Matahari Putra Prima, the country’s largest homegrown department store, has targeted Rp 10 trillion in sales and to open at least 22 new hypermarts this year.
“Good projections within the first quarter of 2011 convinced us even more that the company was heading in the right strategic direction,” said Benjamin Mailool, the president director of Matahari Putra Prima (MPP), in a press release on Wednesday.
After a 20 percent increase in sales experienced in the last quarter, Matahari Food Business (MFB) estimates that their annual sales will increase from Rp 6.5 trillion last year to Rp 7.6 trillion.
Benjamin said the good performance was mostly the result of the company’s hypermarket chain, Hypermart.
Besides Hypermart, MFB also include supermarket chain Foodmart and pharmacy stores Boston.
MPP estimates total sales this year will reach Rp 10 trillion, an increase of 30 percent from last year, followed by running sales of between Rp 14 trillion and Rp 15 trillion the following year.
“We will focus on a series of aggressive expansions for Hypermart — we have prepared more than 22 new outlets to open this year,” Benjamin said, adding that it was the company’s highest target so far and set the barometer for modern local retail businesses.
MPP said the increase mainly occurred during the Chinese new year period where it gained comparable growth in store sales of 12 percent. Sales during the period were up 20.5 percent, from Rp 273 billion last year.
Besides the special holiday, the excellent performance was supported by merchandising strategy and aggressive promotion and marketing strategy. During the first quarter of 2011, MPP has opened one new stand-alone Hypermart outlet located in Lippo Karawaci.
Hypermart is a business unit of Matahari Putra Prima established in 2004 and has become the second largest hypermarket chain, behind French-based retailer Carrefour.
Matahari Putra Prima and the Jakarta Globe are affiliated with the Lippo Group.