CompaniesPREMIUM

Asian retailer MR.DIY upbeat as it enters SA market

Malaysian home improvement giant sees much space for itself after several local retailers bailed out

Picture: UNSPLASH/SAM CLARKE
Picture: UNSPLASH/SAM CLARKE

Malaysian home improvement retail giant MR.DIY has entered the SA market with its first store opening at Menlyn Mall in Pretoria set for Wednesday.

The retailer, with more than 4,600 stores globally, said it saw a gap in the domestic market as several local retailers bailed out. The company is owned by Mr D.I.Y. Group, and its product range spans household, hardware, electrical, stationery, car accessories, toys, and other everyday essentials across several categories.

Speaking before the launch, MR.D.I.Y.’s SA business development head, Jamie Williams, said they began exploring the local market in late 2022. He said the final decision to invest in the country was driven by a growing demand among consumers for value-orientated retail, not just in SA but globally.

“There is definitely a gap in the market in SA regarding what we offer and why,” he said.

“We believe we will beat competitors on price on a similar offering, and we are also bringing in categories not currently available in the local market.”

The Menlyn opening will be followed by the rollout of 20-30 stores across major metros, including Gauteng, KwaZulu-Natal, and the Western Cape over the next 18—24 months.

“Our target is a minimum of 30 stores, but that number could increase significantly depending on available retail space. We are in discussions with several landlords across the country.”

According to Williams, each MR.DIY store will create an average of 17 permanent jobs. Based on the rollout plan, the group expects to create at least 450 jobs at store level within the short to medium term. The company has also established a “small” warehouse in Kempton Park and a 12-person head office team in Johannesburg, both of which are expected to grow.

The company is also pursuing localisation efforts, with 15% of its initial product inventory sourced from SA suppliers. Jamie said this figure is expected to grow over the next two years.

According to Statista, SA’s home improvement (deco) market is expected to generate $567m in revenue in 2025, with a modest annual growth rate of 1.97% projected to 2029. While per capita revenue stands at $9.19, the market is seeing rising demand for locally sourced and sustainable materials, reflecting a growing consumer shift towards eco-friendly products, it said. By comparison, the US leads globally with$37bn in revenue from this segment.

Williams said MR.DIY saw an opportunity to serve urban and rural markets, supported by its experience in diverse markets globally, including Malaysia.

The brand positions itself on everyday low prices and a broad product offering that caters to cost-conscious consumers. Household and hardware items make up about 50% of its product mix, placing it in competition with the likes of Game, Builders Warehouse and Makro.

goban@businesslive.co.za

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