Improving shopping experience

ITAB Shop Concept is the market leader at checkout to retailers in Europe, and one of Europe’s largest suppliers of shop fitting concepts and lighting systems. Its Czech subsidiary was established 12 years ago. Since then, the Czech company has significantly contributed to further improving the group’s position in Europe. Romana Moares reports.

The Swedish Group ITAB Shop Concept sells, develops, manufactures and installs complete shop fitting concepts for retail chain stores. The all-inclusive offer includes custom-made fitting concepts, innovative solutions for checkout arena and professional lighting systems. Customers include major players throughout most parts of Europe. ITAB has organisations in 22 countries and 17 production facilities. It is the market leader in the Nordic countries, the Baltic countries and the UK and one of the largest in central Europe and the Benelux countries. The group has 2850 employees and a turnover of SEK 5.193 million in 2015. European expansion

The beginning of the 21st century was marked by rapid expansion for ITAB through organic growth and strategic business acquisitions. One such acquisition was of a Czech company based in Letovice in the Czech Republic.

In the mid-1990s, the production of shelf systems and checkout boxes, particularly for chain stores, was launched in APOS Blansko. After optimising the products with regard to quality, technological procedures and compatibility with other already used shelf systems, production was significantly extended both in terms

of volume and the variety of components manufactured. Therefore, in 2000 a completely new plant was opened in Letovice under the ABL company, specialising in the development and production of shelf systems complying with the highest quality requirements.

“In 2004, the ABL plant – along with APOS Blansko – was bought by Swedish ITAB Shop Concept and successfully incorporated in the group,” explains ITAB Shop Concept CZ’s managing director Aleš Zouhar.

Key elements

ITAB achieved its leading position by incorporating various key retail elements to increase sales. A well-designed entrance system, for example, will guide customers correctly into the store, capturing their attention and creating a recognisable look for the store entrance. “The entrance is the customers’ first meeting with the store so it must be inviting and welcoming. A well thought-out entrance system also means that customers naturally go to the checkout area on their way out,” says Mr Zouhar.

ITAB’s versatile and flexible entrance systems can be designed to meet the needs of both large and small stores, from Hypermarkets and DIY stores to small local convenience outlets, and are offered in a wide range of types from manual and automatic gates with right- and left-handed designs, to one or more gate entrances.

The checkout area is another key point for any retailer. With an annual output of 22,000 units, ITAB is Europe’s market leader in the checkout sector. More than 90 per cent of its counters are custommade for clients. There are more than 1500 individual counter types in the company’s database. “We also offer a comprehensive line of automated self-checkouts and a wide range of lighting solutions including design and installation,” says the managing director.

He further explains that lighting retail space is an important part of any modern business with a concept and brand image; it must be visually interesting, it must increase sales and conserve energy. Several years ago, ITAB acquired a leading company in the Nordic region, Nordic Light, which offers illumination solutions for retail space. “They develop and manufacture innovative and energy efficient lighting, including the latest LED technology, and their product range has significantly enhanced and complemented our offering,” he confirms. “Our aim is to provide excellent design and outstanding functionality of products. To our customers we offer comprehensive illumination systems, including replacing their existing systems with energy efficient LED technology.”

Innovative approach

In the past few years, the company has invested about CZK 60 million in new technologies to be able to extend the product portfolio and increase production efficiency. “Currently, we are working on four new projects,” says the managing director.

“We have installed a new technology for metal surface treatment, lowering the proportion of epoxy-polyester ingredients by 15 per cent, which has significantly improved emission levels. Similarly, we have now started testing new substances used for the de-greasing of metal based on nanotechnologies, which should reduce energy consumption as well as the amount of sediments in the production process, again improving the environmental aspects. The third project focuses on introducing heat recuperation technologies, with a view to reducing energy consumption. And, last but not least, we are changing our current lighting system to LED technology and optimising illumination diagrams.”

In line with latest trends

In today’s globalised world, retailers put an emphasis on increasing their individuality and distinctive features to attract customers by means of new sale concepts and a wider range of services. It is now not the huge shopping centres and hypermarkets that stand at the forefront – we are seeing increasing customer preference for smaller shops offering fresh produce or everyday consumption products, closer to residential areas and physically closer to customers. ITAB strives to reflect this new preference in designing new concepts for retail space, including checkout positioning and lighting systems to influence shoppers’ movements and their impulse buying behaviours.

This approach has proven very successful: the company recently entered the French market, opened a new subsidiary in Hungary and intensifying sales in Croatia, Serbia and Slovenia. “Our objective is to further increase our activities in the central European region, with an emphasis on widening the range of services provided to our existing customers. We also want to continue to innovate our product range to increase our market share in the Czech and Slovak markets as well as in the countries of southern Europe. I believe retailers in all these countries will soon start investing in the latest technologies to keep pace with their counterparts in England, Germany and Scandinavia. We will be ready to meet their needs,” concludes Mr Zouhar. n