19 July, Moscow – ADG group signed a contract with the DA! chain to open discount stores in three Meeting Place neighbourhood centres scheduled for launch in late 2022 and early 2023.
DA! discounters will open their doors at the Biryusinka Meeting Place in Western Biryulyovo and the Orbita Meeting Place in the Nagatinsky Zaton District (both slated for launch this year), as well as the Orion Meeting Place in the Losinoostrovsky District, expected to welcome its first visitors in Q1 2023.
While the concept of Meeting Places as neighbourhood centres in Moscow is being constantly fine-tuned to respond to the changing market environment, the focus on the needs and wishes of local communities remains unchanged. The project welcomes an increasing number of new business partners that share the values of ADG group and appreciate the strong potential of its facilities. One of the partners is the DA! discounter chain and its new convenience store format: unprecedented in the Russian retail sector, it offers great value for money, now a major priority for price-conscious consumers in the current environment.
The chain’s stores boast modern and spacious trading areas that offer a pleasant shopping experience. Available at DA! are renowned international and Russian brands as well as a wide range of private label goods. By cutting down on marketing expenses, DA! is able to offer a cheaper price on its private labels while not compromising the quality. All the products are available in easy-to-use eye-catching packaging and meet all the stringent production standards that apply. The company engages in regular consumer preference surveys and taste tests to find out what experts and consumers think about products that come from various suppliers. At DA!, customers can benefit from discounts, campaigns, and special offers.
“Within Moscow, each district is a unique consumer market with a specific set of retailers operating in it. We pay special attention to the needs of every district and are committed to meeting the needs of local audiences. In line with that, each facility that we run has a very different set of tenants, aligned with community expectations. We are in constant dialogue with local residents and have feedback channels in place. I believe that the opening of the DA! discounters at neighbourhood centres will prove a great experience for each community and help boost traffic at our facilities, propelling us and our partners towards our goals,” said Grigory Pecherskiy, Managing Partner at ADG group.
“The key principle of the DA! chain is to offer great value for money and provide customers with quality goods and services every single day. Our strategic partnership with ADG group, which develops a unique concept of neighbourhood centres unprecedented in the Russian market, will help even more DA! stores open their doors within walking distances from where customers live in densely populated districts of Moscow. We see that a variety of macroeconomic factors are causing consumer demand to move towards sustainable consumption, with convenience and speed of shopping now increasingly important in an urban environment. We have every confidence that the DA! discounters at the Meeting Place neighbourhood centres will prove a popular location with Muscovites,” said Armin Burger, CEO of O`KEY Group.
ABOUT O`KEY GROUP
O`KEY Group S.A. (LSE, MOEX: OKEY) is one of the leading grocery retailers in Russia, operating hypermarkets under the O`KEY brand and discounters under the DA! brand.
As of 31 March 2022, the Group operated 232 stores across Russia (75 hypermarkets and 157 discounters) with the total selling space of 620,699 square meters. The Company opened its first hypermarket in St. Petersburg in 2002 and has since demonstrated continuous growth. O`KEY was the first Russian food retailer to launch e-commerce operations in St. Petersburg and Moscow, offering a full range of hypermarket products for home delivery. The Group has seven e-commerce pick-up points in Moscow and six e-commerce pick-up points in St. Petersburg. In 2015, the Group launched the first discount chain in Russia under the DA! brand. The Group operates five distribution centres in Russia – three in Moscow and two in St. Petersburg. The Group employs more than 20,000 people.
In 2021, Group’s revenue amounted to RUB 187.1 billion, while EBITDA reached RUB 15.5 billion.
The O`KEY Group shareholder structure is as follows: NISEMAX Co Ltd – 43.20%, GSU Ltd – 30.03%, free-float and other holders – 26.77%.
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