Tinashe Makichi Business Reporter
Meikles Mega Market expects to contribute 15 percent of the group’s revenue by the end of this financial year . MMM is a retail arm to Zimbabwe Stock Exchange-listed group Meikles Limited.
The retail arm hopes to complete 16 outlets by the end of this financial year following an injection of about $1,6 million towards expansion. Meikles Mega general manager Mr Panganai Ngorima said they are actively exploring additional sites in high density areas in and around Harare.
“We have managed to extend our forays into the lower end of the market though we are currently sitting at seven branches but more branches are in the pipeline with Bulawayo expected to come into line around January 2016.
“Additional outlets will be Mbudzi in November and Mutare by the beginning of December this year. Six other sites will be opened by March 31, 2015 to bring the total to 16 outlets,” said Ngorima.
“Such investments done towards expansion will definitely catapult our contribution to the group’s revenue considering that in the previous financial results our contribution was not very significant due to some liquidity issues,” he said.
Despite funding constraints arising from issues relating to balances due from the Reserve Bank of Zimbabwe, which compromised the operations and restricted growth during the previous financial year the unit expects substantial progress in the second quarter of the 2016 financial year.
Mr Ngorima said the unit continues to strengthen its market position by offering the lowest prices and more direct access to consumers.
“The unit foresees strong growth in market share through continued geographic expansion and the roll-out of marketing strategies aimed at increasing brand visibility and the customer value proposition,” he said.
“Our mass market concept has been performing very well despite disposable income challenges faced by our consumers and we will not stop to invest.”