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Poland: Action is still at the beginning of our expansion

Discount Variety Retail Chain Action Poland (owned by 3iGroup) sees Poland as an important market, we see a great potential for further development of Action. As you can see from our weekly openings of new outlets, we do not assume "either or or". We are developing both in smaller towns and larger cities, declares Sławomir Nitek, CEO of Action Polska, in an interview with the portal Wiadomoś

Action launched an advertising and promotional campaign some time ago, it seems that it was the first such large action on the Polish market? Does this mean that the scale and coverage of the network are so large that such investments are beginning to pay off?

Action has already run advertising and promotional campaigns in Poland, for example last year before Christmas. Each time we carefully examine the effectiveness of such activities and draw conclusions for the future. As our network is constantly expanding, and we should be present in all provinces by the end of October, we do not rule out further advertising activities in the future.

What is the network's marketing and promotional strategy for the coming months? Will Action be more active in this area? What kind of communication will the company focus on? What differentiators will it emphasize?

We are constantly focusing on our distinguishing features, i.e. good quality products at the lowest possible price. These are well-known own brands or recognized suppliers, we have the ambition to offer them at a lower price than the competition. In addition, there is the aspect of an increasing number of stores, and therefore the availability of our offer to Polish residents. As for future actions, we do not want to reveal any further plans. Our focus is on the present - Every week, Action offers selected products as part of the "Weekly Promotion". This means that some of the products in our offer are in the spotlight, on the first shelves just behind the entrance to the stores. These articles are also promoted in flyers, on the website, on our social media and in the newsletter.

The decision to invest in marketing is the result of the dynamic development of the network on the Polish market. What are the territorial expansion plans for this and next year? Which local markets will be in Action's focus now?

Poland is an important market for us, we see a great potential for further development of Action here. As you can see from our weekly openings of new outlets, we do not assume "either or or". We are developing both in smaller towns and larger cities. Soon we will open the sixth store in Warsaw and more in Wrocław and Kraków. We want our stores to be close to customers, regardless of their place of residence. I am very happy that we are entering the Lubelskie Province, the last one where our facilities have not yet been located. This development will be helped by the opening of another distribution center, and in the future possibly more.

Where does Action want to be in Poland in the next 5 years? Which agglomerations will be Action's targets for the next 2-3 years?

All of them, because we want as many Polish citizens as possible to have access to our offer.

What are the development plans for Warsaw? How capacious is the market for a concept like Action?

Warsaw is a large agglomeration, but also individual districts and housing estates. We treat our stores as local establishments, which you visit at the same time as at the bazaar or at the grocery store. In this respect, we see great potential for Warsaw, where we already have five stores, but also for other agglomerations. However, I would like to emphasize that we are equally enthusiastic about opening our stores in smaller towns.

What does the average shopping cart look like in Action stores today? Is its value growing? How do you want to work on increasing not only the value but also the sales volume?

Our clients like a wide selection of products from as many as 14 categories, promotions and a constantly changing assortment. This interest is reflected in their shopping cart and we can see that its value is increasing compared to when our first stores opened. It is also due to the increasing awareness of our offer among Poles.

I would like to ask you to summarize the development of the Action network during the 9 months of this year. and a few words about the plans for the last three months of this year? How many stores does the company want to end this year? According to Action's report (based on the National Court Register), in 2021 the company planned to open 70 stores in new locations, will the plan be implemented?

This year, we have already opened 40 stores, and we are planning more. Every week, there are from 1 to 4 Action outlets all over Poland. We have exceeded 2,000 employees, which is growing with every store we open. In the middle of the year, we presented our development plans and we will consistently strive to implement them. Unfortunately, we have no influence on the epidemiological situation and possible restrictions introduced for common security that may affect our future actions.

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