PARIS (Reuters) – Galeries Lafayette will once again invest 400 million euros over the next five years to develop and modernize its store network and stand out in a distribution sector in turmoil.
“Continuing to invest massively was essential. In digital, of course. But also in tactical areas, less immediately perceptible by customers, such as escalators or air conditioning, among others,” said Nicolas Houzé, president of the directorate of the Galeries, in an interview with the Tribune.
“Or very visible, like the renovation of the historic dome of the Haussmann store, in 2021,” he added, referring to the group’s flagship on the grand Parisian boulevards.
“We have invested 400 million euros in five years to modernize the store network, including 100 million euros for that of Paris. We are planning an equivalent budget for the next five years,” continued Nicolas Houzé.
The distribution sector is currently facing significant challenges to its business models, as illustrated by the difficulties of a number of hypermarkets, clothing and toy brands, shaken in quick succession by the COVID-19 pandemic. COVID and the e-commerce boom.
Galeries Lafayette will also strengthen its international presence over the next two years, particularly in India, with the opening of a store in Bombay next year and another in New Delhi in 2026, added Nicolas. Houzé.
(Report by Gilles Guillaume)
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