Carrefour result will show dispute over supermarket cart

Amid expectations for new figures from the supermarket sector, Carrefour releases on Monday, 27, the results of the second quarter, after the market close. With physical stores still open, the segment was one of the sectors least affected by coronavirus. Still, the pandemic brought about a series of digital revolutions.
Carrefour is expected to reach sales of R$ 15.66 billion, with a profit of R$ 367 million, according to btg Pactual's estimate. Rival Grupo Pão de Açúcar is expected to reach revenues of 15.47 billion reais and profit of 110 million reais, according to the preview. Grupo Pão de Açúcar will publish its results for the period on the 29th.
In the first quarter, the two largest supermarket chains posted results below market expectations, bringing margin challenges that had been coming since the end of last year. Carrefour and GPA shares have not yet returned to the pre-coronavirus level and fell 13.76% and 14.98% in the year-to-date.
Supermarkets benefited at the beginning of the pandemic from a rush to stock up on food and, amid the economic crisis and high unemployment, will continue to be sought after for selling essential items.
But the industry also faces greater competition. If even before the pandemic food and drink sales over the Internet were derisory, this movement intensified. Carrefour's online sales tripled in the first quarter, according to the company. But the delay of large chains to expand online sales in recent years, in addition to the logistical challenges of selling supermarket items over the internet, has made room for other competitors.
Delivery applications such as iFood and Rappi have also increased market sales. In early July, Uber Eats, the food arm of technology company Uber, entered the segment in partnership with Cornershop, a Chilean company created five years ago and present in six countries. Even retailers in more general segments such as Mercado Livre and Magazine Luiza have invested in the sector in recent months.
The next wave of supermarkets includes options such as installing sales in the residential condominium itself, for contactless purchases. Companies such as Boali and Nutricar have set up small markets in residential buildings, offering convenience to residents in times of home office.
The Hirota supermarket chain has also launched a new model of stores for residential condominiums. The store, without any human contact, will be opened by reading QR code and purchases will be made by self check out. There are more than 500 items aimed at convenience, from charcoal to barbecue to drinks, snacks and traditional ready meals of the chain. The fight over the shopping cart got even more heated.