Investments totaling 24 million in 2024 are planned by the Masoutis chain as part of a strategy for development in areas with dynamics, where it has room for penetration.
In particular, the island country and in particular the Ionian Islands, Crete through the cooperation with SYNKA, and specifically eastern Crete, Rhodes and the Peloponnese can be “springboards” for the northern Helladic chain to further increase its sales, which in recent years has expanded its network and now has 389 stores, of which 349 are super markets, 15 GRAND Masoutis, 1 green store, 23 Cash & Carry stores and 1 dark store in Attica.
Corfu
In this context, the chain “stamps” its presence in a key market, due to tourism, Corfu, with the opening of the renovated supermarket at the 1st km of the National Road of Lefkimmi Corfu. This particular store has a usable area of 1600 square meters as well as significant storage space. In total it employs 314 workers on the island, 230 women and 84 men.
In fact, the intention of the chain, as the President and CEO Mr. Yannis Masoutis told the press in Corfu, is to create a Cash & Carry in a privately owned space opposite the store in Corfu that he inaugurated last Saturday with the opening of operations in 2025.
It should be noted that in Corfu, the northern Helladic supermarket chain has a leading presence, “writing” 4% of its total turnover, that is, approximately 50 million euros. From 2022 after the agreement with SYN.KA Crete Hypermarkets S.A. has in its “umbrella” 18 stores that belonged before SYNKA to the local “Galaxia” and “Markato” chains.
The next step in the Ionian Islands is the “opening” in Lefkada, where a few days ago Masoutis acquired two plots of land for 1.7 million euros (s.s. by coincidence the name of the owner of the land was Sklavenitis, but not of the chain but of the namesake of the well-known business family).
At the same time, the intention is to expand to the Peloponnese remain, a geographical region that records together with Crete the best performance in terms of turnover development in the country’s organized retail trade.
Opportunities in other regions are weighed accordingly, as the goal is to have the chain’s “brand” throughout the country. It should be noted that the islands now contribute approximately 14% of the chain’s turnover, without, of course, counting the participation in SYNKA in Crete, which is not consolidated in Masouti’s financial statements.
Already, the opening of two new stores in Nea Smyrni and Chalkida is planned, while in 2024, 15 stores will be renovated, of which 12 in the region and three in Athens, while until today, since the beginning of the year, five stores have been renovated, one in Santorini, two in Corfu, one in Milos and one in Trikala.
Careful steps
However, the company’s management promotes a balanced development plan as the scope for concentration through acquisitions is limited. It also favors land purchase solutions with data and leases have skyrocketed, but also the demands of those “thinking” to sell their chains and points are often exorbitant.
The main objective of the development is to cover the main areas of the country in order to obtain a share of the order of 10-12% which is currently in the whole country
Movements in real estate
At the same time, the company has entered the real estate development sector in Treis Gefyres in Western Athens. The specific real estate project of Masoutis, as mentioned, is the most important investment of the company in Attica so far, as it is expected to exceed 30 million Euros, but also the largest project currently underway in the Municipality of Athens. The development includes the creation of the new Grand Masoutis in Athens and the parallel construction of a building complex of two 9-storey apartment buildings on the same site.
The Grand Masoutis at 3 Gefyres, the second in Attica after the Grand store in Glyfada, will be developed on a level of approximately 2,000 square meters, while the two twin 9-story apartment buildings that will be erected directly above, will accommodate 110 apartments of different sizes. The complex will also have two underground parking lots, one will serve the store for the parking of the store’s vehicles, while the second will be located on a different level and will serve the parking of the residents of the two residential complexes. It is worth noting that a gas station will also be built on the plot of land on which this development will be implemented, as the point at the junction of Kallari, Kourtidou and Regoukou streets is a hub for the service of the residents of the area, as well as the refueling of passing vehicles .
Financial data
Today, Masoutis has secured a strong position in the industry. In 2023, it crossed the psychological threshold of 1 billion euros, reaching its sales of 1.07 billion euros, recording a 16% increase. In the first quarter of 2024, it “runs” at a rate of 7.5%. And this at a difficult moment for the market, where, as can be seen from the latest data, there are “signs” of a “brake” in sales, both in terms of turnover and volumes. In this context, the management of the chain expects a marginal increase compared to 2023.
In addition, it is launching a plan to strengthen the development process with a franchise, in places where there is difficulty with finding properties or organic growth. After all, this franchise model “fits in” with the new demands for flexibility and reduction of operating costs, which modern retail is looking for. Thus, it promotes the gradual evolution of the 159 Express Market stores, which is essentially the network, where it currently has its products, into a closed franchise.
The first step will be the pilot opening with “Masoutis” markings, 19 franchise stores starting from Northern Greece. Also, the chain has received proposals for the inclusion of some shop in shops from well-known retail brands in its large stores.
At the same time, it is developing infrastructure for cash and carry, wanting to gradually build a position in an interesting sector
George Alexakis
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Tags: Extends networkOpening Corfu steps
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