Opportunities for QRSs Chains in India
Beyond Doubt, Indians are foodies, and thus the opportunity for the organized Quick Service Restaurant (QSR) space (especially those with middle-of-pyramid pricing) is unlimited. Economic slowdown will pose hurdles, but nevertheless we expect Indian QSR industry growth of 20-25% over FY13-23, significantly above that of overall consumption and the peer group (apparel, retailing and packaged food).
Our discussion with multiple QSR format owners and (more…)
Reliance Retail – Good Performance by Loyalty Club Members
Reliance Retail added 184 stores over FY13, taking its total store count to 1,466. Total space as of end-FY13 was 9mn sqft across 129 cities. The fashion & lifestyle segment witnessed the highest store additions, followed by electronics.
Store additions for value formats were relatively low. Retail space is concentrated more in the south (40% share of retail space) and west (33% share), followed by the north at 19% and the east at 8%.
Reliance Retail posted relatively (more…)
Titan Vs Tribhovandas Bhimji Zaveri vs PC Jewellers
Titan’s Jewelry division registered 27% y/y sales growth with grammage growth of 12%. Sales growth was driven by festive / wedding sales, restocking by franchisees and favorable base. Retail sales growth was however lower at 19% y/y.The Mgmt noted that jewelry sales have seen some moderation in the month of January. Share of studded jewelry was lower at 22% on account of weak discretionary demand for diamond jewelry.
Tribhovandas Bhimji Zaveri (TBZ)witnessed strong demand during (more…)
How Government of India is Taking a Slice of Your Pizza ?
Dominos has increased prices by 4.9% to pass on the impact of service tax applied by the Congress led UPA Government from 1st of April. However there is still some confusion whether the service tax (paid for the ambiance, service in the restaurant etc) is applicable on home delivery orders. We believe that from the tax authority’s perspective, if such a distinction is made between home delivery and Dine-in orders, it will be extremely difficult to enforce the law and hence we have assumed that the tax is applicable for both, home delivery and Dine-in, for good. (more…)
Cherishing Moments – Wax Hands and Custom Souvenirs
Suganda Malhotra, an MBA and Entrepreneur from Ahmadabad stumbled upon an idea of Cherishing Moments when she bumped into Wax Hands in Malayasia and that there is a huge gap in people’s thinking in India )about the usage of wax – it is mostly perceived as raw material for making — idles and nothing much else. To rectify this, Malhotra decided launch a new concept on wax and other products and went to Australia for training on the subject. She kick-started the venture by opening a small kiosk in the AlphaOne Mall in Ahmedabad in November 2012.
Cherishing Moments Kiosk can create – Wax Hands, Designer Candles, (more…)
Infiniti Mall wins awards for Retail Excellence
Infiniti Mall, known as one of the most popular shopping destination in Mumbai has added yet another feather to its cap by winning two awards consecutively in a month. It was awarded the “Award for Retail Excellence” Retailer of the Year Real Estate from ET Now and “Best Family Entertainment Centre – 2013” from Indian Association of Amusement Parks & Industries for Planet Infiniti.
Elated at winning the award Mr. Mukesh Kumar, VP, Infiniti Mall said, (more…)
Indian Apparel Retailers Inventory Shrinks – Discounts End
Autumn-Winter Discount Season of 2013 is shortened as Indian Apparel retailers see shrinking inventory. After 2 years retailers aren’t complaining as they try to sell merchandise at full price.
Compared to last week, post Diwali stock was running as high as 50 days until the first week of March. This year the discount season began around Mid January and is all set to be (more…)
Do Indian Retailers Know Loyal Customer ?
Loyalty is not just a programme, it’s a device to identify customers. Once the retailer knows his customers, he can start to build some understanding of how they shop. Every time a customer uses the loyalty card, not only is he getting some rewards but his buying pattern is also being detected by the retailer. So, instead of doing mass campaigns and trying to assume that everybody who is 25 wants the same things, a retailer can now say that he has a segment of customers who came in to buy utility goods, another buys only luxury goods, and so on.
The retailer can thus have differentiated experiences for different customer profiles. He can actually organize his store accordingly, based on what he knows (more…)