Growing, Leclerc remains number 1 in distribution in France

According to the latest statement from the panelist KantarWorldPanel, dated December 23, 2018, E.Leclerc has a 21.6% market share, ahead of Carrefour (19.9%) and Intermarché (14.5%). It is the specialized brands of the E.Leclerc group (Cultural Spaces, Brico-Jardinerie-Animalerie, Auto centers, Optics, Parapharmacies, etc.) which are driving growth upwards (+ 4.2%, with 1,924 brands in France) , but above all the development of the offer via the internet.

“With a 59.2% contribution to turnover growth, against 30% in 2017, the internet confirms the success of the omnichannel strategy (combining physical stores and online commerce, Editor’s note) deployed for 3 years by E.Leclerc “, affirms Monday in a statement the group with 593 members in the Hexagon. The turnover of “Drive” (652 in France) thus increased by 6.9% and that of merchant sites by 29.7% overall, that dedicated to travel increasing by 26.8%, for example, specifies the distributor. .

Thus, according to Kantar, E.Leclerc was in 2018 “largely a leader in the sector of consumer products purchased on the internet and garnered more than 180 million additional” compared to 2017. On the contrary, specifies the distributor, the activities of supermarkets , “despite moderate promotional intensity on the part of E.Leclerc at the start of the year when it was particularly strong in the other banners”, stagnated (+ 0.1%).

200 “organic concepts” within five years

The “organic” offer in stores and on the “drive” circuit now represents 4.2% of the chain’s total turnover (according to the IRI panelist), against 3.5% in 2017. Carrefour is significantly in same level when Monoprix (Casino group) doubles. In February 2018, the distributor announced its intention to open 200 “organic concepts” within five years, called “Le marché bio Leclerc”: the first was inaugurated in Saintes this fall. Finally, sales in value of consumer goods and fresh self-service products rose 1.1%.

“In this context, and despite a private label (private label) market in slight decline (-0.7% at the end of December 2018),” Marque Repère “increased its turnover by 1.2% and maintained its leading position with 19.7% private label market share, or +0.2 points compared to 2017, ”adds the distributor. “After the first admittedly difficult months, the last quarter ended with a very positive dynamic for the E.Leclerc centers”, reacted the president of the sign, Michel-Edouard Leclerc, quoted in the press release.

The boss of the brand promises that in 2019, the group will continue its efforts in favor of the agricultural sector: “we have just made a commitment with Danone and Lactalis for a revaluation of the price of milk paid to producers, we are increasing the number of sector contracts virtuous for our private labels and created our own brand to support producers converting to organic “. “Our price positioning remains and will remain faithful to our commitments in favor of the purchasing power of consumers”, he adds, in the midst of the controversy over an overall increase in PGCs in supermarkets following the raising of the resale threshold at a loss since February 1, a measure that Michel-Edouard Leclerc qualifies “imposed”.

The main competitor of E.Leclerc centers, Carrefour, had published on January 22 annual sales down 2.8% to 85.164 billion euros, but up 2.5% at constant exchange rates. Online food retailing, one of the priorities set by its CEO Alexandre Bompard, has grown by more than 30% in the last quarter alone. At the end of December 2018, Carrefour thus had 1,616 “drives” around the world, including 841 in France, as well as 42 “pedestrian drives” in France.

(with AFP)