Domovoi and Start show strong growth

The company operating the Russian DIY chains Domovoi and Start will not manage to achieve all the projects scheduled for 2012. Director-general Nikonorow is basing his calculations on sales growth of 48 per cent for 2012 to a total of RUB 5.2 bn (approx. € 130 mio). The company has opened one Domovoi store this year and intends to inaugurate two more outlets in Moscow and the region surrounding the capital by the end of the year.However, the goals set for 2012 will not be achieved. Nikonorow puts this down to a lack of good locations, the development of a new concept for the Domovoi stores and a turning away from planned business takeovers. These were put off because the objects in question were either not up to requirements or too expensive. “We are prepared to wait until prices reach an appropriate level,” explained Nikonorow.At present the Start holding company operates six Domovoi stores in the “supermarket” format, which it acquired in 2011, and six Start hypermarkets. According to Nikoronow, the company will in future concentrate primarily on further developing the more successful supermarket format. Consequently a rebranding of all the company’s stores is scheduled to take place in 2013.