KENYA - Majid Al Futtaim, the exclusive operator of Carrefour in Kenya, has officially opened its 24th store in the country, located in Ruiru Town at the newly developed Nord Mall. 

This latest expansion falls in line with the company's strategy to tap into Nairobi’s satellite towns, which are experiencing rapid urban growth.

The new Carrefour store, covering approximately 2,500 square meters, aims to meet the diverse needs of the community by offering a wide range of consumer goods, electronics, home appliances, groceries, and fresh food. 

In addition to being a brick-and-mortar retail space, the store will serve as a hub for Carrefour’s e-commerce operations. This move is expected to cater to the rising demand for online shopping in Kiambu County, Thika Town, and the broader Nairobi Metropolitan area.

Speaking on the launch, Christophe Orcet, Regional Director for East Africa at Majid Al Futtaim Retail, expressed optimism about Carrefour’s venture into Ruiru. 

“Ruiru is a vibrant and rapidly expanding community,” he said. 

“Our commitment is to provide our customers with greater convenience by extending our services closer to them and improving access to high-quality, affordable products.”

Job creation and local sourcing initiative

With the opening of Carrefour Ruiru, 67 job opportunities have been created, benefiting both skilled and unskilled workers in the local area. Currently, Carrefour directly employs over 2,200 people across Kenya.

Moreover, the store is expected to strengthen partnerships with more than 700 local farmers, small and medium-sized enterprises (SMEs), and manufacturers who supply products to Carrefour, contributing to a 99% local sourcing rate. 

“This expansion will enable more local farmers and manufacturers to increase their supply capacities to meet the demands of our new market in Ruiru,” Orcet noted. 

He also reiterated Majid Al Futtaim’s commitment to boosting the local economy by expanding both online and offline retail operations in Kenya.

Ruiru: A key player in Kenya’s retail sector

Carrefour’s entry into Ruiru highlights the town's emerging role as a key hub in Kenya's retail sector. Ruiru has witnessed considerable population growth and infrastructure development, making it an attractive location for multinational retailers.

This is Carrefour’s second store opening in Kenya in 2024. Earlier in the year, a smaller outlet was launched at the Global Trade Centre in Westlands, Nairobi. 

The expansion in Ruiru comes as Kenya’s formal retail market continues to evolve, with modern shopping centers and e-commerce platforms gaining popularity over traditional outlets such as kiosks and open-air markets.

According to a report by Oxford Business Group, formal retailers are gradually increasing their share in the fast-moving consumer goods (FMCG) sector, a domain traditionally dominated by informal vendors. 

The report further ranked Kenya’s retail sector as the second most developed in Africa, with a penetration rate of 35%, following South Africa at 60%. Urbanization, population growth, and rising disposable incomes are driving this trend, as more Kenyans shift toward organized retail formats.

E-commerce on the rise

As Carrefour expands its physical footprint, the rise of e-commerce is also shaping Kenya’s retail sector. 

A study by the Communications Authority of Kenya (CAK) projects that revenue from e-commerce will grow at an annual rate of 19.15%, reaching a market volume of KES 26.9 billion (US$208.2 million) by 2027.

Retail giants like Carrefour are increasingly capitalizing on this shift by offering online services alongside traditional shopping experiences. 

With the opening of the Ruiru store, Carrefour’s e-commerce operations are set to serve a broader segment of Nairobi’s metropolitan area, from Thika to Kiambu.

Competitive retail market

Carrefour’s expansion comes amid stiff competition in Kenya’s retail space. Naivas, the largest supermarket chain in the country, operates 105 stores, while Quickmart follows closely with 60 stores. 

Both have also embraced e-commerce to meet the changing demands of Kenya’s urban shoppers.

As modern retail formats continue to replace traditional dukas and kiosks, multinational supermarkets are moving closer to residential estates, reshaping the shopping habits of Kenyan consumers. 

Carrefour’s strategy of focusing on satellite towns like Ruiru aligns with this transformation, offering a mix of convenience and competitive pricing to attract customers.