Auchan to focus on discount policy

The chief executive of the hypermarket operator Auchan in Romania says the network”s strategy will concentrate heavily on discount policy. “I think there is room for a price drop on the Romanian market. Auchan”s policy means an aggressive approach to prices everywhere in the world and we will apply the same policy on the Romanian market,” says Frenchman Regis Mougel. Auchan will, however, have to compete with two other French hypermarket operators, Carrefour and Cora, which currently operate five and two stores, respectively. “The Romanian market is currently expanding in full swing: there is a genuine need on the part of the customers and there is room on the market for a new player,” Mougel believes. He says Kaufland is the only operator that comes close to the aggressive discount policy that Auchan will promote. “But Kaufland uses a smaller surface area for its stores. We operate large stores, of up to 15,000 – 16,000 square metres,” Mougel adds. The first store in Auchan”s network is located in the South-Eastern part of the capital and will be opened in the second half of this. ZF