Alliance Boots, the British manufacturer and retailer of cosmetic and health products, has just concluded a long term cooperation agreement with French retail group Carrefour for the design and manufacture of hygiene and beauty products.
In practice, Boots will supply Carrefour with private labelled products through its contract manufacturing subsidiary, BCM (Boots Contract Manufacturing), which owns three manufacturing facilities in the UK, France, and Germany.
As a first step, the agreement is mainly focused on Europe with products that should hit the shelves of Carrefour’s stores by the end of 2011. However, the two companies will also explore healthcare partnership possibilities in emerging geographies with a vision to further strengthening their cooperation.
According to Lars Olofsson, Carrefour’s CEO: “This new partnership with Boots is a major step forward for Carrefour. It will allow us to make a quantum leap in the beauty category. This partnership will significantly enhance Carrefour’s attractiveness in a key category and should be a major contributor to becoming the preferred retailer.”
With more than 15 500 stores under banner in 33 countries, and strong positions in Central and South America and in Asia, in particular in China, Carrefour is the first retail group in Europe and the second worldwide, behind Wal-Mart, which geographical extension is more limited.
