Enterprise Television – MINISO Nigeria Targets 45% Local Content by 2020
Nigerian unit of Japanese retail chain, MINISO, has revealed plans to achieve at least 45 per cent local material procurement in its production line by 2020, as part of its backward integration in the country.
As part of the plan, the firm revealed its effort to take advantage of opportunities in retail sector of the economy, MINISO, reputed as one of the fastest growing outlets in the world, said it plans to open at least 200 outlets in Nigeria next year that will create about 8,000 jobs locally.
While unveiling its plans in Lagos on Friday, the management of the household and consumer goods chain, said ahead of its proposed content localization, it is already in talks with local manufacturers and vigorously pursuing the possibility of sourcing 45 per cent of its production materials locally.
The Franchise Specialist, Miniso Nigeria, Eze Igwe, said the retail chain, now marking its one-year anniversary in the country opened its franchise and agency business opportunities two months ago.
“We have also opened applications from qualified partners with high integrity and good track record, to join our expansion plan. Right now, Miniso has the most lucrative opportunity because the risks have been highly mitigated and the issue of the shortage of goods will never arise, as we manufacture all our products. Also, our prices are stable and cannot be matched by competition,” he said.
He said the retail chain, known for its products quality, plans to be present in every commercial centre nationwide, including malls, stand-alone stores in heavily populated areas.
Giving an overview of MINISO, its Managing Director, Mrs Key Yang, said: “MINISO is a Japanese lifestyle designer retail brand, which was founded in 2013, by two notable gentlemen; Japanese designer, Mr. Miyake Junya, and a young Chinese entrepreneur, Mr. Ye Guofu, in Tokyo, Japan.
“It is the fastest growing fashion brand on a large global scale, with its product focus mainly on leisure lifestyle, which includes creative homeware, health and beauty, fashion accessories, digital accessories, stationery & gifts, unique toys series, seasonal products, Kitchenware etc.
“MINISO has made a name for itself worldwide and has beaten all odds with an average monthly growth rate of 80 – 100 stores across countries including the United States, Canada, Russia, Singapore, the United Arab Emirates, Korea, Malaysia, Kazakhstan, Australia, and many more, and all these have been achieved within a five-year mark.” She stated.
Also speaking, the Franchise and Investment Manager, Jason Zhou, said: “MINISO has actively explored the international market and has opened more than 2,900 stores in over 60 countries within the years and is in the process of opening stores in 20 more countries. MINISO’s business turnover stands at $1.5 billion in 2016 and nearly $1.9 billion in 2017.”
He added that “From the sales figures of our existing stores in the past 11 months, MINISO is one of the most profitable businesses in Nigeria that yields returns on investment between 10 – 18 months.”
He recalled that the flagship store in Nigeria was opened on September 10, 2017, in Lekki, Lagos, and had since opened additional 11 stores across the country, Ibadan, Abuja, and Port Harcourt, adding that “By the end of 2018, MINISO would have successfully reached the south-eastern states of Nigeria, as documentation processes are being concluded for over 10 stores.”