Puregold to put up neighborhood stores

MANILA, Philippines - Supermarket chain Puregold Price Club Inc. plans to set up neighborhood stores next year as part of its expansion in the country.

Antonio de los Santos, vice president for operations at Puregold told reporters yesterday the grocery chain would start putting up neighborhood stores in the first quarter of next year.

“We are looking at maybe one or two for the pilot of neighborhood stores. (These will be) within Luzon or the Mega Manila area,” he said.

The neighborhood store would be bigger than the sari-sari store but smaller than Puregold’s other store formats such as Price Club (hypermarket), Puregold Jr. (supermarket)  and Extra (discount store).

The neighborhood stores would be customized and would carry items that meet the demands of the market in a particular area.

“This will be your grab and go store, the type you will go to when you only have five items on your list. For Puregold, that is an untapped market,” De los Santos said.

The supermarket chain is conducting a pilot for neighborhood stores next year based on insights received from customers.

Depending on the result of the pilot stores, De los Santos said Puregold could open more neighborhood stores.

The new neighborhood stores to be set up would be on top of the 25 outlets Puregold plans to open next year to expand its footprint in the country.

Most of the new outlets to be opened next year would be located in the Visayas and Mindanao where opportunities for growth are seen.

At present, Puregold has 230 stores.

As of end-September, the grocery chain’s net income reached P3 billion, 13.8 percent higher from the P2.64 billion recorded during the same period last year.