(Yicai Global) Aug. 11 -- Leading Chinese Hypermarket Operator Sun Art Retail Group Ltd. [HKG:6808] has opened its first convenience store for business-to-consumer e-commerce website Feiniu.com, and will adopt a franchise model for the brand in the future.
The inaugural store formally opened in Jiaxing, Zhejiang province, on Aug 8 with an area of 150 square meters. The shop mainly sells fresh food and fast moving consumer goods.
Sun Art Retail Group is a joint venture of Taiwanese supermarket brand RT-MART International Ltd. and French international retail group Auchan Holding.
"RT-Mart (owned by Sun Art Retail) will supply Feiniu with goods and provide operations and management support," said Yuan Bin, co-chief executive at Feiniu.Com. "We will conduct systematic investigations on the region near the store and combine operational and sales data over the years to select goods which can meet local consumers' needs."
The hypermarket market is China is slowing, and customer needs are changing. They now prefer to shop nearby and in convenient stores. It is time to develop convenience stores, said Huang Mingduan, chairman of RT-Mart, in March.