Real's expansion leaves Carrefour behind once again

The last quarter of this year will come with a new hierarchy on the Romanian hypermarket segment, after German-held Real will finalise investments worth 70 million euros in three stores in Bucharest, Timisoara and Ploiesti, whilst French-held Carrefour, leader of the market in terms of sales, will end the year with the same number of stores. Therefore, Real could reach 24 stores by the end of 2009, which compares with Carrefour’s 20, with the French retailer having closed one store in a Braila shopping centre. Real stores first outnumbered Carrefour ones in 2007, two years after market entry. The two networks expanded shoulder to shoulder, but in the first year of being faced with a decline in consumption, the French operator quickly changed its strategy, going for a prudent approach instead of expansion at all costs. In the first half of 2008, Carrefour’s business plan provided for an accelerated expansion, with 7 hypermarket openings targeted by 2012. However, there has been only one hypermarket opening in 2009, following an around 20 million-euro investment, with market information suggesting there is a slim chance expansion projects will be completed in fourth quarter, with most of them set in retail parks.