Franchise stores

Franchise_stores

Darty is the market leader in France with 70 per cent of consumers within a 30-minute drive time of a store. The remaining 30 per cent represent an opportunity to further exploit the existing infrastructure of our multi-channel offer. Typically these consumers will reside in smaller catchment areas, usually below 100,000 inhabitants where it is uneconomic to open a typical Darty store.  To address these smaller catchment areas we have established a franchise operation.

Following refurbishment investment by the franchisee, the first store opened in early March 2014 in Challans, a 700 sqm store in a town of c.20,000 inhabitants. A further three stores were opened before the year end at Lannion, Bergerac and Montceau. Initial trading is very encouraging.  At the end of May we had opened a further four stores and we expect to have a total of 30 stores open by the end of this new financial year.

The potential over a four-year period is around 100 to 150 stores with an average store revenue of at least €3 million and retail contribution in line with the core business.