Bellon expects sales to rise following a price policy that has been implemented in the former real hypermarkets, which Auchan bought last year.
“We have gained customers, we have sold more products, but the value of sales is a bit lower than last year. This is due to the fact that our trade model has changed, we sell more products, to more customers, but at lower prices. For the full year, we expect a rise in turnover,” said Bellon at the launch of the Auchan Titan commercial center in Bucharest, the result of a merger between the Auchan Titan and Iris shopping galleries.
The French retailer’s new general manager in Romania also maintains the goal set by his predecessor, Patrick Espasa, for Auchan Romania to switch to profit at the end of 2015.
Auchan Romania had a turnover of RON4,6 billion last year, no taxes included, more than double compared to 2012, following the acquisition of 20 real hypermarkets. Auchan and real generated losses of EUR15 million last year.
Auchan now has 31 stores in 18 cities and two units under construction in Bucharest and Brasov, a net sales area of 252,000 square meters, 11,000 employees, three logistical platforms and 70.5 million customers a year.
Of the 20 stores bought from German group Metro, four are open in the company’s own spaces and Auchan also took over the management of shopping galleries in Bacau and Sibiu. Also, only three Auchan stores are open in the company’s own spaces, while the rest rent their spaces.
“Our goal for Romania and in general is to become the owners of the spaces where we can,” said Bellon.
Pitesti-based Rolast said last month Auchan Romania offered EUR19 million for the space hosting the former real hypermarket in the city and its adjoining shopping gallery.
In 2012, Auchan bought the space for its own hypermarket in the Iris commercial park in Pitesti from investment fund NEPI.
Since 2006, when it opened its first hypermarket in Romania, Auchan invested over EUR300 million.
In the next three years, Auchan’s investments will focus on the two projects underway in Bucharest and Brasov, which amount to EUR70 million ust for the hypermarkets.
The company’s employee numbers will rise to around 13,000 employees with the opening of the two units under construction.