UNIQUE, FAIR, RESPONSIBLE The product is king

2020 Annual Report 2 Auchan Retail in 2020 The product is king at Auchan Retail. 4 Edgard Bonte: interview 7 Governance at Auchan Retail This belief lies at the heart of everything 8 Auchan 2022, our way forward! we do and the relationships we have #ALL THAT’S BEST FROM HEREABOUTS 10 Guaranteed local origin with our customers. The product is what 12 Straight from the farm 13 For local specialities, come to us keeps people coming back to our shops 14 Artisanal or industrial? 16 Cultured and well bred and outlets in the countries where 20 Good for growth we operate, it’s what keeps everyone in 22 Editor’s pick our supply chains focused and invested, #ALL THAT’S BEST FOR EVERYONE 26 All that’s best for you, and nothing else and it’s the reason our own staff are 29 Yum, for real! 30 Close to expiry? so dedicated. Whether food, cosmetics 32 Well on our way to zero plastic! 34 Secondhand, new life or technology, we want that product to 36 Hand-picked by our consumers 37 A pale imitation or design creativity? be unique, fair and responsible – which is 38 100% home-friendly, 100% eco-friendly also why we’ve put it at the heart of 40 Our product culture in 3 bite-sized nuggets #ALL THAT’S BEST BETWEEN our strategy. Auchan Retail’s goal is simple: OURSELVES to improve people’s lives through the 42 Super foods in our superstores 45 Two in one or twice as nice? product, making it a source of pleasure 46 Online or in person, you’re in charge 50 A place of support and solidarity that forges bonds and shared value in our community localities. And we held to that throughout 2020. Because it’s our duty to bring you the best – the best to satisfy our shoppers’ preferences, the best for everyone’s health, and the best for the planet.

1 Auchan Retail

1,985 sales outlets under banner in 2020 augmented by e-commerce

Europe Africa Asia

622 405 903 33 22 France Western Europe Central and Senegal Taiwan 310 Spain, Eastern Europe 12 Luxembourg, 29 Hungary, 115 Poland, 83 Portugal 477 Romania, 255 Russia, €31.6 1 Tajikistan, 26 Ukraine billion in consolidated revenue excluding taxes

People Engaged 26% EBITDA first employer Central and Eastern Europe €1.6 179,590 50.3% 53% billion employees female managers France

Created by Book_Collection from the Noun Project 7,056 87% trainees and people of staff have 18% Customers on work-study courses had training Western Europe (excluding France)

3% 1.2 108,352 244 Africa and Asia billion customer employee projects supported checkouts shareholders by our foundations

Figures at 31 December 2020

2 3 Auchan Retail’s financial Interview recovery plan was launched two years ago. How is that working out?

Our strategy is bearing fruit thanks to the commitment of staff across the company. Edgard We began to turn things around in 2019, and the trend now is towards a very real recovery. The action we took – especially our operational excellence programme, Bonte Renaissance – has already enabled us to get our finances back on an even keel and strengthen our business model. We’re still only at the halfway point and, despite the pandemic, we’ve even managed to move ahead of our milestones in many Where does the hypermarket fit areas. That’s why we’ve decided to increase into this scheme of things? the amount of structural savings we want to achieve by the end of 2022. We’re now We’re shifting the focus of the hypermarket, aiming for €1.4 billion rather than €1.1 billion. turning it into a platform that serves its surrounding community locality. It is becoming a physical marketplace, a social And where are you with your Auchan hub for shoppers that brings in regional 2022 plan that was meant to reinforce producers and specialist non-food partners. The COVID-19 the differentiation of Auchan Retail We’re also bolstering its role as a platform as a brand? for producing and supplying all our local crisis has confirmed contact points with customers, from the We’re seeing great results there too, and supermarket to Click & Collect. that our vision and we can all be very proud of what’s been achieved. The cornerstone of Auchan 2022 our business plan is a commitment to “less and better” You mentioned Click & Collect. – offering good, healthy and local food in Auchan is moving ahead faster than were spot on. line with consumers’ changing eating habits. its competitors in online shopping. This dovetails with our brand’s purpose, How do you explain that? which is to help people eat better at Edgard Bonte the best price. That’s right, our annual revenue from Auchan Retail Chairman Auchan 2022 acts as a spur to accelerate online sales is seeing steady growth and the rollout of responsibly farmed products now stands at over €2.2 billion. When you on our shelves; products that promote compare it like-for-like, that’s one of the animal welfare and fair pay for producers, highest growth rates in the market. while respecting the environment. It also Obviously, this momentum is down to motivates us to have more Auchan products the popularity of our drive-in – a format that produced locally, eliminating controversial we invented! More broadly, it’s because we additives and devising recipes that cater to have the capacity to adapt and keep coming every need – including organic, gluten-free, up with ways to serve consumers better and vegan products. and satisfy their appetite for shopping online. Click & Collect and express home delivery are becoming standard in all our stores and countries where we operate, but we’re still driving innovations around online ordering and convenience. As an example, we’ve just launched Auchan Piéton, the collection point you can walk to, in France, and Picking Point in Ukraine to make grocery shopping easier for people in town centres. This model lays the groundwork for an eco-friendly and profitable future for our hypermarkets.

4 5 Governance We’re not out of the crisis yet, but what are your takeaways at Auchan Retail from it so far?

First and foremost, it’s highlighted the Our governance is decentralised importance of people in second-line roles to keep us close to the shopfloor. like our cashiers, lorry drivers, logistics officers, and delivery drivers – it’s thanks to them that we’ve been able to hold out against the virus. This crisis has reminded us all how meaningful and necessary our work is. Our teams worked tirelessly, with great flexibility and inventiveness to serve our customers in the most useful ways. Secondly, the crisis has accelerated shifts in consumer behaviour that were already underway. Which, by the way, confirms what France and Luxembourg Russia we thought – that our vision and business Chair: Francis Cordelette Chair: Philippe Brochard plan were the right way to go. It’s brought Vice-President: Alexandre Mulliez Vice-President: Odile Molle There are several corporate responsibility home to us the benefits of eating good, CEO: Jean-Denis Deweine CEO: Ivan Martinovitch strands to Auchan 2022. How are things healthy, local food, and the importance advancing on these fronts? and convenience of online ordering. It’s also shown the sense in turning the Auchan In one year, we’ve managed to cut energy hypermarket into a combined platform to consumption in our sales outlets by 3%. service its community locality and physical At this rate, we’ll meet our COP21 targets marketplace with both regional producers and shrink our carbon footprint by 24%. and non-food partner brands, offering We’re making significant progress in our a lively social hub for local people. fight against plastic. Through various Post-COVID, there will inevitably be issues measures up and down our value chain around purchasing power. But our Poland and Romania Spain and Portugal – from product design to transportation – responsibility will be to continue moving Chair: Benoît Lheureux Chair: Yves Claude we managed to reduce usage by around forward along the path we’ve mapped out: Vice-President: David Mulliez Vice-President: Maxime Van Der Wees 2,500 tonnes in 2020. And our battle against encouraging more sustainable consumption CEO Poland: Gérard Gallet CEO Spain: Americo Ribeiro food waste also continues, with pioneering at affordable prices, rethinking our supply CEO Romania: Ionut Ardeleanu CEO Portugal: Pedro Cid initiatives like our in-store “Save it!” corners channels to support regional production, to rescue products beyond their best-before inventing a new phygital distribution model, date. In France the number of meal boxes and campaigning to safeguard our climate we’ve saved with Too Good To Go has and natural resources. I’m confident that already topped the one million mark. we’re up to the challenge!

Solidarity was another priority area for Auchan Retail in 2020. Was that influenced by the pandemic? Ukraine, Hungary, Taiwan and partnerships Chair: Edgard Bonte Let’s say that solidarity is intrinsic to Auchan’s CEO Ukraine: Viktoria Lucenko approach, and the COVID era has really CEO Hungary: Dominique Ducoux brought that to the fore. All our staff, CEO Taiwan: Pascal Delval everywhere, have rallied round to help the people who have been affected socially or economically by the pandemic, such as producers, restaurant owners, caregivers, vulnerable groups, and students. We’ll be keeping it up in 2021.

Senegal Les Partisans du Goût, France Chronodrive, France Chair: Fatoumata Bâ Chair: François Poupard Chair: Thibaut Bayart Vice-President: Théophile Lemaître CEO: Émilie Soleri CEO: Laurent Leclerc 6 7 As the world changes, so do our consumption habits – which is why we launched Auchan 2022. The challenge Auchan 2022, is to transform how we work and what we sell, in order to forge a retail model with all our stakeholders that improves our way forward! everyone’s quality of life now and in the future. These are the pillars and levers of a business plan whose merit is even more apparent since the coronavirus pandemic.

1 Pillar 1 Lever 1 An offer that’s Turning ever unique, fair greener and responsible We’ve always been a responsible1 retailer but now more than ever The product is at the heart of our business, we’re making sure our actions are our sales counters, and our know-how. good for the planet and all its people. We select or devise it with care to provide We’ve made tangible commitments food that’s good, healthy and local – because to promote good nutrition, combat we believe that’s how retail should be. climate change, and preserve natural Looking forward to 2022 resources. Double the number of local products available in-store Looking forward to 2022 Taking a lead in preventing Double the number of Auchan food waste exclusive products Halting the proliferation of plastics 1,200 responsible agricultural supply along our value chain 2 chains across the world Reducing our carbon footprint 100% of Auchan own-brand products carrying nutrition labelling Lever 2 Putting our heart Pillar 2 into it More convenience We can’t transform our business without the know-how and wholehearted dedication of all our staff. Through to suit their unstinting efforts, day after day, we’re forging a universally useful retail model and bringing our every customer Auchan 2022 vision to life. We’re honing our online ordering, delivery and pick-up services so people can do their Looking forward to 2022 shopping whenever and however they like. Co-designing the products of the future Our hypermarkets are now marketplaces with our staff – convivial hubs woven into the fabric of their - Involving our staff in solidarity and community locality – and we blend digital circular economy initiatives ease with bricks-and-mortar contact points 2 to enrich our customers’ shopping experience. Looking forward to 2022 100% of stores transformed into marketplaces Double our online revenue

8 9 Our produce isn’t shipped By the end of 2020, 36 new twice around the world before Auchan products in France, including salad leaves, crunchy it reaches our shelves – quite sweetcorn, biscuits, rillettes (a the reverse. Because it’s better potted meat speciality), and crisps, for our taste buds, better for were proudly labelled with their French origin. There and elsewhere, our farmers and breeders, “Selling our tomatoes to Auchan we source our quality foods from better for the environment and customers through Alcampo is an regional producers in the heart of opportunity for everyone – we’re bringing the economy, Auchan Retail people old-fashioned flavours, tomatoes the countryside. True to the name that really taste like the tomatoes of our “Fiers de nos éleveurs” (proud strives to keep production our grandparents ate.” of our breeders) range, we take local. And the pandemic has pride in our charcuterie made Brunete really underlined the value Spanish market gardener based from French pork, raised with a of a short supply chain! in La Floresta de Quijorna GMO-free diet and zero antibiotics. Auchan Retail wants to offer total transparency, so we even pinpoint where the product was made and the origin of its main ingredient. We’re being proactive and, rather than wait for legal regulations to demand it, we’ve set ourselves the ambitious goal of labelling all our In 2020, we increased the number own-brand processed products

of local products threefold with the origin of their meat and in Poland and by 40% dairy ingredients. So far, 1,000 88% in Portugal. of our products in France already guaranteed of Auchan products sold display this information. in France are made by companies based there, Guaranteed origin means infallible 42% of them SMEs. traceability, and Auchan Retail uses the power of international blockchain technology to deliver it. Take the eggs in Auchan’s organic range – all along the production chain, information is uploaded to local the platform so consumers can track their entire journey, from the farm to the plate. They just have to scan the QR code on the box with their phone and select the batch number displayed on the packaging. Blockchain guarantees reliable and comprehensive data, and in 2020 we embedded it further into

#ALL THAT’S BEST FROM HEREABOUTS BEST THAT’S #ALL Auchan Retail. For instance, we already use it in Portugal to certify the origin of lettuces and melons, 1,000 and from 2023 we’ll be deploying Auchan products sold it across all our Portuguese in France display agricultural production. the origin of the meat origin and dairy used.

10 11

100% of the chicken, fish and oil sold in Auchan Retail’s Senegal stores is sourced from small-scale local producers.

404 farm products from over 20 small-scale local producers are sold in our

#ALL THAT’S BEST FROM HEREABOUTS BEST THAT’S #ALL Ukraine stores.

Our regions are bursting with tasty and authentic specialities that Auchan Retail puts before We’re very close, they’re even our customers by forging allowed in with their muddy partnerships with dedicated boots... Auchan Retail welcomes local producers. There’s always local farmers and livestock something new and wonderful breeders to market their to discover. A fine example of produce directly to the public, this is in Ukraine, where a farm turning our stores into physical near Kiev was producing a marketplaces open to their goat’s cheese called “Because” ecosystem. Romania is a case to an old family recipe. in point, where two events We were the first retailer to were held in 2020. The 3rd offer to market it in Auchan Local Producers’ Fair at the Retail stores. It’s win-win all Auchan Vitan brought together round – promoting good farmers and food artisans from for local specialities quality food, increasing short around Bucharest to offer supply chains, and upholding visitors a taste of the traditional artisanal food production! delicacies of their regions. Then the Auchan Beer Fair, now in its 11th year, shone come the spotlight on nearly straight from 200 Romanian-brewed beers in all our hypermarkets there the farm and on auchan.ro. to us 12 13 70 authentic local recipes are prepared in Auchan Retail’s Romanian bakeries. artisanal or industrial?

Good ingredients Like the many other food The starting point artisans in Auchan Retail stores, for a good recipe Hervé prepares his fresh is good ingredients. We bake our products using responsibly Auchan-exclusive Hervé Peiffer is a baker, following farmed ingredients. Similarly, Saveur Tradition in the footsteps of his father and the bakers in Portugal use baguette using ® grandfather before him. In fact, a high-quality flour ground certified CRC flours, meaning #ALL THAT’S BEST FROM HEREABOUTS BEST THAT’S #ALL he is THE baker at the Auchan from home-grown cereals they’re milled from hypermarket in La Cloche d’Or, to make their Alentejo bread, 100% French grains Luxembourg. In his glassed-in a regional speciality. that were grown area behind the baked goods Our Polish in-store bakers offer using sustainable agricultural practices and pastries counter, shoppers five varieties of the Poznań that protect our see him at work, steadily kneading croissant with its white poppy biodiversity. and shaping the dough before seed filling, which is traditionally The aroma of fresh-baked it’s ready for the oven. He takes eaten on Saint Martin’s Day. bread wafts in the air, his time, working in careful stages. In Romania, our pastry-makers 2 All his breads are organic, and he’s have revisited the recipe of “The bread we make here tonnes of bread the dough rises beautifully, created such a wide range that cremeschnitte to make this iconic is proper bread – it’s 100% are baked daily there’s something for every taste. vanilla cream slice even tastier organic, and customers can the baker flours the moulds... watch us through the glass, in Auchan Retail’s His flagship product is Cloche d’Or and healthier. It’s not just about French stores You can’t beat bread straight kneading and shaping it here by 600 bakers bread, made with organic stone- sweet treats in Auchan’s kitchens on site. We use the same assisted by from the oven – so at Auchan ground flour, honey, hazelnuts and – our cooks also excel at savoury recipes as an artisanal baker, 120 apprentice Retail, we make plenty of raisins. “It’s ideal for breakfast but foods. In Poland they treat but in larger quantities.” bakers. space for it in our stores and also goes very well with cheese,” customers to a white sausage Hervé Peiffer Hervé can be heard telling his whose exclusive recipe contains Baker at the Cloche d’Or put our bakers and pastry customers when they ask for a a record-beating 97% meat, plus hypermarket, Luxembourg makers centre stage. recommendation. natural casings and spices. 14 15 New responsibly farmed trout supply chain Auchan Retail’s status as a sustainable aquaculture pioneer was confirmed in 2020 with the launch x 3 of a responsible supply chain for trout. The major A win-win-win contract innovation lay in the In December 2020, trouts’ diet – because Auchan was the first it’s enriched with retailer to sign microalgae, it doesn’t a tripartite contract require any meal or oil with a livestock derived from fish breeder (Cevinor specifically caught to cooperative) and feed farmed fish. a food processor (Bigard). The goal is to gradually shift Cultured our offer of traditional beef products over to 100% “Label Rouge” quality. This is Auchan Retail’s way of ensuring our meats reach high quality standards, while Auchan Retail had 710 responsible healthy and eco-friendly meal promoting safe, supply chains in place by early options? Well, in Spain, we have healthy and sustainable meat 2021. As part of our campaign for vegetable soups and creams made consumption. For the a more positive food industry that from fresh ingredients and ready producers, the benefits benefits everyone, we’re bringing in 20 minutes, in our own-brand of the agreement are together more and more producers, Alcampo Producción Controlada threefold: a long-term collaboration, cooperatives and food processing dehydrated range. Or do they want guaranteed sales or manufacturing companies in to treat their friends to a special volumes, and a fair a tripartite value chain that spurs dish that’s also environmentally reward for their work. Animal welfare continuous improvement. friendly? In Poland, Auchan is the comes first Auchan Retail has been Our supply channels are designed main distributor of Jurassic salmon. One of the key drivers building responsible to respect consumers with an offer This Polish fish has won more of our responsible of healthy, good-quality products awards than any other and is supply chains is to agricultural supply chains ensure the humane and to pay farmers and breeders a unique in the world. It’s farmed in treatment of animals. across the globe for over fair price, while also safeguarding a closed facility, with geothermal By signing the Better three decades for products animal welfare and environmental water that’s rich in micro- and Chicken Commitment, protection. Angus beef is a perfect macro-elements and dates back Auchan Retail France such as tuna, lentils, poultry, has pledged that, illustration of how these benefits 150 million years. This water’s so by 2025, none of our chocolates, carrots and crème come together: it’s produced in pure that the fish don’t require supply chains for eggs fraîche. Because, to eat better, Luxembourg by a cooperative that antibiotics or vaccination. Jurassic or derived products unites about twenty dedicated salmon was the first product to will involve hens reared we must improve production in cages. local breeders, who work in total come out of the Auchan Pewni methods and respect natural harmony with nature. Dobrego responsible supply chain, resources and traditional It’s renowned for its outstanding which has since been expanded. know-how. flavour, just as Auchan’s responsibly Auchan Retail has also set up sourced French honeys are. These other channels in the countries 100% guaranteed-origin elixirs are we operate in, and we aim to have harvested from the best terroirs, 1,200 of them by 2022. The and their nectars are identified from popularity of our products from the hive to the jar. Our beekeepers sustainable agriculture, fishing respect tradition and simply filter and aquaculture really strengthens the honey before it’s put on sale. our commitment. In Romania, our international Auchan Retail’s responsible channel for responsibly farmed

#ALL THAT’S BEST FROM HEREABOUTS BEST THAT’S #ALL sourcing is our way of fulfilling bass and sea bream got off to a consumers’ expectations while also flying start, with five tonnes of fish supporting producers and taking sold in two days! It’s clear that this responsibility for our impact on responsibly sourced offer meets the planet. So people want quick, all our stakeholders’ expectations. and well bred 16 17 18 #ALL THAT’S BEST FROM HEREABOUTS to produce our food inadifferent way. We’re goingto build on population, while consuming fewer natural resources inorder producing more andmore food for acontinuously growing this success andlaunchother flagshipprojects that signal the new pork supply chainisproof that it’s possible for us the positive impactinsects will have onthefood industry to protect theplanet. We’re proud to seeour partnership with Auchan develop sothat everyone canbenefit from “We set upInnovaFeed inresponse to thechallengeof affordable, sustainableandbetter-quality food. Now Co-founder of InnovaFeed – one amongmany. by Auchan Retail launched in2020 sourced product a new responsibly Organic carrot juice: in the years to come.” Clément Ray

was a sound one, with three been able to prove that this vision of theplanet. Together, we’ve consumption that’s more respectful of better eating andconscious InnovaFeed share acommon vision startup InnovaFeed. Auchan and with pioneering insectfarming our partnership, set upin2017, approach cameaboutthrough and porkfed oninsects. This novel in the world to sell trout, chicken nutrition: we are thefirstretailer for instance by reinventing animal the food industry in various ways, Auchan Retail ishelpingtransform wellspring of innovation. supply chains provide aconstant Our burgeoning responsible

worldwide by 2022. by Auchan Retail chains developed agricultural supply responsible 1,200 have doubledsince 2018. sales of insect-fed trout at Auchan concerns, proving sopopular that are plainly instep with consumers’ flavour. The new supply channels for food safety andensures better their quality products. This isaboon on theoriginandtraceability of producers who keep atight check we’re also supportinglocal Through thesesupply chains, and contributing to their well-being. in thefood chain,feeding animals insects backintheir rightful place and natural resources. They put a reduced impactonour climate set upover three years that have made-in-France supply channels

France 50 new supply chains

Drinking yoghurts Greek-style yoghurts

Lentils Spain 27 new supply chains Poland 80 new supply chains Romania 14

new supply chains

Responsible supply chains in 2020

Regular or organic custards and cream desserts

Honeys

Milk Fresh milk

Chickens, ducks, geese

Hungary 13 new supply chains

Organic carrots for juice and soups, frozen carrots

Chocolates

Organic vealand processed veal

Roquefort Fresh goat’s cheese

Portugal 28 new supply chains

Organic pork for ham, sausages, cocktail sausages, blood pudding, bacon lardons, paté

Ukraine 6 new supply chains

CRC

Melons

® Other countries 70 flour

new supply chains

Surimi sticks

Salmon Trout Tuna

Blueberries

Wine Pesticide-free potatoes

Organic eggs

PDO Grenoble walnuts

Organic rice 19 Value should be shared! Four million Senegalese people “The opening of several Auchan With our responsible milk traditionally make their livelihood stores has made our products from livestock breeding, so they easily available to more consumers,” supply chains, Auchan Retail have the capacity to produce fresh says Thierry Edmond Goudiaby, guarantees local dairy farmers milk. Yet 90% of the milk consumed Dolima Sales Manager. And this is a fair price and stable sales nationally is imported in powder just the beginning, as Auchan Retail volumes over the long term, form. That’s why Bagoré Bathily continues to develop in Senegal, decided to set up the Laiterie du offering the Laiterie du Berger new while providing consumers Berger, a dairy that has supplied growth opportunities despite social Good for with quality products at milk under the Dolima brand since unrest in the country. affordable prices. This is how 2015 to 33 shops and a drive-in The dairy is seizing the day by pick-up point. Dolima’s organic, fair investing in new machinery and it works in Senegal. trade milk enables farmers to make launching a recruitment campaign, a living, creates jobs for the women boosting the strength of the Dolima who are responsible for collecting milk slogan: “Good for me, good it, and raises awareness about for my country.” environmental issues. Auchan is the only company in Senegal that produces and sells local milk on a major scale.

The cream of milks In Hungary, the fresh Bleu-Blanc-Cœur milk sold in all Auchan hypermarkets won €3,474 the Inno d’Or prize for 2021 Innovation extra on average was of the Year, awarded earned by each farm by the country’s in France that produced best-known retail milk for Auchan in sector magazine. 2020, according to That’s hardly surprising FranceAgriMer. Why this – it’s produced directly added value? Because on the farm from cows the guaranteed price fed a linseed-enriched, Auchan pays its farmers GMO-free diet that is higher than the French contains lots of vitamins average. and minerals. As an added bonus, the farm runs on 100% green energy! #ALL THAT’S BEST FROM HEREABOUTS BEST THAT’S #ALL growth

“Thanks to our partnership with Auchan Retail, we’ve managed to quadruple our business and reach our targets in five years, instead of ten.”

Thierry Edmond Goudiaby Dolima Sales Manager, Senegal

50 km is the furthest distance separating the Laiterie du Berger, Auchan Retail’s partner dairy in Senegal, from the farmers who supply its milk. 20 21 6 Auchan Mieux Vivre Environnement washing-up liquid This colourant-free product is easy on sensitive skin and Editor’s 7 easy on the planet, with its eco-label, its 100% plant-derived pick surfactants, and 50% recycled plastic in its packaging. The water 6 in its formulation was even drawn from the local water table around 1 the manufacturing site! 7 Responsibly sourced chicken 1 Queso Manchego How come these chickens from cheese a new responsible supply chain in A speciality from the Castille- Romania taste so good? Because La Manche region in Spain, they’re reared for 56 days in free made with Spanish sheep’s milk, range conditions with fresh air this certified organic cheese won 2 and daylight, and the grain they the World Cheese Award Gold feed on is grown on the farm. in 2019-2020 for its originality. 8 Responsibly 2 Auchan coffee capsules sourced apples No more plastic! Our Nespresso- 3 The apples sold in Auchan’s compatible capsules are now Polish stores are supplied from made of aluminium, without any responsible orchards where PVC or silicone, so they’re easier quality requirements are higher to recycle. And the coffee scores than those applied to organic better with consumer panels than produce. They’re priced midway the most acclaimed brands. between the basic and organic apple ranges. 3 Cereal bars 9 When you taste them, you forget 9 Ma Purée Nature that these cereal bars sold in mashed potato Russia’s Auchan stores contain With 99.5% potato and 0.5% no colour additives, artificial turmeric, this natural mashed flavours or palm oil. All you notice potato contains nothing but the is the great flavour of this product, best. The same ingredients you’d where sugar has been replaced use at home, with nothing else with syrup of Jerusalem artichoke. 8 added, so you know it’s healthy and authentic. 4 Micro-brewed beers They were an instant hit! 4 Since May 2020, we’ve sold 10 Hooded down jacket more than 25,000 bottles by InExtenso of these white beers, lagers Not only do they look great, and amber ales brewed in one but these unisex down jackets of our Kiev stores in Ukraine. offer plenty of other advantages: an affordable price, a wide choice 5 Braille labelling of colours and an eco-friendly, Over 2,000 of Auchan’s food 100% recycled polyester lining. products are labelled in Braille, such as our delicious fresh egg and plain chocolate ladyfinger 10 biscuits. This civic-minded practice enables people with a visual impairment to do their shopping without any unexpected surprises. 5 22 23 16 “Le Chef, c'est vous” (You’re the chef) Andalusian chicken This microwaveable ready meal was collaboratively designed with consumers. They contributed 12 17 recipes via a Facebook competition, visited the small-scale French production facility, and prepared and submitted the resulting dish to 11 Organic rice 16 be tasted and voted on by the panel. Because of Auchan’s involvement with local rice growers, industrial 17 Tender crunchy millers and processors at every 11 sweetcorn stage – from choosing the seed Our tinned vegetables have varieties right up to delivering the been given a makeover inside rice to the store –, our Portuguese and out! The proof is in this customers can enjoy this organic field-fresh corn with no GMOs rice grown near the Sado River, or added sugar, and even – south of Lisbon. which is much rarer in the sector – with zero pesticide residues. 12 Responsibly sourced Veuve Émille 18 Organic teas organic champagne and infusions A model of a sustainable and 18 Our lines of herbal and regular teas responsible partnership with pack as much flavour as the big winegrowers, this champagne names on the market, but they’re uses grapes grown without 13 much eco-friendlier and more synthetic chemical treatments economical, with each individual and calls for a minimum of sachet packaged in a recyclable 18 months’ vinification in the cellar. paper envelope. That’s 25 tonnes of plastic saved. 13 Round beefburgers This pure French 15% fat beef 19 Cosmia lip balm boasts a Nutri-Score B and is No need to check the label fashioned into round shapes, ideal of this moisturising lip balm for for hamburgers. This makes our controversial substances, there chunky-grind beefburgers not just aren’t any in its new 100% natural good to eat, but super-easy formula! That’s probably one reason to cook. it’s so highly rated on Yuka. And its new eco-friendlier packaging is 14 Mon Goûter biscuits plastic-free and 100% recyclable, too. Sweet-toothed youngsters will love these biscuits and their 20 QiLive Smart Fan hazelnut spread filling, made 14 Connected and silent, with with cocoa certified by one of adjustable brightness, 3 modes the world’s biggest sustainability and 12 speeds to suit different programmes, UTZ. In a nod to conditions, this fan is left totally our friend Nutella – and because unpainted for a lower environmental we’re practical-minded – they impact. It won the 2021 International come in a resealable bag! Red Dot Design Award and comes with a 3-year warranty. What more 15 Auchan glue stick could you possibly want? An Auchan exclusive, this glue stick is made with 90% natural 19 ingredients. We’ve incorporated 8.5% of recycled material into the push-up tube and given it a rectangular shape for more precision and practicality – now 20 it doesn’t roll around the table! 15 24 25 26 #ALL THAT’S BEST FOR EVERYONE every sense of the word. products that are goodin Retail standsfor –offering They symbolise what Auchan Controlada brand? under the Alcampo Producción vegetables we sell inSpain the eco-farmed canned Have you come across the Yuka app. people poston the user comments we take account of range, for instance, our Cosmia cosmetics continue to develop processes. As we in our quality control a hugely important role comments, they play panel and,through their 60 consumers oneach smell. There are at least colour, texture, taste and evaluate their shape, to external panelsto 240,000 products year, and we submit laboratory tests every and microbiological 30,000 physicochemical We carry out quality andsafety. their unimpeachable every stageto ensure its food products at a very closeeye on Auchan Retail keeps qualitycontrol Stringent

to try outstanding products –for instance, Auchan products, like thecertified sustainably fishedtuna for bringing customers goodfresh or processed we sell intins,containing whole slices cutfrom the best partsof thefish.Someof our supply Alter Eco coffee, which isafair trade organic “Our responsible supply chainsare essential chains even offer our customers thechance coffee grown by 35Mayan communities in the Chiapas highlandsof Mexico. Itranks among the fineston themarket.” Auchan Worldwide Food Production Director all that’s best Pascale Cartier for you

by focusing ongoodproducts that satisfy eachoneof theseconsumers, But we’ve come up with a way to when deciding what to buy. shopping, andtheir prioritiesdiffer all have thesameapproach to Naturally, theseconsumers don’t to discover new flavours... shoppers or justcuriousandeager cuisine; whether they’re ethical they’re into comfort food or gourmet centralto well-being; whether diet, or simply believe nutritionis they’re on a special health-conscious target all consumers – whether we’re scalingup our ambitionsto canned food isevidence of how Our Alcampo Producción Controlada the best value for money we can. customers’ needs while providing has always beento meet our Auchan Retail’s mainobjective disabilities in the production chain. proud to employ 24 people with of flavour. Not only that, but we’re offer excellent quality interms allergen-free andclean label, locallygrown vegetables. They’re – are made with fresh, organic and to freshly picked crushedtomatoes tinned foods – from pumpkin soup All Alcampo Producción Controlada with vitamins. with vitamins. method meansit’s crammed sugar, while agentle pasteurisation GMOs, nocolouring andnoadded in Russia recently. Itcontains no fruit puree Auchan Retail launched bringing outnew products like the yoghurts andcandies; we’re replaced by natural onesinour mashes; artificial flavourings are disappearing from our vegetable colourings or preservatives are emulsifiers andother additives like ingredients. This meansthat like home-made,” usingsimple further, with recipes that are “just Our clean-label products goeven sugar andfat. since 2018 to contain lesssalt, We’ve reformulated 360of them nutritional profile at thesametime. the opportunity to optimise their from our recipes, and we’re taking remove 70 undesirable substances brand products. We’ve pledgedto improving therecipes of our own- Key to thisapproach iscontinuously without damagingtheir health. and products to treat themselves that make mealtimesapleasure, are goodto eat – healthy products

and nothing else Bio range. off theentire Auchan card gives them10% food, sotheir loyalty to afford organic customers to beable France wants all its Auchan Retail Organic for all 27 Auchan also has specially committed to eliminating Over formulated dishes to cater for pesticides from food, as evidenced customers who don’t eat certain by the “zero pesticide residue” things – like gluten, lactose, range on sale in our Spanish, 140 t or meat – as well as delicious, Portuguese, French and Romanian of sugar have been balanced dishes devised with stores. Launched in 2015 and eliminated from our soft drinks in France input from chefs. Then there are based around specific cultivation since 2019. the products that we come up systems, the range initially with jointly with customers in our enabled us to offer our customers cookery workshops, or through 100% pesticide-free oranges, our interactive “Le Chef, c’est vous” tomatoes and broccoli. Now it has (you’re the chef) collaboration. expanded to summer berries and 2,800 The latest “Le Chef, c’est vous” persimmons, as well as vegetables eco-friendly products meal is Andalusian chicken, a such as aubergines, courgettes, are on sale in Alcampo microwaveable Auchan ready bell peppers and onions. To further in Spain, along with meal prepared from recipes that remove pesticides from the food 400 lactose-free products, 1,385 people submitted on our chain, we also promote organically that are gluten-free, Facebook page. grown produce. This is proving 180 Alcampo increasingly popular, and we’re Producción Controlada For Auchan Retail, a good product seeing sales of our organic lines products from responsible supply is also one that’s in tune with rising, bolstered by regular special chains, and 1,270 local shoppers’ shifting tastes. We’re offers. In Portugal a new organic products. Auchan especially eager to support the rice grown just 80 kilometres Retail also carried out trend for conscious consumption south of Lisbon now accounts for over 17,000 quality checks and analyses that prioritises health and the 45% of our rice sales in the country. on products in Spain environment. That’s why we’re so during the year. Yum, for real!

Palm oil heads the list of controversial ingredients

#ALL THAT’S BEST FOR EVERYONE FOR BEST THAT’S #ALL 36 t of pesticide-free because of the major part it potatoes were sold by Auchan Retail plays in deforestation. Auchan in Ukraine over the month after they Retail is campaigning to cut went on sale in down on its use and lists it as September 2020. an ingredient to avoid in its own-brand recipes. When we can’t find a suitable substitute ingredient, we only use RSPO IP or SG certified palm oil (two traceability systems that guarantee it has been sustainably produced). This means we can satisfy your sweet cravings without harming the planet!

28 29 30 #ALL THAT’S BEST FOR EVERYONE

Close to of its sustainability strategy. food waste akey element Retail hasmadecombatting and unacceptable, so Auchan We think thisisneedless, it’s still perfectly edible. across Europe even though of food endupinthebin Every year, 88milliontonnes

expiry

? 1 Too Good To Goapp. partnership with the Auchan Retail’s Portugal through France, Spainand meals saved across . 5 m practically every week.” but now I’mhaving it to eat salmonoften, its origin.Ididn’t use and –mostimportantly – just the value for money, I don’t checkthedates, I stock my freezer. nearly every day and shopping: “Icome in port of call when food in Essonne, it’s thefirst in Villebon-sur-Yvette, For Macouf, acustomer by the end of 2020. discount section out with a“save it!” France had beenfitted Auchan stores in 120

of goodness! of underliningthat pigsare full lean from our pork. This isour way shoulder, blood,neck,liver, fat and range that make useof the belly, to our organic Auchan charcuterie example, we’ve addedfour products into our own-brand foods. As an every partof theanimalsthat go a “nose-to-tail” approach that uses at the source, working towards We’re now alsotackling waste in aprocess we developed jointly. and processes itinto animal feed a specialist company that collects counters to use,teaming up with that putsthe waste from our fish In France, we’re theonly retailer of their size, shapeor appearance. have endedupinthebinbecause vegetables that might otherwise making soupsandpurees with best-before dates. InSpain, we’re clearer information about use-by/ Pact in2020, pledging to give signed upto Too Good To Go’s millions of meals.InFrance we Zéro-Gâchis (zero waste) rescue our partners Too Good To Goand assistance donations andhelp fronts. Every year, we make food It’s abattle we’re waging onall food waste.against a new weapon inour campaign “save it!” sections since 2020as and Poland have featured these France, Spain,Portugal, Romania price sections.Our stores in and sell theminspecial reduced- but at Auchan Retail we display packaging shouldbethrown away, carrots, or pastaindamaged use-by date, unusually small yoghurts aboutto passtheir items suchas yesterday’s pastries, Some peoplemight thinkthat 31 32 #ALL THAT’S BEST FOR EVERYONE greener materials. altogether or replace it with firmly resolved to get ridof it ferret outany plastic we find, Retail, we’re continuing to in their packaging. At Auchan Not inour products, andnot We don’t want itany more! Retail’s logistics andsupply chain. the sustainability guruin Auchan tonnes of plastica year,” says Clément, managed to save around three 12 kitchen utensil products and we rethought thepackaging on “Together with oneof our suppliers, transport andstore products, too. this policy extends to the way we Our customers don’t seeit,but plastic useby 80%. recyclable innovation that reduces system, asolid,safe andentirely packaged usingtheFlat Skin organic andprocessed veal is And Alcampo’s new range of and recyclable cellulose. in boxes madeof 100% recycled responsibly sourced eggs come products. For instance, our packaging, includingfor food eliminating plasticsfrom our this, we’retandem with In fibre, corn powder andmelamine. tableware madefrom bamboo launch arange of reusable Auchan iseven gearing upto Our kitchenware brand Actuel by plastic inour reusable items. down ontheamount of virgin single-use products, we’re cutting efforts. As well asreducing itin plan, and we’re accelerating our commitment of our Auchan 2022 Eliminating plasticsisakey wooden cutlery. snack aisleshasbeenreplaced by meals of all our European stores’ plastic cutlery inthesaladsandpasta plastic products. Seven months on, environmental impactof single-use Pact, which aimsto curbthe signed upto theEuropean Plastics In March 2020, Auchan Retail Well on our way to zero plastic! with potato starch. range are made Vivre Environnement Auchan’s Mieux the binbagsin home compostable, 100% Compact Award. Nations Global we won theUnited prize, while inUkraine City government we received the Taipei in 2020. In Taiwan in several countries earned usawards on aglobal scale battle with plastics commitment to do Auchan Retail’s back onplastics Hailed for cutting at our French supermarkets. scheme isnow beingrolled out 83 Ecobox collection points. This by shoppersto oneof our stores’ 130 million plasticbottles, returned already given asecond life to Cristaline six years agohas the partnership we set up with actively promotes. InFrance, of plastic, which Auchan Retail And finally there’s therecycling products by volume from dispensers. countries, you caneven buy liquid products soldby weight –insome we’re extending our ranges of loose sections ineight countries, and sale inthefruitand vegetable washable, reusable net bagson alternatives onoffer include in our stores. More eco-friendly we’re doing away with plasticbags the retail distributionchain, To keep down plasticsall along French stores. fishmongers inour the butchers and plastic onesusedby to replace the55million compostable are set that are 100% home Vegetable-fibre trays Group and Silver Plastics Alliance Packaging developed with exclusive innovation Auchan thanks to an saved annually at of plastic will be 1,100 t

33

® . 34 #ALL THAT’S BEST FOR EVERYONE

secondhand

2.4 t is the average volume of unused articles accumulated by each French household, according to A While it’s less visible than food waste, this wastage has the same damaging impact on natural resources and the climate.

DEME.

life

as for our customers. for the environment, as well a second life. That’s a win waste by givingproducts also combats non-food worn. Because Auchan Retail in 2020hadalready been bought inour hypermarkets A full 80,000garments

new

from Auchan Retail’s desire for hypermarkets. The ideastemmed concept to all 120of our French of 2021, we’ll have extended the 85 across France and,by theend Gironde. A year later there were and Bordeaux-Mériadeck in Marseille inBouches-du-Rhône Seine-et-Marne, Hirsonin Aisne, in northern France, Melun in Auchan hypermarkets of Roncq opened inFebruary 2020inthe the first five Patatam sections History will remember that they need for free. so other peoplecanget what things they don’t needany more, encourages peopleto give away this zero-waste schemethat of items. We’re actively promoting facilitates thedonation andreuse a startup whose mobileapp We’ve teamed up with Geev, partnership inFebruary 2021. different kind of waste reduction Auchan Retail entered into a the success of theseinitiatives, focused onclothing. Following a circular economy scheme retailer in the country to roll out Auchan Retail Romania isthefirst in perfect condition. wide range of pre-worn garments where customers canbrowse a dedicated 60-m LaMajole, we’ve set upa with secondhand fashion chain North hypermarket. Partnering Romania, in Auchan’s Cluj-Napoca We introduced asimilar concept in the first year. pieces soldevery day during with an average of 15 to 20 Patatam seems to appeal to our customers, This novel shoppingexperience of their choosing.” to pass onthe€5to a charity all our stores. Or they can decide €5 voucher that canbespent in “Then they swap thebagfor a hypermarket inSeine-Saint-Denis. Auchan’s Épinay-sur-Seine explains Marine, manager of clothes they want to donate,” “Customers fill half thebag with can collect more clothes to sell. shoppers with “Patabags” soit T-shirt). Patatam alsoprovides prices (like €3for any adult which it resells at very affordable to the brand’s pre-loved garments, to our regular clothing section We dedicate an area next a new distributionmodel. retailer: together we invented online secondhand clothing Prior to this,Patatam was an economy. and encouraging thecircular easy access to secondhand goods, conscious consumption, providing to those who advocate more a three-pronged strategy, catering 2 area in-store 35 a pale imitation or design hand- creativity picked

by our consumers

Auchan Retail has a sure-fire recipe for designing an exclusive product offering that fulfils popular preferences to a tee! We innovate by involving our customers during the design phase of our products. Take our new Cosmia Bio liquid hand soap. Not only is it singularly noise-cancelling headphones, healthy, pure and eco-friendly, The best tech at affordable designed for a totally immersive but it also has a lovely aloe prices – that’s the promise experience that cocoons #ALL THAT’S BEST FOR EVERYONE FOR BEST THAT’S #ALL vera fragrance. This scent Auchan Retail’s multimedia you in a bubble. They won came out top in a social media brand Qilive has been the prestigious 2020 Red Dot vote among our Polish, delivering on since its launch Product Design Award for their Spanish, Portuguese and in 2013. Now consumers ergonomic design, innovative French customers. can enjoy Bluetooth Q1009 performance and sound quality. 36 37 In the face of climate destabilisation, the impending exhaustion of natural resources, and threats to biodiversity, we consider it more important than ever to make our products environmentally friendly. 100% home-friendly 100%

100% of the packaging on our own-brand products was recyclable, reusable or compostable by 2020. 20% eco- lower impact on natural resources with our eco-friendly Auchan Mieux Vivre Environnement toilet paper, made with 30% recycled paper. 100% Laundry detergent friendly recycled polyester that’s a hit! is used in the filling Zero colouring or making ongoing efforts to green compost derived straight from of InExtenso puffer fragrance: brought more product ranges so this option our local superstores! They all sort jackets sold in our out in 2018, Auchan’s can be available in all the their organic waste and deposit clothing departments. own-brand hypoallergenic departments of our stores. it in watertight containers; once liquid laundry these are full, they’re transported detergent was ranked Let’s leave the kitchen behind but to a composting plant. This No. 2 among stay in the house: if your bathroom compost from the circular the 21 detergents compared by French needs a good clean, why not use economy adds natural nutrients consumer association paper towels from Auchan’s Mieux to the potting soil, so there’s no UFC-Que Choisir in Vivre Environnement range? Our need to enrich it with chemicals. February 2021. 100% supplier Wepa manufactures the The product was even selected by In tests for washing of waste is recycled effectiveness, colour at 26 Auchan Retail rolls with wastepaper they’ve non-profit Ecodes as one of their protection and Spain zero-waste sites. Actuel by Auchan kitchenware is collected from offices. Or perhaps 101 examples of company-initiated product composition, the first range of its kind to be you need to sweep your terrace? actions #fortheclimate 2020 it proved outstanding! 100% launched by a retailer. What makes How about trying the stiff broom because it’s sold in packaging sustainable cooking it so special? It’s made entirely in our new range of brushes made that contains recycled plastic. utensils in our Actuel by Auchan range, from used aluminium cans, from recycled wood and plastic? And this green material also because they’re made employing 100% sustainable Its handle is made with FSC- comes from Auchan’s Spanish from recycled technology that preserves natural certified wood, meaning wood superstores, which collect the aluminium cans. resources through recycling. The from sustainably managed forests, low-density polyethylene waste pots and pans are still great quality while the bristles are generated by their logistics – they come with a five-year manufactured with recycled operations. “By incorporating guarantee, and their non-stick plastic from seven 1.5 litre bottles. 50% recycled pellets into the coating is among the best- And while you’re out there, you packaging, we reduce the carbon performing on the market. Plus the could spend some time taking footprint of the raw material we packaging is 100% recycled and care of your plants. In Spain, use by 37%,” explains María Cueto,

#ALL THAT’S BEST FOR EVERYONE FOR BEST THAT’S #ALL FSC certified. But it’s a step we recommend the universal waste valorisation development change for conscious consumers, potting soil produced by Alcampo manager at Saica Natur. “This means who can kit out their home while in partnership with Saica Natur. we’re preventing 60.2 grams also protecting the planet. We’re It’s enriched with 10% high-quality of CO2 emissions per bag.” 38 39 We provide Our product good nutritional information We1 offer 2 culture Yuka is an app that independently rates foods and good products cosmetics. For a food product, 60% of the evaluation relates to its nutritional quality, 30% to its additive in 3 bite-sized nuggets content and any risks they pose to the consumer, and 10% relates to the product’s organic aspect.

When you go shopping these days, you’re spoilt for choice – there’s something for every taste and every budget. But how do Auchan Retail makes it easy you spot the best products amid such abundance? At Auchan, we turn to reliable to be a good consumer. First Auchan Retail helps people make good national benchmarks to help our customers, of all, we select and design consumer choices, and the quality of our including La Note Globale, the Nutri- own-brand products is a major priority. Score, and ratings on Yuka. Auchan now the goods we sell to offer We’re committed to bringing our also displays the Nutri-Score on the ­customers the best and are improving ­packaging of our products sold in countries We encourage quality, while being fair to the nutritional composition of our food other than France, Spain, and Portugal. both our customers and those products in line with France’s national In Romania, Auchan Retail is the country’s good eating healthy nutrition programme goals. What first retailer to display this type of infor- habits who produce the products. we sell is informed by an array of analyses mation. And that’s not all – Auchan Retail 3 We adapt to shifting tastes carried out by independent laboratories is pledged to promote healthy, local, and every year, along with product tastings responsibly produced products, so we and provide clear points of organised with experts and consumers. promote certifications such as the MSC What makes food shopping tricky is that We’re developing more sustainable Sustainable Fishing label and even bring healthy nutrition isn’t just about buying reference to guide shoppers ­sourcing through our responsible supply out distinct ranges. We also demonstrate good products. You also have to combine in their buying decisions. chains. In tandem with phasing out un­­ our commitment by continuously improv­ them right so that you’re eating a balanced desir­­able substances such as hydroge- ­ing traceability and labelling on our diet. We realise this can sometimes be And we also supply expert nated fats and aluminium salts, we’re ­products, with two aims: to offer full trans- quite a challenge, so Auchan Retail works advice that encourages reformulat­­ing our recipes with more fibre parency on their composition, and to with nutritional experts to encourage and protein, and cutting back on salt, ­guarantee their – and their ingredients’ – people to eat well. In France we’ve partnered our customers to eat healthily. sugars and saturated fatty acids. Our offer origins. Now shoppers can tell at a glance with the Institut Pasteur de Lille to create is expanding, with clean-label products that Auchan’s new Superior Ham contains a space on our website called “Mieux Here’s our 100% socially that are just like homemade – they contain 92% meat, is produced in Spain, and ­manger, c’est facile!” (healthier eating, responsible strategy, simple ingredients and nothing else. boasts both a Nutri-Score rating and the the easy way!). Here, people can spend a For customers with special dietary needs, “Commitment to animal welfare” label! few minutes to take stock of their diet by in three bite-sized nuggets. we’ve also launched Mieux Vivre, a vege- answering a questionnaire, and then pick tarian range that’s gluten-, lactose-, and up some tips for getting into good food nitrite-free. What’s more, we’re the only habits. In Portugal we’re taking another retailer to sell three product lines – organic, approach, with two nutritionists training standard, and budget foods – loose by Auchan Retail staff so they’re equipped weight. Through our interactive “Le Chef, to answer customers’ questions about c’est vous” experience, we even manage healthy eating, from family meal planning to stay ahead of our shoppers’ shifting The Nutri-Score logo on packaging was designed to how to strengthen your immune system with France’s national healthy nutrition programme goals tastes by involving consumers in devising in mind, to inform consumers about the nutritional quality through your diet. our products, both food and non-food. of food products. The bigger, highlighted letter on the logo shows which category it falls under. The green “A” is the best rating, and the red “E” is the worst.

La Note Globale is the first indicator to give an overall measure of food products. Each product is scored out of 100, as well as receiving six specific ratings related to these issues: animal welfare; environment; nutrition and human health; traceability and transparency; origin, fairness and contribution to the French economy; and corporate social responsibility. #ALL THAT’S BEST FOR EVERYONE FOR BEST THAT’S #ALL

40 41 Our hypermarkets have Inside our superstores, we have logistics operations and product chefs and kitchen crews preparing storage, as well as their scope to taken on a new role, delicious sushi, seafood, cheese serve as social destinations. Our preparing good deli food platters, pastries, snacks, deli aim is clear: we want to transform for customers to eat in-store dishes and more – using each of our hypermarkets into a and for consumers who ingredients from our shelves – platform that serves its surrounding so in-store shoppers can treat their community locality. live nearby to take home taste buds. But they’re not the only after shopping at Auchan. ones, because these freshly made The new-generation Auchan We’re reinventing our products are also sold through superstore operates in symbiosis Auchan’s other contact points in with its environment, woven into superstore format as a the locality including supermarkets, the fabric of the regional economic multi-purpose platform convenience stores, pick-up points and agricultural ecosystem. It’s to serve its surrounding for online orders, and even home becoming a genuine hub at the delivery. heart of its locality, part of a community locality. network of a dozen or so different A hypermarket that gives local points of contact with customers residents super-easy access to across the area, whom it caters great food, Auchan Retail-style, at to in a host of ways. any hour they like – this is one way The superstore’s large scale makes we’ve rethought the raison d’être it the ideal centrepiece of the retail of our largest store format. When jigsaw – it’s both a production hypermarkets were first invented, platform for preparing food at scale they were designed so everyone such as deli foods, pizzas, sushi and could buy anything they wanted, bakery products, and an appealing at the best prices and under one place for customers to come and super roof. But that was 60 years ago. sample masses of local products Since then, these superstores have and dishes. Now a hypermarket is 9 had to adapt to modern shopping a place that forges strong social The Faches-Thumesnil habits and the expectations of bonds and forms the backdrop hypermarket in northern contemporary consumers. Auchan for new experiences, such as taking France serves as the Retail is accelerating this change, part in cookery classes. It also acts supply platform to nine capitalising on its hypermarkets’ as a super-sized warehouse for bricks-and-mortar contact foods points for Auchan capacity to accommodate ­ storing products and preparing in our superstores customers. large-scale fresh food production, online orders for delivery. #LALL THAT’S BEST BETWEEN OURSELVES BEST THAT’S #LALL

for all

42 43 Our rethought hypermarket also Now when they come to Auchan, has a fifth function, one that is they can also stock up on sports pivotal to its new role as a platform equipment from Decathlon, serving the community locality multimedia goods and small – it becomes a modern “market household appliances from square”, welcoming regional Boulanger or Electro Dépôt in producers or non-food partner France, and Hifi in Luxembourg. brands to set out their stalls in Shoppers in Romania, Portugal a dedicated area where they can and France can browse secondhand sell their wares independently. clothes in the in-store Patatam This gives customers access to corners, thanks to our partnership a wider range of products and with this specialist vendor of ­ a new shopping experience. pre-owned garments. Since 14 October 2020, Auchan shoppers have been two able to get their bicycle fixed or buy a new basketball in the Saint-Jean-de-La-Ruelle hypermarket (near Orléans). in one That’s because this store now plays host to its first shop- in-shop, an extension of the Orléans Sud Decathlon. This concession is comfortably accommodated across 360 m2 by the main entrance to the store, opposite Auchan’s clothing section. As well as offering customers easy access to sporting goods and equipment – and a team 85 of Decathlon experts on hand Auchan stores in France feature a to advise – it also provides “second life” clothes section by Patatam. the best of services, including a free self-service Click &

#LALL THAT’S BEST BETWEEN OURSELVES BEST THAT’S #LALL Collect. or twice as nice? twice or

31 Auchan hypermarkets worldwide have opened Decathlon sections, including 7 in France.

44 45 online or in person

Auchan invented the French a university, or similar. Even more grocery pick-up drive-in, opening practical is the home delivery option, the very first one 20 years ago in so there’s no need for them to leave Leers, in northern France. Since the house. And it’s not only in France then, we’ve been continuously that Auchan Retail is expanding diversifying the channels available the online shopping delivery and for consumers to order food online. pick-up choices available to our And our success has been richly customers. In Senegal, we were rewarded – for instance, France’s the first retailer in the country to federation of e-commerce and offer the drive-in collection points distance selling has ranked our and home delivery that Dakar Chronodrive website the best in residents now enjoy. We’ve also France in 2021. The secret behind recently opened the first Auchan our winning ways is our constant drive-in in Poland and Ukraine. pursuit of innovation. “Our aim is to really connect with shoppers by Wherever you look in the world, fulfilling their needs, at every point our innovating spirit has plenty in their lives,” explains Jean-Denis of momentum behind it. Take Spain, 33% Deweine, CEO of Auchan Retail where around twenty of our increase in Auchan France. “We’re rolling out new superstores now use the WhatsApp Drive revenue formats that rely on the capacity messaging service to communicate in 2020. of our regional hypermarkets with buyers of household appliances – with their massive surface areas or tech products. A specialised that we’re repurposing – to act as sales advisor goes through the entire supply funnels for our little ultra- purchasing process by chat, phone convenience stores where people or videocall with customers, and the can pick up their orders.” Now products are delivered to their home that shopping has moved online, within a few days, with payment #LALL THAT’S BEST BETWEEN OURSELVES BEST THAT’S #LALL it’s as if the superstore, with its on delivery. A strategic partnership abundance of choice and its we signed with on-demand courier popular prices, is coming to the service Glovo in 2020 covers customer, reversing the tradition five European countries – Spain, where the customer goes to Portugal, Poland, Ukraine, and the superstore to find everything Romania – so customers living within under one roof at a fair price. an eight- kilometre radius of our Online sales of Auchan stores in those countries can now Auchan’s e-commerce channels enjoy express delivery. products in France jumped all start with the online order by 32% in 2020. Because – but beyond that, it depends on of COVID-19? It’s fairer to say exactly what suits the customer and how much time they have that the pandemic has to spare. With Auchan Drive accelerated an established they can pick up their shopping underlying trend. At Auchan by car, in a hypermarket car park, Retail we’ve been working or at another local pick-up point connected to the hypermarket. steadily for a long time on If they opt for an Auchan Locker, you’re in strengthening our online their shopping is left at a Click & relationship with customers Collect point conveniently located charge somewhere in the area where and providing them with their they live or work, such as at preferred shopping channels. a company HQ, a hospital, 46 47 Auchan Retail staff in Ukraine are also working with a new format, 30% called “Pick-Up Points”. The first of revenue from one opened in Kiev in January Auchan Retail France sales of non-essential 2020, and now the country has five products was of them. These 40-m2 urban mini- recouped through stores are located in ultra-easily Click & Collect when accessible spots so customers those sections of our stores were can order online and collect their closed in November shopping with the minimum of and December 2020. hassle. “We’ve given ourselves a target of making 15% of our sales Auchan Retail’s digital outside traditional bricks-and- transformation strategy has given mortar shops,” explains Natalya rise to a multi-format distribution Pylypenko, Sales Director of system. We’ve brought together Auchan Retail Ukraine. “We’re all the different channels and actively increasing our efforts in capitalised on the ways they that direction and are making good complement each other by tying headway. The aim is to extend them into the community localities. our existing e-commerce projects To meet the imperatives of today’s to cover the whole of Ukraine, consumer thinking, this distribution so that everyone has access to approach is taking increasingly our products – even in areas where varied forms, driven by a steady we can’t open any Auchan stores resolve to improve our quality in the immediate future.” of service.

In 2020, Auchan Retail France opened another three Auchan Piéton walk-in collection points in the city of Lille, where there were already two. After decades of siting our stores on the outskirts of urban areas, we’re bringing life back into the centre of towns with these new phygital contact points. Customers can pick up their shopping within their own neighbourhood at these “pedestrian Auchans”, which we’ve been trialling since 2018. The collection points are very small Home delivery #LALL THAT’S BEST BETWEEN OURSELVES BEST THAT’S #LALL stores that also offer a limited is gaining ground range of self-service products, Our partnership with Glovo expands and are stocked via the out-of-town the home delivery Auchan superstores. They’ll enable services that Auchan Auchan Retail to increase its Retail has already set up coverage of a region, make the with local courier companies in other products sold on the auchan.fr countries, including website more accessible to people 8% Sbermarket and Igoods across the country, and help of Auchan Retail’s Convenience stores in Russia, Raketa and “We’re very proud to be Auchan tailor its offer to each revenues were in service stations Zakaz in Ukraine, generated outside Now Auchan shoppers Shopopop and Yper working with Auchan to offer community locality. In early 2021 hypermarkets can fill up their in France, and Wedely our users in Spain, Portugal, we began a nationwide rollout of or supermarkets shopping bags as well in Luxembourg. Home Ukraine and Poland even the Auchan Piéton format in France in 2020. The figure as their tanks! Auchan deliveries are booming, more shopping and store choices. At Glovo, we’re and it’s gathering steam – by the varies from country Retail has signed with the pandemic to country (12% partnerships with oil effect translating into always looking to partner end of the year, the country will in France, 8% in companies to operate a 29% upswing in 2020. with leading names who help have 300 of them. This new service Luxembourg and and stock small-scale enrich the services we can brings all the products in a whole Spain, 7% in Portugal retail outlets. This new provide, and who share our goal of making shopping hypermarket within easy reach and Romania), but type of convenience has increased by store is now found in more convenient With Auchan Lockers, of a town’s residents. 2.2% in a year. 400 Petrom stations for the customer.” consumers have With the continued in Romania, as well as 24/7 access to more growth of our many service stations Oscar Pierre than 10,000 everyday existing distribution under the banner Glovo CEO and co-founder products. channels, it’s of BP in Poland, Aral predicted to hit in Luxembourg and 15% in 2022. Cespa in Portugal. 48 49 Solidarity has never been Right from the start of the drive-in collection points. We also more important, to help us get COVID crisis, Auchan Retail set up partnerships to make it through these unprecedented demonstrated our solidarity easier for the public to donate with local producers, who often to the social supermarkets that times. And it’s been more had to contend with restaurants, cater to students, and to distribute apparent than ever before in canteens and even whole meal boxes on campus. In 2021 markets shuttering. Farmers, we’re continuing down this path, Auchan Retail stores. Our staff growers, breeders, fishmongers boosting students’ buying power everywhere have channelled and market gardeners had by giving them a €10 voucher terrific energy into finding to find new channels to market for every €20 they spend in store. a place their perishable produce, and inventive ways of supporting our teams at Auchan came up Other solidarity actions have vulnerable people. with hundreds of ways to connect included Auchan Retail opening up them to consumers. We ran ad our physical platforms to traders campaigns to promote sales, who were forced to close their we incorporated their products stores because of COVID restrictions. of support into our Auchan drive-in offer Our hypermarkets played host to and highlighted them in the booksellers, giving over sales areas aisle-end display areas in-store, and storage space to them. Auchan and solidarity we organised mini-markets in superstores enabled businesses our stores’ car parks – these are selling cultural products, toys just some of the new selling and clothing – as well as the models our staff everywhere put 55,000 online retailers who use in place, reacting in agile mode. the Mondial Relay home delivery Bidibules under service – to expand their Click the Christmas Auchan’s other priority was to & Collect offer by allowing them to tree with Auchan! “Because of Auchan’s help people suffering from food use our parcel collection counters. uncompromising insecurity. In France, for instance, We expressed our solidarity with stance and incredible students are a particularly restaurant owners whose businesses solidarity, something vulnerable group. So in 2020 had to close by inviting them to wonderful happened for the Bidibules: the retailer bought we made sure we maintained come and sell their dishes in Auchan the 40,000 toys we had in stock the work contracts of all students stores, where they were also able and promoted them. Our two employed in our shops and to reconnect with their customers. teams worked like crazy and managed to get enough Bidibules to put under the Christmas tree.”

Fabrice Raffo CEO of Kidul Food Bank solidarity The coronavirus pandemic saw demand for food assistance skyrocket during 2020. While Auchan Retail France is a long-standing supporter of the charities Unwavering support working to alleviate for carers and hunger, we committed the very vulnerable ourselves to offering Auchan Retail staff even more help during rallied round in every this emergency and came country to tailor up with a fresh idea: our services to throughout November – and pay tribute to – and December, we the outstanding organised a virtual commitment of collection scheme healthcare workers. at all our customer We set up special contact points. A grand access arrangements total of €475,000 or opening hours was collected, reserved for them which – together with in stores, delivered exceptional 5% match groceries directly funding from Auchan – to hospitals, donated equates to 79,400 meals. products, and On top of that, customers supplied equipment made additional or meals. Initiatives donations at the physical were also launched collection points.

#LALL THAT’S BEST BETWEEN OURSELVES BEST THAT’S #LALL to support the most vulnerable amongst us, such as seniors and people with 50 disabilities. 51 The inside story on our products Our podcast series De la graine à l’assiette (from seed to plate) is available on the Ausha podcast platform. Over 10 episodes, we hear from local growers and artisanal food producers, anti-food waste activists and a host of others, who tell the story of how we come up with our products and select which ones to put on our shelves.

Auchan Retail – 2020 Annual Report Design and production: – July 2021. Photo credits: Auchan Retail photo library, Adobe Stock, Getty Images, RÉA Agency, all rights reserved. Thank you to all the employees, customers and partners who appear in this annual report.

And find us on social media The cover of this document is printed on eco-friendly Crush paper, which is certified FSC mix credit and made from GMO-free organic food industry AuchanRetail Auchan Retail @Auchannews Auchan Retail by-products, which replace 15% virgin tree pulp and 30% post-consumer recycled fibre. Its production uses 100% renewable energy. The inside pages are printed on Munken Kristall Rough, an FSC mix credit and Cradle to Cradle Certified® Bronze level paper. 52 Did you notice the corn kernels when you opened this report?

Because we want the best for our planet, we’ve printed our annual report on especially eco-friendly paper. Look closely and you’ll see little particles in the paper cover – they’re residues from the GMO-free maize that replaces 15% virgin tree pulp and 30% post-consumer recycled fibre in Crush Corn paper. And, as you flip through the inside pages, you’re touching one of the few papers that can boast international Cradle to Cradle Certified® status, which is reserved for product design with a positive environmental footprint.

Communication Department www.auchan-retail.com