In order to turn around the somewhat negative mood surrounding Colruyt Group, the Belgian retailer invited the press for an extensive strategic update. The central message: the group responds to changing customer needs with an increasing focus on services. But how solid are the four growth pillars really?
Parrying criticism
For the first time, Colruyt Group invited journalists and analysts to a presentation of its updated strategy. The company felt this was necessary after the negative reporting during the past few months. Not only did Barclays publish a very critical analyst report, but more recently – and somewhat surprising – Colruyt’s Lowest Prices chain announced it would adapt its price communication in such a way that it triggered a lot of speculation in the media about the end of the lowest price guarantee. The company’s hare price has already dropped 40 % this year.
