After surviving initial scare, especially the economic turbulence of the mid 1980s, Nigeria’s retail sector has now grown in leaps and bounds, attracting not only foreign brands, but also the innovative information technology era of online shopping. TONIA ‘DIYAN writes on the advancement.
For urbane Nigerians born uptil 1980, iconic departmental stores like Kingsway, UTC, Leventis, Chellarams, amongst a few others, cannot be erased easily from their memories. These stores not only dotted the major streets of Lagos until the mid 1980s, they also represented the best of retail outlets in the country. From sales of groceries to household equipments, these stores provided quality service and products to Nigerians, irrespective of their social standing in the society.
Yet, these stores still had much more to offer, apart from shopping, as people visited just to catch some fun. For instance, Emmanuel Odusoga, a 45 year old Nigerian, recalls with nostalgia his various visits to the Leventis and UTC stores in Lagos, especially during festive periods like Easter and Christmas celebrations. Yearly, and on such special occasions, Odusoga, in company of his parents, would visit either of these stores and after shopping, he would take a ‘special’ train ride inside the Leventis or UTC building, which takes them through an alley and end up in the “Father Xmas” grotto for a gift to mark the season. Such were the attractions for many shoppers. For these stores, the major appeal was that quality items they had on offer, the centralisation of items, and the affordable prices.
But consequent upon the country’s economic downturn of the 1980s, most of the foreign investors who owned the stores relocated them to other countries when the environment was no longer conducive for them to manage. And for years, the delight of such stores were lost, as the stores frittered away, giving rise to smaller and indigenous stores.
Today, shopping has gone beyond merely meeting purchasing needs. The concept of the present day shopping is an improvement of what it used to be especially with exciting one-stop shopping which presents the convenience and unique experience of retail, leisure, entertainment, movies, games and health.
Moving forward, the fastest growing format for shops today is the mall-huge, convenient and comprehensive. Nigeria, like the western world is beginning to have a piece of the action. Western styles shopping malls indeed, have come to stay. With globalization, trade became established in cities across the country.
Long after, Mega Plaza Shopping mall, Victoria Island Lagos came up. Asides a comfortable ambiance, quality service delivery was one of its treasured strategy.
It prides itself as the leading shopping mall and has a Super Mega Supermarket, several shops, Ultra modern car park, local and foreign restaurants. It became a recreation spot for shoppers, especially the elites. It also served as a haven for whites who work with the oil companies and other big foreign investments; and of course, fun loving Nigerians.
The opening of The Palms Shopping Mall, Lekki, Lagos in 2005 brought more excitement and the presence Shoprite and Game as the anchor tenants gave the mall a boost. Game, a discount retail chain, occupies the largest space at about 5,495m², while its rival, Shoprite also sits on an equally ample space. While Game stocks a wide range of merchandise from groceries, electronics, furniture and other household goods, Shoprite, concerns itself with mainly fast-moving consumer goods. Both manifest all the indices of a ramified departmental store complete with an in-house bakery, a fast-food section and different sections for a wide range of goods.
Shortly after, Europe’s largest retail network, SPAR, also opened its first outlet in Nigeria, at Lekki, Lagos, in a partnership with, Park ‘n’ Shop, a Nigerian retail store owned by the Artee Group. It operates from a 3,000 m² shopping complex, attracting shoppers with moderate to high income profiles. Many see it as a healthy rival to Shoprite in terms of grocery shopping.
Stores such as Goodies, Addide, Justrite, Home Affairs Surpermarket, Delightsome Gifts Concepts and G-Mall, among others, also made shopping a delight in the various areas where they are located.
State governments have established free trade zones with several states of the federation, including the Federal Capital Territory partaking in the development, as retail outlets are being established in some of these states.
The Silverbird Galleria, a huge shopping and entertainment centre, which mounted its first structure on Ahmadu Bello Way, Victoria Island, has also replicated itself bigger in Abuja and working with some state governments to establish in other states. It also replicated itself in Yaba area of Lagos as E- Centre to serve people living in Lagos Mainland, in shopping malls scattered across the country as well.
On the prospects of the malls development in Nigeria, Center Manager Ikeja mall, Sander Norman expressed optimism about the development of shopping malls adding: “What matters to us is great service delivery to fulfill optimum satisfaction of our customers”. He further stated that, giving the fact that Nigeria is a vast country with great human and material resources, the development of shopping malls would definitely increase.
Former Broll Cheif, Mrs Erejuwa Gbadebo once said countries like Indonesia and China were developing like Nigeria, but over the years, have remained consistent with development, expressing optimism that Nigeria would improve if the right steps are taken. She noted: “The local brands will enjoy the benefit of being introduced in the formal supply chain. They will become more competitive in terms of price and quality. The trickle-down effect will include better packaging and presentation of Made-in-Nigeria products.” All these prediction are now playing out.
Gbadebo foresaw more retail chains making their entry into the eye-catching market. “More foreign investors will come in to compete, franchises will come in from the US, Europe and South East Asia, especially Singapore, in the next few years. These enterprises will be encouraged by the success stories of retail chains and the steadfast appetite of Nigerians for consumer goods,” she said.
Chief Executive Officer, Delightsome Gifts Concept, Gbagada, Lagos, Mrs Modupe Shopeju said: “Nigeria’s retail environment has achieved considerable growth over time and this can mainly be attributed to the population, which is generating increasing demands of products in the country.
Another factor of growth in Nigeria’s retail industry is the high rate of sophistication of consumers; people are more sophisticated now, therefore, there is the tendency that there will be demand for more quality and trusted products.
The improvement in Nigeria’s economy today is leading to an increase in purchasing power, as well as an encouragement in international retails.
