retail
Textile discounter Kik wants to close unprofitable branches
KIK also has to deal with a tougher competition and a sunken purchase mood: everything is now being put to the test. Branches are also closed. And the employees?
The textile discounter Kik wants to increase its competitiveness and also close unprofitable branches. How many, where and when is still open. If there are closings, Kik wants to enable the employees concerned to continue working. This emerges from a statement that the company belonging to the Tengelmann group published in the North Rhine-Westphalian Bönen at the request of the news agency dpa.
Last week, the long-time KiK boss Patrick Zahn surprisingly left the company. In the past few days, media reports of possible branch closings of a three -digit size have been mentioned. KIK has around 4,200 branches in 14 countries in Europe, 2400 of them in Germany alone. Around 19,000 of the approximately 32,000 employees work in Germany, including over 1,000 in the headquarters.
KIK affected by hardy competitive market environment
In the opinion, KIK referred to the framework conditions for trading companies that have changed in recent years. One sees, among other things, a tough competitive market environment, a persistent inflation, a noticeable purchase supply and temporarily impaired supply chains. These changes did not go by without a trace.
Kik is currently investigating existing structures. One wanted to identify “cost and efficiency potential”. The aim is to further develop the company in such a way that you remain future -proof and competitive even under challenging market conditions. This applies to all 14 countries.
Most KIK branches work profitably
“To what extent in the context of our adjustments there is a cleanup of our branch portfolio is part of our careful analyzes,” it said. This optimization process of the branch network extends over the next few years. Kik emphasized that most of the 4,200 branches work profitably. You want to continue to open up new branches.
The employees in the locations do not have to worry about their job, the discounter emphasized. “Due to our dense branch network and our strong presence in the area, we always offer opportunities for further employment.”
Kik (abbreviation for “customer is king”) was founded in 1994. In addition to clothing, the discounter also sells household items, home textiles, party and gifts, toys and decorative items.
Dpa
km
Source: Stern
