There are companies that we have always known for our shopping needs, which suddenly disappear, others that merge to better withstand the headwinds, and still others that break the law and will have to pay a hefty price to make amends, but all are impacted by the decline in purchasing power of the French. The wheel keeps turning…

BHV: Employees worried about the sale

After the announcement of “exclusive negotiations” with Société des Grands Magasins (SGM) for the sale of BHV Marais, BHV Parly, and the bhv.fr website by the Galeries Lafayette group, some employees are feeling uneasy. Despite assurances from management promising job retention and announcements of plans to develop current commercial activities, there is growing concern among the teams. The references of this acquirer, specialized in acquiring and revitalizing downtown commercial sites, have not entirely reassured employees, who fear the possibility of offices replacing them, although this does not seem to be the goal of SGM. A press release mentioning the possibility of “changes to be made on the sites” and the desire “to highlight a unique real estate heritage, with high-quality buildings” has caused concern.

Videdressing fades in favor of Le BonCoin

Although its disappearance is not entirely surprising, the marketplace specializing in buying and selling fashion and luxury items has announced its closure on July 1, 2023. Created in 2009 and acquired in 2018 by Leboncoin (Adevinta), the site will actually be absorbed by LeBoncoin. The possibility of selling on the platform should be unavailable as of April 12, 2023. However, it is a transfer of technology since, according to a press release, “You will find most of your favorite features and beloved brands on Leboncoin.” Antoine Jouteau, CEO of Adevinta, is pleased with the journey: “More than 2.5 million items have found a second life, thus preserving the planet… and your purchasing power!” (…) “Videdressing has very advanced expertise in functionalities related to payment and delivery. Sharing knowledge will allow us to quickly offer our users a better experience in our ‘fashion’ categories, which are among the most popular. The Videdressing brand and its business model will be sustained, supported by our experience as a leader in classified ads.”

San Marina in turmoil

San Marina stores have closed since February 18. While the brand had long hoped that the takeover offers would avoid the closure of the company, these “did not meet the conditions of the law to be retained in judicial reorganization,” according to the brand’s lawyer, Bernard Bouquet. The stakes were high, as even if the 650 employees could not have been saved by the various offers, hope is now gone. The two main shareholders had to abandon their offer, which planned to take over about a third of the 160 stores, due to lack of funding, even though they had planned to lose the majority to attract investors. Like many ready-to-wear brands, reference is made to the difficulties encountered by the brand since the health crisis.

Instagram: Alcohol advertisements to be removed

The advent of social networks sometimes leads to the appearance of content contrary to the Evin law. The circumvention of the mandatory rules, especially by influencers, led to the Paris court being seized by Addictions France. Meta and some influencers refused to remove publications criticized by the organization. This prohibition promotes the promotion of alcoholic beverages on television, in cinemas, but also on websites (and therefore social networks) where these advertisements can be seen by minors. 37 publications are affected by this decision of the Paris court, which ordered their removal. The daily fine of 100 euros for three months in case of non-execution within 15 days, however, seems to be not very dissuasive, even if influencers could well be individually prosecuted.

French Purchasing Power Severely Impacted

The decrease in the purchasing power of the French is expected to be between 1.2% and 2% by the end of 2023 compared to the end of 2021, according to OFCE. According to a Cofidis study published on Monday, February 20, 2023, the French estimate that they are missing €476 per month to live properly. 79% of those surveyed plan to pay attention to unnecessary expenses. 62% of French people say they changed their consumption habits in 2022 to preserve their purchasing power, which shows how concerned they are about what is happening in France and around the world. To save money, they reduced heating and used their vehicles less. About half of them also reduced their outings, clothing or shoe purchases, leisure activities, and vacations. 77% of current retirees reduce spending items considered essential to avoid difficulties. Many French people save money to have extra income (31%), take out consumer loans (39%), or subscribe to life insurance, a retirement savings plan, or any other financial product (24%). 55% of those surveyed are optimistic about the coming year but adopt a certain wisdom in their way of life.