The Masterplan store

It is in Ettlingen, of all places, that Obi is showing the way forward for the number two in the market – a company that has declared its intention to become number one in the German DIY sector once again – in Ettlingen, where Dähne Verlag, with its diy editorial team, is based, less than fifteen minutes’ walk from the new Obi store. Of course, this is a coincidence. But a nice one at that.

Internally, they call the new brand concept the ‘CX store’ – standing for Customer Experience. It was first trialled at the pilot site in Cologne-Pesch; Ettlingen is the first of its kind in the wider market. This is already the 16th store that Obi has opened this year. Even with its 9,400 m² floor area, it fits well with Obi’s strategy: significantly more than a local convenience store, but certainly not a massive megastore.

This store can be seen as a blueprint for how the DIY group intends to proceed in future: with more franchising, more specialist retail, plus clearer customer guidance and a distinct service profile, for instance in the kitchen and garden sectors. And with more beavers: one peeks out cheerfully – or ‘knitz’, as they’d say here in Baden – over the porch.

So let’s go through the master plan. More franchising: the operator and franchisee is the Auer Group, which already has a stake in six other Obi stores in Baden, between Freiburg and Sinzheim near Baden-Baden.

And the Auers are not just anyone: the family is virtually symbolic of what franchising means to Obi. They are, in fact, one of the oldest franchisee dynasties in the ‘Beaver’ empire. So it was only fitting that 92-year-old mother Helene Auer, who has been running Obi stores alongside her husband since 1972, was also present at the opening.

Her son, Ingo Auer – whose brother Stefan heads the group’s steel trading division – emphasised in his welcome speech that they see themselves as a medium-sized company that responds to the needs of local customers. Auer holds a minority stake in the group’s other six Obi stores; the store in Ettlingen, however, is run by a separate subsidiary acting as a franchisee.

Ingo Auer also understands what franchising means at Obi from another perspective: he worked in Obi’s sales department for many years and was, at times, a member of the advisory board. In an interview with diy (available at diyonline.de), Ingo Auer also makes it clear that he will be putting his own stamp on regional product ranges here.

The next key point in the master plan: the professional…