2024-01-26 01:41:44
What is the plan for this year?
Open a large store, it could be Plaza Vea or Makro. We would open more, but the process to obtain licenses takes time. There are certain bets on our new digital platforms (JOKR and Almacén Guru) and on our e-commerce. The rest of the growth will be through Tiendas Mass, with at least 200 openings, the same amount as in 2023. We have operations in the south and in the small north, in Trujillo, Piura and Arequipa. The idea is to reach a couple more cities.
To which?
Chiclayo and Huancayo.
With how many stores?
A minimum of 60 stores are needed to establish ourselves in a city.
Are there more cities in the pipeline?
We want to reach the entire country.
What is the investment per store?
Between US$100,000 and US$150,000.
Given the rise of Mass, how do you see convenience stores?
They are different proposals and the growth potential is different. It has to do with habits, which are related to purchasing missions. Convenience stores serve cravings and urgent needs. We also offer a portfolio of emergency products, but we do not necessarily cater to cravings. We do not sell coffee or sandwiches. We sell products for personal care, for people to prepare their food and to clean their house. Yes there is a little intersection, but we have a model that we believe is much more scalable, more comprehensive and more convenient.
Do you plan to enter the convenience store business model or include some of it in Mass?
No. We had convenience stores with Mifarma, but we closed them. “Strategy” means giving up some things. Now we focus on Mass.
(Photo: Sanyin Wu)
READ ALSO: InRetail deepens Mass store expansion plan: the objectives for 2024
Other formats
How is Vivanda?
Vivanda goes to the high segment. She is there. I hope we have more people from segments A and B.
How to achieve greater efficiencies in the business?
We are investing in logistics to better transport our products and have cheaper service levels. We are going to open distribution centers in Chiclayo and Huancayo, and we are expanding the one in Piura. They are small centers, about 6,000 square meters.
What are the plans for the group’s other formats?
In 2023, Promart opened three stores and Oechsle one. This year, depending on how the authorizations progress, we will inaugurate another Promart. But I prefer to talk only about the public company.
The mayor of San Borja mentioned that they have a project in that district.
Yes, we have a project at the intersection of Principal and Angamos avenues that includes two large stores (Promart and Makro) and an office building. But we are in the authorization process. I don’t think we’ll get them this year.
In which other districts do you have projects?
In Puente Piedra, but there is an invader who has stopped the project. If we cannot solve this problem, we will not be able to start. North Lima is very important, as is San Juan de Lurigancho. We just opened a Plaza Vea in Mall Aventura. We would like to have more projects there.
Do you contemplate acquisitions in 2024?
We don’t have any in the pipeline. We made a couple in 2023 [JOKR y Almacén Gurú]but they are irrelevant platforms from the point of view of volumes.
(Photo: Sanyin Wu)
READ ALSO: Convenience stores: while in Peru one opens every eight days, in Chile every five
Digital business
What is the digital strategy for 2024?
We are investing and developing platforms. There is no doubt that digital is part of the present and the future. We have been more cautious than our competitors. It is more expensive to serve a digital customer than one who goes to the physical store. A Mass customer, who pays S/ 14 for the average ticket, cannot purchase through e-commerce. Its dynamic is daily purchasing. We are developing our capabilities in parallel with the change in customer habits.
How much does the digital part represent for the business?
Around 5% in supermarkets and pharmacies. In digital sales we are number 1 in supermarkets and pharmacies, but it represents little, because there are different habits and low penetration of credit cards. At Mass, for example, we do not accept credit cards or digital wallets. Debit only.
What innovations will be made in the digital business?
Turning to a 100% digital model is a very big bet. We have a great advantage: capillarity. We believe that we must work on an omnichannel model, leverage our footprint and gradually incorporate a digital proposal that is financially sustainable. For example, to buy in volume at the end of the month one can go to Makro. If someone wants to shop for the week, there is Plaza Vea. If you have an urgent purchase, JOKR.
Read the full interview HERE.
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