Naivas Becomes First Kenyan Retailer to Reach 110 Stores

The new branch is also strategically positioned to cater to the residents of Gachie, Redhill and the surrounding areas. The shoppers can anticipate a diverse array of products including fresh food and groceries to home items and lifestyle products. The company states that the outlet is designed to satisfy the increasing demand of easily available, inexpensive and convenient shopping experience in peri-urban communities that are rapidly expanding in the outskirts of Nairobi.

Naivas Supermarket has established itself as the number one retail chain in Kenya following the launching of the 110th store in West Bay Mall in Redhill, Kiambu County. Naivas is an aggressive marker in its growth, and it has secured a strong foothold in the local retail market, and the milestone is a milestone, as it was the first homegrown retailer to have such a comprehensive network of stores.

The retail sector in Kenya has changed drastically in the last ten years and there has been increased competition among local and foreign retailers. A market that is estimated to be worth close to Sh1 trillion has taken the interest of the players as they all seek to win the loyalty of people with more constrained budgets. In this competitive world, Naivas has gradually become the biggest chain of supermarkets surpassing such competitors who once controlled the formal retail industry.

Launching it, Naivas Senior Commercial Manager Kimjackson Njeru explained that the growth was in accordance with the mission of the company to take value-based shopping closer to the homes. He stressed that the new store is not only a growth in numbers but also a promise to satisfy their customers and to develop the community.

This store is an expression of our commitment to offers of affordable convenient and rewarding shopping. We also firmly believe in improving the societies where we operate and that is what we will do as we continue to expand,’ Njeru said.

The launching will occur when Kenyan consumers are struggling with an increasing cost of living and inflation of food prices. Customers have also become very sensitive to prices and thus affordability has become a central consideration in their shopping destinations. Although supermarkets are still winning over consumers with their range and convenience, a high number of families are limiting their visits to the malls because of declining disposable incomes. A recent report conducted by Knight Frank brought this change to the fore and the report stated that shoppers are shifting towards local outlets as a cost control measure.

Strategic alliances and foreign investment have helped Naivas to survive these economic challenges and grow. The retailer is still majority owned by the founding Mukuha family but has drawn the interest of large foreign investors. Mauritian conglomerate IBL Group has a significant minority stake and institutions, including the French sovereign wealth fund Proparco and the German development fund DEG, also have shares, having become part of the ownership structure in 2020.

This financial support and good local leadership has enabled Naivas to fund its growth and still deliver on its brand promise. Having 110 stores across the country, the retailer has been trying to position itself as a household name, filling the gap between affordability, convenience, and community support in the developing retail market in Kenya.