Bangalore: The retail arm of the Tata group, Trent Ltd, plans to launch a value store format for apparel in the next six months.
The company said the logo and branding for the format have not been decided yet. The first such store will come up in the Mumbai suburb of Kalyan.
“The brands at these shops would be different from the ones at the Westside lifestyle stores. These stores will be entirely different stores from our Westside outlets,” says R.A. Shah, general manager, Trent.
Another offering: A Westside outlet in Mysore. The store’s parent firm Trent intends to launch value-for-mat stores across 50 towns and cities by 2010 which would be different from Westside outlets.
The company’s Westside lifestyle stores currently sell around 18 private apparel labels for men, women and children.
Trent intends to launch such value-format stores across 50 towns and cities by 2010. Shah said the company is targeting cities that have a population of more than one million. The firm did not divulge the number of stores it plans to open.
Trent expects to triple its turnover by 2010, according to Neeti Chopra, head, marketing. The company had a total income of Rs631.86 crore in 2006-07 which it hopes to take to Rs2,000 crore by 2010.
One part of the strategy to get there is to open more “speciality stores”, said Chopra. After opening Westside’s first women only store in New Delhi, the company will now launch its Westside for kids only store in six months.
The company plans to have more than 100 Westside and Landmark (its bookstore chain) stores by 2010. Currently, there are 29 Westside outlets in 18 cities and 10 Landmark stores spread over eight cities in India.
Chopra said the expansion would be funded by the group, but did not rule out raising additional capital from the market. She did not provide further details.
Trent, which ventured into the hypermarket business in 2004 with Star Bazaar, launched its third such store in Bangalore on Thursday. The two other stores are in Ahmedabad and Mumbai.
Chopra refused to comment on speculation that Trent was on Marks and Spencer Plc.’s shortlist for a potential joint venture. “We are looking for one or two international tie-ups by the end of the next fiscal, but it is too premature to name anyone,” Chopra said.
Trent had recently entered into a partnership with Italian apparel retailer Benetton Group SpA to run and manage the latter’s premium fashion brand, Sisley, in India.
Organized retail forms only about 3% of India’s more than $300 billion (Rs1.2 trillion) retail industry, but it is growing at 40% a year, according to industry estimates.