VIP plans to add 60-80 new outlets every year

Eyes 20% y-o-y growth for the next 5 years.

VIP Industries Ltd (VIL), the major luggage manufacturer in the country, is eyeing 20 per cent year-on-year (YoY) growth for the next five years. The company is also planning to open 60-80 new outlets every year across the country.

Moreover, the company is also planning to promote all its brands- Aristocrat, Alfa, Skybags, Footloose and its international brand- Carlton.

In India, the company has 55 per cent market share in organized sector. Presently, the company has three manufacturing facilities located at Nashik, Sinnar and Haridwar, with a joint manufacturing capacity of 1.5 lakh pieces.

“Indian market is growing and we are able to meet the aspiration of Indian market. We are expecting 20 per cent year-on-year growth for the next five years. We have adopted aggressive marketing strategies with multi-brand and multi-channel approach. So VIP will be a total different company in the next two years,” Dilip G Piramal, Chairman and Radhika Piramal, Managing Director, VIP Industries Ltd, who were in Nashik, told Business Standard.

“We are investing in design and advertising of our product brands. Presently, we are advertising VIP brand only. We are planning to promote our other brands like Aristocrat, Alfa, Skybags and Footloose. Our international brand ‘Carlton’ will be launched in India in the current financial year. We are of the policy of having high volume, reasonable prize and excellent quality,” they said.

“The company is selling its products through a large network of around 5,000 retailers. The company has 350 exclusive outlets across the country, out of which 250 outlets are run by our dealers. We are planning to add around 60-80 new exclusive outlets every year across the country,” Dilip Piramal and Radhika Piramal said.

In FY 2009-10, the company’s sales turn over increased by 19.63 per cent to Rs. 636.78 crore, against Rs. 532.25 crore in previous FY 2008-09.