Thailand’s Charoen Pokphand Foods (CPF), which established the CP Fresh Mart chain 12 years ago, has launched a concept store in Chiang Mai, Magnet Semi Wholesale by CP.
“If this first outlet is successful, we will promptly consider expanding in other locations with a target of 10 outlets by next year,” says CPF president/CEO Adirek Sripratak. He says the roll-out will include franchising.
He says there is a growing trend for fewer hyper-discount stores because consumers want outlets near their community rather than big stores in town.
“Basically, each store covers 300 square metres and involves a three- to five-million baht [US$85,627-142,745] investment.”
Magnet Semi Wholesale stocks more than 2000 items of fresh food and consumer products, with half of them coming from CP or CPF. Consumers will buy retail products while grocers can have wholesale rates for boxes or crates of products. The stores may also look at providing an online shopping service soon.
CP Fresh Mart president Russell Leigh Berman says the concept of the Magnet Semi Wholesale stores is proximity, discounting and key CP products. It is designed particularly as an upcountry channel.
