The largest local retailer, Mobexpert, invested some €8 million to expand its network with three hyperstores.

kika officials hope that their significant investment in Romania will help them secure market leadership as soon as possible. They target a 10-15 unit network in the coming 5-10 years. Given that the investment for one kika store amounts to €8-10 million, the company’s investments on the local market could amount to €110-180 million on the long run.

kika began expansion to Eastern Europe in 2000, first in Hungary, where it currently has seven stores. In 2005, it moved into the Czech Republic (four stores currently) and Slovakia (two stores). It also has two units in Croatia, where it entered in 2007.

The company’s General Manager, Paul Koch, said three stores could cover the demand in Bucharest. kika is introducing several services already operational on the Austrian market, including free transportation for distances greater than 40 kilometers for total purchases exceeding RON 1,000 (€260).

Company officials decline to provide details regarding turnover for the first year of operations. Stores abroad, similar to the one in Bucharest, generate average annual turnover worth €30 million.