Brico Depot, the home improvement chain operated by Kingfisher across the Iberian Peninsula, is planning a substantial expansion. With an 18-year presence in Spain and currently accounting for a modest slice of the parent group’s global results, the goal is to broaden its footprint by increasing the number of locations that have benefited from the home renovation wave triggered by pandemic-era stay-at-home periods and sustained interest in DIY projects. Michael Foulds, CEO of Kingfisher’s Spanish subsidiary, emphasizes that the Spanish market holds significant opportunity and should be viewed as a key growth region rather than a mere peripheral market.
Following a strong performance in 2021, during which sales rose by 23% to 428 million euros and profits surged by 240% to 14.6 million euros, Brico Depot is again targeting growth in this region. Foulds notes that Spain has a relatively lighter DIY supply base compared with countries such as France, Germany, or the United Kingdom, yet a substantial population that owns homes. He highlights that the average homeowner in Spain is between 40 and 45 years old and is willing to invest in improvements and ongoing maintenance, presenting a solid customer base for expansion.
Current plans see Brico Depot operating 31 stores across the Iberian Peninsula, with a clear objective to roughly double this number. The strategy centers on strengthening presence in major cities like Madrid, Barcelona, and Lisbon, while also exploring sites in smaller municipalities with store formats around 5,000 to 6,000 square meters. The company is open to strategic partnerships, including potential collaborations with energy and fuel retailers such as Cepsa or Repsol to create dedicated corners within service stations or supermarkets, enabling faster delivery to customers.
Online growth remains a central pillar, with the online channel already contributing to around 60% of transactions in many cases. This reflects a true omnichannel journey, where online and offline experiences complement one another. At peak periods, online orders can represent as much as 10% of total sales. Brico Depot also aims to strengthen the professional customer segment, which currently accounts for about a quarter of total sales, while the remainder comes from knowledgeable DIY enthusiasts. To support this, a loyalty program branded Scan & Collect provides customers with access to billing histories, streamlined delivery services within three days, and technical service within 30 minutes. The company is directing substantial energy into growing this 25% of the customer base that includes professionals and skilled homeowners.
In an environment marked by inflation influenced by global events, the company maintains a firm pricing philosophy. It commits to offering the most competitive prices in each market and provides a minimum price guarantee: if a customer finds a cheaper price elsewhere, the difference is doubled back. This approach is part of a broader promise to deliver value without compromising on service or availability.
Foulds concedes that some product categories face supply constraints, driven by raw material shortages and procurement challenges across Europe. He frames these challenges as opportunities, noting that customers are increasingly prioritizing value. Wood, historically a tricky product due to supply disruptions related to geopolitical events, has seen the sourcing issue resolved through alternative origins and supplier networks. The group has ceased sourcing goods from certain regions and is pursuing diverse sources to stabilize availability while maintaining price competitiveness.
Reflecting on consumer behavior trends, Foulds observes a lasting shift in home-focused activity following lockdowns. He suggests this momentum will persist for two reasons: a sustained interest in do-it-yourself projects among younger adults, particularly Millennials, and a growing focus on reducing environmental impact in daily life. The latter includes efforts to decrease energy consumption and reliance on traditional energy sources.
In support of these trends, around 60% of Brico Depot’s customers are looking to reduce energy use, and a portion of Kingfisher’s overall sales—about 10%—come from products designed to improve energy and water efficiency. Leading categories include high-efficiency air conditioning systems and windows that minimize heat transfer, helping to stabilize indoor comfort. The company is also exploring solar panel solutions for residential self-consumption. As with other strategic initiatives, it is pursuing these opportunities with careful planning and market assessment to ensure practical, scalable deployment for customers and partners alike, while continuing to emphasize value and service.