The hypermarket chain Big C Supercenter Plc will spend 5 billion baht to develop 1,000 mini Big C outlets over the next five years in a bid to overwhelm arch-rival Tesco Lotus.
Big C signed a deal with Bangchak petroleum to offer Mini Big C marts at its petrol stations. The retailer wants 300 of these outlets at pumps in the near future.
Of the outlets, 300 mini Big C stores will be opened at Bangchak petrol stations.
Big C signed a memorandum of understanding yesterday with Bangchak Petroleum Plc (BCP), the operator of Bangchak petrol stations, to operate mini-marts at its service stations in Bangkok and the provinces.
Praphan Eamrungroj, Big C's executive vice-president for properties, said the first five mini Big C stores will be opened at premium Bangchak petrol stations on Rama III, Charoen Krung, Navamin, On Nut and Pattanakarn Roads over the next few months. The initial store, which was not identified, will open in May.
A number of mini Big C stores will replace Bai Chak mini-marts at some Bangchak stations and some will be developed at new stations.
Big C operates 59 mini Big C stores, while the BCP deal could lead to 100 new outlets at those petrol stations, said Mr Praphan.
"The partnership with BCP is our second big move to accelerate the number of our convenience stores to compete with Tesco Lotus," he added.
Big C acquired the local Carrefour hypermarket business two years ago, partially with the goal of matching Tesco Lotus in outlets, which exceed 900 in all formats across the country. Of the total, 133 are hypermarkets.
Big C operated 181 outlets as of Dec 31 last year. Some 14 branches were Big C Markets, 92 hypermarkets, 15 Big C Extras and one Big C Jumbo.
There are three main retail operators with mini-marts at petrol stations. CP All Plc, the operator of 7-Eleven, allied with PTT, while Tesco Lotus has teamed up with Esso for Tesco Lotus Express.
Big C also plans to aggressively expand other small retail concepts including Big C Market and open four new hypermarkets this year. This requires investment of 3 billion baht this year, with 2 billion for the hypermarkets and the remainder for the small retail stores.
BCP operates 1,080 petrol stations nationwide, with 36 Lemon Green stores and 120 Bai Chak mini-marts. It will stop operating its Lemon Green by year-end while about half the Bai Chak outlets will be transformed to mini Big C.
