“The No 1 private label will be replaced by Carrefour Discount,” said Andreea Mihai, marketing manager of Carrefour Romania. Mihai did not elaborate on the reasons for this decision.
The company uses several private labels such as Carrefour Discount, TeX, Carrefour Home and Reflets de France.
Private labels generate 12% of Carrefour’s annual sales together or EUR100 million to EUR150 million, as estimated by ZF. In rival Kaufland’s case, private labels contribute 20% of the sales, the same as with Metro Cash&Carry. The share of private labels in the total is higher for Penny Market (50% to 60%) and Lidl (70% to 80%).
Carrefour introduced its private labels in Romania in 2004, when it had four hypermarkets in the country it thought were enough for such a move. Its sales in Romania amounted to EUR1.07 billion in 2011 according to the latest data available.
(English version by Loredana Fratila-Cristescu)