High retail rentals and unrealistic real estate prices are a hindrance to genuine businesses and retailers. Reliance Retail didn’t take it too long to realize and invite franchisees across all its retail format in the last week of Feb-08. Now its turn of Kewal Kiran clothing, manufacturer and owner of Killer and Lawman brands.
Mr. Vikrant Gandhi, Chairman said,
We had planed to rollout 100 plus stores on the lease model by the end of March, but due to increase in property rentals last year, we opened only 16 leased outlets. Instead we changed the model from lease to franchisee and currently have 99 stores. This helped in reducing the total investment, while achieving the projected turnover.
This business model also saved the company Rs 20 crore. The company now plans to be present heavily in Tier-I market and locate stores in select elite areas.. If they find it difficult to get a franchisee then the company will go for an exclusive brand outlet.
Until now, the company had focused only on menswear. They now plan to introduce womens wear brand. Launch will be in select outlets this holiday season. Kindly note that this is apart from the Killer jeans already made available to the Indian women. You can apply to be a franchisee of Killer or Lawman brand here.