Russian Auchan has replaced its CEO

Auchan Retail Russia announced the appointment of a new CEO. Instead of François Remy, who has led the company since 2017, it will be headed by Johannes Tolay, Vedomosti reported . Since 1987 he has worked for the German Globus network. In 2018, Tollai became commercial director of X5 Retail Group.

• Under Remy, the transformation of the Russian Auchan business began. The chain wanted to remain a discounter, but at the same time expand its offering of premium goods.
• The changes were a response to the fall in market share in Russia at the end of 2017. “There are too many of the cheapest goods, and many of them are in stock only to emphasize the image of a discounter,” Remy complained in the spring of 2018.
• As part of the transformation, in 2018 the hypermarkets in Capitol and Aviapark were remodeled. About ten locations - convenience stores and cosmetics stores - have closed.
• The changes did not have a quick effect: the retailer’s sales continued to fall. In 2018, revenue, according to Infoline, decreased by 8.5% to 306.4 billion rubles. Auchan ranks fourth after X5 Retail Group, Magnit and Lenta.
• Auchan Retail President Edgar Bont appreciated Remy's achievements, but noted that “now we need to move faster.”