Market News

The owner of Castorama will introduce a new chain to Poland?

Kingfisher, the owner of Castorama chain is considering introducing a new chain of DIY stores in Poland, as the company announced in its annual financial report. Screwfix, because it will only work in the online channel at the beginning.

The company plans to take advantage of the expansion model that has proved its worth in the Irish market. After four years of online presence, it will open its first stationary stores this year. As the retailer emphasizes, this step is dictated by the strong position in the online channel and the similarity of the Irish market to the British, home market of the network.

At the moment, Screwfix is present in three European markets, in the UK, Ireland and Germany. There are 627 shops on the islands and five on the German market. However, the company has announced that by the end of the year it will close all stationary stores in the country and will only be present in the online channel.

In addition, the Polish market is also no stranger to the retailer, where Kingfisher has been present for 22 years through the Castorama network (and earlier also Brico Depot, although on a much smaller scale). Castorama is currently the leader on the Polish market, and its position in the next few years is not threatened. In 2018, the Group’s revenues on the Polish market amounted to PLN 6.99 billion and were 3.4% higher than in the previous year. According to PMR’s preliminary estimates, last year the network recorded over 12% share in the Polish DIY market. At the moment, there are 76 stores in Poland under the brand name of the chain. In addition, the company announced the opening of another six locations in the next financial year, ending in January 2020.

The directions of development and future formats of retail trade in finishing materials in Poland will be discussed in more detail during PMR’s II Industry Forum: Restoration and Construction Markets, 16 May in Warsaw. Their opinion will be shared by representatives of, among others: Bricomarche, PSB Group, Majster ABC, Repair and Construction Platform, Atlas, KH Stobud, Geberit, Allegro and others.

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