Grant Pattison, CEO of Massmart says, "The stores will allow the group to compete aggressively in the lower-income segment of the building supplies market, which is not serviced through any of our existing formats. It is an exciting time for the group and it looks forward to the successful expansion of the brand over the next few years."
In the first year of operation, the brand will open five test stores in the major townships of Gauteng. Year 2 will see continued expansion in Gauteng and the surrounding provinces of Mpumalanga, Limpopo and the North West with another five stores. Eventually, within five years, there will be 60 stores in all provinces, making it a national brand.
Andre Steyn, director Builders Superstore, explains, "We plan to win by being more significant to our customers and our suppliers and by being different and better than our competitors in price, assortment, in-stock, customer experience and convenience. The competitive price positioning will be achieved through fit-for-purpose quality products often not stocked in our other stores."
The stores will be approximately 1500m² under roof with a 2000m² external yard area.
The store will answer the needs of lower-income homeowners and small contractors from the LSM 2-7 target markets, through selling a 'project complete' range of building and home improvement products and services.
The group's research shows that customers in this segment are usually dependent on shared transport, usually travelling by taxi to get to the store and get products home. They aim to maintain or construct a 'starter home' and thus cement will be a big driver of feet.
The store will also be offering exclusive departments that none of its competitors has, such as automotive, storage and a small garden department. Exclusive product offerings include a large range of private label products, paraffin and pre-paid electricity will be sold.
The group encourages continuous engagement and participation with local communities in which its stores operate and is committed to supporting and promoting initiatives that focus on early childhood development and feeding schemes.
Beverly Hills Secondary School in Evaton received 125 desks and has been selected to be a part of the store's 'adopt a school' programme. In addition, the school will receive a R5000 donation and a Siyasiza toolkit (worth R10 000) to improve and maintain the school facilities.
In Tembisa, the store has invested in building a sports field for the learners at Tswelopele Secondary In addition, the school will receive a R5000 donation and a Siyasiza toolkit (worth R10 000) to help with the upkeep of the garden and school yard.