Primark is a chain of shopping centers that was born in Ireland, specifically in Dublin in 1969, under the name of “Penneys” (Pennies, referring to its low prices), which offers a wide range of products in the areas fashion, accessories, beauty products, home and confectionery items, among others. The subsidiary belongs to the Associated British Foods group and its main market is the European Union. It is present in the United Kingdom, Spain, Holland, Portugal, Germany, Belgium, Austria, and France. The first store in the United States opened on September 10, 2015, in Boston.
Much more than its breadth and variety (thousands of square meters), the popularity of the brand is based mainly on low prices, to the point that when opening a new store anywhere in the world, the frenzy of queues, which on many occasions has needed the intervention of the authorities to avoid chaos. For many people, Primark represents the place where you can get the latest trends in fashion and a lot of variety at the most competitive price in the market.
The success of the franchise is such that the so-called “Primark effect” is studied in the retail world, cashiers always busy and long lines of people with full baskets that give the impression of buying wholesale, the paradise of fashion at incredible prices.
The Spanish teacher Julián Villanueva, who has dedicated himself to studying the way the brand works and why its economic products, explains what are the keys to success “The first pillar is based on having an efficient supply network, that is, looking for products with simple designs, economical materials, and reasonable quality. Primark breaks with the stigma, deeply rooted, that cheap clothes are of poor quality”.
The second refers to low operating costs. The rent of the premises is negotiated better because the firm attracts many people, which benefits the commercial center in full. On the other hand, there is no investment in advertising since customers personally take care of it, through word of mouth. In addition, assisted sales do not apply to most of the staff is in the box.
The third fundamental factor and a flagship feature of Primark, are its extra large stores, which can reach 12,000 m2, meaning a large volume of daily sales. With these dimensions, it is possible to offer a great variety of products with the very attractive possibility of buying much more with less money.
Primark has joined the movement of Environmental Sustainability and Ethical Trade that for some years has reached the textile and fashion market. For this reason, with a team of more than 90 experts located in the key countries of acquisition of the products marketed by the company, it supervises all the factories with which it works, to ensure compliance with the internationally established standards in environmental and slavery matters, with this they want to assure their clients that they acquire a product that has been created respecting the planet and the people.