Woodland to go solo in global expansion

Adventure shoe maker Woodland's global expansion plans have an element of adventure. It will have own distribution network and deal with retail chains in foreign countries directly rather than tying up with a foreign partner for the same, said Harkirat Singh, managing director of Aero Group, which owns the Woodland brand.

Aero Group plans to have a presence in 100 retail outlets in Hong Kong and China alone by FY14. It already has a marketing office in Hong Kong. Once the brand gets a strong foothold in these markets, it plans to open own stores to increase presence, Singh added.

Ruling out any plans to rope in a strategic partner to feed the foreign expansion needs, Singh said, "We have figured out that it is better to go on our own strength rather than divesting a partial stake. Every country has its own operating models and the existing retail chains in these countries are a good carrier for a brand like ours. We are already there, but we are looking at minimum 100 retail chains in the next fiscal."

Currently, 20 per cent of the company's total revenue comes from the exports. The youth-oriented brand is also eyeing geographies such as Australia, Europe and southeast Asia. The company had initiated talks with three companies in south-east Asia and Australia specialising in functional footwear, apparel, and accessories. However, it did not match well with the company's plan, he explained.

"Retail presence would be a key factor on both fronts - domestic and international," said Singh, adding the company is expecting a turnover of Rs 1,000 crore in FY14. For the current financial year, its has set a top line target of Rs 850 crore.

The company is also in the process of investing around Rs 70 crore for adding two shoe-manufacturing units in Himachal Pradesh and Uttaranchal.