Sri Lanka’s fast-moving consumer goods (FMCG) market’s price leader Lak Sathosa is ranked second among retail chain brands in the country, and that too, by a few marginal points behind the country’s top ranked retail chain.
As part of its busy preparations for the coming festival season, Sathosa has stocked up a three-month supply of essentials-and enters the festive season with novel promotion effort of 250 brands.
“I thank all the private sector companies who made these promotional offers possible,” said Industry and Commerce Minister Rishad Bathiudeen.
Bathiudeen was speaking during his recent inspection visit to see the preparations of the novel promotional initiative involving over 250 brand consumer promotion effort to be introduced for the first time by Lak Sathosa, aimed at the forthcoming festival season.
Lak Sathosa is the leading retail store chain in Sri Lanka with a commanding 305 outlets across the country.
“I want Sathosa to be not only a ‘price setter’ in the Sri Lankan retails but also the best supermarket chain that offers a value addition to a Sri Lankan household. Within the next three months all outlets are to receive a facelift with the basic infrastructure corrected in lighting, freezer facilities and retail staff so that we can ensure the total basket of goods for a Lankan housewife could be bought at a Lanka Sathosa outlet.
We have prepared a three-month stock cover on all essential items and appointed professionals to bring in new management thinking into the organisation and expand the outlets to 500 in 2016 so that we can meet the changing consumer requirements of the Sri Lankan.
According to the latest market research, Sathosa has a commanding store equity of 3.4 among the mass market consumers and consumer retention rate of 67 percent that no other brand in the market can claim. The store equity ranking is only a few points behind the number one supermarket which is a private chain. This is the power of Sathosa brand. Whilst we are increasing the retail outlets, we will introduce an internal quality laboratory so that we offer the best value for money shopping experience,” he said.
Finance Minister Ravi Karunanayake, in his Budget 2016 announced that the Sathosa distribution network to be strengthened by increasing up to 500 stores and the government is to allocate Rs.1,000 million for the expansion project.