Action is struggling with empty shelves. The discounter is facing delivery problems after distribution centres in other European countries shut down for weeks.
Following questions from BNR, Action confirmed Thursday that the pandemic is affecting shop supplies. The retailer is facing delays from China, where Action sources much of its stuff. Distribution centres also experienced problems in recent weeks. Logistics sites in France, Germany and Poland were down for months or running at much lower capacity as hundreds of shops had to close temporarily.
Surprised by reopening
When lockdown measures were relaxed in these countries, the problems arose. Action says it was caught off guard by the relaxation; distribution centres were still full of Easter items from before the corona measures. "We stopped with an emergency stop and then had to sell like a rocket again," spokesperson Yvette Mol told BNR. Especially in Belgium and France, Action sold a lot after the easing, "Those customers bought more because they thought: what if we get another lockdown later."
Shifting stocks
To still (partially) fill the shelves in European stores, Action proceeded to reallocate stock in recent weeks. For example, part of the French shops are temporarily supplied from a distribution centre in the Netherlands. Mol: "We have been shifting a lot to get as many products as possible into the shops." According to the spokeswoman, stock problems vary by region. At worst, 15 per cent of the range is out of stock.
Supply chain Action also 'faltered' last year
Logistics problems also occurred at Action last year. Due to hiccups in the supply chain, the retailer not only struggled with empty shelves, but also had to postpone the opening of 20 shops. Sources around the discounter claimed at the time that Action was growing faster than it could handle. Action then accelerated its efforts to expand its logistics capacity. New distribution centres were built in France, Germany and Poland to accommodate the growth.
