Auchan: Hungarian products is the way to go

French retail group Auchan opened its first Hungarian store in 1998 and currently has 12 units and 11 boutique rows, employing 5,600 people. Auchan Hungary’s turnover was HUF 230 billion last year, 2.3 percent higher than in the previous year but in value sales expansion was 1.6 percent lower than the level of inflation.

Due to the significant tax burdens and the high level of amortisation, Auchan realised a HUF 7.6 billion loss last year. Auchan stores sell nearly 80,000 goods and 85-90 percent of these come from 750 Hungarian suppliers. The company started selling private label products in 2009 and currently they offer more than 600 such products. In the last few years the number of Auchan loyalty card holders has been growing dynamically. Another popular service they offer is the Auchan guarantee that can be purchased with valuable electronic equipment. Each year the retail chain supports the work of 3 non-profit organisations.