French retailer Auchan has started developing its first convenience store chain in Russia as part of its expansion in the country, the Vedomosti newspaper reported Thursday.
Auchan has already opened four convenience stores in Moscow under the name Kazhdy Den (Every Day), Auchan Russia's CEO Wilhelm Hubner told Vedomosti, adding that the retailer's own-brand products will account for about half of the stores' range of items.
Hubner didn't specify how many stores the company plans to open in the future, saying that Auchan is currently testing the new format.
The Auchan brand had previously only operated hypermarkets in Russia, though one of Groupe Auchan's other subsidiaries, Atak, is already developing another convenience store chain, Vedomosti reported.
The convenience store format is gaining popularity with major retailers in Russia.
St. Petersburg-based retailer O'Key said in August it would focus on the expansion of its convenience store chain Da! (Yes!) instead of developing its hypermarket chain, Vedomosti reported.
Another major retailer, the Russian arm of Germany's Metro Cash & Carry, launched a chain of convenience stores in 2012 that operate under the brand Fasol (Bean). The company now operates 75 small stores around the country, the report said.
In Moscow, the total number of convenience stores has increased tenfold since 2005 to 1,000 as of April, Vedomosti reported, citing real estate consultancy Knight Frank.
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