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October 18, 2012News for the Retail Industry
 
  Active Discussion 
Indian Design- Pumas first sustainable store in the world

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  At a Glance 

News - Headline, Apparel, SpecialtyNews - Food, QSRTrends & Insight
  News - Headline, Apparel, Specialty .. 
Mahindra plans retail blitz with 65 new stores, e-comm integration
Business Standard
After opening 100 stores in the last four years under the Mom & Me brand, Mahindra Retail, the low profile retailing arm of the $15.5 billion Mahindra Group is set to expand by adding 50 stores under the Mom & Me brand, adding another 15 stores of its toy store Beanstalk in the next five and half months, integrating its e-commerce venture with physical stores, adding to its kidswear category by signing agreements with global brands, and setting up Destination Maternity store as a master franchisee of the latter which is based in US. The company is considering setting up franchisee stores in Middle East and Africa. The idea to integrate online and physical formats will be part of its 'hub and spoke model' where it has larger stores of 3,000 to 4,000 sq ft in cities and smaller ones on the peripheries. Facebook Twitter Linkedin Email

A PIL has been filed in the Madras High Court, seeking a direction to authorities to examine, investigate or consider investment by a subsidiary of multi brand retail company Wal-Mart in two Indian firms in March-April 2010. It said that in March and April this year, Wal-Mart Stores Inc, USA, through its subsidiary, in collusion with two Indian firms, illegally invested Rs 455.80 crore in multibrand retail in India by masquerading it as for 'Services Sector.' Petitioner T Vellayan, President, Federation of Tamil Nadu Traders' Association contended Wal-Mart also holds a 49 percent interest in the Indian company, operating multi-brand retails stores in various formats in the country. Facebook Twitter Linkedin Email

Ebony departmental store chain shuts operations
Economic Times
Ebony, a department store chain launched in 1994, has shut its operations to become the latest casualty among a string of modern retailers that have gone bust since the economic slowdown in late 2008. Ebony Retail, the retail division of Delhi-based construction and infrastructure group DSC Group, is already facing winding-up petitions from some vendors, a person with direct knowledge of the development said. A spokesman of DSC Group, however, said the company was focussing on its joint venture with France's Gautier to set up Ebony Gautier specialty retail format stores across the country. He also said that the company had cleared most of the outstanding payments of vendors barring some disputed ones. Facebook Twitter Linkedin Email

Apollo Hospitals says it is in no hurry to capitalise on the opening up of FDI in retail and insurance. "It is an enabling provision. But it is too preliminary; there is no immediate plan," said Akhileshwaran Krishnan, CFO. Apollo Hospitals had earlier said it would "unlock value" in its pharmacy business which operates over 1,350 retail outlets across the country. "Apollo Pharmacy, with an EBITDA margin of 2.5 percent, is doing well and our focus is to make it more profitable and add stores. We will not take a call on roping in a foreign player right now," said Krishnan. For the year ended March 31, 2012, the pharmacy business grew 30 percent to Rs 860 crore. Apollo Pharmacy is also assessing setting up large format stores. Facebook Twitter Linkedin Email

Croma, the leading electronic retailer from the house of Tatas, launched its own brand of Tablet--Croma Tablet--that allows users to browse the web, read and send emails, browse photos, watch videos, listen to music, play games, read e-books and much more. Equipped with the latest Android technology (Jellybean operating system) the Croma tablet is loaded with a lot of features. From faster responses while switching between recent applications to improved calendar function, the tablet is ideal for someone on the move. It also has a Gesture mode for visually-impaired users who can use the touch and swipe gestures in the tablet in combination with speech output. Facebook Twitter Linkedin Email

Online kidswear retailer Unamia raises $1.2 million
Livemint
UnamiaOnline kidswear retailer Unamia raised $1.2 million in funds from private equity firms Blume Ventures and Angel Prime. Unamia, which started operations last December, works on a 'co-creation' model in which the company takes suggestions from customers about styles and designs and then delivers clothes accordingly. The Indian kidswear market is valued at Rs 38,000 crore and is growing 20% annually, according to the Associated Chambers of Commerce and Industry of India. "Macro trends are firmly in Unamia's favor," said Shripati Acharya, Managing Partner at Angel Prime. "With a huge yet fragmented market, the kidswear industry requires radical innovations in product development and retail. Unamia's co-creation model may well hold the key." Facebook Twitter Linkedin Email

China-based consumer electronics and durables major Skyworth is set to make its retail footprint pan-India soon. The company has done market seeding in various markets across South India, and had formally launched its range of LED televisions in Andhra Pradesh a few months ago, said A Gopal Krishna, Head HR & Consultant to MD. It has already set up 100 after-sales service points in the South through franchise arrangements, apart from six company-owned service centres in key locations. It is in the process of appointing distributors and expanding its retail horizon. Facebook Twitter Linkedin Email

  News - Food, QSR 
Aditya Birla PE invests in Olive Bar and Kitchen
Livemint
Aditya Birla Private Equity, a part of the Aditya Birla Financial Services Group, has invested an undisclosed sum for a minority stake in fine dining restaurant-operator Olive Bar and Kitchen Pvt. Ltd, which owns the Olive, Monkey Bar, LAP, Ai and Soul Fry brands. While Bharat Banka, Chief Executive, Aditya Birla Capital Advisors, declined to give details of the deal, another person close to the transaction said the private equity (PE) firm has committed $15 million to Olive Bar and Kitchen, to be paid in tranches. Banka said the company invested in Olive Bar after evaluating 20 dining chains. Facebook Twitter Linkedin Email

Non-metros are likely to witness hectic competition in the cash-and-carry business. Timing its launch to the festival season, French retailer Carrefour has opened its third store in Meerut, while its German competitor Metro Cash and Carry is opening doors in Amritsar. Wal-Mart already has a presence in these two cities. Industry experts say the demand for logistics and warehouse space in non-metros has gone up significantly. According to a recent CBRE report, the availability of large land parcels at relatively low cost, connectivity to multiple markets across states and industrial clusters have turned some tier-II and III cities as favoured destinations for the development of logistics parks. Facebook Twitter Linkedin Email

International food chain brand Kentucky Fried Chicken (KFC) has challenged the closure notice served on its outlet at Thiruvananthapuram after worms were allegedly found in the chicken served there. The petition questioning the closure order by food safety officials was filed at the Kerala High Court by Yum Restaurants India Pvt Ltd, the Indian arm of the US-based corporation. Food safety officials initiated action against the KFC outlet at Pulimoodu in Thiruvananthapuram after a family complained of worms in the chicken served to them. The multinational company is relying on the principle of equality before law and right to freedom guaranteed by the Constitution to prove its point. Facebook Twitter Linkedin Email

  Trends 
Shoppers Stop Ltd was awarded several awards at IRF 2012. The company was awarded "The Most Admired Home Format of the Year--HomeStop", and "The Most Admired Retail Group of the Year"; Hypercity Retail (India) Ltd, a subsidiary of Shoppers Stop Ltd, was awarded "The Most Admired Hypermarket of the Year Award". The Shoppers Stop Ltd stock closed the day at Rs 395.25. Facebook Twitter Linkedin Email

The National Scheduled Castes Finance & Development Corporation (NSFDC) will start a pilot project on retail outlets for entrepreneurs belonging to SC and ST categories in Delhi and Maharashtra. NSFDC CMD Hardip Singh Kingra said on Wednesday, "CII, NSFDC, Future Group and State Channelizing Agencies (SCAs) of Delhi and Maharashtra have entered into an MOU to start a pilot project of Retail Outlet franchise scheme of Big Bazar for entrepreneurs belonging to SC and ST categories." The SC/STs beneficiaries would be offered shops to operate as retail outlet business with the brand name of Aadhaar in rural areas and KB Fair price shops in urban and semi urban areas, Kingra added. Facebook Twitter Linkedin Email

MAHB retail arm, German giant Fraport want out of Delhi airport deal
Business Times Malaysia
Malaysia Airports Holdings Bhd (MAHB) retail arm, Eraman Malaysia, along with German airport giant Fraport, plans to pull out of Delhi International Airport Ltd (DIAL), a media report said. "GMR Group is willing to pick up the equity stake of its joint venture partners, Fraport and Eraman Malaysia, which want to pull out of DIAL, the company that runs Delhi airport," it has been reported. A senior executive of GMR Group confirmed the report. DIAL is a joint venture consortium in which GMR Group has about a 54 percent stake, with the state-owned Airports Authority of India (AAI) having 26 percent, while Fraport and Eraman Malaysia, through Malaysia Airports (Mauritius) Pvt Ltd, have 10 percent each. Facebook Twitter Linkedin Email

  Insight 
The 10 Common Mistakes In Retail Site Selection
PB

A new set of dynamics are shifting the retail landscape: site selection is becoming more complex and there is a substantial increase in multichannel options available to consumers. The need to confidently analyze market opprotunities and identify prime locations is critical to maximizing market potential. Whether your priority is facilitating an aggressive roll-out or optimally managing an existing array of locations, it has never been more critical to employ sound analytics and avoid the common snares that plague real estate departments. This white paper outlines the top issues facing retailers today with regard to site selction and network planning. The paper also hightlights how top retailers are addressing business challenges, and how a new approach can provide a clear advantage.

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Indian Design- Pumas first sustainable store in the world (Premium) - View Free Sample
The Window backdrop is printed on UV printed canvas cloth stretched on frame made with waste and particle wood. The fa ade is made of super clear glass that allows 20% more natural light into the store . The Main signage is restored from a store that was shut.. In keeping with their mission of becoming the most desirable and sustainable Sport lifestyle company, PUMA opened a sustainable PUMA Store in India, the first of its kind worldwide revolutionizing the concept of retail spaces globally. Establishing this sustainable PUMA flagship Store demonstrates the brand's commitment to reducing CO2 emissions, energy, water and waste in PUMA offices, stores, warehouses and direct supplier factories by 2015. The store is located on the popular high street of Indiranagar in Bangalore and is spread over a total of 5000 sq. feet across four levels. While the lower three levels will serve as a retail area, soon to come is a 'PUMA Social Club' cafe and bar which will be located on the upper floor and terrace and will be ready to open by the end of 2012. "The building is a true design marvel and incorporates a host of innovative sustainability features to make our sustainable PUMA Store a one-of-a-kind retail experience", said Rajiv Mehta, Managing Director PUMA South Asia. "We are pleased to be a pioneer in sustainability again with setting new standards for an environmentally-friendly and resource-saving store concept in one of India's best shopping locations." .

Indian Design- Next Generation Viveks (Premium) - View Free Sample
The fa ade design strategy was to give the brand very high visibility with a distinct architectural sign. Creating a new look for a new customer, leading consumer electronic brand Vivek's has redesigned its showroom in Bangalore to give a fresh, spacious and contemporary look that is meant to attract a younger audience. Designed by DFC, FRDC the new store concept appeals to the youth with its minimalistic and no-fuss environment. Established in 1965, Vivek Limited is one of the leading and trusted consumer electronics and home appliances retail chain in India serving millions of consumers. Recently it piloted a reimagined brand concept to appeal to a younger audience by revamping its Jayanagar store in Bangalore. The new 'GeneratioNext showroom' offered the best CDIT brands in an environment which is updated, uncluttered and interactive. Undergoing a complete makeover after 17 years, the Jayanagar showroom is now in its "new avatar". "What we did bear in mind while we were redesigning the showroom was the fact that we needed to attract the much younger consumer besides our target audience of families. Obviously therefore the brief furnished to FRDC was not to merely create a showroom of International standards but to also ensure that younger consumers would be elated in shopping at VIVEKS," says Vinay Bysani, VP- Projects and Marketing.

Mall Outlook 2012- What the veterans say (Premium) - View Free Sample
According to research conducted by Jones Lang Lasalle, the retail space in India witnessed an increase of 13.8 million sq.ft. last year as 34 malls became operational. By the end of this year, another 12 million sq.ft. of space is expected to be added to the modern retail sector. So what do the veterans say about how the retail real estate industry grew in 2011 and what the scenario will be next year? Most developers in India that Shopping Centre News spoke to felt that 2011 was a winning year for the retail real-estate sector in terms of growth in demand and supply of new retail spaces across various cities. The retail space saw an increase of about 14 million sq.ft. across India, led by NCR-Delhi (which added 4.0 million sq.ft.) and followed by Mumbai (which saw completion of about 3.5 million sq.ft.). This positive development happened after widespread distress in the sector during the years 2008, 2009 and 2010. High absorption of close to 10 million sq.ft. of retail space was forecast for 2011. Out of this, 7.1 million sq.ft. was already absorbed by the third quarter of 2011 and 1.1 million sq.ft. was pre-committed in malls which were scheduled to become operational during the fourth quarter 2011. Led initially by the tier-I cities, the retail real estate industry is now rapidly penetrating into tier II and III locations, and is poised to take the next giant leap in this decade.

Mall Marketing- Whats the catch for tenants (Premium) - View Free Sample
The events organised by the management of a mall inside the property cost a lot of money. It is therefore important that these do not merely increase the footfall for its own sake, but actually contribute to the increased sales of the tenants by driving traffic to their stores. Typically, when we talk of mall marketing, we talk about increasing the footfalls and prolonging customer visits. Mall managers focus on events such as fashion shows for women, concerts for teenagers, car shows for men, and cartoon-characterthemed events for children. These events, even when sponsored by companies like Pepsi or Coca-Cola, cost millions to put on. But they are essential because malls should be places where shoppers feel welcome even if they do not spend a single cent. In the long run, by fostering loyalty, these efforts pay off by creating customers for lifetime for a mall and its tenants. We have seen some fantastic community programs by malls such as Inorbit with its Aikya and Bodh initiatives and the Oberoi mall with its "Make a Wish" initiative, to name a couple, which have been hugely successful and attracted considerable footfall numbers. Marketing initiatives that are focused towards attracting more footfalls work at the time of the launch of a mall, or in case of a re-launch. The instance of the CentralWorld mall in Thailand, which was burnt down during the country's worst political unrest in 2010, is quite apt. When it re-opened after six months of renovation, one of its main objectives was to regain the footfall numbers that the mall enjoyed before closing down. It was critical for it to make its customers feel as much at home as they used to like in the earlier days.

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