Apparel major Madura Garments is mulling a Russia foray. The Rs 400 crore branded player has already commissioned a study of the Russian market and will take a call in the next six months. | |
| Vikram Rao, director, Indian Rayon and Industries, Madura Garments' parent company, said, "About three to four months ago, we connected and contracted a study in Russia. Efforts are on to determine the feasibility." |
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| If Madura does make the foray, then it will be the company's second overseas foray after the Middle East which will contribute Rs 25-30 crore this fiscal. Madura's Middle East presence is through the franchisee route which extends back a few years. |
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| Rao said that markets such as Russia and South Africa offer synergies and opportunities for an emerging brand player from India which must of necessity steer clear of the affluent western markets because of the significant brand building costs that would have to be incurred. |
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| The company though has a near worldwide control of its brand bouquet. It owns the Louis Philippe brand world wide, Allen Solly brand rights in all countries except North America, and Peter England everywhere except Ireland and the UK. The company has the Van Heusen and Byford rights only in India. Besides these, it has a homegrown denim casual label called SF. |
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| The survey across Russia will find out the kind of merchandise that will sell, the retail ambiance required, seasonal demand, price merchandise equation and fluctuation. |
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| Added to it, it will estimate whether a brand building exercise is required or go for an extensive distribution network? Also it will point out the kind of partners and the franchisee format. |
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| The study will assist Madura priorities its future choices. As the domestic market is still offering significant opportunity, the survey will seek to assess Russia's potential while retaining the business value already created. |
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