Mumbai: With a view to grab a bigger share of the country’s retail market, Mukesh Ambani-led Reliance Retail has devised a new business model, under which it will open small outlets at the premises of large corporates.
The company, which is a subsidiary of Reliance Industries, will soon approach big corporate houses with this proposal to implement the novel business plan, a top Reliance Retail Official said.
“We will approach big corporate houses, where thousands of people work, with a proposal to open our small retail outlets there,” the official told PTI.
Elaborating on the new business model, the official said that RRL envisages an employee-friendly retail format. It will provide price discounts to employees in these stores.
In the first phase, RRL plans to open Reliance TimeOut Stores, engaged in books and music retailing business, beginning in Mumbai and Delhi.
“Our initial plan is to start this with our TimeOut stores where we sell music, books and gifts. Our bigger formats may not be viable for this option,” the official said.
The details of the new business model are yet to be worked out, the official said, adding that the company was also looking at options to forge JVs with these firms.
RRL plans to open a total of 45 Reliance TimeOut across the country over the next three to five years in four states - mainly in western and southern India.
The company wants to tap the country’s Rs3,500-crore book retailing industry, of which only 40% is organised.
“We are here to tap each and every opportunity in this market. By introducing this as an employee-beneficial scheme, we hope to acquire maximum business. If we find this model viable, then it will be introduced in other formats as well,” the official said.