eXtra opens 50th branch in Saudi Arabia: Exec
One of eXtra's branches
United Electronics Co. (eXtra) opened its 50th branch in the Kingdom on the Northern Ring Road, Riyadh, marking a key step in its local expansion strategy. In total, the company has 55 branches in Saudi Arabia, Oman and Bahrain, Ali Mansour, CEO of Retail Sector, confirmed to Argaam.
The announcement aligns with previous statements by Mohamed Jalal, eXtra’s Managing Director and CEO, regarding the company’s expansion plans in the Kingdom.
The new 3,800-square meter (sqm) branch features a modern design that enhances customer experiences, enabling showcasing a variety of products that is considered the widest in the Saudi market. It is also equipped with the latest technology and large displays for more interaction with customers, while providing instant information about new promotions as well as payment and financing options, according to the top executive.
It also adopts the “Discovery Table” technology, which enables customers to explore and try products that may not be displayed in store, therefore streamlining the multi-channel selling experience between electronic sales and store experiences. This is deemed part of the company's preparations for its annual promotional sales season, which typically sees a four-fold increase in daily orders compared to normal days, he added.
"We were among the first local companies to launch an e-shopping platform in 2011. We also developed our operations to become one of the top e-shopping platforms in the region. After the release of the mobile application and the extra.com website in the second half of last year, our online sales surged to represent about 26% of total revenues, with 41% year-on-year (YoY) growth in Q1 2024," said the CEO.
He pointed out that eXtra holds a market share of more than 20% of the Saudi retail sector, noting the inaccuracy of market statistics as they are estimates based on data from suppliers, competitors and local imports.
"The opening of the 50th branch is a milestone in the company’s history. We have recently opened two branches in Riyadh and rehabilitated two branches in Tabuk and Taif. We also plan to open a new branch in the Sultanate of Oman to be the fourth branch there, in addition to another branch in Riyadh at the end of this year," Mansour stated.
The top executive added, "eXtra believes in the importance of providing distinguished customer services anywhere and anytime around the clock through its multiple channels." He also emphasized investment in developing e-commerce, paired with physical branch presence in vital areas to ensure the provision of top products and services.
He also stressed that the company plans to ramp up the utilization of this new concept in the medium term, ensuring the offering of distinguished services to its customers Kingdom-wide. "This expansion confirms our commitment to providing topnotch products to our customers, thus continuing to strengthen our leadership in the electronics market," he said.
