The retailer already has 115 stores and chief executive officer Dragos Sirbu says there is room for growth to 130 at least.
“We’ve opened 15 stores this year, closed one and relocated three. We are watching costs so we will continue to open and close stores. We have five contracts signed for new stores and will also close two stores,” said Dragos Sirbu, who has been running Flanco since the winter of 2014.
He says he is in talks for ten more openings because there is room for more up to 130. The retailer also took over more than 20 of the former locations of Domo, a rival that decided to close all its brick and mortar stores and keep online operations only. Domo used to be one of the top three computer and electronics retailers until recently.
“We took what we liked, wherever it made sense for us to go to. We replaced Domo in Baneasa Shopping City and also went to medium-sized cities like Baia Mare.”
Dragos Sirbu says the company will continue to open stores and go against the flow in a time when most retailers focus on online operations only.
“About half of the customers look at the services they get and pay attention to the advice received in stores. Moreover, it is hard to get consumer loans for online purchases.”
Brick and mortar stores generate 85% of Flanco’ sales, while its online store generates the rest. The company expects sales growth of about 20% to more than 900 million lei (EUR200 million) in 2016.
(English version by Loredana Fratila-Cristescu)