Kaufland, 1 of the largest food discount networks in Germany, plans to close further branches in 2025. Although the network has opened fresh facilities, the decision to close any stores raises controversy and asks what further consequences will be for employees and customers. The article will supply details of the closures and the Kaufland strategy in the context of market development and changing consumer preferences.
Kaufland branch closures in Germany in 2024
The year 2024 proved to be a period of simplification of the Kaufland network in Germany. So far it's closed. three branches in different parts of the country. In June, shops closed in Siegen (North Rhine-Westphalia) and Greiz (Turing), and a branch joined them in September Bochum-Ruhrpark (North Rhine-Westphalia).
Kaufland does not uncover the exact reasons for these closures, but is expected to be the consequence of changing consumer trends, competition and a review of the profitability of individual stores. Increased competition on the food discount marketplace in Germany, especially from the Aldi and Lidl, may be 1 of the reasons for reducing the number of facilities in little profitable locations.
Subsequent closures in 2025
Kaufland has already announced that in 2025 they are planned two consecutive closures Germany. The first will be held in January 2025 In Recklinghausen (Palais Vest), and another in March In Dortmund-Mengede.
According to a study published by the newspaper, Heilbronner Stimme, the decision to close these locations results from a long-term review of network activities. It is worth noting that these changes are part of a broader strategy Optimisation of operations in Germany, which means a smaller number of shops in places with little request and a stronger focus on investments in fresh locations.
What about the employees?
The closure of branches has serious consequences for employees. Kaufland announced that he would make all effort to let those employed in closed shops to control to another positions within the network. However, the company does not disclose details concerning Number of workers made redundant. Where this is not possible, staff members may be offered another forms of support or compensation.
Kaufland is 1 of the largest employers in Germany, employing more than 90 000 people nationwide, which shows the scale of the company and its work to employees. Due to the large number of employees in different branches, the company tries to minimize the negative effects of closures on employees.
New openings and improvement of Kaufland
Although Kaufland plans to close, this does not mean a complete halt to development. On the contrary, the network continues its expansion strategy. In 2024 new branches have been opened in North Rhine-Westphalia. In July opened two fresh stores, and in November, the national Cartel Office agreed to take over 4 more locations by Kaufland. Thanks to this, the company continues to dynamically make its presence on the German market, although not in all region.
Kaufland in Germany and the future of the market
For Kaufland, as well as another discount networks, the future of the marketplace will surely depend on changing consumer preferences. Customers are increasingly expecting more quality products and better Online offerswhich forces companies to invest in digital infrastructure. In this context, any closures may besides consequence from the request to adapt to modern trends in retail, specified as e-commerce and Internet shopping.
According to the study GfK of 2024, as many as 40% of Germans are buying online, and in the next fewer years this trend is only to increase. Trade change affects the decisions of companies specified as Kaufland, which must balance between conventional stores and modern forms of sales.
Kaufland in numbers
- Kaufland has in Germany over 770 branches.
- 90 000 employees is employed on the Kaufland network throughout the country.
- The network has plans. further beginning fresh shops, despite closures in any regions.
- In 2024 opened two fresh stores in North Rhine-Westphalia, as well as took over 4 locations.
All these changes show how the retail marketplace in Germany is dynamically developing and how Kaufland adapts its strategy to the expectations of contemporary consumers.
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