Pepkor Europe-owned Dealz, part of the Poundland family, plans to open 20 stores in Spain over the next three years. Dealz currently has 10 stores in Spain, after opening two in Q4 2018. InfoRetail reports the news as part of an interview with the company.
Targeting shopping centres and high streets
Dealz will continue to open its new stores in shopping centres and high streets and start opening in retail park locations. Geographically, the openings will be split between Madrid and Valencia. The stores will have sales areas of between 750 to 1000 sqm. Around 5,500 items will be sold, 2,500 of which cover its clothing range.
Dealz has upgraded the clothing section in some of its existing stores and has seen higher than expected sales growth. In a Madrid store the average price of clothing items is €1.50. If the expanded clothing range is successful in the initial tests, it will be rolled-out more widely.
Sales growth driving expansion
Dealz performed well in Spain in FY 2018 with positive like-for-like growth. In Q4 2018 Dealz saw 10% sales growth, two percent more than Q4 2017. Read Pepkor Europe’s full 2018 results here.
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