For the past few days, passers-by have no longer been able to buy a phone or accessory in the Orange store on the Champs-Elysées in Paris. The point of sale is permanently closed. Presented as the group’s next-generation store when it was inaugurated in September 2015 by former CEO Stéphane Richard, this “smart store” (supposed to offer an improvement in the customer experience) did not resist the drop in attendance caused by the crisis linked to Covid-19.
Symbolically, the closure of the flagship of the Champs-Elysées hides a deeper reflection of the operator on the perimeter of its distribution network. A meticulous tour of France has already led to 38 store closures in 2021, i.e. around 10% of the park, reduced to 323 “distribution agencies”. Including those taken over by General Telephone (GDT), a 100% subsidiary of Orange built on the former network of Photo Service and Photo Station shops, the net cut is approaching fifteen closures.
In Grasse (Alpes-Maritimes), where the Orange store lowered the curtain on May 21, as in the dozens of other municipalities concerned, the closure created a form of excitement. “The people of Grasse now have to drive an hour round trip to get to the nearest shop in Cannes. This loss of proximity is also a decline in the right to public service in terms of communication”deplores Rémi Demouveaux, secretary general of the CGT FAPT of the department.
“Drop in attendance”
“A network must constantly adapt to changing consumption patterns. This is why we carry out around thirty operations each year, whether relocations, renovations or closures”replies Frédéric Le Mounier, director of shops and customer services at Orange France, who defends himself from abandoning city centers in favor of shopping centers on the outskirts. “Half of our points of sale are still in the heart of cities” and, according to an indicator that he says he monitors closely, 87% of the population is less than thirty minutes from a store in the colors of the operator.
In 2019, half of commercial acts were done in stores. In 2021, it was only 38%
If it started before the health crisis, the reorganization of the network becomes more urgent after the pandemic. “We anticipated a downward trend in the number of visits to our stores. But the Covid has upset these forecasts by saving us five years in our traffic projections., explains Mr. Le Mounier. In 2019, half of commercial acts were done in stores. In 2021, it was only 38%.
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