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Service comes first

In its 20 stores the Portuguese DIY retailer, Maxmat, offers a broad range of services that includes installation by tradesmen

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Maxmat opened its first outlet at Porto in 1995. At that time the inventory was more clearly geared to professionals than it is today. Then in 1999 came the decision to revise the concept in order to become more attractive to consumers. However, relatively small businesses still today form part of the company’s target group.
In its stores, Maxmat wants to sell customers products with add-on value. This refers not only to the product assortment – where the aim is to provide a solid basic range of technical products – but also to the range of services in parallel. These services include delivery of goods, financial services such as consumer loans, cutting timber to size, and mixing paints and varnishes. Customers also receive help from advisory leaflets that Maxmat has put together for a variety of projects.
Last year saw the continuing extension of the range of services. Now Maxmat is offering an installation service that will carry out small jobs in the homes of those consumers who do not want to play an active part themselves. There are about 30 different jobs that can be tackled by these specialists.
Meanwhile, this DIY retail group, in which the Portuguese Sonae Group and the Irish builders’ merchant company, CRH Group, each have a 50 per cent stake, operates a total of 20 stores with a combined retail space of 40 000 m². A majority of the 18 outlets that are located on the mainland are to be found in the west of the country. Added to these are one store each in the Azores and Madeira.
The store inventories consist of building materials, timber, plumbing and bathroom furnishings, as well as tools, electrical, hardware, paint, garden products and plants. According to group headquarters in Ermesinde, the bestsellers in Maxmat stores are mainly building materials, timber and paint. Around 75 per cent of the range is sourced from Portuguese suppliers.
Private labels can also be found on the shelves in Maxmat DIY stores. They are stocked in all product categories except for live plants. Company information suggests that private labels account for a share in excess of ten per cent, a figure that is expected to increase to 15 per cent this year.
Plans for future expansion have already been forged. They envisage the opening of five new stores averaging 2 000 m² in size. What is more, work is being done on developing new concepts, such as one for the garden segment. A first pilot store is due to be launched in the Lisbon area in the near future.
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