Future Group, the pioneers of Indian retail are banking on a new sales mantra – Variable Pricing and Product Merchandising for their Central Mall / Stores. Our analyst is of the opinion that no retailer in India understands the market better than Future Group which continues to add stores in every format despite discouraging economic scenario.
Depending on the gross productivity of each city we would have products, prices and categories attuned to that city. A central in Baroda will be different from the one in Surat and there would be difference in the kind of charges we charge in every city.
A week ago, Central was launched in Mumbai’s Oberoi Mall – [Exclusive Photos at the opening]
Concept of Central Retail Format:
Central stocks more than 500 brands and is targeted at the super intelligent Indian youth who believes in lifestyle living. Central has a tag line – Shop, Eat, Celebrate. Apparel comprises 40% of the merchandise at Central. Electronics and Consumer durables apart from Cosmetics and Fashion have also been added. Food Bazaar part of the Central contributes 12% of sales. The company stocks approximately 20% private labels from Future Group such as UMM, Bare, Ajile etc.
Future group plans to add 7 more Central’s this year thus taking the number to 14 involving an investment of Rs 200 crore. Central has been growing at a whopping 100% YoY. The company is targeting a Turnover of Rs 1,300 crore this year and hopes to reach Rs 3,500 crore by 2010.