With the emergence of big retail sector, many business houses jumped into the fray without a second thought on operational efficiencies but to capture market and establish brands. However, these companies are now feeling the heat as their bottom line is at stake. Wadhawan Food Retail – owners of Spinach , Sabka Bazaar and Home Store formats are now integrating their backend supply chain into a single entity.
Mr. Modwel, Director Wadhawan Retail said,
We are in the process of finalizing our brand architecture and shall announce the strategy in the near future. It is imperative to take cognizance of the similarities and differences in brand promise and service offerings of each of the brands perceptions in their respective locale.
RPG’s Spencer’s is undertaking similar brand consolidation exercise. The company owns 180 outlets across various formats and hopes to take the number to 500 by the end of financial year which is like a very very ambitious target in our view. The company also operates Sangam Direct which it acquired from Hindustan Unilever.