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Records 20% slump in sales
From Adanna Nnamani, Abuja
Hisense, manufacturers of diverse electronics, in collaboration with Fouani Nigeria Limited, has officially launched its first flagship retail store in Nigeria and across West Africa at the weekend.
The new store features a range of Hisense products, including the latest refrigerators, washing machines, and a cutting-edge see-through projector TV.
Addressing journalists during the grand opening ceremony, Mostapha Khrais, Manager of Fouani Nigeria Limited’s Abuja branch, expressed the company’s excitement over the new venture.
Khrais said the store, located in Wuse, Abuja, marks a key expansion for the brand, which has already made substantial investments in the Nigerian market. He outlined Hisense’s dedication to providing top-tier customer service and after-sales support, noting that these factors set the brand apart from its competitors.
According to the MD, “The first thing is to bring the latest technology of Hisense to the communities everywhere and to make it easy for the public to know what Hisense is the most important thing.
“And as you know, Hisense has the most important service after sales. This is what we are relying on to do more sales.”
On affordability, Khrais also reassured Nigerians that Hisense remains the most cost-effective option for quality electronics in the country.
He said the company has invested heavily in Nigeria over the years, with significant contributions to local employment.
“We have thousands of Nigerian employees. Starting from the factory, to the marketing team, to the drivers, distribution, everywhere,” he stated.
However, despite the positive outlook, Khrais revealed that the company faces significant challenges due to Nigeria’s current economic climate.
He lamented that the volatile exchange rate, double taxation as well as cost of transportation, among others, have hugely affected business and impacted consumer spending power, leading to a noticeable decline in sales.
It is a difficult environment. Anybody that can survive in Nigeria, can survive anywhere in the world. This is the truth, I’m telling you, because we have a lot of challenges. From transport to exchange rates.
“Sales have dropped by as much as 20 percent. People who are trying to buy things, are not going to buy like before, because the people’s disposable income has gone down. So, at the end of the day, you are earning the same salary. While the cost of things are doubling.”
Despite these challenges, Khrais said the company remains determined to expand its presence in Nigeria. He confirmed plans to open additional stores in the coming year, with the goal of having more than three new locations by 2025.
According to him, “We like challenges, and challenges make other brands drop, but we, we continue. It gives us more chances to grow. We take the challenge and turn it into an opportunity.”
Khrais concluded by calling for stability in the exchange rate to enable businesses to plan more effectively. “If the exchange rate stabilizes, we can plan our business better and keep prices affordable for consumers,” he stated.