Rautia and K-rauta chains to be combined into new K-rauta chain next spring - 140 building and home improvement stores will be revamped

KESKO PRESS RELEASE 30.05.2016 AT 09.00 1(2)

Kesko's building and home improvement store chains K-rauta and Rautia will form a new K-rauta chain next spring. A new K-rauta will be near every Finn from Tammisaari in the south to Ivalo in the north. All stores will be revamped following feedback from customers. Familiar K-retailers with their staff will serve customers also in the future.

K-rauta and Rautia will form a new K-rauta chain next spring as the 94 current Rautia stores and 46 K-rauta stores combine their strengths. All 140 stores will get a new, fresh and modern brand image, based on the K-Group's common K-brand. The new K-rauta will be Finland's most comprehensive building and home improvement store chain extending from Tammisaari to Ivalo.

"K-rauta is Finland's most trusted building and home improvement store chain. The new K-rauta conveys the message of expertise, wide selection, comprehensive services and excellent quality to customers. The renewal will be visible to customers also in more affordable prices," says Timo Tersa, the retailer of K-rauta Lappeenranta and the Chairman of the K-rauta chain's Executive Committee.

New K-rauta near every Finn

In the current Rautia localities, customers will be served by the familiar K-retailers also in the future, and from next spring, in the K-rauta chain. There will be no immediate changes in in-store shopping, but the work to create an increasingly better customer experience by spring 2017 starts immediately.

"Every store will be revamped following feedback from customers. As a result, K-rauta stores will look like their customers want, each different from the next. In the future, K-rauta serves in towns and cities as well as in summer house localities. Even small building and home improvement stores are able to make use of K-rauta's entire order selection. For customers, the new K-rauta is an increasingly better organised and more attractive building and home improvement store. For shopping to be fun," says Petri Väisänen, the retailer of Rautia Kankaanpää and the Chairman of the Rautia chain's Executive Committee.

Multichannel service for consumer and business customers

At the new K-rauta stores, both consumers and business customers will be served with expertise from their own starting points. Selections and services that better meet B2B customers' needs will be included in the new K-rauta chain. Clear enhancements in service for customers with building or renovation projects are being planned in store operations as well as digital services.

"We aim to provide a seamless customer experience between our digital services and our physical stores. Different digital design software help customers dream and plan and they make transactions both online and in-store easier," says Vice President Timo Pesonen of Kesko's building and home improvement trade.

Further information:
Vice President Timo Pesonen, Kesko's building and home improvement trade, Finland, tel. +358 50 522 6907
Retailer Timo Tersa, K-rauta Lappeenranta, tel. +358 400 651 588
Retailer Petri Väisänen, Rautia Kankaanpää, tel. +358 50 593 1357

Kesko's building and home improvement trade

Kesko is the fifth largest operator in the European building and home improvement trade market. The chains of the building and home improvement trade are K-rauta, Rautia, Byggmakker, Senukai, OMA, Asko and Sotka. Rautakesko B2B Service serves large business customers in the sector. In addition to a strong store network, we serve our customers with digital services and online stores. Kesko operates in the building and home improvement trade in Finland, Norway, Sweden, Estonia, Latvia, Lithuania, Russia and Belarus. In 2015, the net sales of the building and home improvement trade were nearly €2.4 billion and the number of personnel was nearly 9,000. The K-Group is the market leader in the Finnish building and home improvement trade market with its 40% market share and €1.2 billion (VAT 0%) retail sales. The building and home improvement trade function is part of Kesko's home improvement and speciality goods trade division. Find out more at www.kesko.fi