Carrefour targets China as global sales rise
10,000 store landmark approaches
August 29 2003
French retail giant Carrefour is to step up its operations in China, seeing the potential for up to 600 discount c-stores by 2007.
Carrefour currently operates 12 discount stores in Shanghai under the Dia brand, and like rivals including Wal-Mart and Metro, sees the underdeveloped Chinese consumer market as a key as key area for growth.
Carrefour chief executive Daniel Bernard said the company would have 50 discount stores open in China by the end of the year, including its first in Beijing. Carrefour also operates 39 hypermarkets in China.
The news came as Carrefour, the world’s second biggest retailer behind Wal-Mart, reported a 17.9 per cent rise in first-half income and raised its growth targets.
On its home territory, Carrefour has successfully launched a loyalty scheme, Ticket One, to preserve market share on the face of increased pressure from French rivals such as Lecelerc.
The business is on track to meet its global new store openings target for 2003, and is set to pass the landmark10,000 stores barrier by the end of the year. Carrefour operated 9,923 stores worldwide at the end of June.
