Auchan Stores Close as Budget-Friendly ’Ethnic Food’ Chain Hmarket Gains Ground

Auchan has announced the closure, in the coming months, of its stores in Rambouillet and Les Mureaux, in the Yvelines. The reason, poor sales caused by the arrival of a new competitor, Hmarket, a chain specializing in "ethnic food" and whose prices defy all competition, reports Le Parisien.

The jobs of the 92 employees of the two Auchan stores in the Yvelines will be preserved, the management of the brand has assured, of which five other supermarkets are also preparing to close due to insufficient profitability. In Rambouillet, Auchan is surrounded by competitors like Carrefour and Leclerc, and in Les Mureaux, by Carrefour-Flins and Hmarket, which settled in 2021 on the same sidewalk.

Created in 2006, Hmarket only offers halal meat, does not sell alcohol and the cashiers can be veiled. A choice that is fully assumed in this department where there is a large Muslim community. But beyond this targeted clientele, the lower prices of the brand are its strength.

"Since inflation, we no longer hesitate to pick a little everywhere. And Auchan has become too expensive," confide Sylvain and Josette, a couple from Vernouillet who now shop for fruits and vegetables at Hmarket. "Look, we came out with three full bags of vegetables for only 32 euros," they detail. While a kilo of peppers costs 3.29 euros at Hmarket, it is 6.99 euros at Auchan. A considerable difference for French households in this period of inflation.