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the future of hypermarkets in in danger?

Faced with Casino's recent problems and Auchan's announcement cutting nearly 2,400 jobs, we wonder if the hypermarket model is threatened. Doesn’t this situation call into question the viability of this sector?

Tl;dr

  • The hypermarket model is being called into question following job cuts at Auchan and Casino.
  • Experts propose a transformation of the hypermarket into a local hyper/market to ensure its sustainability.
  • The future of the hypermarket could lie in a hybrid phygital format, combining physical and digital.

The future of the hypermarket in question

After the recent announcement of the elimination of nearly 2,400 positions at Auchan and the problems encountered by Casino, the viability of the hypermarket model is in doubt. Is the mass distribution sector in danger?

The answer: the local

Two mass distribution experts, Bernard Févry and Antoine Mahy, proposed a solution in an opinion column for the magazine LSA. According to them, the key to the sustainability of the hypermarket lies in its transformation into hyper/local market. This would make it possible to restore the hypermarket's former attractiveness, and reconnect with the magic of the in-store experience, transforming the hypermarket into a real place of exchange.

The digital challenge

With the rise of digital, the hypermarket must evolve to survive. A hypermarket manager explains: “The hypermarket is forced to change its model to move to other dimensions that it had not preempted. Otherwise, he is drowning in his own red ocean. »

The solution: phygital

Faced with these challenges, most experts agree that the future of the hypermarket could lie in a hybrid phygital format, combining the best of the physical and digital worlds. A Carrefour hypermarket director testifies: “The evolution of the hypermarket will go through phygital because the customer base will evolve, those who knew our businesses from the very beginning will disappear. » This multi-format offering, coupled with a personalized service offering, could be an accelerator of growth and productivity for the distributor while improving the consumer experience in store.

The hypermarket, a dynamic model, must therefore continue to evolve and adapt to survive in a constantly changing environment.

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