Siam Cement Plc (SCG) plans to spend 5.6 billion baht on 56 new and remodelled branches of its home solution centres nationwide by 2017, targeting sales of 50 billion baht during the period.
Nithi Patarachoke, vice-president for SCG’s cement-building materials in the domestic market (second right), celebrates its expansion plan with Manit Boonprasert, retail business director for dealers’ networks (second left), at a press briefing yesterday.
Nithi Patarachoke, vice-president of cement-building materials for the domestic market, said the expansion would include a facelift of existing branches of Cement Thai Home Mart outlets owned by its authorised dealers as well as adding new branches.
SCG operates 24 home solution centres nationwide, comprising three in Greater Bangkok, three in the West, two in the East, seven in the Northeast, four in the North and five in the South. Of the 24, 19 will be upgraded to Cement Thai Home Mart outlets owned by SCG dealers, while five will be completely rebuilt.
Each branch requires investment of around 100 million baht to showcase structural, roofing, wall, bathroom, kitchen, ceiling, surface covering, landscape and outdoor living, and door and window products in around 2,000 square metres.
Mr Nithi said for the 82 Cement Thai Home Mart outlets that need to be revamped into SCG Home Solutions, it will contribute 10% of the 100-million-baht budget.
SCG will add nine new branches in eight provinces this year, comprising three in Bangkok and one each in Roi Et, Udon Thani, Khon Kaen, Phuket, Nakhon Si Thammarat and Phetchaburi. The new branches are expected to lift sales to 10.4 billion baht by year-end, up from 4 billion from 15 branches last year.
In 2015, the company aims to have 55 branches with sales of 20 billion baht.
Sales from Home Solutions account for 2.5% of SCG's turnover. During the first nine months, Home Solutions recorded 7 billion baht in product sales, up from 3 billion in the same period last year.
"We will add more branches in the Northeast next year as it recorded the highest sales. The new branches will include both new provinces and existing ones," he said.
Siam Cement shares (SCC) closed yesterday on the SET at 434 baht, unchanged, in trade worth 522 million baht.