Turkish hard discounter coming soon to Morocco
6 October 2008
Read by 1744 persons
BIM brand sets up for the first time outside Turkey.
Beyond timid exploitation in some sectors, hard discount is struggling to break through in Morocco. Yet, this model, which has been emulated all over the world, has a lot to offer. In large-scale distribution, for example, hard discount stores display prices 20 to 30% cheaper than traditional large and medium-sized surfaces. The argument sounds sweet to the ears of Moroccans. And, convinced of the good vein, more and more companies are striving to force fate. Indeed, after the German Lidl which announced, last December, its intention to set up in Fes (www.leconomiste.com), it is the turn of the Turkish BIM to eye the Moroccan market. According to an announcement in the national press, the question is of an "imminent" establishment. An operational committee will even be dispatched to Morocco by the brand's management in the coming weeks. Contacted by L'Economiste, the chain's headquarters, based in Istanbul, did not provide much information. "We are still studying the details of the operation," they limited themselves to declaring. Without wanting to give more indications, the Turkish staff specifies, however, that "BIM gives itself a year to finalize its project".
However, recruitment is going well. The Turkish brand has enlisted the services of a firm to build its Moroccan staff. From the general manager to the purchasing manager, BIM plans to build a 100% local battalion. "Engineers, graduates of major business schools," only high-level training executives who will benefit from further training in Turkey, specifies the announcement. BIM, which already has 1,767 stores in Turkey, would mark, by its establishment in Morocco, its first internationalization.
The Turkish business model closely follows the hard discount principle. The stated objective is to hunt down costs: "To make the customer pay only for the product itself and not its packaging or brand, to present the goods in their original packaging, to adopt a basic interior design for the stores, to avoid advertising that would unnecessarily inflate the selling price"... And the recipe has been largely proven. The chain's net income recorded an annual increase of 137.7% in 2006. The first to introduce the hard discount distribution model in 1995 in Turkey with 21 stores, the brand doubled this number a year later. Even in a crisis context, BIM can afford to expand its network. Indeed, the gloom that characterized 2001 did not prevent the brand from opening 87 additional stores.
Posted on March 18, 2008
Leconomiste.com
Beyond timid exploitation in some sectors, hard discount is struggling to break through in Morocco. Yet, this model, which has been emulated all over the world, has a lot to offer. In large-scale distribution, for example, hard discount stores display prices 20 to 30% cheaper than traditional large and medium-sized surfaces. The argument sounds sweet to the ears of Moroccans. And, convinced of the good vein, more and more companies are striving to force fate. Indeed, after the German Lidl which announced, last December, its intention to set up in Fes (www.leconomiste.com), it is the turn of the Turkish BIM to eye the Moroccan market. According to an announcement in the national press, the question is of an "imminent" establishment. An operational committee will even be dispatched to Morocco by the brand's management in the coming weeks. Contacted by L'Economiste, the chain's headquarters, based in Istanbul, did not provide much information. "We are still studying the details of the operation," they limited themselves to declaring. Without wanting to give more indications, the Turkish staff specifies, however, that "BIM gives itself a year to finalize its project".
However, recruitment is going well. The Turkish brand has enlisted the services of a firm to build its Moroccan staff. From the general manager to the purchasing manager, BIM plans to build a 100% local battalion. "Engineers, graduates of major business schools," only high-level training executives who will benefit from further training in Turkey, specifies the announcement. BIM, which already has 1,767 stores in Turkey, would mark, by its establishment in Morocco, its first internationalization.
The Turkish business model closely follows the hard discount principle. The stated objective is to hunt down costs: "To make the customer pay only for the product itself and not its packaging or brand, to present the goods in their original packaging, to adopt a basic interior design for the stores, to avoid advertising that would unnecessarily inflate the selling price"... And the recipe has been largely proven. The chain's net income recorded an annual increase of 137.7% in 2006. The first to introduce the hard discount distribution model in 1995 in Turkey with 21 stores, the brand doubled this number a year later. Even in a crisis context, BIM can afford to expand its network. Indeed, the gloom that characterized 2001 did not prevent the brand from opening 87 additional stores.
Posted on March 18, 2008
Leconomiste.com
