Home >Industry >Retail >Koovs posts three-fold jump in sales

New Delhi: Koovs Plc, the parent firm of Indian lifestyle e-commerce venture, has posted a three-fold jump in sales, driven by increased brand awareness post a recently launched multi-channel marketing campaign, the firm said on Monday.

It also said it is in the final stages of closing another round of fund-raising to the tune of £4.5 million. This is part of the company’s plans to raise £35 million in three years.

Koovs Plc raised £22 million through a float on AIM, the London Stock Exchange’s international platform for smaller companies, in 2014.

“Following completion of the capital-raising announced today (Monday), and along with the £1.1 million directors’ subscriptions in October 2015, the company will have raised approximately £5.6 million which will be invested in increased marketing and the broadening of the product range as well as to invest in capital expenditure and fund working capital as the company continues its rapid growth trajectory," said Mary Turner, chief executive officer (CEO), Koovs Plc.

“We have a clear strategy to build India’s leading fashion destination, underpinned by clear financing and investment plans which are on track. Our priorities are to build on the positive momentum of our initial marketing campaign, further develop our product ranges and accelerate growth into the new year," she added.

Koovs Plc recorded sales of 29.5 crore during the 14 weeks ending 3 January 2016 as compared to 9.5 crore during the same period of the previous year. The company also doubled its visits to the website, from 6.4 million to 12.7 million views during the period.

The marketing campaign was launched between 23 November and 31 December 2015. According to market consultancy firm mConsult, the brand awareness of the company increased from 1% to 8% during the period under review.

Koovs also appointed Gaurav Nabh, former chief executive officer of Quasar, WPP’s specialist digital agency in India, as marketing director to drive the marketing strategy during this period.

“With highly targeted media and a standout creative, we have achieved impressive cut-through compared to brands with much higher spend profiles of three-five times ours," said Turner who was appointed the CEO on 1 October 2015.

The company will continue with further campaigns for the spring and autumn of 2016, it said without disclosing the marketing budget.

Koovs offers its private label apart from over 150 international brands and exclusive style collaborations.

“The Indian e-commerce market is undergoing exceptional growth. The lifestyle e-commerce market is estimated to increase by five times to £7.5 billion by 2020, driven by the rise of the Internet-connected middle class in key urban centres," the company said, adding that it aims to become a market leader in the affordable fashion segment by 2020.

Koovs runs an inventory-led model and competes with the likes of Flipkart-owned Myntra and Rocket Internet’s Jabong, among others, in the Indian market.

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Never miss a story! Stay connected and informed with Mint. Download our App Now!!

Edit Profile
My ReadsRedeem a Gift CardLogout