Carrefour Sells Thai Business To Big C

[webfact]

CARREFOUR

Shake-up looming in Thai retail sector

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[Piengrudee]

CF is stupid enough to put additional investment to serve the French customers. Cheese, French bread, wine etc. These are money losers, general little revenue (not to mention profit), and add a lot of cost; that is why they have to exit. Serve them right.

[geovalin]

Divestment of operations, as the news report puts it, means to me that Carrefour will disappear and become Big C -- as simple as that.

That means no more Carrefour brand olive oil, wine vinegar, couscous, pastis, chocolate, cheese, biscuits and several other things that are now much cheaper than the name brand equivalents at ANY Thai supermarket, including downmarket Big C and Tesco, let alone Villa.

In other words, for those who like French foods and don't like paying exorbitantly for them, it's very bad news.

As for Villa: the pricing is not necessarily higher than other supermarkets for many goods, and some cheeses are cheaper than anywhere else, e.g. some Camembert brands.

Big C is also a French company (Casino) and they have, in France, the same products than Carrefour at a decent price (wine vinegar, couscous, chocolate, etc.). They could easily sell them in Thailand. It's just a question of strategy.

If I was them, I'd change Carrefour into "Big C DeLuxe" to offer a better service than in casual Big C = to maintain the Carrefour quality in these premises.

Can you imagine on Rama 4: an ugly Lotus opposite of a now disgusting Big C?

[elwood]

I don't really understand the fuss being made over this deal. If the local market catchment areas is capable of supporting a specialised market niche no doubt the store will carry on with the product lines that sell well and are profitable.

Management expertise will no doubt play a part in the decisions and if the store stops stocking and selling a line of products rest assured another outlet will no doubt step in and fill the gap. That outlet may well be a small business operation who is willing to cater to the selective specialised consumer with prices to match.

Being somewhat selfish we have always found Foodland reasonable in its pricing and indeed superb in its service, my wife will not shop elsewhere since I introduced her to Foodland some 7 years ago, we found that Lotus Tesco was not able to supply that we wanted, often the imported products were indeed overpriced and limited in range and in many cases not the brand leaders in their country of origin either.

When I came here some twenty years since, it was local produce like it or leave it, If we visit the U.K. we are able to buy Thai products and indeed dine on Thai food too.

Guess what though ?

There is a premium price to pay just the same in the U.K as there is here in Thailand. You want something you will pay for it you, the consumer controls the cash not the supplier.

If it's too expensive in your eyes find a substitute or adapt to the local lifestyle. Deli style outlets are not cheap anywhere so we don't really have a gripe about price or supply , if problems are bad you form a buying group and dispatch trustworthy members to the metropolis and its Mecca of foreign food shops on a buying expedition.

Not difficult, all you need as an individual is a shopping list, combine all the lists with all the other individuals and you may well find you could buy wholesale or possibly negotiate a discount for a monthly bulk purchase. I well remember such events from my life in the U.K. and trips across the English Channel to the French hypermarkets to satisfy our cravings for exotic ( or so we thought ) food and litres of cheap plonk.

Where there is a will there is a way.

Remember we actually choose to live here in Thailand in the majority of cases

You'll be banned if you keep sending sensible mails like this on TV mate. You should be joining all the other knowledgeable expats telling us how Big-C sells crap and is overstocked with lazy staff. Strange how I see so many expats regularly shopping at Big-C, and I never hear them complaining about the crappy products. And how the hel_l did Big-C become so successful when all it does is cater for 60+ million Thais and thousands of expats instead of a handful of French-import-loving farangs?

Elwood

[dighambara]

That's depresing news because Carrefour will soon become more Big Crap locations selling low quality junk with limited varieties of non Thai food products. My guess is that business will drop because Big C doesn't have much of a clue what the farang customers want. It will be a downward spiral from here for the Carrefour locations.

This is Thailand here ,the farang community is small ,its normal to find Thai products ... in Europe you dont find so much Thai products in Carrefour France for example . For farang stuff there is still Villa market or Central chidlom . Carrefour was selling farang stuff in few outlets only ,rama4, lad phrao, the one in Rangsit doesnt have any farang product.

About 5% of the population of Thailand are foreigners. Many of those foreigners have Thai Children, who also want foreign products. My Daughters love cheese. No good Wisconson Cheddar here, only bland Australian Cheddar, but - 'any port in a storm'...

Then there are the tourists who bring in less money, but are more visible - they will also want foreign products.

If we remove all foreign products, should we include soft drinks (even Green Spot is foreign), cookies, birthday cakes, cars, and motorbikes.

Thai people love anything foreign...

But many retailers just haven't figured it out...

P.S. Villa Market is to small, too far away...

[tartempion]

Carrefour opened a shop near Udon Thani airport.

First time went there was happy to find fresh/French products.

Bakery as anywhere in Thailand still crap.

Second visit most good stuff no longer available.

Ground floor rented shops are gone.

Never went for a 3rd visit.

Quality farang stuff to be found at TOPS supermarket, seems there is also a local farang food shop Cherrn Chim downtown and a new delicatessen shop (ran by a French guy name Alain) on the ring road between Nong Khai traffic light and Global house building material shop

Tesco Lotus also opened a supermarket near the airport and I doubt it is successful, no soul in such shops, I continue to visit the old Tesco Lotus for most of my needs, beside the village morning market.

[morejunk]

I could not care less about Big Crap's business plan or profit or how successful Carrefour is. Big Crap bought them and will now most likely destroy them. I doubt that Big Crap cares what the current Carrefour management and employees think or have to offer in suggestions. Conquer, kill the and enslave the opponent. Looks like 47 new Big Craps coming soon to your neighborhood.

The point is that I like many foreign products and do not have any interest in "French" products, except for the Carrefour breads. Many of Carrefour's foreign items have nothing to do with being French.The point is that Carrefour provides a large and nice variety of otherwise hard to find items and the prices are better than most other markets. I do purchase some of their branded products like olive oil. The dairy line is the best in town. Best bakery varieties. Frozen food pales in contrast to Makro. Fish and meats are superior to Big Crap.

If you internet warriors are satisfied with Villa, that's your problem. Personally, I prefer not to pay a 50% premium for the Villa products. Foodland and Friendship are small but ok and often more expensive and usually with less variety than Carrefour. Most Tops are a waanabe and don't compare favorably to the others, with exception for the one in Central Festival Pattaya. I like what Carrefour offers.

I suspect many of the commenters prepare very little food at home or are satisfied with mediocre fare on their dinner table. Just because I live here, it doesn't mean that I should not enjoy an international variety of good foods. Those commenter that say you are in Thailand and I should only eat Thai food are idiots. I like Thai food, BUT also like an international variety. It really seems that many opinionated responders don't have a really good idea about what they are commenting on. Nothing new about that on ThaiVisa!

Edited November 16, 2010 by morejunk

[anonymouse]

That's depresing news because Carrefour will soon become more Big Crap locations selling low quality junk with limited varieties of non Thai food products. My guess is that business will drop because Big C doesn't have much of a clue what the farang customers want. It will be a downward spiral from here for the Carrefour locations.

Based on that logic it's a sound business decision for Carrefour. There obviously aren't enough farangs to support 42 stores. There are plenty of other options here in Chiang Mai. I rarely needed to go to Carrefour.

We use Carrefour a lot in Chiangmai and never go to Big C as it seems like crap with very poor quality produce and it is on the far outskirts of town. In Chiangmai if your searching for farang style produce Rim Ping supermarket is very good or try TOPS next to the Marriot hotel also very very good. These 2 stores are just like shopping in Australia.

Carrefour is my nearest big supermarket in CM, I'm not sure with a Big C supermarket already existing less than 10mins drive down the same road how they will be able to make a profit. Looks like we will be doing a lot less supermarket shopping or having to hike across town to Tesco's.

[Bakseedaa]

That's depresing news because Carrefour will soon become more Big Crap locations selling low quality junk with limited varieties of non Thai food products. My guess is that business will drop because Big C doesn't have much of a clue what the farang customers want. It will be a downward spiral from here for the Carrefour locations.

Big C is the best..............

[personchester]

That's depresing news because Carrefour will soon become more Big Crap locations selling low quality junk with limited varieties of non Thai food products. My guess is that business will drop because Big C doesn't have much of a clue what the farang customers want. It will be a downward spiral from here for the Carrefour locations.

When in Rome!!!

Why should they pander to farang tastes in foods???...Probably less than 1% of their custom is farang...You are in Thailand...eat Thai food !!

Oh dear, oh dear, the adage "when in Rome do as the Romans" is over 400 years old, the globe has changed a bit since then, therefore, today "When in Rome" you do as you like, and you can eat what you like, and that still applies to Thailand, although a bit less so when Carrefour moves out.

[MaiChai]

Carrfour going just means less choice and variety. I think its a big shame. I guess they don't make good money in Thailand; I read somewhere they wanted to sell up in Thailand to get money to expand in India. I guess they think Indians are more international and there more opportunity to make money there.

Would be interesting to know how well Tescos and Big C are doing here?

[personchester]

That's depresing news because Carrefour will soon become more Big Crap locations selling low quality junk with limited varieties of non Thai food products. My guess is that business will drop because Big C doesn't have much of a clue what the farang customers want. It will be a downward spiral from here for the Carrefour locations.

Big C is the best..............

Yes, at least for those farangs that were raised, and lived in those immigrant ghetto's in their home country, they are bound to regard Big C. not as Big Crap, but rather as Big Cookie.

[Pi Sek]

I could not care less about Big Crap's business plan or profit or how successful Carrefour is. Big Crap bought them and will now most likely destroy them. I doubt that Big Crap cares what the current Carrefour management and employees think or have to offer in suggestions.

The thing is... we're not talking about a Big C business plan. Big C did not buy them - Big C's owners, a French company, did. Therefore it's very premature to suggest ANY drop in quality at all. Just because their owners have a cheap brand in Big C, doesn't mean they don't want a higher quality brand in Carrefour.

Otherwise they would have bought the commercial real estate (i.e. the stores) rather than the business (including suppliers, management, staff, stock), as it would obviously be much cheaper. Why buy a car if you just want the engine?