Eroski to Open 300 Franchises
4/02/2014 – Expansion
Eroski decided to expand the network throught franchises while negotiating its massive debt that forces the company to gather centers in its common presence markets, like in the Basque Country, Galicia, Navarra, Catalonia and the Balearic Islands.
With a thousand of own establishments and more than 500 franchised, the supermarket chain led by Agustín Markaide targets at opening more than 300 franchises all over Spain.
Last year, Eroski opened 46 shops following this kind of business structure with a €14 million total investment. In 2014 the inaugurations is bound to be doubled. During this year, the franchising emphasise will be put on Andalusia, Madrid, Castilla-La Mancha and Catalonia, and the two new destinations: Extremadura and Levante.
The administratives of the distribution goup highlight that an average franchise shop will be of 300 – 500 square meters and will be run by enterpreneurs in cities and towns inhabited by more than 1.500 residents. (…).
Eroski is at the verge of finalizing renegotiations on its €2.500 million debt with 22 financial entities. The company hires 38.000 people and cooperates with 12.600 partners.
The group has over 2.100 establishments, including super- and hipermarkets, gas stations, travel offices, optics, sports shops, perfumieries and 21 logistic platforms.
Original article: Expansión (T.F.)
Translation: AURA REE