LG Electronics has embarked on its second phase of retail outlet expansion in the Eastern Africa region, a move that will see 10 new stores opened this year.
The company has set aside an additional Sh100million for the expansion plan now in its second phase having announced a similar investment in both 2015 and 2016 which saw over 30 new retail outlets opened in Kenya, Uganda, Tanzania, Ethiopia, Sudan, Zambia and Rwanda.
Additionally, the investment will also see the existing outlets refurbished and upgraded to meet the global LG Electronics’ shop standards.
“Kenya will benefit from two new stores that will be located on the first floor of Sarit Centre and the ground floor of Kenrail towers in Westlands. This expansion is aimed at improving the availability of our innovative products to our growing client base,” said Mr. Moses Marji, Marketing Director, East and Central Africa. He was speaking during the opening of the Sarit Centre outlet in Nairobi.
The new stores will bring LG’s retail store count in the Eastern African region to a total of 122. Kenya, will now have a total of seven outlets after the opening of new ones.
“We are thrilled to be rolling out more outlets in the region that will offer a first-class shopper experience to our clients. As a leading electronics company, we enjoy nothing more than contributing to the region’s positive economic growth and delivering outstanding value to customers every day,” added Marji
LG’s move to open more retail outlets in the country is in line with Kenya’s urbanization and rising levels of disposable income. According to the Oxford Business Group, over the past five years, the average value of consumer spending has risen by as much as 67%, making Kenya the continent’s fastest-growing retail market.
“Our projection is that this retail expansion will increase our reach and sales by about 25% over the next two years. He concluded.
LG retail outlets stock a wide range of products including refrigerators, microwaves, washing machines, air conditioners, TVs and audio systems among others.
This expansion comes hot on the heels of the company’s recent new product introduction in the Kenyan market including mega-capacity side-by-side refrigerator with door-in-door feature and OLED TVs.