Auchan’s Spanish Unit Alcampo To Shutter 25 Stores, Cut Over 700 Jobs

Alcampo’s lay-offs will affect 145 supermarkets and eight hypermarkets in Spain, ESM reported.

The supermarket closures will impact stores across ten regions: Madrid, Navarra, Castilla-La Mancha, Castilla y León, La Rioja, Cantabria, Catalonia, Aragon, Asturias, and the Basque Country.

The eight hypermarkets slated for restructuring are located in Alcorcón, La Vega (Alcobendas) and Majadahonda – all in Madrid – Castellón, Albacete, Sanlúcar (Cádiz), Jerez de la Frontera (Cádiz) and Sevilla Este (Seville).

The closures are partly attributed to the acquisition of over 220 DIA stores in 2023, for over €200 million, some of which proved unsuitable for Alcampo’s business model.

The company aims to adapt to changing consumer preferences by reducing the size of 15 existing hypermarkets and renovating over 60 stores, in addition to consolidating its online presence and launching a new logistics platform.

Annual Performance

While the full 2024 results have yet to be released, the company reported sales of €5 billion – a slight decrease, compared to the previous year, and contrary to the general trend in the sector.

According to Kantar data, Alcampo had a 3% share of the food distribution market in 2024 – a percentage that is even lower than it was before the acquisition of the DIA stores.

The company stated, ‘Retail is undergoing a profound transformation, and that is why Alcampo, over the last few years, has been reinforcing its investment in future projects, evolving toward a multi-format and multi-channel retail model that responds to new consumer trends, ensures a more agile and personalised shopping experience for its customers, and helps develop its business sustainably.’

Currently, Alcampo operates 525 stores in Spain – three fewer than it did in 2023 – including 80 hypermarkets and 445 supermarkets (of which 129 are franchises), in addition to 52 petrol stations.

Rival Carrefour is also anticipating a restructuring plan in Spain, after experiencing a 1% sales decline, to €11.73 billion, and a market share loss, despite acquiring Supercor stores.