http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 15.07Change: 0.05
R/$ = 13.43Change: 0.02
Au 1132.88 $/ozChange: -2.61
Pt 1013.00 $/ozChange: -3.00
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
Mar 02, 2012

Growth strategy key for SA retail expansion

Back
Africa|Ghana|Mining|Africa|Democratic Republic Of Congo|Ghana|Zambia|Product|Steel|Operations
Africa|Ghana|Mining|Africa|Democratic Republic Of Congo|Ghana|Zambia|Steel|Operations
africa-company|ghana-company|mining|africa|democratic-republic-of-congo|ghana|zambia|product|steel|operations
© Reuse this



The growing importance for companies to strategically position themselves within a reachable radius of end-users has resulted in JSE-listed steel distributor BSi Steel accelerating its plans to expand its Express outlets nationwide.

BSi Steel’s 45% increase in gross profits between April and September last year can partly be attributed to the company’s venture into the retail sector through the launch of BSi Steel Express, says BSi CE of SA Stockists Ross Teichmann.

“The BSi Steel Express con-cept is one of a number of growth initiatives that the company is embarking on. “While we are ambitious with our plans, we will not be reckless just for the sake of growth. “These branches will develop either through small acquisitions or start-ups from scratch, depending on the markets and opportunities that present themselves

“The roll-out of Express outlets will capture a greater cash sale component for the group, with the aim being to improve our overall gross margin,” says Teichmann.

Looking ahead, the steel distributor says it plans to open a series of BSi Express stores nationwide in the next three years. With two branches already in operation in Kya Sands and Wychwood, in Gauteng, the company is on track to open a third branch in Brits, in the North West, this month. Meanwhile, Teichmann says the branch network in Zambia, Zimbabwe, Mozambique and the Democratic Republic of Congo is achieving measurable success; however, it is too early to comment on the success of the Ghana branch.

BSi will continue to focus on increasing its footprint on the continent, owing to greater activity in the mining, oil and infrastructural development sectors. Teichmann points out that its South African distribution centre remains an important link to its African expansion plans.

BSi Steel says that, with predicted gross domestic product growth of 3% for South Africa in 2012, and considering that the company only contri-butes 200 000 t/y of steel to the country’s consumption figure of five-million tons a year, it is confident it can still gain significant market share in 2012.

Challenges
Recent challenges faced by the group include the strike action by workers in the manu- facturing sector in July 2011, which Teichmann says, had a significant negative impact on the group’s local and inter- national distribution operations.

Further, the temporary shutdown of steel manufacturer ArcelorMittal South Africa’s Newcastle blast furnace, between August and December last year, resulted in severe steel shortages. An unexpected increase in the demand for steel during the same period resulted in low steel stock levels, he states.

Edited by: Chanel de Bruyn
Creamer Media Senior Deputy Editor Online
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Steel News
OVERCAPACITY The global steel industry is currently experiencing an oversupply of steel
Latin America nonprofit steel organisation Latin American Steel Association (Alacero) in June announced that the global steel industry calls on governments to take action against China’s new steel policy, Steel Adjustment Policy, and overcapacity. The association...
NEW-GENERATION STEEL ROLLER Megaroller’s steel roller is designed to ensure accurate bearing alignment
To meet the materials handling industry’s need for a cost-effective, energy efficient and long-lasting steel roller that also creates less noise pollution, conveyor rollers manufacturer and distributor Megaroller launched a new-generation steel roller onto the market...
FLUCTUATING COMMODITY While importing steel is sometimes the most economic option, Universal Storage Systems remains committed to local procurement
A significant number of South African manufacturers have been forced to import steel over the past two years instead of buying it locally because local steel prices are high, says steel racking, shelving and mezzanine flooring manufacturer, supplier and installer...
More
 
 
Latest News
Implats CEO Terence Goodlace
Updated 54 minutes ago Platinum mining major Impala Platinum (Implats) said on Thursday that it intended raising up to R4-billion through the sale of new Implats ordinary shares using an accelerated bookbuild process. The company, headed by CEO Terence Goodlace, said that shareholder...
Deputy President Cyril Ramaphosa
Deputy President Cyril Ramaphosa said on Wednesday that his attempts to improve the efficiency of South Africa's state-owned entities (SOEs) are not an attempt to get more votes in the 2016 Local Government Elections. He was updating the National Council of Provinces...
Frost & Sullivan ICT programme manager Gareth Mellon
It is increasingly widely accepted that deploying information and communication technology (ICT) infrastructure will bring about a surge in economic growth across Africa. However, the sourcing of billions of dollars required to deliver universal coverage was up for...
More
 
 
Recent Research Reports
Road and Rail 2015: A review of South Africa's road and rail sectors (PDF Report)
Creamer Media’s Road and Rail 2015 report examines South Africa’s road and rail transport system, with particular focus on the size and state of the country’s road and rail infrastructure and network, the funding and maintenance of these respective networks, and...
Defence 2015: A review of South Africa's defence sector (PDF Report)
Creamer Media’s Coal 2015 report examines South Africa’s coal industry with regards to the business environment, the key participants in the sector, local demand, export sales and coal logistics, projects being undertaken by the large and smaller participants in the...
Real Economy Year Book 2015 (PDF Report)
There are very few beacons of hope on South Africa’s economic horizon. Economic growth is weak, unemployment is rising, electricity supply is insufficient to meet demand and/or spur growth, with poor prospects for many of the commodities mined and exported. However,...
Real Economy Insight: Automotive 2015 (PDF Report)
Creamer Media’s Real Economy Year Book comprises separate reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, gold, iron-ore and platinum sectors.
Real Economy Insight: Water 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
Real Economy Insight: Construction 2015 (PDF Report)
Creamer Media’s Real Economy Year Book has been divided into individual reports under the banner Real Economy Insight and investigates key developments in the automotive, construction, electricity, road and rail, steel, water, coal, gold, iron-ore and platinum sectors.
 
 
 
 
 
This Week's Magazine
Training company The Intelligence Transfer Centre will host the fourth yearly Environmental Crimes Conference at the Indaba Hotel, in Fourways, Johannesburg between September 9 and 10. Confirmed key regulatory bodies that will attend the event include the Department...
The government of Egypt has said it is ready to provide technical assistance to Malawi in the development of the Shire–Zambezi waterway, which is designed to link landlocked Malawi to the Indian Ocean by opening the two rivers for navigation. Egyptian ambassador to...
Kenya is finally set to start building a new multipurpose petroleum pipeline, after securing a $350-loan from a consortium of banks, including South Africa's Rand Merchant Bank. The other banks in the consortium are the Cooperative Bank of Kenya, Citibank's Kenya...
MARAIS VAN HEERDEN The owner/operator should be able to view the overall project design and progress made at any time
Three-dimensional (3D) engineering design models can now be viewed on tablets, which enable stakeholders to view the design without having to buy the design software used to create it, says engineering design firm 3DDraughting executive Marais van Heerden. The...
Ford’s newest offering in a long list of newcomers to the local market in the last two years is the B-Max multi-activity vehicle (MAV). The B-Max will play in the so called B-MAV segment, or the small MAV segment, currently dominated by Toyota’s Avanza, which sells...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96