Partnerships between Portugal’s main supermarket chains and small independent investors are becoming more and more common.
So says a report by SOL newspaper, which spoke with a source of the Jerónimo Martins group – owner of the Pingo Doce supermarket chain – who admits that the group is actively pursuing these partnerships.
In February, Jerónimo Martins announced that it was planning to expand its network of supermarkets, allowing other parties to manage them.
At the time, there were three Pingo Doce supermarkets that were run by independent businessmen. Now, the number has doubled.
“We have already opened six stores in Vieira do Minho and Celorico de Basto (Braga), Miranda do Douro (Bragança), São Pedro do Sul (Viseu), Mira (Coimbra), and Avintes (Vila Nova de Gaia), and we expect the next one to open in October,” a source told the newspaper.
Guaranteeing that Jerónimo Martins will continue to seek these partnerships, the representative said that they are “very happy” with the rising number of entrepreneurs who are interested in joining forces with the group.
It has already been announced that the goal is to open new supermarkets in the next five to six years – all of which are scheduled for the Lisbon and Porto areas.
SOL’s report stresses that these deals differ from franchising because investors do not need to pay any form of commission.
They are responsible for the investment in infrastructures and salaries, while Jerónimo Martins takes care of all the equipment and licensing and some “operational, logistical and communication costs”.
In all, investors need around ““€5-€6 million” for these deals, also practised by Sonae (owners of the Continente chain).
In 2011, Sonae launched Meu Super, a small grocers open to franchising that already has 100 outlets in Portugal.
It is also offering franchising opportunities for its chain of Well’s health and wellness outlets, as well as a new chain of stationery shops named Note!.
