(AOF) – The Walmart retailer is giving itself a little more time to find a successor to current CEO Doug McMillon (56). The latter is expected to remain in office for at least three more years, according to information in the Wall Street Journal and reported by Reuters.
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Two major challenges for the sector
The turnover of the retail brands increased by 6.6% in the third quarter of 2022 according to the panelist IRI. Such a performance had not been recorded since the 2020 confinements. However, since the end of September, volumes have been falling following the rise in prices. The results of the French players, rather spared until now, should therefore suffer. Moreover, in the United States, Walmart and Target issued warnings about their results.
Another challenge: logistical disruption. According to data from NielsenIQ, the stock-out rate rose further on the shelves to 5.8% at the end of October. This represents a shortfall of 3.5 billion euros since the start of the year. According to System U, these disorders have never been observed for more than fifty years. The reasons are multiple: both climatic, geopolitical, logistical, inflationary, and also linked to the behavior of consumers, who stock certain items. On the other hand, the strike in the refineries seems to have had little impact because the brands have managed to organize themselves.