MGI celebrates its tenth anniversary this year. The store chain was born in Ronda (Málaga) in 2000, but it was in 2006 when they established their current business model, the sale of toys and household items imported mostly from China at a price closed for ten euros, a flat rate model that is already spreading throughout Spain.
The idea arose from the need to cover a market niche that was free at a time when the economic crisis was beginning to show its first signs. “In 2006, difficult times were already approaching and we bet on manufacturing large volumes of articles at source for our stores, certifying their quality, exporting them and taking them to the final consumer. Since there are no intermediaries, we can offer an affordable price without competition that also complies with European trade regulations”, explains Jorge Rosado, manager of MGI, to “the Andalusian Economist.
So far this year, the chain has opened 6 stores in Badajoz, Mérida, Morón de la Frontera (Cádiz), Elche (Alicante), Marbella (Málaga) and Albacete, bringing a total of 42 establishments throughout the Spain. MGI currently has a presence in the eight Andalusian provinces, in Murcia, Valencia, Ceuta, Castilla la Mancha, Extremadura and the Canary Islands.
The company’s plans for the coming year are to continue growing and settling in the country’s major capitals, specifically, they plan to open seven new establishments throughout 2017.
“In the end, it is the same clients who ask us to open more stores through social networks and by emails and we, after studying them, contemplate all the possibilities of expansion”, assures the manager.
The company is now studying the possibility of making the international leap and opening offices outside of Spain, but first they will test the different markets through the online store, to analyze the business possibilities.
Most of the chain’s stores are directly owned by this family business and although they have some franchises, they also own the majority capital, since, according to the manager, the essence of the business is direct customer service.
import business
MGI (Master Gift Import) is an import business and although China is its main supplier, in fact they have a permanent office there, they also work with other countries such as the US, Germany, the Netherlands and France, they also buy from suppliers and world famous brands. The chain even has its own brand (Krühner) for articles manufactured exclusively for them, and although they do not yet have their own factory, they do not rule out this possibility for the future.
MGI is currently incorporating national products into its business due to customer demand and because, in the opinion of its manager, they are very competitive in terms of quality and price.
MGI’s business volume is such that they import an average of 70 containers of items per month, although the amount is multiplied considerably in campaigns such as Christmas. The chain sells more than 10,000 items from toys to decoration, small appliances, tools or school supplies. .Currently MGI’s workforce is made up of about 250 people.
Facebook Comments
Disqus