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South Korean discount chain operator Emart signed an agreement with the local retailer Robinsons to launch two of its private labels in the Philippines.
Under the agreement, Robinsons will set up and operate 25 Emart “No Brand” and 25 “Scentence” stores by 2020. No Brand sells daily necessities and food items. Scentence is Emart’s beauty brand. Emart will be paid a licencing fee and profit from the export of products to the stores.
This deal sees the Emart business expands from the Central Asia (two Emart stores in Mongolia) and the Middle East (one Scentence store in Saudi Arabia) to South East Asia.
Around 70% of No Brand goods are manufactured by local small enterprises in South Korea. The brand has been so successful that stand-alone No Brand stores have been opened.
The launch of No Brand stores in the Philippines will be its first overseas expansion. According to Emart, outbound shipments of No Brand products jumped by 57.8% year-on-year during January to October this year.
Emart says it plans to develop Scentence beauty products that fit well with the climate of the Philippines to in order to boost its competitiveness.
“The deal to launch No Brand and Scentence in the Phillipines is meaningful to us in that it diversifies our global portfolio for specialized stores,” said Lee Joo-ho, who heads Emart’s global business.
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