FERRETERIA LEONESA EXPANDS AND TARGETS THE MOST EXCLUSIVE AREAS
FERRETERIA LEONESA EXPANDS AND TARGETS THE MOST EXCLUSIVE AREAS
Pozuelo de Alarcón, in the Community of Madrid, is the town with the highest average income in Spain. There, and when it was not yet the place of reference for the wealthy classes, Santiago González decided to open a hardware store in 1954. This man from León, who had moved to Pozuelo to start a business, gave the establishment the name of his origin: Ferreteria Leonesa. The place chosen, the neighbourhood of La Estación.
Santiago did well. To cope with the growing number of customers in their hardware store, where they were working four employees, Santiago had to change its premises, although it moved to another one nearby, in the same street, so as not to lose contact with its neighbours. At that time, Santiago did not have to deal with competitors such as the multinational Leroy Merlin, which did not arrive in Spain until 1989. The owner of Ferretería Leonesa taught the trade to his three children from an early age. He went to Jesus, The first-born son, who inherited it.
The one who tells this story is the son of Jesus, Eduardo González, the third generation at the head of Ferretería Leonesa. He does so sitting in his office in the Juan Bravo premises, the one he opened after Castellana. But to understand this expansion it is necessary to understand the role of his father, Jesús, who, far from dedicating himself only to the hardware business, was also involved in the real estate business. It was 1979 when he took over the reins of the family business.
Expansion within Pozuelo
«My father was in charge of the business model», says Eduardo proudly. So, he established what was going to be the assortment that would fill the shelves of the hardware store and the sections into which the establishment would be distributed. He set out to innovate. And he included perfumery and toys, one of the features that set Ferreteria Leonesa apart from others.
Jesús also outgrew the premises. He bought a complete building in Pozuelo, in the same neighbourhood where his father opened the hardware store. He dedicated the floor facing the street and the commercial basement to his business. At that time he had about fifteen workers. It expanded again in 2006. He bought the site next to the shop, which had previously been a dirt car park, and built flats on the upper floors. The car park now occupies three underground floors and he was able to extend the two floors of his hardware store.
According to Eduardo González, the best years for the business were between the 1990s and before the crisis. And after?
To the most exclusive areas of Madrid
Eduardo, like his father, grew up running around the shelves of the hardware store. Although he has another brother, it was he who became interested in this business. And he set out to take it forward and make it grow. That is why he enrolled in Business Administration and Management (ADE). In the mornings, he worked in the shop under a kind of university agreement. In the afternoons, he went to university classes. «I've had no other work experience than in the hardware store», says the young man, who after finishing his degree enrolled in a master's degree in family business.
«When the crisis came, the business continued to function thanks to professionalism», says Eduardo, who explains that at that time they already had competition from multinationals. «The shop was recommended by people, it was known for that», he points out. It was in 2013 when Eduardo took the leap. His father was retiring. The following year, he opened a Ferretería Leonesa shop in the Paseo de la Castellana.
«It all started because we saw premises that we loved, as we wanted a place with a lot of traffic». In the former headquarters of a bank, the González family opened a hardware store «betting on local commerce». They found a place where people strolled around, willing to go into the shops and make purchases. Eduardo also saw this in Juan Bravo, where it has opened its third location.
Eduardo acknowledges this. «Our clients are from high purchasing power, because of the areas we are in,» he says. But he qualifies: «Even so, our prices are competitive and anyone can buy in our shops». He does try to differentiate the products sold in his stores and add value «as opposed to the multi-prices». How? His products are branded.
«We have generated ‘a little bit’ of employment».»
Ferretería Leonesa has five workers in each of the new premises. In total, are 25 between the three shops. «We have been able to generate a little bit of employment», says Eduardo, who points out that for the recruitment of the latest stores, they have used experienced people over 45 years of age who had become unemployed after the closure of a chain of hardware stores. They also have three young people under the age of 30 in training.
I would love to keep growing, but let's see how we perform first. It's always more risk,« he says cautiously. If there is a next opening, it will certainly be in a high risk area,» he says cautiously. standing.
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