CHILE - Falabella has outlined a USD 508 million investment plan for 2024, prioritizing technological platforms, logistics, store renovations, and openings. The core objectives include enriching the customer experience in the physical-digital ecosystem while ensuring efficiency and profitability.

Alejandro González, Interim CEO of Falabella, highlighted the plan's alignment with deepening omnichannel interaction and selective retail format expansion. Despite a 24% reduction in investment compared to the previous year, the plan aims for improved profitability.

Of the total investment, USD 270 million (53%) is allotted for expanding and renewing the store network, encompassing openings in Chile, Peru, Mexico, and two new Ikea locations in Colombia. An additional USD 157 million will enhance the physical-digital proposition through store and shopping center renovations.

The plan aims to optimize category exposure, simplify the purchase process, deepen the monetization of physical channels, and strengthen malls as urban centers. Falabella also aspires to achieve Net Zero in scopes 1 and 2 by 2035, showcasing its commitment to sustainability.

USD 200 million is earmarked for technology to fortify e-commerce in the Andean region and enhance digital banking. This includes reinforcing logistics through technological synergies and improving the loyalty program.

In logistics, an investment of USD 38 million will optimize capacity and inventory management, with a specific focus on Colombia.

Alejandro González summarized the plan as focused and selective, emphasizing continuous efforts to enhance the customer experience with an omnichannel and quality offering. Falabella remains committed to its strategic vision and innovative solutions, including expanding Ikea locations, to meet evolving customer needs.