Robinsons appliance store expands as demand surges

As demand for high-end consumer products increases, the country’s appliance industry records significant growth that an appliance retail chain decided to expand its store here in Cebu to cater to the demands of the market.

Robinsons Appliances general manager Mariano Joaquin, Jr. said their company registered a 40% growth rate for the last two years of their operation more than hitting the market as the appliance industry in the country grew to an average of 5% annually.

The growth he said could be the impact of the increasing demand for the high-end consumer appliances such as LCD televisions, home entertainment systems and electronic gadgets such as MP3 players, iPod, and digital cameras.

Joaquin said this growth is reflected by the continued growth of the middle and high-end residential property market which usually complements these high-end appliances.

The dropping of prices for appliances including high-end brands have also contributed greatly to the increase in its demand; as Joaquin said a 32 inches LCD unit used to cost P 100,000 but it has gone down to about P45, 000 up to P50, 000. 

For their nationwide operation, overseas Filipino workers still remained the top market and the drivers of growth for Robinsons Appliances’ operation and also Joaquin stressed that the high purchasing power of consumers these days are also one of their growth factors.

As for their Cebu operation Joaquin said that, “we have been attracting good amount of high income earning market and we are selling upscale models and brands that’s why we renovated the store to give them better service.”

Their former R Abensons appliance store at the Robinsons Place has been expanded from a 200 square meters showroom to a 450 square meters store that offers a wider assortment of appliances.

The company has invested around P6 million for the complete store overhaul including improvements, civil, electrical and mechanical works, said Joaquin. The store is still a partnership between Abensons Appliances Group and Robinsons Appliances.

“It is like opening a new store. The store design is the same but we added more high-end brands and models like Samsung, Sony, Electrolux, and Whirlpool,” Joaquin described.

The newly opened Robinsons Appliances is now the company’s 18th store outlet nationwide but Joaquin outlaid future expansion plans within their Cebu operations.

“We are aggressively looking for new location and new developments within the city and around the province.  We want the outlets to be in a mall as either we enter together with Robinsons Supermarket or Robinsons Handyman since the trend of consumers these days is to have everything in one location,” said Joaquin.

In the next five years, Robinsons Appliances is eyeing to put up three or four more stores in Cebu while they will be opening five more stores nationwide this year which includes two stores around Metro Manila, a store in Tagaytay, Cabanatuan, and Pulilan in Bulacan. Another store is also being eyed to be opened in 2009 in Mindanao located in General Santos City and they are still looking for location in Davao and Cagayan de Oro. 

As their base gets higher, the company is targeting to grow 30% this year as Joaquin stressed “we are competing strongly in the market and we believe that we have captured a good market share.”