Software company wins Auchan after Sonae, Lidl and Pão de Açúcar. Chile, Colombia, England and France are the targets in 2021

Content: Victor Ferreira Photography: Nelson Garrido

The first Portuguese Tlantic arrived on the market, computer man and later hypermarket opened in 1985. around 2004, with three became a businessman (and Thirty-six years later, the softwares that, in the bottom, even a teacher). In 2004, that was then called modern, in they “get the skin of the flap to Tlantic's idea was to support contrast to the traditional, work”, connecting it to the the expansion of Sonae's retail became the traditional retail, in “brain”. In 2020, the company in , where the growth 5000 contrast to the electronic retail. had a turnover of seven million cycle of the group led by Number of stores in “The store concept has evolved a euros, and this year it already Belmiro de Azevedo had portfolio to which lot”, but “many continue to work conquered another important started in 1999. They created Tlantic already supplies, the old way”, because “they do retailer in the national market, an innovative cash front system or will supply, not take advantage of pointing at the same time to for the time, the first on Linux, management support information that the store batteries for an international which made it possible to software systems produces in relation to expansion that has long been dispense with Microsoft's customers”, says Paulo part of its daily life, but which Windows, which is much more Magalhães, CEO of Tlantic, a intends to extend to new expensive. It is the legacy of company that produces software geographies, such as Chile and this engineering work done in for stores and who just added Colombia, in Latin America, and Brazil that can still be seen to Auchan to the list of customers. France and England, in Europe. be used in many Portuguese 100 Which means that it provides cash lines. The “Brazilian part” workers: 70 in retailers that represent 50% of Brazilian roots of Tlantic was then significantly and 30 in Brazil. Most the food market in Portugal. To Born in Brazil in 2004, by the larger than the “Portuguese have a degree in engineering, the average explain the problem, Paulo hand of the Sonae group part”. But the departure of age is 34 years old Magalhães uses an analogy. In (owner of PÚBLICO), Tlantic Sonae from Brazil, which sold the large retail sector, the circuit cut this umbilical cord in 2018. the operation to Walmart was structured to have “one Today, Sonae is a customer, (USA), dictated a change. The direction”, from “upstream to just like the Lidl chain. Or CUF American retailer dismissed downstream”, but in which hospitals. Or even call centers. Tlantic because it had its own “decisions are made centrally”. “As a result of chance, we software. Instead of leaving, 50% “The retail is set up in this way, develop software that is Tlantic oucou. It started to Sonae, Lidl and Auchan and the self service [the applied very effectively in grow more in Portugal, but are three national predominant model in which the other types of companies”, he never gave up on the other side customers of Tlantic and customer collects what he of the Atlantic, where it stresses. The company has 100 represent 50% of the wants] came to give even more workers, 70 in Portugal, 30 in maintains offices in food retail in Portugal strength to this. Everything went Brazil. The average age is 34 Alegre and São Paulo. Today, in one direction, from the years. Most are engineers, such Brazil represents 40% of mountain to the mouth, from the as Paulo Magalhães, who turnover. It serves the Pão de producer to the warehouse, to graduated in Computer Açúcar group (number two in the store, to the shelf, to the Systems in Minho, went to the Brazilian retail segment, front of the box, to the banking, traveled to , with 800 physical stores) and customer's home, to his or her and who instead of deepening Drogaria Araújo and Panvel, 40% pantry”, he describes. “It is like a that area he preferred to two pharmacy chains, among Businesses in Brazil, brain that does not use the skin. diversify through an MBA. others. where the Pão de Açúcar The skin is the stores, the The last major job at the bank group and large pharmacy chains are workers who collect information in which he participated was at Future? Physical, for sure clients, account for 40% daily on a myriad of issues. the beginning of the The pandemic has put of revenues ”What happens in the store, privatization of Portucel, in everyone in the world talking what the customer says, does or 1995. He could have been an about a transfer from physical wants, the way they work, a lot architect. He is a photographer to digital retail. The of that information only started in his spare time. But he opted reinvention of stores has been to be taken into account when for retail, which he joined as a a hot topic for some years now. Farfetch, in the fashion was perhaps the first global world, has a curriculum in this brand to dispense with it, when it Three questions to area with the Browns store in opened the Amazon Go Paulo Magalhães England. This week, a convenience stores. The Portuguese startup, Sensei, customer enters, takes what he At Tlantic, how are you preparing for the secured 5.4 million in the largest wants and leaves, and payment is store of the future? initial round (seed) of a national no longer made at a cashier company, to continue its where a person is registering What we really do is transform the dark side of the technological bet that allows barcodes. The process is store, about which there was no information. It may physical stores to become controlled by cameras, sensors, seem almost absurd, but in retail there are still autonomous. Tlantic, says Paulo artificial intelligence that those who spin without great operational control, Magalhães, is “attentive” to identifies what is removed from where everything depends on the discipline, what is being experienced, but the shelves, and then the intuition, panache or merit of the "heroes" who are for now it maintains the course payment is made through a the workers. We have 5000 stores in our portfolio that, essentially, starts from the mobile application. Tlantic and we have a lot of data. We know that 80% of premise that “physical stores technology is also already workers are in stores, but even today, there are still will continue to exist”. “The “traveling” in our pocket, for those who do not collect all the information that physicist will always be there. example being used for mobile this workforce gathers every day, and make The store concept has evolved a phone payments, but this management decisions without taking advantage of lot. Retail started at fairs, which Portuguese company, installed in this potential. We don't know what the store of the were meeting points for the industrial area of Porto, has future will be like. There will probably be several transactions but also for produced other systems in its models. Whatever it is, we will continue to work to interaction, with social life ”, almost 18 years of existence. In make the connection between the store and the something that human beings addition to the cash front, there customer. will hardly dispense with. “We is software to manage processes are supporting this transition, (such as stock management) and If everything is digital, what will be but the mobile phone will not people (adopted now by Auchan the big challenge? eliminate the store, it will and already in use by Lidl). For It's the reverse logistics. If there is no store, and complement it and will force it more alternatives that may you buy four but just want to keep one, how are you to be transformed.” In the end, appear, Paulo Magalhães says going to return it? Changing the cycle from we will stop calling it stores, he that the change in retail has been upstream to downstream is the most difficult and admits. We can start calling it a constant and that he does not expensive. Perhaps we will have models in which showroom, as did a chain of know the model without boxes is there will be intermediate points of transaction. opticians in the USA that the one that will be imposed in Think of a kind of “Uber solve [collect and repair] transformed the stores into a the future. He points out that mobile”, which deals with collection, instead of kind of storefront, but that this was already a practice at delivery. It was a problem that Netflix faced when stopped delivering products. It Apple long before Amazon gained delivering films by mail. is a case that interests those media coverage with its who like to reflect on trends experiences in supermarkets, and Is the front office carrier, replaced because it provided data that believes that, in the future, retail allow us to conclude that “will have many options” in by machines? “whoever has a website without addition to stores without boxes. If the cash register disappears, half of the workers a physical store sells more than He also estimates that the more in a current store also disappear. But it does not if he had only a physical store”. digitalized our purchases are, mean that the store will become more empty. A few However, the same case shows and the more the physical and years ago, those who worked in the store also that “having the website the virtual mix, the more replenished the product. It was pure logistical and having a showroom store important it will be to have operation, arms and legs. Today we go to a store still makes sales more technological solutions that and it already has a sushi counter, a cafeteria, a exponential”, underlines Paulo allow to transmit information bookstore, etc. The Transformation has already Magalhães. What Tlantic does is from the "skin" to the "brain". been so great. seen in the so-called cash front. However, these disappeared in "The physical store will always be present, with another name some experiences like that of the Whole Foods chain (USA), or model. It sells more on a website than on a store, but having controlled by Amazon, which both boosts sales even more."