Ce que LECLERC ne vous dira jamais !

Dominique Schelcher, CEO of Coopérative U, a network of independent retailers, discusses the evolution of the retail industry, the challenges faced by independent stores, and the future of commerce. He emphasizes that while people often perceive the industry as powerful, it is constantly adapting. Schelcher highlights the distinction between independent groups like Leclerc, Intermarché, and U, and integrated groups like Carrefour, where all stores are owned by the parent company. In the independent model, store owners are proprietors of their businesses and real estate, allowing for greater autonomy in local management and social policies. Schelcher, who also manages a SuperU in Fessenheim, Alsace, maintains a dual role, spending weekdays as CEO in Paris and weekends at his store. This allows him to stay connected to the ground realities and customer feedback, which he then brings to the cooperative's strategic discussions. He explains that SuperU and HyperU are part of a multi-format strategy that includes smaller convenience stores (U Express and Utile). While U is less prevalent in Paris, it has a strong presence in rural areas, with 50% of its stores in towns of less than 5,000 inhabitants. The cooperative, founded in 1894 near Nantes, originated from small independent grocers pooling resources to achieve better purchasing prices, a principle that remains central to its operations. The retail landscape has changed significantly, with U entering strategic alliances, such as a purchasing agreement with Carrefour and a German group (RTG), to consolidate buying power against large international competitors like Action and Lidl. Schelcher notes that Action, a discount chain, is now the preferred brand for many French consumers, while Lidl has struggled during the inflationary crisis. This competitive environment, coupled with the "de-commercialization" trend (closing of retail spaces, especially in city centers due to changing consumer habits), presents both challenges and opportunities for U to acquire new locations and expand. Schelcher provides a detailed breakdown of a typical supermarket's operating costs. Out of 100 euros spent by a customer, the gross margin is about 24-25%. The largest expense is personnel (12-12.5%), followed by other operating costs (6-7%), taxes (1%), and "cost of tools" (2-3%), which includes rent, depreciation, and loan interest. Ultimately, only about 2% remains as net profit for the retailer. This slim margin underscores the need for meticulous management and continuous investment. High-performing stores might achieve 2.5-3% profit, often due to lower "cost of tools" if their property is fully paid off. The conversation touches on the impact of various crises (Yellow Vests, Covid, inflation) on consumer behavior. Food prices have increased by 23% in three years, leading consumers to make trade-offs, reduce non-food purchases, and favor private label brands (which are 20-25% cheaper). People are also saving more due to economic uncertainty and fear for the future, which further pressures daily consumption. Schelcher emphasizes that the current generation will need 40 years to surpass their parents' standard of living, compared to 20 years previously, highlighting the decline in purchasing power. Despite these challenges, Schelcher sees opportunities in several areas. The "human touch" remains a key differentiator for U, with customers appreciating the quality of service, personal connections, and local product offerings. He cites the head of Vusion, a global leader in electronic labels, who believes "the future of e-commerce is the physical store" for food retail, as consumers prefer to select fresh produce and interact with staff. This human element, combined with a focus on quality food and local sourcing (20% of U's offerings are local products), is crucial. Schelcher also points to the growing trend of de-alcoholized wines and non-alcoholic beverages, as well as a greater demand for high-quality, responsible food products. He notes that 35% of French consumers have forgone a purchase because the product did not meet their expectations for responsibility, commitment, and quality. This indicates a shift towards conscious consumption, which U supports through initiatives like its "Bleu-Blanc-Cœur" certified products, promoting animal welfare and healthier food. Looking ahead, U aims to achieve 15% market share by 2030 by continuing its development, attracting retailers from other brands, and enhancing its product offerings, especially in fresh produce. The cooperative's model of strong independence within a supportive collective appeals to many, leading to successful "rallies" of stores from competitors. U is also investing heavily in logistics automation and AI to improve efficiency, order management, and pricing, aiming for significant productivity gains. Schelcher's personal journey, from assisting his grocer parents to leading a major cooperative, reflects the entrepreneurial spirit within U. He emphasizes the importance of persistence and the ability to adapt. For aspiring entrepreneurs, he highlights that while starting a store requires substantial capital (around 400,000 euros in personal contribution), the potential for ownership and long-term financial independence is significant. He also touches on the social mobility within U, where employees can progress from summer jobs to store directorship and even ownership. Finally, Schelcher discusses the challenging relationship between retailers and politicians, particularly regarding negotiation regulations. He advocates for ending the unique February 28th deadline for annual negotiations, which creates unnecessary tension. He also criticizes legislation like "Egalim," which, despite its good intentions for farmers, has allowed industrial giants to limit promotions on non-food items, benefiting large brands at the expense of consumers. He concludes by emphasizing the need for a positive vision for the future, especially for younger generations, to combat the current climate of fear and uncertainty.