MAGNIT PJSC (MGNT)
MAGNIT PJSC: Magnit updates its Magnit Cosmetic format

17-Aug-2021 / 12:00 MSK
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MAGNIT UPDATES ITS MAGNIT COSMETIC FORMAT

 

Krasnodar, Russia (August 17, 2021): Magnit PJSC (MOEX and LSE: MGNT; the Company, Magnit), one of Russia's leading retailers, presented a new concept for its Magnit Cosmetic format, turning the store space into a beauty salon and complementing it with digital solutions and additional services. The updated design focuses on the idea of #MeTime, meaning time for privacy and doing what you want to do. For the pilot, the Company picked three stores in Krasnodar region, two of which have already opened their doors.

Magnit continues to adapt its Cosmetic stores to fit the changing consumer needs in order to help its customers - primarily women - take care of their home and family and, most importantly, take care of themselves. Under the new concept, the store was split into two zones, "emotional" and "rational", which differ in appearance, equipment setup, and lighting.

The "emotional" part of the sales floor showcases Magnit Cosmetic's signature pink paired up with a deep burgundy and has round accent lighting fixtures and large mirrors. Make-up "islands" boast a rich storm blue color. All this allowed the Company to create a "beaty salon" ambiance in the store. The "rational" part makes use of light pastels and natural materials like cream-colored veneers as well as various floodlamps and spotlights. The stone floor tiling and ceiling in both parts of the store have a powdery pink look that reinforces the feeling of comfort and tranquility for the customers.

The store has an area for men's products as well, which is also highlighted with a rich blue. The design also incorporates eco-friendly elements, for example, the health products area is decorated using natural wood.

The new concept focuses on beauty categories. The exact assortment depends on the store's cluster - for example, stores in the Metropolis cluster primarily focus on cosmetics (make-up, perfumes, face and hair care). Such stores also implement the largest number of hi-tech innovations and offer additional customer services, for example, coffee and other beverages to go.

The updated concept as a whole involves a slew of digital solutions already piloted in the Company's other formats. Among these are flipping checkout terminals (which can operate both as a self-service kiosk and as a traditional staffed checkout desk), E-Visage virtual make-up testing technology ("smart mirror"), facial recognition payments, and interactive customer displays. In-store LED screens, price checkers, and radio have been combined into a unified media content system enabling centralized management of marketing communications and allowing the store to adapt to new promotions.

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Ruslan Ismailov

Magnit's Deputy CEO and Director for Retail Chain Management

»

 

"Magnit Cosmetic's new concept focuses on creating more comfort and positive emotions for every trip to the store - we want our customers to enjoy their shopping instead of feeling tired. That's why we've made the store look as warm and cozy as possible - to invite our customers to relax. We plan to test the updated concept for Metropolis and City clusters in Krasnodar, while the one for the Village cluster will be tested in Novovelichkovskaya village. We've already opened two of the stores, with the third one - the City cluster - set to launch before the end of August. We plan to examine the results of the pilot and then decide on whether to scale it."

Previously, Magnit updated assortment clustering principles for Magnit Cosmetic to reflect the location of the store and adapt the offering to consumer demand in different geographies, establishing three clusters: Metropolis (has a wider assortment of products "for her"), City (has a balanced offering), and Village (has more products "for home" and "for family").

 

 

 

For further information, please contact:

 

Dina Chistyak

Head of Investor Relations 
dina_chistyak@magnit.ru

Office: +7 (861) 210 9810 x 15101

 

Media Inquiries                    Twitter

press@magnit.ru                    @MagnitIR

 

 

 

Note to editors

 

Public Joint Stock Company "Magnit" is one of Russia's leading retailers. Founded in 1994, the company is headquartered in the southern Russian city of Krasnodar. As of June 30, 2021, Magnit operated 39 distribution centers and 22,344 stores (15,348 convenience, 469 supermarkets and 6,527 drogerie stores) in 3,802 cities and towns throughout 7 federal regions of the Russian Federation.

In accordance with the unaudited IFRS 16 management accounts results for 1H 2021, Magnit had revenues of RUB 822.2 billion and an EBITDA of RUB 94.4 billion. Magnit's local shares are traded on the Moscow Exchange (MOEX: MGNT) and its GDRs on the London Stock Exchange (LSE: MGNT) and it has a credit rating from Standard & Poor's of BB. 

 

 

 


Forward-looking statements

 

This document contains or may contain forward-looking statements that may or may not prove accurate. For example, statements regarding expected sales growth rate and/or store openings are forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially from what is expressed or implied by the statements. Any forward-looking statement is based on information available to Magnit as of the date of the statement. All written or oral forward-looking statements attributable to Magnit are qualified by this caution. Magnit does not undertake any obligation to update or revise any forward-looking statement to reflect any change in circumstances.

 



ISIN: US55953Q2021
Category Code: MSCU
TIDM: MGNT
LEI Code: 2534009KKPTVL99W2Y12
OAM Categories: 3.1. Additional regulated information required to be disclosed under the laws of a Member State
Sequence No.: 120106
EQS News ID: 1226939

 
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