We review the performance of Shoppers Stop departmental store chain. At the end of 2008, Shoppers Stop had presence in 12 Indian cities with the following store layout and count.
-Shoppers’ Stop 26
-Home Stop 4
-Mother Care 21 [12]
-Mac & Clinique 7
-Estee Lauder 1
-F&B Outlet 27 [14]
-Airport 3
-Crossword 31 [9]
-Arcelia 2 Figures in brackets represent shop in shop
The company operates 1.82 mn sft of retail space of which Shoppers Stop accounts for 1.3 mn.
Shoppers Stop [SS] department stores recorded sales growth of 6% while growth as measure of all the formats was higher at 9% in Q3 FY08. The sales per sft of retail space was Rs 2,262 for SS while across all formats it was Rs 2,258. Customer footfalls decreased by 20% in this period.
Private Label mix increased to 19% of the store merchandise while sales of this category grew by 3%. Apparels constitute 58% of the sales while Non Apparels consisting of Home, Leather, Watches, Jewellery, Electronics and Personal accessories constitute 42% of sales.
Shoppers Stop reported 0.60% shrinkage of total gross retail which is well below the industry average. First Citizen membership base increased to 1,181,000, an increase of 14% over last year and their contribution to sales increased to a whopping 72%.