Food
Scavolini, a leading kitchen manufacturer, aims to continue to grow by double digits in China and is preparing to launch a new investment plan in the first half of 2017 as it seeks to turn its strongly-domestic brand into an international one.
At a recent trade show, Chief Executive Fabiana Scavolini announced the company’s expansion plan with eight store openings to support the company’s international strategy.
“We have interesting development plans in Africa and Asia, let alone Europe, where we will soon open a store in Madrid,” the CEO said.
As part of the group’s international expansion, China represents a strategic market where Scavolini has been present for years and which “still offers huge opportunities (Federlegno expects design and furniture sales to increase 40% by 2019, Ed’s note), with a good distribution system and solid roots,” the top manager said.
Scavolini opened its office in office in Shanghai in 2014 and is also present within the Diesel Living space.
The 460-square meter Scavolini store in Changzhou, recently opened, is located inside the Red Star Macalline Furniture mall, at about one-hour train from Shanghai; it’s the only showroom in the mall visible from outside, thanks to its three big windows, and is Scavolini’s largest store in China. The Chengdu store is located in the city’s most important shopping center, along with 72 top international brands.
By June 2017, the company will also open in Shenzhen, Hangzhou, Nanjing, Zhengzhou, Xiamen and Wuxi, for a total of 11 stores in China.
China’s growth is part of Scavolini’s international retail expansion. Last month, it opened a new store in Boston, and a new opening is expected in New York, where the company already operates a showroom on West Broadway.
“We have exported to the United States for more than 20 years,” the CEO said. “It’s a double-digit growth market and we are very happy with it, both when we work with final consumers or in the contract segment. We expect additional important growth in 2017,” the manager said.
The “Scavolini Store” plan is part of a larger distribution strategy, with constant investments to grow the distribution network, especially abroad, where the group operates 300 stores, 150 of which in Europe, around 60 in Russia, 30 in North America, 20 in central and south America, another 20 in Asia and Oceania, for a total of over 1,300 stores worldwide.
Scavolini, which employs 660, celebrated last year its 55th anniversary and reported revenues of €220 million, 20% of which originated abroad.
