February 18, 2011
French consumers have become extremely price-sensitive, and retailers have had to adjust.
Price has now become the key issue for French consumers in a market dominated by the major grocers.
The top five players — Carrefour, itm, E.Leclerc, Casino and Systeme U — represent around 65% of the national market. And this in a country where food represents the highest proportion of total retail spend per capita in Europe other than Switzerland.
With price now such a preoccupation for French consumers, who often think nothing of visiting three or four different stores to complete their shopping, the non-food departments in the hypermarkets are losing out to specialist retailers such as Fnac, Zara and Sephora, as well as to the internet, according to analyst Planet Retail.