A completely unpredictable year that favors the retail of the Fais group

By George Lampiris

Sources close to the Fais group, which manages brands such as Kalogirou, Mango, Puma, Under Armor, Charalas, speak of a completely unpredictable year in the retail sector this year. They point out that after the intensely negative January where it was affected by the snowfall and the events that followed, March was also a negative month for the market as a whole given the start of the war in Ukraine. However, as they point out, April, despite the increases in energy and fuel as a result of the war, was a good month compared to 2019 for all levels of goods from the cheapest to the most expensive. In particular, the retail group Fais in the first five months of 2022 recorded significantly better performance compared to 2021, a year in which, however, the stores remained closed for about two months due to lockdown. In addition, May 2022 is moving satisfactorily “but without being great”, the same sources typically point out.

Purchase of multiple gears depending on the income to which each brand is addressed

What is observed is that the brands that target the middle incomes such as Mango, Charalas but also the sports items during March experience a bigger crisis, while the more expensive brands like Kalogirou and the economic ones like Kiko Milano, are not affected. from increased bills. The reason is that consumers who can afford to buy shoes from Kalogirou stores, which have fashion house products at high prices, are not significantly affected by increases in electricity or fuel. Similarly, Kiko Milano is also not affected, because its products are very economical in terms of price, which does not make their purchase prohibitive and in fact is an incentive for consumers to buy its products.

Performance close to those of 2019

For the Fais group, this May in terms of retail brands is moving at the same levels as last year, when the stores were now open after the lockdown, while it is moving at approximately the same levels as in 2019.

In particular, the Mango stores managed by the Fais group, in the five months record a decrease in sales by about 10% compared to 2021 and even greater compared to 2019. Kalogirou compared to the five months of 2021 records a sales increase of about 25% and by about 12% compared to 2019. In terms of sportswear on a comparable basis in the same number of stores – the picture is different if you count the new stores that opened – compared to last year sales are reduced by 8% and compared to 2019 the increase in sales is at the level of 15%.

The fall of Nike favors sportswear

In any case, the Fais group benefits from the transition period that Nike is going through in Greece, in the post-Folli Follie period and the takeover of the retail network in our country by the Percassi group. “However, we’re not entirely representative of what ‘s going on in the market right now. “while retail is reaping some of Nike’s decline with a serious impact on its sales,” say the same sources.

Puma flagship stores are coming

The group is currently implementing a renovation and operation plan for new stores, which is in progress. In Cyprus, for example, it maintained a Puma store in Nicosia Mall and was moved to a store more than double its size. The renovation program concerns the Under Armor stores from 2023 onwards with a horizon of three years. The investment also envisions Puma launching new flagship stores, putting the brand back on the market.

Three new Kiko Milano stores are coming to Cyprus

Regarding the expansion of Kiko Milano abroad, the group has already established two stores in Larnaca and Nicosia, while the operation of another one in Paphos and a fourth store is imminent, which will also be located in Nicosia. At the same time it is looking for a store in Limassol. We remind you that the group has already established subsidiaries in Cyprus and Romania, with which it will develop the network of the cosmetics company, whose master franchisee is for Greece, Cyprus, Bulgaria and Romania. The group is currently in the process of looking for stores in major malls in Romania and Bulgaria, with the aim of opening the first stores at the end of 2022 or at the beginning of 2023 at the latest.

The Modiano market in Thessaloniki has been in operation since September 1st

Regarding the Modiano market in Thessaloniki, the project in terms of construction has been completed by 95% and the goal is to start its operation from September 1 of this year. At the same time, the process of leasing the 75 available spaces to professionals from the food sector is underway, with at least 50% of these spaces already leased.

The relevant research conducted by the Fais group in its first year of operation is estimated that the Modiano market will attract four million people, while in three years this number is expected to reach seven million.