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A new store opened in November in Abidjan, another in December in Dakar. Seven years after the opening of its very first “mall” in Côte d’Ivoire, the CFAO-Carrefour duo continues to advance its pawns in West and Central Africa. Concentrated in three countries – Côte d’Ivoire, Senegal and Cameroon – it is now focusing on supermarkets and discount brands. By the end of 2024, its fleet must double to reach 46 stores. Projects which have something to challenge in a context marked by weak growth and inflation of world food prices which weakens the purchasing power – already limited – of African households.
And CAD/CAM is no exception. In several large cities in the region, local brands and international heavyweights are progressing step by step. Among them, Prosuma, Casino or even more Auchan: the northern group has opened seven stores since June in Abidjan, adding to the more than 35 points of sale it already operates in Senegal, where it has settled. in 2015.
“It’s a ground swell, observes Julien Garcier, founder of the market research firm Sagaci Research. Consumers’ standards of living and habits are developing: more and more of them want to shop in pleasant stores with attractive prices. It is estimated that household consumption in sub-Saharan Africa will grow by 4 to 5% in the coming years, and “modern retail” should grow twice as fast. »
Consumers with limited incomes
Traders want to take advantage of this, betting less on the size of stock exchanges than on strong population growth and the urbanization of lifestyles. “The new distribution spaces want to cannibalize informal commerce, even if it will undoubtedly remain predominant for a long time”continues Julien Garcier.
In fact, it is still too early to speak of a “supermarket wave” in West Africa. And their development remains very uneven across the region. If nearly 30% of Ivorians now shop in modern retail spaces, they are barely 10% in Ghana and even less than 5% in Nigeria. Throughout sub-Saharan Africa, the majority of people continue to favor street markets and stalls that offer proximity, flexibility and, often, the ability to“purchase small quantities on credit”as summarized in June a study from the Boston Consulting Group (BCG) on the future of traditional commerce on the continent.
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