SET-listed Home Product Center, the company behind HomePro, a home decor and improvement store, has announced plans to invest 30 billion baht between 2024 and 2028. The investment aims to open 50 new branches and enhance technology capabilities with the goal of achieving sales of 100 billion baht by 2028.
HomePro’s Managing Director, Weerapun Ungsumalee, stated that the company expects to achieve a sales growth target of 47% by 2023, reaching approximately 68 billion baht. The majority of the sales growth is anticipated to come from the physical stores, including 127 locations nationwide and seven in Malaysia.
The new branches will primarily be located in major provinces such as Greater Bangkok, Chon Buri, and Chiang Mai, targeting areas with high urbanization rates. HomePro also plans to introduce new product lines, including health and wellness, as well as items for mothers and babies.
About 80% of the total investment budget will be allocated towards expanding distribution centers and logistics and warehouse facilities, covering an area of at least 100,000 square meters. The remaining 20% will be dedicated to technology and data warehouses to enhance online selling platforms, including the company’s websites, applications, and partnerships with e-commerce platforms such as Lazada, Shopee, and TikTok.
Mr. Weerapun emphasized that the company will focus on space and speed to drive sales over the next five years. He mentioned that HomePro anticipates achieving sales growth at a similar level as GDP growth in the current year.
For 2023, HomePro projects sales of at least 68 billion baht, surpassing the 65 billion baht recorded in 2022. This would mark a new sales record since the 63 billion baht achieved in 2019. Online channels accounted for 6% of the total sales, the same proportion as in 2020 when the pandemic restricted movement.
Mr. Weerapun also mentioned that HomePro expects the Easy E-Receipt scheme, allowing individuals to receive a tax deduction of up to 50,000 baht for purchases made between January 1 and February 15, 2024, to boost sales in the first quarter. He stated that the scheme, with a higher deduction amount than the previous year, offers an opportunity for HomePro.
However, Mr. Weerapun anticipates a lower year-on-year sales growth in the first quarter due to the low base effect in 2022.
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