Falabella’s investment plan for 2022
What: To strengthen its physical and digital ecosystem, the retailer will invest USD 711 million in technology, logistics and stores.
Why it is important: Falabella will invest 60% of this sum on technology and logistics to strengthen the capabilities and value proposition of falabella.com and expand in Peru and Colombia. The remaining 40% will be mainly invested in expanding the store network, with a particular focus on Ikea in Chile and Colombia, Sodimac in Mexico and Brazil, and Tottus in Peru.
Investments in technology and logistics aim at strengthening the omni-channel experience for customers and sellers through the following initiatives:
• Improve the e-commerce platform, add new product categories.
• Expand App functionality to optimize the in-store shopping experience, by focusing on the complete customer journey from an omni- channel perspective.
• Strengthen digital banking and Fpay, by expanding its functionalities such as a digital wallet.
• Strengthen home delivery logistics and focus on reducing delivery times and increasing last mile visibility and traceability.
• Increase the order processing and packing capacity.
• Expand third-party product processing capabilities, covering warehousing, packaging and delivery services.
• Improve on-demand delivery and expand assortment, in order to expand the capabilities and products available to Marketplace sellers.
Investments in physical stores:
• Develop Ikea in Chile and Colombia, Home Improvement in Mexico and Brazil, expanding Tottus in Peru, and improving the regional store network.
• USD 135 million of the plan will be invested in the multi-year store opening plan, which expects to open 19 stores in the region during 2022.
• USD 158 million will be invested in innovations and optimizing the existing stores, through renovations and remodeling to improve the integration of digital into the physical shopping experience.