SAO PAULO, April 10 Brazilian apparel retailer
Lojas Riachuelo SA, controlled by Guararapes Confecções SA
, will launch its e-commerce division later this
month, the company said on Monday, as a way to boost sales
during the country's worst recession in over a century.
Riachuelo has invested 28 million reais ($9 million) in the
online unit, which will sell all 15,000 items available in its
brick and mortar stores, it said in a statement.
Online channels have helped rival Brazilian apparel retailer
Lojas Renner SA outperform the sector in recent
Riachuelo's late arrival to e-commerce has allowed the
company to design a business model more likely to succeed,
online head Jonas Ferreira said in the statement, noting that
e-commerce will be as integrated as possible with the chain's
Online retailers have been outperforming traditional brick
and mortar chains in Brazil, raising sales 7.4 percent in
nominal terms in 2016 from 2015 while order volumes were roughly
flat, according to data from consultancy Ebit.
Sales volumes at traditional retailers fell 6.2 percent over
the same period, according to national statistics agency IBGE.
($1 = 3.1359 reais)
(Reporting by Paula Arend Laier; Writing by Tatiana Bautzer;
Editing by Richard Chang)