CEBU, Philippines – The entry of S&R in Cebu is seen to heighten the introduction of member-shopping culture in the Southern Philippine market, as the company considers further expansion plans in the near future.
The chain of S&R membership-shopping stores in the Philippines is operated by the Manila-based Kareila Management Corporation (KMC) that also operates the wholesale and retail chain Puregold Price Club, Inc.
KMC president Anthony Sy said that the Cebu facility will serve as the 'testing ground" for the company in pursuing expansion in other major cities in the region.
He said membership-shopping is something to the Philippine consumer, but S&R is reenforcing introduce this culture, which has been practiced other developed economies like the United States.
Sy said that Cebu's S&R facility is perfect venue to bring-in this new shopping culture to Southern Philippine consumer-based, considering that the province is the center of trade and commerce in the region.
Consumers from all over the Visayas and Mindanao can easily get to Cebu to experience this new shopping culture, while the store offers affordable imported products.
Because of company's good logistics and transport system, shoppers from all over VisMin can easily experience the S&R in Cebu.
S&R Cebu started its commercial operation recently at the 43,000 square-meter property in the Mandaue North Reclamation Area.
When the fifth S&R opened in the Philippines, Sy hopes that the Cebu facility will attract membership base not only from Cebu, but from all over the Visayas and Mindanao.
"We hope to grow very fast here. Before the opening of our Cebu outlet, we already have members from Cebu that shop in our Manila outlets," Sy said.
About 70 percent of the products sold in S&R are imported. The rest like some supplies of fresh vegetable and fruits are sourced out locally.
S&R is the second membership-shopping facility that opened in Cebu, after Makro.
Sy, on the other hand, refused to divulge the number of members registered in its Cebu facility, only said that the company hopes to double the figure in next few months.
Kelly Ricks, the company's head for operation said that the reason why S&R is keeping its membership fee affordable at P700 is to introduce this sophisticated shopping culture to the mainstream market.
In fact, prior to the opening of its Cebu facility, the company rolled out major discount for membership fee, using the well-known "buy-one-take-one" marketing strategy.
S&R stands for Sol and Robert Price, the father and son tandem who founded the Price Club. S&R Pricemart started in 2001 and later re-opened in 2006 as S&R. The chain has 4 branches in Manila - at The Fort, in Alabang, in Baclaran and in Quezon City. (FREEMAN)