Spencers Retail is all set for an ambitious expansion plan in its Hypermart division.The company which has around 32 hypermarts plans to scale to have 50 by the end of FY 2009 and further scale it to 400. We call this a really ambitious target since the management has indicated in its meeting with the analysts of CESC [which has controlling stake in Spencers and RPG Retail Venture] that if they fail to turnaround the retail venture by FY2010, then they will think of an exit route.
The company spokesperson told to PTI,
We are on track to have 50 hypermarts and achieve a turnover of Rs 1,250 cr by end March. We are focusing on setting up more Hypermarts across the country. Upmarket stores such as Spencers which are not price-driven as much as others, will not be impacted by inflation and the global meltdown.
The consumer spending cycle is shifting from luxury goods to essentials only. Spencers will continue with its promotions and brand launches. There is some slowdown in Mumbai after 26/11 and it would be a while before things turn around.