Discounters and destockers facing inflation – Seven to eight

The train of inflation disrupts the lives of the French. In 2021, five million families said they calculated everything at shopping time. They are now twelve million. This is one of the rankings that could make discounters and destockers the big winners from the crisis. These price breakers are taking advantage of the period to hunt on the flowerbeds of traditional mass distribution. At the hard-discount leader, we compress costs even before the opening. More than 2,000 products are sold here, that’s ten times less than in traditional supermarkets. It’s much easier to deliver and store. The surveillance officer is only present for three hours a day and there is no fish or butcher’s shop. To run the store of 1,700 square meters, 38 employees are enough against fifty in a traditional sign. Another strategy to offer the lowest prices, nine out of ten products here are private labels, that of the group. This is three times more than in traditional mass distribution. In order not to let its customers slip away, the traditional mass distribution counter-attacks by using the same weapons as the discounters. In this Casino hypermarket, as soon as you enter, Leaderprice, the group’s private label, welcomes us. The brand decided to highlight it in this 300 square meter space, fitted out at the end of November 2022. Since then, director Cyril Murzereau has tripled the sales of his products. The radius 30% larger than before is still too small. In the battle against discounters, traditional hypermarkets also have a secret weapon of their own, which attract the most modest households. These are entry-level products, a range neglected by discounters who only offer a limited number of references. On average, the first price is 15% to 20% cheaper than the private label or that of a discounter and half the price of the major brands. This video excerpt is from the replay of Sept à Huit, a weekly news and report program broadcast on TF1 and presented by Harry Roselmack. 7 à 8 offers 3 to 4 reports on current events: politics, miscellaneous facts, society or even international events.