Tesco becomes the first international brand to file for multibrand retail FDI in India as it plans to acquire 50 per cent stake in Tata Trent, hence forming a JV. It was earlier in 2012 when FDI in multibrand retail was approved.
Tesco has filed for the JV with DIPP and if approved, the stake will be bought for $110 million. Tesco will own 50 per cent stake in Trent Supermarkets that currently runs 16 Star Bazaar hypermarts across Maharashtra, Karnataka, Gujarat, and Tamil Nadu. But Gujarat and Tamil Nadu not yet up for FDI, the current JV will focus on the stores in Maharashtra and Karnataka.
The stores will not use Tesco’s brand name anywhere. With this agreement, the stores will sell a wide variety of products ranging from food to clothing, under the tag ‘A Tata and Tesco Enterprise’. Moreover, the JV also aims at opening three to five stores in India annually.
Now that Walmart has broken ties with Bharti Retail and is going through a rough phase, Tesco gets a great opportunity to emerge in the market.
Titan Industries has been upbeat about expanding the product umbrella under Fastrack brand. Knowing that the brand is specifically aimed at youth, it has now expanded its product offerings to helmets.
The majority of Indian youth drives two wheelers and that’s exactly the population that the brand is targeting.
Fastrack range of helmets will boast of 24 different variants for guys and girls in a plethora of colours and vibrant graphics. All these helmets have been ISI approved.
Bhaskar Bhat, Managing Director, Titan Company Limited said, “India has one of the highest number of 2-wheelers in the world. With unorganized players currently driving the helmet business, the category has a large potential in the market. The organized helmet market is estimated at approximately Rs. 400 Cr, accounting for 45% of the retail market. Using our in-house design and marketing expertise and wide retail footprint we took a step to enter the helmets sector. The category is currently largely unorganized and under-served and with our superior quality product, we aim to ensure safety and comfort for two-wheeler riders.”
As reported earlier, the auto major, Mahindra & Mahindra, had planned to enter the fresh fruit segment, has now announced the launch of its fruit brand Saboro.
Aimed at the health conscious consumers, the will offer a wide variety of fresh fruits including apples, bananas, grapes and some imported variety.
The brand has been launched in Hyderabad, keeping in mind the cities growing consumption of fresh vegetables and fruits and also the growing modern retail culture.
With this step, the brand, seeking to become a premium label, will be driving an organised market into the India’s strong agriculture segment, thus empowering the farmers and benefiting them.
IRCTC Shopping and SOTPL (which runs Yebhi.com) has announced the launch of two new categories to the shopping portal: luggage and books. The expansion has come after three months of the launch of the shopping portal and have been added based on customer feedback and demand.
Interestingly, these two categories are one of the key ingredients while one is traveling and gels well with the IRCTC core business, railway ticket bookings.
The website offers over 20,000 books from various categories ranging from fiction, sci-fi, non-fiction, mystery, literature, bestsellers, etc to name a few.
The luggage section offers an extensive range of more than 150 products to choose from heavy to light travelling, with major brands like Samsonite, Skybags, VIP, American Tourister, etc. Continue reading IRCTC Shopping adds books and luggage category
The Anita Dongre designer brand, AND Designs, aims to expand its presence globally by offloading 33 per cent stake to an international PE investor.
The brand is in talks with global PE fund company which will help the brand to get hold of the bandwidth to let the brand explore new international market. The stake sale will get the company an investment of Rs 100 crore.
General Atlantic is also in the race to invest in the company.
Talking about international retail plans, the brand wants to starts by expanding into GCC and South Eastern Nations. Though the brand already has a store in Mauritius, in next 2-3 years the aim is to have 15 stores in new markets including GCC nations, UK and US.
From the House of Inditex, Massimo Dutti, gets approval to sell its clothing, apparel, footwear and accessories in India. The brand has received approval from Foreign Investment Promotion Board (FIPB) this weekend.
The Inditex owned brand Zara already sells in India through a JV between Inditex and Tata Trent. Similarly, Massimo Dutti will also enter through the same JV. Though the brand’s first application was rejected last year, but now the brand will enter under the new FDI policies.
Massimo Dutti which was acquired by Inditex in 1991 to enhance the group’s product portfolio, is one of the expensive brands in the group. It sells daily and formal wear which is detailed in design, is classic and available for men, women and kids.
India still has the gap of a brand that serves the complete family with classic formal wear which will be well filled by the brand.
With this brand, Inditex is set to gain a stronger foothold among the consumers who are already glued to buying Zara in India. Zara has been a hit and this has been seen in recent revenue reports of Rs 450 crore in the fiscal ended March’13, leaving behind some of the largest Indian retail names in the country.
The Indian men’s apparel brand Indian Terrain goes online with its estore. The brand which has been operational in Indian retail market from past 13 years and available across various multi-brand e-retailers including Myntra and Flipkart.
The brand has been studying the possibility of the online shopping mode through multi-brand e-retailers and now understanding the shopping trends of consumers online the brand takes its strategy of going standalone.
The online store will be selling nearly 220 products including the latest Autumn/Winter 2013 collection. The customer can avail free shipping irrespective of the order size and can use various online mode of payment. For logistics, the brand has tied up with Bluedart.
In terms of services, consumer can enjoy style and size guides for an easy decision making.
After writing success stories for outdoor wear brands including Crocs and Hi Tec, the licensee holder, Chogori Retail will soon bring to India brands under Colombia Sportswear Company.
The two companies have inked distribution agreement, where in Chogori will bring the brands under Colombia Sportswear Company, the names remain a secret.
Picture via www.segd.org
Continue reading Chogori Retail partners with Colombia Sportswear Company
Reebok in an year’s time, especially after the scam by then MD (Shubhinder Singh Prem), has lost a lot in terms of consumer interest and loyalty. Who were the gainers? Puma and Nike.
Moreover, this image has been further degraded by online retailers who have been selling Reebok products at discounts as low as 70 per cent, making it a mass brand rather than a brand which is need specific. These products have been stocked last year which is being sold till date at dead low prices, as low as Rs 399.
The brand, after seeing an all time low in brand image, now plans to bring back the brand premiumness with its new management by Adidas group worldwide. Now the brand looks at liquidating its old merchandise and re-position the brand as multi-fitness brand.
E-retail is becoming an opportunity which every body wants to grab, whether startups or well established groups. A gamble which people are giving a try. This time it is the well established television group NDTV which tries its virtues with e-retail as it launches Indianroots.com.
Continue reading NDTV explores the world of e-retail; launches IndiaRoots