In June, the orange giant Migros will announce important decisions regarding the future of its store chains such as Melectronics and SportX. These changes are part of a larger restructuring plan that will have a profound impact on the company. As speculation about these changes builds, many are eager to see how Migros will navigate these challenges.
The specialist stores within Migros, such as Melectronics, have been struggling due to the rise of online shopping. Despite generating significant sales, reports indicate that these stores experienced losses. In response to these challenges, Migros has expressed its intention to sell Melectronics, with potential buyers like Media Markt and Fnac showing interest. The fate of other specialty stores like SportX, Micasa, Bike World, Obi, and Do it + Garden remains uncertain, with potential sales or reorganizations on the horizon.
In addition to these changes, Migros plans to restructure its supermarket business and Migros Industry, which produces many of its own brands. The newly established “Supermarkt AG” aims to streamline operations within the supermarket business and reduce duplication across regions. The industrial companies within Migros will also undergo changes to focus on producing high-quality private labels at competitive prices.
As part of the overall restructuring plan, Mibelle, a cosmetics subsidiary, is set to be sold. This is just one piece of the puzzle as Migros looks to eliminate hundreds of jobs internally and cut a total of 1,500 positions across the group. With further sales of subsidiaries and potential job cuts in the future, the Migros cosmos is facing significant transformations ahead.
