You will find in this article story of Auchan in China, and how to enter to Auchan, how to sell in 525 Auchan stores in China.
Auchan, the French success story
The French multinational retail group opened its first store in China in 1999.
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About 10 years later, in 2008, one of Auchan’s hypermarkets located in Suzhou was expanded, becoming the second-biggest hypermarket in the world!
And about 10 years later again, in 2017, Auchan opened its first Auchan Box in Shanghai ( a staffless nearby store).
From its first store in 1999 to its huge and innovative expansion, here is what Auchan in China is today in a few numbers:
- 525 stores, including 461 hypermarkets
- 182 Auchan Minute
- Online shopping sites in 2 cities: Shanghai and Suzhou
- 1 Auchan Drive store in Suzhou
- Strong of a partnership with Sun Art Retail Group, a company listed on the Hong Kong Stock Exchange and Chinese leader of distribution
Thanks to its strong partnership and its adaptive strategy, Auchan is now able to offer its customer innovative ways for shopping through Auchan Drive stores, Auchan Box stores, …
Auchan is particularly developed in Suzhou and Shanghai, two tier-one developed cities. This location strategy paid off since Auchan is still developing its business in China.
Auchan offers both imported and local products. And imported products are very appreciated by Chinese consumers! Does that make you want to sell your products to Auchan to be present in one of the most powerful local large distribution channels?
Here is how you can manage to get there.
From the first contact to Auchan’s shelves
- Get in touch with Auchan China
Your first contact with Auchan China must be prepared. You know what you want: be on Auchan’s shelves. The question now is how. How will you get there?
Simple. Getting in contact with Auchan China does not require to have a crazy professional network: they are opened to new offers! So, get on Auchan’s Chinese website and get in the business contact section.
They provided a service hotline you can call purposely for you to get in contact with them.
The service might be in Mandarin so working with a local partner that will help you in this type of situation as the GMA team will save you from this type of obstacle.
They might direct you to other people, but don’t forget that you must get an interview with them to sell them your product.
It’s simple in China: no trust, no business! That’s why getting in touch face to face is important for them to talk about business and negotiations.
- Know your speech
The day you will have to get to the interview, you must be well prepared.
Know your speech, take some sample of your product with you, know the key numbers related to the local market or your product, anticipate their questions, …
-Why shall we choose you over another brand?
-Why did you choose Auchan and not another distributor?
-What plus will you bring us?
How to develop the distribution in China? Have a good Branding
And more questions that can be anticipated. Prepare your best answers and know your main assets! This will be helpful even if they don’t ask you about it.
Then comes the inevitable talk about margins and price you should also prepare as well. You can try to negotiate, but it may be useless if you don’t have solid arguments.
One of the best arguments is taking the lead in this part of the conversation and show that you need them, but that they also need you! How? Well, if you have already prepared the launching of your products even before selling it, distributors will reconsider your product potential.
They won’t consider it as a random product in which the whole name has to be built and the marketing campaign has to be established since you already thought about it.
That is why we recommend you, even before meeting them, to prepare your digital marketing campaign and use the following tools to market your product in China.
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