Majid Al Futtaim: online growth, centralised production

Jon Wright
Head of Insight - RA EMEA
@RetailAnalysis

Date : 10 August 2020

As Majid Al Futtaim (MAF) enjoys fast-paced growth online and expands its range in Pakistan, we round up news and further developments from the retailer.

Carrefour sees triple digit sales growth online…

In an interview with CNBC Majid Al Futtaim’s chief executive, Alain Bejjani, discussed the ‘fantastic surge’ in online sales the company had seen during the pandemic. Bejjani said Carrefour’s online orders, between January and June 2020, had risen 917% in Saudi Arabia, 747% in Egypt and 257% in the United Arab Emirates. He went on to say that the retailer had seen ‘about… [a] 200% to 220% increase in the number of online customers on average across the region’. Meanwhile, looking at when he expected activity to return to pre-pandemic levels, Bejjani said it was likely to be in H1 2021, with 2022 expected to be a ‘a year similar to… 2019’.

…As it adds fresh range online in Pakistan

As part of a separate development, Majid Al Futtaim said it had invested in its logistics network to enable it to deliver fresh produce to its app users. The retailer said it had added a hygiene-controlled picking area and introduced strict operating procedures to its existing online order fulfilment process to enable the service. The addition of the new products means shoppers can now purchase from a range of more than 8,000 SKU’s and have orders delivered on the same day, in Lahore. The service will be extended to more areas in the short to medium term.

MAF opens Central Kitchen in UAE…

To enable it to prepare and supply Carrefour stores in the UAE with ready-to-eat, easy to cook meals and grab and go items MAF has opened the Central Kitchen facility at the Carrefour Regional Distribution Centre in Jebel Ali. The 7,000 sq. m site, when fully operational, will provide shoppers with a choice of 40 different meals daily. The facility has enable MAF to replace all its external suppliers with its internal production site.

…As Carrefour Qatar adds self-checkouts

Carrefour Qatar has add self-checkouts at hypermarkets in City Center Doha, Villaggio and Landmark. The three stores have all opened six self-checkouts, which will enable shoppers with 10 items or fewer to speed up their payment process. Commenting on the additions, Carrefour Qatar’s country manager, Laurent Hausknecht, said: “The new self-checkout counters are part of our ongoing commitment to creating a seamless shopping experience for our customers. We hope to provide personalised but equally satisfying experiences for all our customers, and are confident our new self-checkout counters will increase the speed and improve the quality of both the retail experience and customer journey we offer.

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