Builders Warehouse ‘a true blue ocean strategy’
FMCG SUPPLIER NEWS
Business Report - Jun 7th 2011, 08:47
Massbuild offers three brands targeting homeowners, building contractors, subcontractors and do-it-yourself enthusiasts.
Builders Warehouse, with 27 stores in major urban and regional areas, targets living standards measures (LSMs) 6 and higher. The average basket size at the chain is R480.
“Builders Warehouse is a true blue ocean strategy. There is no other store like it,” Massbuild chief executive Llewellyn Walters said.
It competes with a variety of retailers including Mr Price Home, House & Home and builders’ merchants. “Our challenge now is to take it into peri-urban areas,” Walters said.
Then there is Builders Express, with 24 small neighbourhood stores, targeting upper income consumers who own homes with swimming pools and gardens. Paint is the cornerstone of this brand, supported by the garden centre and tools. The average basket size at Builders Express is R204.
Builders Trade Depot, with 29 stores, targets lower to middle LSMs and caters for both the structural needs of building a houses, such as roof trusses, and finishes, such as paint and cornices. The average basket size is R540.
Related Retailers
 | MassmartThe Massmart Group comprises nine wholesale and retail chains, and one buying group - 288 stores and 470 buying Group members all focused on high-volume and low-cost distribution. They operate in 14 countries in sub-Saharan Africa through the Group...Click here to read more about Massmart |
Related News
Massmart to focus on store growth in Africa
30/05/2013 - 10:33
VENTURES AFRICA. JSE-listed general retailer, Massmart, on Wednesday said it will start paying more attention to store growth in South Africa and sub-Saharan Africa.
Massmart opens new Makro in Alberton, with a unique and exciting shopping experience
06/05/2013 - 13:40
Makro has expanded its presence in Gauteng with the opening of a new urban store in Alberton on 24 April 2013. Massmart invested R400 million rand to build the 19 008m2 Makro Alberton store.
Massmart shares fall over 3%
24/04/2013 - 10:16
Johannesburg - Shares of South African retailer Massmart tumbled more than 3 percent on Monday, after the Walmart unit warned it may fall short of its profit target this year, squeezed by weak consumer spending.
Walmart prefers own brand to Massmart’s Game in Africa roll-out
22/04/2013 - 09:32
As Wal-Mart Stores plotted an African entry strategy, buying Massmart Holdings two years ago was just the right vehicle. With 377 stores across the continent and a strong position in South Africa, Massmart offered the Americans a firm foothold in a fast-growing region.
Walmart has several acquisition options
11/04/2013 - 10:58
Holding $7.33 billion in cash at the end of fiscal 2013, Walmart has many options on how to expand its global reach through acquisitions in Turkey, Colombia and other nations.
