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37% of the funds will be used to strengthen the company's digital strategy, logistics infrastructure projects and the optimization and development of information technology (IT). 34% will be used to consolidate the expansion of Falabelle (including IKEA) in the region. The rest will be invested in transforming and improving integration between physical and digital channels.
Falabella has announced a $ 4.2 billion investment plan for 2019-2022 and has clear goals.
Of the total amount, 37% (USD 1,554 million) will be dedicated to the optimization and development of information technology (IT) projects and logistics infrastructures associated with various retail formats.
The goal is to improve the personalization of its offer through BI and artificial intelligence, "this will strengthen cyber security and stimulate the growth of the Line, the regional market, acquired in August 2018," he said.
34% (US $ 1,428 million) will be invested in the further consolidation of the regional presence of all business units by opening five shopping centers and 95 stores, especially in areas where it is not available, which includes the development of IKEA formats in Chile, Peru and Colombia.
29% (US $ 1,218 million) will optimize the potential of the network of existing stores and shopping malls with extensions and updates to strengthen the positioning of their own brands, further develop Click & Collect spaces and enable better between different physical and digital channels.
1,084 million USD in 2019
In the next year alone, Falabella will invest $ 1,084 million with which it intends to open 23 stores, two shopping centers in the region and a new distribution center in Peru, specializing in a white line that will provide logistical solutions for all formats in that country.
If we do not take into account the exchange rate effect (taking into account 2019 the same rate as in 2018), the plan is 11.2% higher than the plan announced last year by Falabella and will be strengthened by the operational costs aimed at the digital transformation of the company
Falabelle's General Manager, Gaston Bottazzini, explained that "Falabella is investing in further growth of the company." We are building an ecosystem of integrated services that enable us to serve our customers throughout the region whenever they want and from the form that suits them best. We are convinced that this will consolidate Falabella as the most important digital and physical ecosystem in Latin America. "
The investment plan takes into account 100% of the investments made by Falabella and its subsidiaries, including Sodimac Colombia, Sodimac Mexico and CMR Mexico, which are not consolidated.
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