“Dixy’s” new marketing strategy is yielding favorable results

The “Dixy” Goup, that belongs to the Igor Kesaev’s “Mercury” Group, has managed to raise the net profit 4.4 times until 554 million rubles during the first half of the year. The company’s revenues have increased 22%, until 37.4 milliard dollars. The gross margin of the “Dixy” Group has grown until 25.1% (contra 23.7 % during the first half of the year 2010), and the EBITDA profitability—until 6.6% (5.8%). On Tuesday “Dixy’s” share quotation on the MICEX has grown about 5%, almost 310 rubles for the paper.

According to the Alfa-bank analysts, the “Dixy’s” investments in logistics and new marketing initiatives are yielding favorable results.

In summer 2010 Danny Perekalsky has become the “Dixy’s” marketing director, and under his command the company has changed its marketing strategy. The quantity of fruit and vegetables in the assortment has grown a lot. Moreover, “Dixy” has changed the salesroom planning, the display of goods, and created a greater variety of products of its own merchandise marks. The retailer is planning to spend about 500 million rubles on renovations during 3 years.

Source: www.fruitnews.ru