How E. Leclerc sees Luxembourg as testing ground for proximity

E. Leclerc plans to open its first supermarkets in Luxembourg in the second half of 2024, but only aims to have the complete transformation of all 27 acquired Louis Delhaize shops ready by the end of the decade. The Grand Duchy proves to be a playground for convenience as well.

“Hungry challenger”

Last summer, the French group acquired 27 stores from the chains Cora, Match and Smatch in the Grand Duchy of Luxembourg. On 20 December, CEO Michel-Édouard Leclerc visited six shops as a PR moment. His chain is a small player on an international scale, but it is a “hungry challenger“, the CEO told Luxembourg-based newspaper Paperjam. “We are convinced that we have a good model and that we can develop it further”, he said.

The CEO stresses that the transformation will take time: six months are needed just to switch the checkout systems, so the first Leclerc shops cannot open much before the second half of 2024. For the full implementation, the group is even counting on three to five years.

Proximity trial

Leclerc mainly wants to position itself as a price fighter, with the hard discounters as competitors. The group stands out against them with a wider range of products and as the cheapest in non-food. As in France, the shops will be operated by independent entrepreneurs. However, nothing would change to the management structure and the workforce for the time being. The local product range will also be retained.

Having no proximity stores yet, E. Leclerc sees the Smatch stores as a testing ground: the group admits it has not yet fully mastered the neighbourhood format. Those shops will therefore simply continue to be called Smatch and serve as a laboratory, possibly also for the French home market.