| Mon 10 Sep 2001, 0:00 | | Press Release By New Clicks Holdings |
|
NEW CLICKS GIVES DISKOM A MAKE-OVER
Multibrand specialist retail group New Clicks Holdings has started the
roll-out of a revitalised Diskom and is aggressively relaunching the brand
in the beauty, health and lifestyle market under the banner 'Discom - Look
Good Feel Good', with ethnic beauty as the core business.
The move has been expected by the market since the group acquired
Modisons earlier this year as the first step towards finding a solution for
the underperforming Diskom brand, which had become trapped between urban and
rural market segmentation.
Total capital expenditure for the relaunch of Discom, including
conversions, rebadging and a comprehensive technology roll-out, will amount
to around R24-million for the financial year ending August 2002, which will
be funded internally.
A new-store and store-conversion programme is underway which will see
Discom open 19 new stores around the country, including the conversion of
nine largely Durban-based Modisons stores to the Discom brand, and rebadge
100 of the existing Diskom stores by the end of this year. The remaining
stores will be rebadged during the first half of next year. The first new-
look Discom store was opened in Richards Bay on 6 September.
Raymond Godfrey of New Clicks South Africa says the new Discom is the
result of a careful process involving market research and combining the best
of the Modisons and Diskom formats to enhance merchandising skills and
leverage off corporate infrastructure.
"Discom is South Africa's premier retailer in the ethnic haircare
category, yet it has typically been perceived as a general dealer. We are
closing this perception gap through a complete make-over of the brand and
aggressively targeting the R8,9-billion beauty market, with a particular
focus on the high-growth area of ethnic hair- and skincare," he says.
According to Godfrey, research revealed high brand recognition and
positive disposition towards the Diskom brand, yet the consumer profile has
changed. The typical Discom customer has urbanised, she is a woman between
18 and 36, aspirational, trendy, discerning, and proud to be African. She
wants to look good and she wants to feel good.
Trevor Edwards, brand leader of Discom and previously MD of Modisons
says: "Taking a cue from Modisons, we have created a totally new look and
feel, one which will provide a dynamic shopping experience and an innovative
range of quality product at great prices. The new brand - Discom with a 'c'
- is modern, fresh, progressive and optimistic," says Edwards.
Other areas of focus intended to increase spend per head in the new
Discom include aggressive marketing, improved ranging, enhanced customer
service through in-store training and the introduction of a Discom call
centre.
Merchandise is categorised under the pillars of beauty (with ethnic hair-
and skincare as the core), health (feeling good from within) and lifestyle
(home, cellular and music products).
Leveraging off the New Clicks infrastructure and supply chain management,
there will be a simultaneous technology roll-out which will see Discom fully
computerised by June 2002.
Once the roll-out is completed, Discom will aggressively pursue
franchising opportunities as a way to grow the format rapidly and expand
into Africa. In this regard, Discom will benefit from the experience of
Trevor Edwards, who is highly regarded in the franchising and marketing
worlds.
Ends
