Carrefour China, a subsidiary of Suning.com, intends to transform its dwindling hypermarkets into community shopping centers with family-friendly services and to modernize its supply chains after shutting several underperforming locations in certain cities around the nation in the last two years.
According to Kantar Worldpanel China, a research unit in Shanghai, the company shuttered 54 outlets in the first three quarters of 2022, leaving only 151 open. Suning purchased an 80 percent share in Carrefour China from the French retailing company in 2019. The Carrefour Shuangjing shop in Beijing had a supply scarcity earlier this month as a consequence of panic buying by clients who acquired prepaid cards and are concerned about not being able to utilize the money stored in their cards after stores close.
Furthermore, numerous items, such as snacks, drinks, and quick meals, cannot be purchased with prepaid cards, raising further customer concerns.
Carrefour China announced in a statement that they had implemented temporary limitations on the usage of the cards owing to the impact of the pandemic, strategic moves, and speculations about the retailer’s leaving. Their supply chains have lately strengthened to accommodate the surge in prepaid card sales.
To fight their present problems, the store stated that they are investigating a new strategy to streamline their supply chains and establish additional community-based shopping malls.
Carrefour China is slated to open a number of new locations in key cities such as Beijing and Shanghai in March, converting their hypermarkets into brick-and-mortar community service centers. To attract more customers, the stores will provide more services and experiences, such as children’s play areas and catering services.