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Indian fashion chains expand amid online retail growth

Shoppers Stop is looking to open four new stores this year and plans to invest Rs 120 crore

Raghavendra Kamath  |  Mumbai 

Pantaloons tips the scales for Aditya Birla Fashion

Indian chains are betting big on the consumption story here as American chains shut stores, amid competition from online retailers. 

Macy’s, the largest department store chain in the US, said it was closing 68 stores. will also close 42 stores. is closing 108 stores and and discount chain Kohl’s has closed 18 stores, according to reports.

Indian chains are scripting a different story, despite a strong online retail presence. Future Group-owned plans to add 15 new HD stores. HD has upgraded their décor and has minimalistic fixtures with an aspirational boutique feel.

“The store is designed to offer an enhanced and more customised service to shoppers,” said Vishnu Prasad, chief executive officer, “We have received great response with the new HD. We are expecting 15-20 per cent like-to-like growth.”

Shoppers Stop, the country’s largest department store chain, is planning to open four new stores this year and is working on a 35,000 sq ft format for smaller cities, against the average size of 45,000 sq ft. “The new stores have designated shop-in-shops for private brands to provide a luxe experience,” said Govind Shrikhande, managing director,  “We are targeting seven-eight per cent like-to-like growth in the department store segment.”

Max, Landmark Group’s value chain plans to open 40-45 stores at an investment of Rs 5 crore each. These stores have the latest retail identity as in their home market of Dubai with omnichannel capabilities in terms of digital displays and a WiFi environment. 

Vasanth Kumar, executive director of Max, said, “Unlike the US, India’s per capita retail space creation is very low and so is the share of organised retail. Also, 60 per cent of our population is below 30 years,”. “As a country, we have a long way to go before being saturated,” Kumar pointed out.

Rajat Wahi, partner and head (consumer markets) at KPMG, said with rents declining and e-commerce facing a slowdown, modern trade would resume expanding its footprint, especially in large formats (over 50,000 sq ft) and medium formats (10,000-30,000 sq ft). 

“While e-commerce will continue to grow and some categories will be bought predominantly online, most Indian consumers will continue to shop for high-value products in brick and mortar stores,” Wahi said.

Devangshu Datta, chief executive officer at Third Eyesight, said in a market as fragmented as India’s department stores “have a role to play as authoritative ‘experience environments’ for the consumer and as platforms to showcase diverse brands.”
Graph


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Indian fashion chains expand amid online retail growth

Shoppers Stop is looking to open four new stores this year and plans to invest Rs 120 crore

Shoppers Stop is looking to open four new stores this year and plans to invest Rs 120 crore
Indian chains are betting big on the consumption story here as American chains shut stores, amid competition from online retailers. 

Macy’s, the largest department store chain in the US, said it was closing 68 stores. will also close 42 stores. is closing 108 stores and and discount chain Kohl’s has closed 18 stores, according to reports.

Indian chains are scripting a different story, despite a strong online retail presence. Future Group-owned plans to add 15 new HD stores. HD has upgraded their décor and has minimalistic fixtures with an aspirational boutique feel.

“The store is designed to offer an enhanced and more customised service to shoppers,” said Vishnu Prasad, chief executive officer, “We have received great response with the new HD. We are expecting 15-20 per cent like-to-like growth.”

Shoppers Stop, the country’s largest department store chain, is planning to open four new stores this year and is working on a 35,000 sq ft format for smaller cities, against the average size of 45,000 sq ft. “The new stores have designated shop-in-shops for private brands to provide a luxe experience,” said Govind Shrikhande, managing director,  “We are targeting seven-eight per cent like-to-like growth in the department store segment.”

Max, Landmark Group’s value chain plans to open 40-45 stores at an investment of Rs 5 crore each. These stores have the latest retail identity as in their home market of Dubai with omnichannel capabilities in terms of digital displays and a WiFi environment. 

Vasanth Kumar, executive director of Max, said, “Unlike the US, India’s per capita retail space creation is very low and so is the share of organised retail. Also, 60 per cent of our population is below 30 years,”. “As a country, we have a long way to go before being saturated,” Kumar pointed out.

Rajat Wahi, partner and head (consumer markets) at KPMG, said with rents declining and e-commerce facing a slowdown, modern trade would resume expanding its footprint, especially in large formats (over 50,000 sq ft) and medium formats (10,000-30,000 sq ft). 

“While e-commerce will continue to grow and some categories will be bought predominantly online, most Indian consumers will continue to shop for high-value products in brick and mortar stores,” Wahi said.

Devangshu Datta, chief executive officer at Third Eyesight, said in a market as fragmented as India’s department stores “have a role to play as authoritative ‘experience environments’ for the consumer and as platforms to showcase diverse brands.”
Graph


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Business Standard
177 22

Indian fashion chains expand amid online retail growth

Shoppers Stop is looking to open four new stores this year and plans to invest Rs 120 crore

Indian chains are betting big on the consumption story here as American chains shut stores, amid competition from online retailers. 

Macy’s, the largest department store chain in the US, said it was closing 68 stores. will also close 42 stores. is closing 108 stores and and discount chain Kohl’s has closed 18 stores, according to reports.

Indian chains are scripting a different story, despite a strong online retail presence. Future Group-owned plans to add 15 new HD stores. HD has upgraded their décor and has minimalistic fixtures with an aspirational boutique feel.

“The store is designed to offer an enhanced and more customised service to shoppers,” said Vishnu Prasad, chief executive officer, “We have received great response with the new HD. We are expecting 15-20 per cent like-to-like growth.”

Shoppers Stop, the country’s largest department store chain, is planning to open four new stores this year and is working on a 35,000 sq ft format for smaller cities, against the average size of 45,000 sq ft. “The new stores have designated shop-in-shops for private brands to provide a luxe experience,” said Govind Shrikhande, managing director,  “We are targeting seven-eight per cent like-to-like growth in the department store segment.”

Max, Landmark Group’s value chain plans to open 40-45 stores at an investment of Rs 5 crore each. These stores have the latest retail identity as in their home market of Dubai with omnichannel capabilities in terms of digital displays and a WiFi environment. 

Vasanth Kumar, executive director of Max, said, “Unlike the US, India’s per capita retail space creation is very low and so is the share of organised retail. Also, 60 per cent of our population is below 30 years,”. “As a country, we have a long way to go before being saturated,” Kumar pointed out.

Rajat Wahi, partner and head (consumer markets) at KPMG, said with rents declining and e-commerce facing a slowdown, modern trade would resume expanding its footprint, especially in large formats (over 50,000 sq ft) and medium formats (10,000-30,000 sq ft). 

“While e-commerce will continue to grow and some categories will be bought predominantly online, most Indian consumers will continue to shop for high-value products in brick and mortar stores,” Wahi said.

Devangshu Datta, chief executive officer at Third Eyesight, said in a market as fragmented as India’s department stores “have a role to play as authoritative ‘experience environments’ for the consumer and as platforms to showcase diverse brands.”
Graph


image
Business Standard
177 22