Max Fashion eyes growth in Sub-Saharan Africa
With about 225 stores in 15 countries, Max Fashion, a premium clothing chain in the United Arab Emirate (UAE) is set to undergo a major expansion spree this year in Africa among other regions. It is particularly shifting its attention to sub-Saharan Africa among other regions in the world. Of the 40 stores targeted to be opened this year, the company plans to open between five and ten stores in the sub-Saharan Africa region.
“When brands like us go into Africa we are trying to change the market because today retail is not as much organised there so it gives us an opportunity to be the first mover and start developing those markets and secondly in terms of the overall GDP growth and the upwards mobility of the people,” said Max’s chief executive, Ramanathan Hariharan.
He expects Max’s momentum in Africa to start building in the next two to three years.
“The rate of growth that these African countries will give us could be far, far higher in the next three to five years.”
The brand is relatively popular in the North African region. It already has about five stores in Egypt and it had opened business in Libya through a franchise partnership after the Libyan uprising.
“We opened in Libya immediately after the crisis,” said Hariharan.
“Immediately after the revolution, the franchise remobilised and opened the store in a very short time. Libya, is a growing economy and considerable investments are taking place for rebuilding the economy. We are expanding into all countries in North Africa and thus, Libya is an absolute choice.”
Aside the Northern Africa region, the brand has two outlets in Nigeria.
Max Fashions opened its first branch in Abu Dhabi in 2004. In 2012, it opened about 40 stores and achieved growth of about 20 per cent. It plans to open at least forty stores across the MENA region and India this year.
Max fashion is the largest value fashion retailer in the Middle East. It deals in Clothing, footwear, accessories and household products.
Source: Ventures Africa
Photo credit: www.maxfashion.com