Despite a 5-15 per cent discount on various items, these stores seem unable to attract a sizable number of buyers. There are no authentic figures to show how many buyers visit the utility stores but market watchers think that these stores attract only 0.5 per cent buyers.

A large number of people still prefer retail outlets in their localities. Even departmental and super stores have more buyers than utility stores. It has also been noticed that people cue before the pulling up of shutters of some leading departmental stores in search of better value for their money.

When retail prices of essential items touch the roof and retailers are not ready to offer any discount to the buyers even on bulk shopping, the wholesale markets, covering the entire range of daily use items, offer some relief.

Now some investors are opening departmental stores in such localities, which are away from big and popular markets.

Departmental and super stores offer discount on local and imported items that attract buyers. Besides, the craze of credit cards use at departmental stores is also on the rise.

In this age of tough competition, the management of Utility Stores Corporation will have to come up with some innovative ideas by introducing credit card facility and increasing the range of varieties of imported goods at the stores in order to compete with departmental and super stores, retail and wholesale outlets.

Officials of the USC in Karachi are not ready to accept the buyers’ figure this scribe has quoted in comparison with retail outlets and departmental stores.

“We cannot give you the exact percentage but the people have started flocking utility stores as compared to previous years,” an official at a USC said.

A random visit to a utility store at Sunset Boulevard Phase IV, DHA in the afternoon saw fewer buyers but Manager, Munir Ahmed was stick to his assertion that the store attracted satisfactory number of buyers as people not only from posh area but from colonies at Gizri regularly visited the store. Rush situation varied from morning to evening to night and also depended on the days as huge rush could be seen during first 10 days of the month when people got their salaries, he added.

“Our monthly sale is Rs10 million at one store,” he said adding that utility stores had been given monthly sales targets.

The main reason for low buyers’ turnout is non-availability of imported goods at USC. These are available at departmental stores and retail outlets at affordable rates. “We procure sales tax paid items from local and MNCs who are registered with Sales Tax Department,” he said adding that shortage of staff is another problem to handle the huge stores. “We have three staffers to look after this store, which is a big one,” he said.

He said that most of the buyers prefer to buy things at credit cards, the facility, which our utility stores do not offer. Besides, there is also no security arrangement at the store.

“Our main focus is to sell things at affordable rates and cheaper than retail outlets. I think we are quite successful in that area,” Muneer said by giving example that sugar is available at Rs23 per kg as compared to Rs26-27 a kg at retail outlets. Even one can compare the rates of other grocery items with the markets.

On the prime minister’s instructions, flour varieties are available at Rs11.50 per kg at utility stores from Wednesday as compared to Rs14-15 per kg in local markets; he said adding that a 10 kg bag of chakki atta was selling at Rs115 at utility stores while 10 kg Asharfi atta bag is selling at Rs145.

Karachi has 32 utility stores, situated in various localities, but they are certainly not enough to handle the demand of over 15 million Karachiites.

Muneer recalled that the city used to have 100 stores ahead of 1998 but numbers fell to 25 when government changed. Now the number is again on the rise. However, he said that many stores had closed down in sensitive areas due to law and order problem and lack of security arrangements.

Regional Manager, USC, Mohammad Riaz said that plans were underway to start 10 more utility stores in Karachi as reasonable sites were being selected. He said utility stores had also made plans to introduce mobile service for selling essential items. The vehicle, loaded with items, would be sent to various localities to sell the items at reduced rates specially atta and sugar.

He also did not agree that utility stores attract thin number of buyers. “Our monthly sale at

32 stores is approximately Rs30 million which is enough to gauge the consumers’ attendance,” he said.