FMCG player to go direct to consumer

A Filipino dairy, beverages and snacks manufacturer is to open a network of retail stores, selling direct to consumers.

CavinKare says it will open 50 stores branded Cavin’s Parlours by the end of 2014 serving local shoppers and acting as a supply channel to neighbouring retailers.

The move, it says, will take its consumer products closer to customers and help it break into the organised retail sector. Some of the stores will be company owned, the rest franchised.

Saud chairman and MD C K Ranganathan: “I am happy to roll out the launch plan now. It has a holistic approach and designed in such a way that everyone associated with it will benefit.”

He said the company is in the process of developing several new products for these categories which will be rolled out “in a phased manner”.

“The major objective is to take our dairy and food products close to consumers and strengthen our leadership in these categories. The outlet will also stock the products for neighbouring retail outlets”, he said, presumably referring to the family-owned sari sari stores which dominate The Philippines’ towns and cities.

Further expansion is planned next year.

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