Sales and Merchandising Strategies of Carrefour example

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Sales and Merchandising Strategies of Carrefour

Table of Contents

Company Background
Brand Equity and Brand Positioning
Customer Value
Customer Satisfaction and Loyalty
Category and Product Range Management
Pricing Strategy
Location Strategy
Buying Strategy and Stock Management
Visual Merchandising and Store Design
Product Management in Non-store Retailing
Improvement Suggestions


Retailing market has significantly changed since the development of the Internet technologies. Technological advancement offers many opportunities but, at the same time, present some serious challenges. The increased competition is one of the most significant threats of the digital era. Web-based companies often have lower overhead costs and thus, can offer competitive pricing. Thus, traditional retailers need to develop sustainable competitive advantages, which will allow them to avoid price competition and remain attractive for the consumers.

Thus, retail grocery chains have realized that customer loyalty is a key to the achievement of sustainable profitable growth in an increasingly competitive environment. Retailers now need to focus on differentiating factors and develop a truly unique identity. Brand equity and marketing strategy play a crucial role in the differentiation from the competitors. The following paper will focus on the analysis of sales and merchandising strategies of a global retailer Carrefour. The research will help to evaluate the importance of the concept of brand in the context of marketing strategy and the overall business success.

Company Background

Carrefour (from French “carrefour”– crossroads) is a multinational retailer, which was created in 1959 by three families who ran a discount supermarket (Carrefour, 2017). It was the first store in France that opened a supermarket and a department store under the same roof. This event has signed the invention of a new store concept, which is called hypermarket. Since then, the company has begun its fast development by launching a private label line of food products in 1976 (Carrefour, 2017). Now Carrefour is one of the largest hypermarket and supermarket chains in the world operating in 38 countries across Europe, Asia, Middle East, and Africa (, 2017). The company has opened the first store in UAE in 1995 and has expended its network to 172 stores in 15 countries across region. Thus, Carrefour is a truly global large-scale company with complex network and sales strategy.

In order to meet customer demand, Carrefour operates a network of supermarkets, hypermarkets, hard discount stores, convenience stores, cash-an-carry outlets, and provides e-commerce services (Reuters, 2017). Today, the company’s stores offer more than 100,000 food and non-food products as well as a great variety of household goods (, 2017). Carrefour is committed to continuous business growth and dedicated to provide the best shopping experience to its customers. The company has managed to achieve success by leveraging the strengths of its brand equity, which will be discussed in the subsequent section.

Brand Equity and Brand Positioning

Brand plays …

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