Metro Cash and Carry is set to embark on a root-and-branch revamp of its domestic operations in Germany.
Go deeper with GlobalData
The wholesale business of German retail giant Metro Group has operations in 29 countries worldwide but has suffered from falling sales and profits in its own backyard in recent years.
In a bid to breathe fresh life into its domestic business, Metro CC is looking to save EUR150m (US$211.2m) in costs over the next three years but also generate up to EUR700m in extra sales by going after 100,000 new customers.
Metro CC has 61 namesake stores and 65 smaller Schaper outlets in Germany but there are “no plans” to close any of them, a spokesman said.
However, some 1,340 employees will leave the company, with the “big majority” – around 1,160 – exiting the business naturally and the other 180 staff being axed, the spokesman added.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalData“It’s no secret we have been seeing, for a couple of years, a decline in sales and earnings [in Germany],” the spokesman said.
Meanwhile, Makro, Metro CC’s business in the UK, where the group has also had a challenging few months, today announced plans to cut energy costs by 19%.
