Marketing Mix of Carrefour (4Ps of Carrefour)
This analysis of the marketing mix of Carrefour (4Ps of Carrefour) sheds light on how the company has developed several techniques and strategies to communicate with its target audience. Carrefour, a French company, is a leading global retailer. It has over 321,000 employees around the world (Carrefour, 2021).
Product strategies of Carrefour
Carrefour sells food and non-food items including mobile phones, electronics, beauty, and many more. It has many own branded products which enable it to gain higher profits. Its products and services fall into three broad categories i.e. grocery shopping, home & leisure, and travel, stays & parks.
Carrefour sells products from many global brands. It works with several brands exclusively as well. It focuses on healthy, fresh, organic, and local food (Carrefour, 2021). 92% of its fruit and vegetables in France come from the local producers. However, it published several product recall notices in the past.
Pricing strategies of Carrefour
Carrefour generally maintains a low price for many of the products which are sold at its stores. It focuses on selling large quantities at lower prices in order to gain long term profits. It earns a significant amount of its profit by selling its their own branded products.
Carrefour’s pricing strategy is to offer customers the best price/quality relationship meaning that though the prices are affordable, the quality is not compromised. However, many analysts hold the view that its suppliers pay the price for its affordable price promises. For instance, Kenya’s Competition Tribunal (CT) ruled that Carrefour had forced its suppliers in Kenya to accept lower prices through a system of rebates (Gitonga, 2021).
Place/Distribution channels of Carrefour
Place is the next area of analysis in the marketing mix of Carrefour (4Ps of Carrefour). Carrefour has different types of stores i.e. hypermarkets, supermarkets, cash and carry stores, convenience stores, and online. It has developed different types of stores to attract customers with different shopping styles.
Carrefour has a large number of stores operating in more than 30 countries in Asia, Africa, Europe, and America. The stores are stocked with large quantities of products on the shelves. All stores are well maintained and made to look very attractive in order to attract customers and gain competitive advantage. It also works with Uber Eats and Deliveroo to offer a less than 30-minute home delivery service in several countries.
Promotion strategies of Carrefour
Carrefour uses simple packaging on most of its products. As a method of retaining customers, it has a loyalty card. This card enables customers to earn points when they make a purchase and then redeem the points for cash. In fact, Carrefour is the first retailer in Europe which has combined its loyalty program with Apple Pay enabling customers to use their iPhone or Apple Watch to pay for their shopping.
Carrefour’s social media presence is very good. For instance, it has separate Facebook pages and YouTube channels for different countries e.g. Carrefour UAE, Carrefour Pakistan, Carrefour Kenya, and Carrefour Poland. However, the number of followers in different countries vary significantly with some drawing millions of followers while others just few thousands.
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Last update: 10 August 2021
Carrefour (2021) Carrefour Group, available at: https://www.carrefour.com/en/group (accessed 05 August 2021)
Gitonga, C. (2021) Carrefour in Kenya: The true price of the discounts, available at: https://www.bbc.co.uk/news/world-africa-57090058 (accessed 10 August 2021)
Author: Fahim Shah
Fahim Shah has been working in the UK as a visiting lecturer in Business and Tourism for the last 10 years. After completing a Bachelor’s degree in Business and Marketing, he went on to gain an MBA from the University of Bradford, the UK. He is a Fellow of Advance HE (FHEA) and a full member of the Association of Business Executives (ABE).