Fnac evaluates open smaller stores and franchises

There are 15 years in Brazil, the French Fnac inaugurates its 12th store in Guarulhos airport on Sunday and brings new formats for your next units in the country. The retailer is studying the opening of smaller points in mass circulation areas, such as airports, and of units with intermediate size, maximum 25% of the area of a megastore of 3 thousand m2. In addition, evaluates start a franchise project.
"In Europe, we have 20 stores in airports, subway stations and train. Here in Brazil, we will inaugurate our first unit with this profile, which we call connection stores, in the new terminal internacional de Guarulhos and we are talking to other airports, both of private initiative and the FAA, said the Frenchman Jacques Brault, Director General of Fnac Brazil three years ago. Before, the Executive replied by Fnac unit in Greece.
In addition to airports, Fnac is analyzing also subway stations and train and bus terminals. Will be smaller units with a mix of focused products according to the local public. "At Guarulhos airport, we will have a store of 132 m2 ' premium ' with products geared toward the traveler as a cell phone, tablets, accessories, books and international newspapers," said Brault.
The network, which sells technology products, electronics and books, also could open in Brazil stores with about 300 m2 or 600 m2. This is an intermediate film between calls and connection stores the megastores. In Brazil, all the 11 units are considered megastore. "We're testing this multi-format store model that fits in regions with good potential, but that doesn't quite behave a megastore", said the Executive, explaining that this template is in the testing phase in Europe. The new strategy does not mean that the company will cease to open megastores.
The Fnac is another pilot project outside the country that can be replicated in the national market: franchise stores. The first unit was opened in France in 2012 and the next will be in Qatar, in the Middle East, in the middle of this year.
Today, Brazil is the third largest market of Fnac, getting behind France and Iberian countries (Spain and Portugal). The Brazilian unit was the one that recorded the best performance in the French group, which closed the first quarter with revenues of € 839 million, falling 1.5% (disregarding the exchange rate variations and inflation). In Brazil, revenues amounted to € 38.2 million, between January and March, with a slight variation of 0.9%, which was considered a good result considering that the other markets had losses of 1.5% in France and 7.1% in other countries.
The accumulated 2013, Fnac's revenue was € 3.9 billion, down 3.1% (without Exchange variation). In Brazil, the revenue fell 1 percent to € 197,2 million. "Revenues increased 6% in the second half, compared with a decrease of 8.9% in the first half. The improvement of the activity was supported by sales through the internet, "said the company in a report. Retailer's global revenue, 55% comes from electronics and technology, 40% of books, CDs and DVDs and the remainder of services.
In June 2013, Fnac opened the capital, after separating from its controller, the PPR Group. Since then, shares of Fnac valued 53.3%. In the same period, the CAC Index, the main indicator of the Paris stock exchange, was discharged from 22%.