Gili Lifestyle Brands - Jewellery to Perfumes
Tuesday, September 15, 2009
Gili, the well known Diamond jewellery retailer is planning to expand its portfolio to include eyewear, perfumes ans scarves under the Gili Lifestyle brand.
Gili which currently retails using its 20 exclusive outlets and 175 departmental stores has been able to establish a niche name in the segment. The company initially targeted smart and hardworking Indian women and teenagers with average selling price of Rs 15000. Buoyed by encouraging results, the company kept on adding value and designs and currently the average unit price is as high as INR 50000.
Gili is also planning to launch 22K plain gold jewellery under the Gili Gold brand. The company's share of high value jewellery is 50%. The ultimate goal of the company is to create a high segment brand and also a lifestyle brand yet affordable to teenagers and other Indian consumers.
Gili which currently retails using its 20 exclusive outlets and 175 departmental stores has been able to establish a niche name in the segment. The company initially targeted smart and hardworking Indian women and teenagers with average selling price of Rs 15000. Buoyed by encouraging results, the company kept on adding value and designs and currently the average unit price is as high as INR 50000.
Gili is also planning to launch 22K plain gold jewellery under the Gili Gold brand. The company's share of high value jewellery is 50%. The ultimate goal of the company is to create a high segment brand and also a lifestyle brand yet affordable to teenagers and other Indian consumers.
Great Value + George Private Labels at Bharti WalMart Stores
Friday, September 11, 2009
Bharti Wal-Mart promoted neighborhood supermarket format - Easy Day Retail has introduced 8 private labels of World's largest retailer Wal-Mart in India including Great Value and George. The JV has also introduced these labels in Hypermarket format Best Price Modern Wholesale as well as mini Hypermarts Easy Day Market. This means small Kirana retailers purchasing from Cash-n-Carry format will sell these global brands in their stores as well thus giving Wal-Mart a bigger reach :-)
To the company this essentially means reducing the learning curve and cushioning its bottomline as Private Labels offer higher margins and lesser overheads. Currently Bharti WalMart derives 15-20% sales from private labels and hopes to touch 30%.
Related Reading:
Here is Pantaloon Retail / Future Group's Private Label Strategy.
Shoppers Stop - Private Labels
To the company this essentially means reducing the learning curve and cushioning its bottomline as Private Labels offer higher margins and lesser overheads. Currently Bharti WalMart derives 15-20% sales from private labels and hopes to touch 30%.
Related Reading:
Here is Pantaloon Retail / Future Group's Private Label Strategy.
Shoppers Stop - Private Labels
Central Mall + Brand Factory - Plan $100 mn expansion
As the economy turns around, retailers are gearing up to meet the demand of the Indian consumer who is just introduced to the concept of organized retailing.
Pioneers of Indian retail, Pantaloon / Future Group is planning to add 25 new Brand Factory stores and ten more central malls across India within the next 12 months.
Brand Factory commands investment of Rs 1000 to Rs 1500. This formats revenue is expected to grow from current previous year Rs 250 cr to Rs 1500 cr by FY11.
Central Malls cost the company ~Rs 200 to Rs 2500 / sft to setup. Central Malls collectively had topline of Rs 750 cr and is expected to zoom to Rs 2500 cr.
Brand Factory and Central Mall - Business Models:
Central Mall is the Lifestyle retailing arm of Kishore Biyani for the Indian consumer. However, the reduction in Fashion cycles leaves the company and Brand owners with huge unsold inventory. Bingo! thus came the idea of Brand Factory to Kishore Biyani and this store sells all the unsold inventory offering huge discounts. They target consumers between the age group of 17 to 32.
Both of them spend around 3% on Advertising & Marketing while they get 35% of their sales in the ongoing festive shopping season between Ganesha Festival and Christmas.
Pioneers of Indian retail, Pantaloon / Future Group is planning to add 25 new Brand Factory stores and ten more central malls across India within the next 12 months.
Brand Factory commands investment of Rs 1000 to Rs 1500. This formats revenue is expected to grow from current previous year Rs 250 cr to Rs 1500 cr by FY11.
Central Malls cost the company ~Rs 200 to Rs 2500 / sft to setup. Central Malls collectively had topline of Rs 750 cr and is expected to zoom to Rs 2500 cr.
Brand Factory and Central Mall - Business Models:
Central Mall is the Lifestyle retailing arm of Kishore Biyani for the Indian consumer. However, the reduction in Fashion cycles leaves the company and Brand owners with huge unsold inventory. Bingo! thus came the idea of Brand Factory to Kishore Biyani and this store sells all the unsold inventory offering huge discounts. They target consumers between the age group of 17 to 32.
Both of them spend around 3% on Advertising & Marketing while they get 35% of their sales in the ongoing festive shopping season between Ganesha Festival and Christmas.
