RNSL, also known as Shoprite Nigeria, has closed its Ado Bayero Store in Kano due to low consumer demand, high operation costs, high leasing costs, and poor financial performance.
Hubertus Rick, CEO of the retail chain, announced the closure on Tuesday. He added that the location has been closed since January 14, but the company still plans to expand in Nigeria over the next two to five years.
He stated that the corporation will close sub-optimal locations as the consumer economy tightens, but will also open four new outlets annually across the country based on retail market research.
“Aside the planned store closure and on a brighter note, Retail Supermarkets Nigeria Limited has also commenced some store reopening across different locations expected to span across the out going year 2023 right into 2024.
“Shoprite has also demonstrated the resilience of its brand with the audacious restoration of its store at Circle Mall, Lekki, to business years after it was completely razed during the EndSARs protests in October 2020,” he stated.
Rick also said the decision was not made lightly, as the company understands the impact such action may have on its employees and the community.
He said, “After careful evaluation of the financial situation of the store and the current business climate, Shoprite believes it is the best course of action for the long-term growth of our organization.”
Rick promises that the company is ready to do business in Kano if the business environment improves, citing the city’s potential for a Shoprite concept.
He reminds employees who may be affected by the difficult choice that the organization is ready to support them during the transition.
“We understand that this news may be difficult to digest, and we want to assure you that we are here to support you during this transition period. Your well-being is our top priority, and we will do everything we can to assist you in finding new opportunities within our company.
“We encourage you to apply for any vacant positions in our existing stores across the country through the Human Resources department. Additionally, we will be opening new stores in the coming months, and you are welcome to apply for employment there as well,” he stated.
