Bricorama in Benelux under the Gamma flag

DIY in Europe discussed with Rudi Petit-Jean, chief executive of Gamma Belgium, and Erik Haegeman, director of Bricorama for Belgium and the Netherlands, the motives leading to the decision and the prospects for their future cooperation.
DIY in Europe: What induced Bricorama to associate its DIY stores in Belgium and the Netherlands with Intergamma?
Eric Haegeman, Bricorama’s director for Belgium and the Netherlands.
Erik Haegeman: There is a quick answer to this question if we are talking about Bricorama in Belgium. The sales trend was giving cause for concern, the name was little known and our reputation among consumers at a low ebb. Once Wickes had been taken over, what possibilities were left for Bricorama’s re-emergence? Firstly: invest heavily in public relations work. Secondly: increase the number of outlets in moderation. Both solutions would have cost a great deal of money and the prospects for success were at the same time doubtful. So no solution here. We held discussions with other potential partners as well in order to increase our clout in Belgium. This resulted at the end of 2001 in our taking over the 16 Pollet stores trading under the Gamma name, on condition that they continue to be operated under this name. Otherwise Intergamma would have been able to make use of a preferential purchase right. So we asked ourselves whether it wouldn’t be more sensible to convert the 23 Bricorama stores to Gamma outlets as well.  In this way Bricorama’s recognition problem was solved at a stroke and its position in the do-it-yourself market strengthened. The arrangement also provides for the outlets in the Netherlands to be remodelled into Karwei or Gamma stores. As a result Bricorama is the first Intergamma franchisee to operate in both countries. Now there are 12 Gamma franchisees in Belgium who between them operate 70 outlets, including the 23 new stores from Bricorama. With its total of 39 stores (23 + 16), Bricorama is turning into Gamma Belgium’s biggest franchisee.
Previously Gamma had a presence only in Flanders, but now with Bricorama there will be several outlets in Wallonia as well.
Rudi Petit-Jean, chief executive of Gamma Belgium.
Rudi Petit-Jean: At present we have two stores in Wallonia, where we have already gained a certain amount of experience, as well as learning some hard lessons.
Haegeman: Today there are nine Bricorama outlets in the French-speaking part of the country, one of them in Ukkel. A tenth store is going to be added. The degree to…