Eleven Galeries Lafayette French provincial stores to become franchises
What: At the completion of this project, which is expected by early 2022, Galeries Lafayette will be operating 19 stores directly and 38 as franchises.
Why it is important: This more agile operating model will allow the group to maintain its strong brand presence throughout France while refocusing its investment and efforts on its French flagship stores, the ramp-up of its omni-channel strategy and its targeted expansion outside France.
This project, which would involve the sale of premises and operations, relates to the stores in Angers, Dijon, Grenoble, Le Mans, Limoges, Orléans and Reims. At the same time, Hermione People & Brands (FIB group retail division), already an important franchisee of Galeries Lafayette, would take over the stores in Pau, Rosny and Tours, whereas the business assets of the Avignon store would be entrusted to Philippe Sempéré and Nicolas Chambon, who already operate the franchise for the Béziers store.
Three years after arranging franchises for 22 Galeries Lafayette stores to Hermione People & Brands, this new phase aims to reinvigorate these high-quality commercial and property assets, located mid-sized French provincial cities. This project would have no impact on employment.