Having survived big hair, leg warmers and the rise and fall of the Sony Walkman, Midas, a leading franchised retail automotive parts and DIY store network in Southern Africa, is delighted to be celebrating its 30th year in business.
Having grown from a single store in 1983, to 298 franchised outlets serving customers across South Africa, Swaziland, Zimbabwe, Botswana, Namibia and Lesotho, Midas offers service and products in the vehicle parts and accessories business, as well as the broader lifestyle travel equipment industry.
“Despite the lingering effects of the recent global economic crash, the local motor vehicle manufacturing industry has reported close-to-industry-record capital expenditure levels, illustrating a growing affinity for anything vehicle- or travel-related, so it comes as little surprise that a 30-year-old organisation like Midas has been able to stand tall in our somewhat unpredictable economy,” says Stefan Le Roux, Marketing and Franchise Director for Midas.
Consistent application of sound business principles, combined with many years of relationship-building with its franchisees and suppliers, has enabled the brand to position itself as a category leader in the automotive market. That said, Le Roux is quick to point out: “We have not done it alone. Our franchisees and their loyalty have been crucial to building the legacy. It is our commitment to ensure that we are continually adding value to their business to ensure that they are as successful as they can be.”
One of the many benefits to franchisees is that Midas provides ongoing marketing and merchandising support, as well as IT connectivity to regional warehouses. The brand is able to offer no less than 72,000 line items, and has the capacity to take receipt of 600 tonnes of parts from suppliers, while still offering the customer competitively priced quality guaranteed parts and accessories.
Equally, Midas’ customers and suppliers have played a critical role in contributing to the brand’s success. Le Roux explains: “Three decades in business proves that every level of our success – remaining relevant, offering quality products and good service, helps entrench that spirit of brand loyalty amongst customers.”
Additionally, Midas’ growing pool of outdoor travel suppliers, including Campgear and Intex has enabled Midas to meet the needs of a burgeoning travel public in Southern Africa.
Midas believes that maintaining the highest level of integrity is fundamental to building longevity in a business. “Staying true to our core business principles, such as integrity, is critical for any business to sustain its long-term growth,” Le Roux adds.
The future of the automotive components industry in South Africa looks promising. NAACAM – the National Association of Automotive Components and Allied Manufacturers – reported combined annual sales amongst its 390 members of R57 billion, a 12% improvement over 2011. Similarly total turnover of the entire component-manufacturing sector, excluding duplication, is estimated at R86 billion, up from R80 billion in 2011. Midas is leveraging this growth, with a particular focus on Sub-Saharan Africa.
Midas continually reviews product quality, relevance and positioning, to ensure that it is in line with customer needs and desires. “An influx of imported product has made it imperative for us to maintain product quality standards – particularly as the market moves from DIY (Do-It-Yourself) to DIFM (Do-If-For-Me), which requires us to ensure that we meet the needs of trade customers, in terms of quality, product range and technical expertise.”
About Midas Group
Midas Group, now in its 59th year of operation, trades in the replacement automotive parts industry, marketing and distributing quality automotive, DIY, DIFM (do-it-for-me) and leisure travel products. Midas Group is 75% owned by diversified industrial services and retail group, Imperial Holdings Ltd., 15% by Midas Group management and 10% by a franchise trust (franchisees and members).
In 2012 the group generated sales in excess of R3, 3 billion and currently employs over 1,200 members of staff. It distributes all leading OE (Original Equipment) brands as genuine replacement parts and also offers the customer (franchise owner) the option of guaranteed, quality brands. The Midas Group has a number of sustainability initiatives underway, to not only drive awareness around, but also reduce the impact of its activities on the environment. Additionally, the organisation is committed to a number of socio-economic development programmes across South Africa.
