Cover story – Grupo Martins
Pioneering and diversification: the legacy of the Grupo Martins
The city of Uberlândia (MG), where the group is located, is a strong logistics hub. It connects products with high-demand regions, which contributed to the success of the national operation.
by Igor Lopes
Founded in 1953 by Alair Martins, the Grupo Martins began its journey in a small warehouse in Uberlândia, Minas Gerais. A young entrepreneur’s dream quickly turned into a large-scale wholesale operation. What began as a point of sale to the public reinvented itself over the years: from a mix of retail and wholesale, the group consolidated itself exclusively in wholesale from 1964 onwards.
With a pioneering vision, Alair Martins not only expanded his operations, but also diversified the group’s activities. Today, each SIM initiative – or Sistema Martins – plays a vital role in the distribution and services ecosystem, serving 256 thousand customers in small and medium retail, especially in smaller cities, where the group’s presence becomes fundamental for local economic development.
In this interview, Rubens Batista, CEO of Grupo Martins, talks about the company’s trajectory, its growth and diversification strategies, as well as the social impact it has on the communities in which it operates. He also explains how the company looks to the future, in a constantly changing economic scenario.
Tell us about the history of the Grupo Martins. How did it all start?
Rubens Batista – It all started with the dream of a 19-year-old boy, who convinced his father to sell a property and invest in a 100 sqm warehouse. At first, the warehouse operated like a store, serving customers, even individuals. Over time, he understood that he was a good businessman and, to grow, he could consolidate purchases from other colleagues in the region.
This has evolved over time. Between 1953 and 1964, he worked as a mixed retailer and wholesaler, making these joint purchases. From 1964 onwards, the establishment became a wholesaler only. Since then, the business has grown and now operates nationwide.
Remembering that Uberlândia is positioned in a strategic region, which connects producers with regions of high demand, so it is a strong logistics hub. This contributed to the Grupo Martins expanding into other states and becoming a national operation.
How did the growth and diversification of activities occur? What were the most important steps?
RB – Mr. Alair has always been a pioneer, creating other businesses and complementary services. Martins has two main clients. One of them is the industry, and we provide services to it by distributing its products to 256 thousand small and medium retail customers. At this small and medium end, we also provide services. All of this brings prosperity to the entrepreneur.
When we consider that around 60% of our sales take place in cities with up to 100,000 inhabitants and, of that amount, half take place in cities with up to 30,000 inhabitants, we understand the important social role we play.
Today, the group is made up of the companies Martins Atacado, Tricard, Tribanco Seguros, Smart Supermercados, Martins University of Retail, Unica, eFácil, and the Alair Martins Institute. What is the field of activity of each one?
RB – Everything you said forms the Martins System (SIM). Martins Atacado works as a large distribution platform. It is our main activity. And, on top of this platform, both products and services run. We buy and sell goods, and we distribute these products, which is the standard wholesale activity.
In addition, we also have services that we offer to our customers, such as Smart, which is an associative supermarket chain. With it, we help small retailers to remain independent, bringing technology, know-how, training and relationships with large industries.
At Universidade Martins do Varejo, we train our clients not only with courses, but also by providing them with tools and consultancy.
In addition, we have logistics services (SLIM Log), which serve both the industry and our customers, and a B2C e-commerce (efacil.com.br).
It’s not over: we have financial services, which range from credit cards for small retailers (Tricard), which can offer services to its customers, to commercial banks (Tribanco), which finance customers not only in retail, but also in industry.
We also have the insurance part (Triseg) so that our clients can protect their businesses, and we also have acquiring (Única), which is a technology company.
In addition to these main activities, there are two others that are focused on the environment and social: the Alair Martins Institute (IAMAR), which seeks to stimulate and develop the potential of young people through education for entrepreneurship and promote a culture of environmental preservation; and Martins Floresta Nativa, which preserves forests in the state of Pará through sustainable management.
Does Martins serve all Brazilian states? Are you the only one doing this?
RB – Yes, we are the only wholesaler-distributor in Brazil that serves all regions of the country. In this fleet of aggregates, we work with several types of vehicles to adjust the route and delivery time.
Do you consider this a strength of the group? Why do you think others are not as well-connected?
RB – First of all, operating throughout Brazil is an expensive activity. Brazil is a continental country and, in addition to its large dimensions, there are many barriers, both natural and geographical, as well as distance and poor road maintenance, making access difficult in several regions. We prepared for this, investing a lot over these 71 years. It was this long-term investment that made Martins the only national operator that distributes this quantity of SKUs. We are talking about 25 thousand SKUs in 1P and more than 200 thousand SKUs in 3P, and we can deliver to more than 5 thousand Brazilian cities in all states. Every month we serve 125 thousand CNPJs, excluding CPFs. This was a construction over these 70 years.
How many storage centers does the group have and where are they located? What is the storage footage?
RB – The Martins System has an infrastructure that comprises five Storage Centers (Uberlândia – MG; Camaçari – BA; Hidrolândia – GO; João Pessoa – PB and Manaus – AM); 19 storage, consolidation and distribution hubs; and 41 Cross Docking and Transit Points. There are 200 thousand sqm of area allocated for storage.
How do the home appliances, electronics, IT and technology segments behave?
RB – This segment accounts for about 13% of merchandise revenue, and when we take GMV, which comprises third-party sales on our platform, that number rises to about 16%.
In 2023, Martins had revenues of BRL6.7 billion. Has the 2024 one been closed? By how much?
RB – Total GMV for 2024 was BRL7.4 billion, with revenues of BRL7 billion.
What sets Martins apart in its market? What actions and strategies make the company stand out?
RB – I believe it has a lot to do with our history. We are a company from the countryside and this helps us in hiring labor. As we are a leading employer, we have a very good workforce, and this helps us in terms of competition. Location was also key to building this business. Furthermore, we operate a very broad portfolio and reach the entire country. This set of details is what sets us apart, with a strong focus on small and medium-sized retailers.
In which areas has the group invested most in recent years? Are there any expansion plans planned for this year?
RB – It was good that you mentioned that, because it might seem like we only look at the past, but quite the opposite is true. Our legacy serves much more as a compass than an anchor. It is a company focused on the future.
The founder himself is an enthusiast of the future. There are still 29 years to go until the group reaches its 100th anniversary, and Mr. Alair, who is now 91 years old, talks about this date as if he were going to get there, you know? This enthusiasm, this orientation towards the future is something that marks Martins’ pioneering spirit.
Basically, our investments come to reinforce the core, which is our 1P, which is our wholesale. It’s about curating products, giving credit, buying, storing, selling, and delivering in the shortest time. It’s about having good after-sales service. This is what pays our bills, it is still the most relevant business.
But there is another avenue for growth, which is our marketplace. It has some uses. The main one is that it eliminates intermediaries, so we deliver the best price, the best product and with the best conditions to the customer.
And on the other hand, it is also a way of sharing costs between various participants in the chain, whether wholesalers, distributors or the industry itself, because, in reality, with a platform, we sell together and can share the customer and the structure. We really believe in this future of collaboration and sharing.
How does Martins act on the ESG concept?
RB – Mr. Alair preaches this a lot. It is a company that has a very strong social responsibility, and this undoubtedly comes from the founder and the Martins family. They are very conscious people, they came from the countryside, so there is this connection. They understand that the countryside is fundamental and that preserving it means preserving both the country and the land.
The way Martins behaves towards the authorities, his customers and his employees is also important. It is a relationship of fairness and not taking advantage of your size. As Mr. Alair likes to say, “it’s good people working together, it’s being good”.
It’s clear that we have evolved. If you take today’s trucks and compare them to those of the past, we have evolved a lot. We also participate in various programs, such as road safety, to prevent child prostitution. So, this has always been something present in the company’s DNA.
What are the expectations for 2025?
RB – 2025 is an unknown. When we look at inflation, interest rates and the political environment, we see them reflected in the higher exchange rate, a little above BRL5.50. We understand that, because of this, we need to navigate prudently from a financial point of view, especially because we are a family-owned national company.
But, in the same way, we cannot lose perspective that we have to grow, and we believe in that. We started with a good first quarter. But our stance is to navigate day after day, week after week, month after month. It will be a year of great care and navigating in the very short term, without ever losing sight of the fact that there is room for growth.
Source: Eletrolar News ed. 166
