Franke: We're not affected by lending fluctuations

Franke Romania, the local branch of the Swiss group Franke, a retailer of fully-equipped kitchen systems, has revised its business growth estimates for 2007, which stood at around 12 million euros at the beginning of the financial year, up 10% against 2006. “This year’s growth could exceed 15%, which is quite a high figure for the niche market of built-in appliances,” stated Valeriu Cobaschi, manager of Franke Romania. The estimated business growth is also attributed to the amount of purchases conducted in cash in the showroom network, which includes 25 locations in 23 cities. “For built-in products, acquisitions made through credits account for a very small share of our overall acquisitions, which is why we are affected by credit-related fluctuations (which is the norm for many retailers on the market). We have also tried to sell through lending, but most of our clients prefer to pay in cash,” said Cobaschi.