Steinhoff plans to double clothing stores in Eastern Europe in next five years
Steinhoff plans to double its clothing stores in Eastern Europe to 2,000 in the next five years, its CE said on Wednesday, extending the South African retailer’s reach in one of its fastest-growing regions. The furniture company, which targets value-conscious shoppers, has been scooping up assets in Europe, where it makes the bulk of its profit to offset weakness in SA. It recently splashed out $3.8bn for US-based Mattress Firm and another $800mn for Britain’s Poundland following its failure to secure France’s Darty and Britain’s Home Retail. Steinhoff’s expansion into Eastern Europe has been particularly rapid and profitable, with like-for-like sales growth in Poland, Slovakia, Czech Republic, Romania and Hungary up by a fifth in the third quarter. It has increased the number of stores to 1,000 from 14 about a decade ago, betting on growth as customers economise. "There is a lot of growth still to be achieved in Eastern Europe," said CE Markus Jooste, adding that the company planne...
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