Doing Business In (Insert Country Name Here) - BNA

French food retailers generally fall into six types: Hypermarkets, supermarkets, hard
discounters, convenience or gourmet centers in department stores, and traditional
outlets. In 2007, sales within the first five categories represented 75 percent of the
country’s retail food market, and the sixth, which includes neighborhood and specialized
food stores, represented 25 percent of the market.
Developments in recent years have altered the country’s retail food distribution system.
First, France passed a legislation limiting the number of new hypermarket/supermarket
openings, prompting these large stores to expand their existing surface area, and
second, mergers and alliances among major hyper/supermarkets have allied the
country’s five largest retailers with seven central buying offices.
In response to increased competition from hard discounters, hyper/supermarkets have
developed various lines of discounted products. In addition, hyper/supermarkets are
trying to recapture market share from the restaurant and fast-food sectors by selling
ready-to-eat products, such as roasted meats (i.e., cooked chicken), fresh-baked bread
and pastries.
Food Service Sector (Hotels, Restaurants, Restauration collective):
In calendar year 2007, France's Hotel, Restaurant and Institution (HRI) food sector
served approximately 10 billion meals worth approximately USD 100 billion.
The French HRI sector is large, sophisticated, saturated and highly competitive. Entry
through this sector must be planned carefully. Successful products or food systems are
innovative and price competitive. Specific counseling sessions with U.S. Department of
Agriculture/Foreign Agricultural Service trade and marketing specialists are
recommended for those wishing more information as they plan their specific marketing
campaigns in France.
For additional information on the marketing of U.S. food products and distribution
systems, please see the following reports prepared by the Paris Office of the U.S.
Department of Agriculture (USDA):
Key Link: [http://www.fas.usda.gov/gainfiles/200710/146292590.pdf]
Key Link: [http://www.fas.usda.gov/gainfiles/200702/146280102.pdf]
Details on Primary Retail Channels:
- Hypermarkets (Hypermarchés)
- Supermarkets (Supermarchés)
- City-Center Stores & Department Stores (Grands magasins)
- Convenience Stores (Magasins populaires)
- Hard Discounters (Magasins Discount)
- Large Specialized Stores (Grandes surfaces spécialisées)
- Multi-Channel Retail Groups (Groupes de distribution multi-canaux)
- Traditional outlets (Magasins de detail traditionnels)
- Gas-Marts (Boutiques de stations d’essence)
- Central Buying Offices (Centrales d'achats)
- Direct Marketing (Vente à distance)
- Food Service (Hotel, Restaurants, Restauration collective):
2/15/2008 Country Commercial Guide for France 15
INTERNATIONAL COPYRIGHT, U.S. & FOREIGN COMMERCIAL SERVICE AND U.S. DEPARTMENT OF STATE,
© 2007. ALL RIGHTS RESERVED OUTSIDE OF THE UNITED STATES.