 2026 conquest plan. Last year, the retailer presented the “Dia Digital” and the key axes of its strategy until 2026 and the value creation goals. E-commerce was then at the heart of the strategic plan. This time, the leader presented his plan to deal with food inflation. Carrefour especially plans €4 billion cost savings plan by 2026in line with what has been achieved in recent years. “We don’t need to have a different team in each country for technology, data, branding, real estate, certain financial functions… tip Alexandre Bompard. It’s not about centering everything on Massy (Group headquarters), but to create centers of expertise where it is most relevant, such as the Eureca center located in Madrid, and to allow countries to focus on their business, trade. This new organization will strengthen the competitiveness of all our countries, in particular the 18 smallest ones, which will reduce their seat costs and, above all, will benefit from a much richer experience at the group level, which is an added value compared to the your competitors. We will build this new organization in the coming months. This will result in significant staff reductions in our offices. And each country will contribute to that.” This group’s “reduction of staff in chairs” was not reported. The savings plan should help the group tighten its margins on certain sales, offering the lowest possible prices to its customers, in a context of high price sensitivity, according to Carrefour.
40% of sales generated by private label in 2026
The own brand is placed at the center of the business model.“We are in the process of radically changing the Carrefour model, through our own brand”, emphasizes Alexandre Bompard. The group wants to reach 40% of its food sales with private label products in 2026, compared to 33% today. “In four years, one in two food products we will sell will be Carrefour branded”, he specifies. Its quality will be improved, with the withdrawal of 2,600 tonnes of sugar, 250 tonnes of salt and 20 new controversial substances (120 in total since 2018).
The reinforced discount
“All our discount formats are accelerating, and in particular the most powerful of them, Atacadão (B2B and B2C cash and carry brand in Brazil), indicates the CEO of Carrefour. In five years, we invested heavily in Brazil. It is a real achievement tool for our Group. We will continue the expansion of Atacadão in Brazil, reaching 470 stores.” The Brazilian discount brand will be deployed in autumn 2023 in France, with a first store on the Île-de-France. The distributor plans to continue the development of Supeco, its low-cost brand, “especially in Spain” to reach 200 stores by 2026, up from 120 today. but without giving a value to the French market.
A reduced assortment in hypermarkets
The hypermarket is becoming “the first discount format”, at the heart of the omnichannel ecosystem. Carrefour will implement in all its hypermarkets, and beyond Europe, the “Maxi” competitiveness and productivity method, “successfully tested for a year”, which reorients stores to the main needs of customers according to each catchment area. . A redefinition of assortments thanks to data, greater visibility and availability of the Carrefour brand and lower prices, adapted packaging, development of a complete range of products from all over the world. The distributor will reduce the food assortment by 20% and the non-food assortment by 40%.
Confirmation of strong ambition in e-commerce
Carrefour confirms its target of a turnover of 10 billion euros in 2026 and current operating profit from e-commerce activities at 200 million euros in 2026 vs. 2021.”The power of our model is demonstrated: a customer who goes omnichannel increases their expenses by 22% in the first year, comments Alexandre Bompard. This is our great competitive advantage, which is why We maintain our target of 30% omnichannel customers by 2026 (vs. 11% in 2021). For this, we must activate all our personalization and loyalty levers. In this sense, Spain is a model, with a unique loyalty program whose customers represent almost 70% of our turnover, complemented by an attractive subscription offer. We will extend this approach to our other geographies.”
Customers who become omnichannel build their brand loyalty. They consume on average 27% more than other customers two years after their first e-commerce purchase and have a higher retention rate (97%) than in-store-only customers, as confirmed in 2022. To this end, Carrefour will continue to enrich its omnichannel ecosystem and, in particular, its applications: more personalized offers, digital solutions for better consumption or “anti-inflation” and the digitization of all services, catalogues, tickets, coupons and vouchers. “E-commerce is resisting the crisis well, we are still conquering customers, says the leader. We confirm our Digital Day goal of reaching 10 billion euros in digital sales by 2026. We will achieve this thanks to our growth in home delivery in France, thanks to B2B in Brazil and thanks to many innovations such as the “anti-inflation button” that we are currently launching, which allows us to offer our customers cheaper products for the same need.”
More responsible consumption trends
Carrefour has also set targets for more responsible consumption, in particular increasing the “number of partner producers to 50,000”, that is, 11,000 more than today, or multiplying bulk sales by 5 “to reach 150 million euros “. The Group is targeting 8 billion euros in sales through certified sustainable products in 2026 (+40% vs. 2022). Since 2020, the Group has also adopted a 1.5°C trajectory for its direct emissions. The distributor is now inviting its top suppliers (Top 100) to adopt a 1.5°C trajectory by 2026, otherwise they will be excluded. Carrefour confirms its goal of achieving carbon neutrality by 2040 (by 2030 for e-commerce activity).
Finally, the Group continues the rapid expansion of the convenience format, with a target of 2,400 convenience store openings by 2026, mainly franchises. In France, the distributor plans to launch a “fresh local primeur” brand under the “Potager City” brand. (under the Grand Frais model). “Carrefour could selectively take advantage of medium-sized external growth opportunities in its markets”, finally indicates the group.