New Delhi: Aiming at becoming a leading player in the estimated Rs4,000 crore Indian branded gems and jewellery market, Reliance Jewels is planning ramp up presence with 20-25 new stores during this fiscal.
The company, a jewellery retail format of Reliance Retail, is keen to tap the markets in both major metros and smaller tier II cities and has lined up a portfolio of over 20,000 designs in gold, diamond and bridal ranges.
“After a temporary downturn, the market is again moving upswing and we see lot of potential in the branded jewellery business. We have finalised a network-enhancement plan under which we plan to open 20-25 new Reliance Jewels outlets by March 2010,” Reliance Retail business head and vice-president (Jewellery) Ashok Kaul told reporters in Delhi.
He, however, refused to disclose the company’s investment plans.
“Only 4% of the estimated Rs1,00,000 crore Indian jewellery market in India is organised. It offers immense potential for the few national players and we want to tap this by having a mix of correct merchandising, pricing and location,” Kaul said.
Reliance Jewels has currently 12 outlets across the country, including nine standalone stores and three shop-in-shops.
Reliance Jewels on Friday opened its first outlet in the NCR region at Gurgaon with store area of 5,000 sq ft.
“This year, we will expand aggressively in the two major metros — Delhi and Mumbai — besides venturing into Tier II cities like Vijaywada, Cuttack and Bhubaneshwar. Our stores will offer a collection of 20,000 Indian-made gold, diamond and bridal designs,” he added.
Asked about the impact of economic slowdown in the company’s business, Kaul said: “Business was affected not only because of the downturn but also high gold prices which reached record levels last year. However, there is now distinct signs of improvement in both and we expect business to move up.”