Mr. Tran Kinh Doanh, General Director, said The Gioi Di Dong will allocate an area of 20-30 m2 for each pharmacy corresponding to Bach Hoa Xanh stores with traffic of over 1,000 people / day. It is expected that the number of pharmacies can reach 100 stores within 1 year.
Mobile World wants to sell drugs next to the Bach Hoa Xanh chain. (Source: An Khang Pharmacy)
With several An Khang pharmacies located next to the Bach Hoa Xanh chain store (BHX), many people questioned whether this is the new strategy of Mobile World Investment JSC (Ticker: MWG).
Responding to the above issue, during MWG’s July 2020 business update online meeting, General Director Tran Kinh Doanh revealed the combination of two business models at the same place to take advantage of about customer traffic of Bach Hoa Xanh chain.
“In a business with traffic of about 1,000 people / day, you can sell anything. That’s the advantage that BHX is creating for An Khang pharmacy.”
According to statistics, the average number of visiting customers for the whole BHX system with 1,600 stores is about 450-500 people / store / day. However, the company also has new models that can reach 1,000-1,500 people / shop / day. Average value of orders is about 100,000 VND / bill.
In addition, The Gioi Di Dong is also testing stores with 5 billion VND / month revenue with an expanded area to 450 – 550 m2, a diversified product portfolio with 5,500-6,000 products. Consists of essential and fresh foods. The number of visitors is stable with about 1,000 visitors and a turnover of 100-150 million VND / day.
Regarding the specific orientation, Mr. Doanh said that MWG will arrange an area of 20-30 m2 for each pharmacy corresponding to BHX stores with traffic flow of over 1,000 people / day. It is expected that, in this way, the number of pharmacies can reach 100 stores within 1 year.
Talking about the potential, MWG’s General Director said: “Right after opening, these demanders had a number of visitors from 100 to 150 people per day. The revenue generated was about 200-300 million dong / month.
According to the notes to MWG’s Q2 consolidated financial statements, the loss from the associate – An Khang Retail Joint Stock Company in the first half of 2020 is more than 2.5 billion dong. Total accumulated loss from associates as of June 30 is more than 8 billion.
Source: MWG’s Q2 consolidated financial statements
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