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October 22, 2012News for the Retail Industry
 
  Active Discussion 
Category Watch- Sneakers

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  At a Glance 

News - Headline, Apparel, SpecialtyNews - Food, QSRTrends & Insight
  News - Headline, Apparel, Specialty .. 
Pavers England to buy out Indian franchise partner
Economic Times
UK-based footwear retailer Pavers England will buy out its franchise partner, Chennai-based Triton Retail, as it gets ready for solo journey in India following government's approval of its proposal to invest Rs 100 crore in single-brand retail. The company at present runs 30 stores in different cities in India through Triton Retail. "We will be probably acquiring them. The valuation will depend on whether we acquire them partly or fully. Ideally, we would like to acquire some stake initially and then gradually ramp up," Pavers England Footprints India CEO and Managing Director Utsav Seth said. Facebook Twitter Linkedin Email

Reebok offers 30-50 percent discounts ahead of switchover to new business model
Economic Times
Reebok stores in India are offering deep discounts, barely two months after their mid-year sales, in a spat over the company's new business model that franchisees claim threatens to make their business unviable. Hundreds of Reebok stores nationwide are offering 30 to 50 percent discount, which some distraught franchise owners say could rise to more than 70 percent as the company-imposed deadline for the switchover to the new business model draws near. Beginning December 1, Adidas AG-owned Reebok will offer franchise owners a flat 35 percent margin on overall sales. Franchisees say it is a deviation from the earlier agreement with Reebok under which they received a fixed annual return of 18 percent on investment and the company picked up all the tabs, including rent and staff salaries. Franchise owners were expected to make an initial lump-sum investment in the business. Facebook Twitter Linkedin Email

Brooks Brothers and Damiani allowed to set up stores in India
Economic Times
The government on Friday gave permission to US-based clothing company Brooks Brothers and Italian jeweller brand Damiani, along with British footwear retailer Pavers to set up stores in India under the single brand retail policy. The Foreign Investment Promotion Board (FIPB) also allowed construction and engineering major Larsen & Toubro to induct foreign investment in its defence production venture.The FIPB, the apex body for clearing foreign investment proposals, gave its go ahead... at its meeting chaired by Arvind Mayaram, Secretary, Department of Economic Affairs. The three retail ventures are expected to bring in FDI worth over 106 crore. Facebook Twitter Linkedin Email

KGK opens global retail entity in Mumbai
Diamond World Magazine
Leading diamond and jewellery manufacturing company, KGK, has extended its retail presence in Mumbai, with a new 1500 sq ft boutique launch in the city's prime Borivali suburb. The boutique, named Entice, is the global retail identity of the company. The boutique delivers the services with appointment only visits and has a set up with both the manufacturing unit and boutique under one roof. If offers personalized customer service, and instant customization with a wide range of internationally acclaimed designs offered at attractive price tags. Facebook Twitter Linkedin Email

Woodland stores to go carbon neutral by 2015
Newstrack India
To woo environment conscious customers, footwear and apparel brand Woodland said that it will make all its stores carbon neutral by 2015, as a part of the company's corporate social responsibility. "We have initiated a process under which we will convert all our (retail) stores to become carbon neutral by 2015. The initiative also includes accurate accounting of the carbon footprint of each store," Harkirat Singh, Managing Director, Woodland Worldwide, said. The term "carbon neutral" implies negation of carbon emissions emitted through any operations, by either offsetting the carbon released by buying carbon credits which are in the form of certificates or planting tress and using eco-friendly power sources like solar energy. Facebook Twitter Linkedin Email

Bajaj Finance sees FDI in retail boosting consumer loans
Times of India
Bajaj Finance Ltd expects foreign direct investment in retail to provide a boost to its business of lending for consumer durables according to chairman Sanjiv Bajaj, MD, Bajaj Finserv. The company, which is focused on consumer lending, is specialising in the area of consumer durables and has seen a 33 percent growth on amount deployed in consumer loans in the first quarter. Bajaj said that FDI in retail would bring in the much required efficiency in supply chain and expand the market. "We have already seen this happen with the existing large format stores, they have only expanded the market for retail" he said. He added that large stores also provide a boost to lending business by aggregating customers. Facebook Twitter Linkedin Email

  News - Food, QSR 
Starbucks-Mumbai store's design, food to catch Indian eye
Moneycontrol.com
A 10-month wait has finally come to an end. Mumbai is now home to the first Starbucks outlet in India. And for the first time in history, Starbucks will source and roast its coffee locally. Starbucks, global CEO, Howard Schultz and Tata Global Beverages, Vice Chairman, RK Krishna Kumar have declared that their 50:50 joint venture in India will not change. Starbucks, the world's largest coffeehouse chain, now has a sprawling over-4,500 sqft address in India. And though it has been a long wait, Starbucks global CEO Howard Schultz, who sees the store as a personal triumph, says that India is on track to become Starbucks' biggest market. Facebook Twitter Linkedin Email

Chatwal's Italian eatery debuts in Mumbai
Hindu Business Line
Italian eatery Serafina has opened its doors to Indian consumers at Mumbai's High Street Pheonix, The Palladium, a luxury shopping centre. This is the second outlet of the restaurant outside the US. The first is in Sao Paulo. Indian American hoteliers Sant Singh Chatwal and Vikram Chatwal and New York-based Italian restaurateurs Vittorio Assaf and Fabio Granato have been instrumental in bringing the eatery here. This marks the first venture for the Chatwals and the Italian-duo in India.The New York-based chain of Italian restaurants is known for its thin-crust pizzas, pastas and salads. Facebook Twitter Linkedin Email

CCD, Barista say no plans to take on Starbucks' killer pricing
Economic Times
Undeterred by the entry of iconic US-based coffee chain Starbucks at competitive prices, entrenched players such as CCD, Barista and Costa Coffee are unlikely to go in for a price war; they plan to continue with differentiated pricing strategy. Starbucks, which debuted here over the weekend, said it will follow low pricing strategy across all its forthcoming outlets, including the next one at the premium Taj Hotel. Starbucks, with Tatas as partner, has opted for competitive pricing that is nearly half the coffee chain's charges elsewhere in the world - with a cup of coffee costing about Rs 80 for a small offering and Rs 165 for a large one. Facebook Twitter Linkedin Email

Indian Cafe Market to be $410 million industry by 2017: Technopak
Economic Times
Management consultancy firm Technopak in its recent report on "Indian Cafe Market" said the $230 million cafe market is expected to grow at a CAGR of 14 percent over the next five years to be a $410 million industry by 2017. Consistent growth of consuming class and increasing time-pressured consumer is giving way to convenience-based option, primarily driving the growth of cafes. The market witnessed high growth driven by an addition of 1,250 stores over last five years, it observes. Facebook Twitter Linkedin Email

  Trends 
Retail outlets hiring differently-abled
Hindu Business Line
With the retail sector getting organised, the need for trained workforce is rising. Currently, the sector employs about 33 million people and is likely to add a similar figure over the next decade, according to industry experts. However, retailers are facing a severe challenge in getting good talent, and are zeroing in on persons with different abilities. Retailers such as Shoppers Stop, Costa Coffee, Caf Coffee Day (CCD), McDonald's, and KFC have already inducted disabled persons. "Hearing and speech impaired people have strong olfactory (smell) sense and make good brew masters and coffee makers. We just need to put the right effort and time to train them as to how to face customers. We also sensitise other employees to be more responsive towards them," said Vijay Kar, Senior Manager (West), CCD. Facebook Twitter Linkedin Email

Eureka! You could do your bit to save the environment by simply wearing a pair of jeans. Researchers have come up with 'super cleaner' denims that work the same way as catalytic converters in cars. The catalytic jeans were conceived by Professor Tony Ryan and fashion designer Helen Storey, who discovered that when denim is covered with tiny particles of a mineral called titanium dioxide, it reacts with air and light to break down harmful emissions in the air. The pollutants -- produced by traffic and factories -- are then neutralised and simply washed away when the garment is laundered. So in theory, jeans wearers of the future could help to clean the dirty air around them simply by walking about in their favourite pair. Facebook Twitter Linkedin Email

E-commerce market thrives on the dual benefits of convenience and flexibility
Hindu Business Line
Planning to gift your friend a smart phone for her birthday? No sweat, just order it online! Thanks to e-commerce, many Indian consumers are shopping online. This is not restricted to just books or electronic gadgets. Shopping portals have expanded their product basket to offer a range of products from apparel to air-conditioners. But the key is choosing a portal with a proven track record in delivering quality goods on time and more payment options. Facebook Twitter Linkedin Email

Government bridges gap between retailers and farmers
Hindustan Times
In a move that is likely to expedite foreign direct investment (FDI) in retail sector in the Capital, the Delhi Government on Friday began the process of easing norms that will permit retailers to directly purchase the produce from farmers. "We have held consultation with various stakeholders on the issue. A meeting was held on Friday with the traders so that their interest as well that of the consumers are taken care of," said public works department minister Raj Kumar Chauhan, who looks after the functioning of various mandis (wholesale hubs). As per existing provisions, farmers cannot sell their produce directly to retailers as it has to be routed through the mandis operated by the Agricultural Produce Marketing Committee (APMC). Facebook Twitter Linkedin Email

RmKV keen to woo women into weaving
Hindu Business Line
Chennai-based sari retailer RmKV Silks is not only keen on young consumers, but is also eager to woo young women weavers into the industry. A few years ago, the retailer tied up with the Central Silk Board to design a technology that automates pedalling of the handloom weaving machine. Pedalling with legs is a cumbersome task and puts pressure on the knee. "So we introduced a technology where the weaver need not pedal and instead he or she can concentrate on the skilful part of the process alone," said K. Sivakumar, Managing Director, RmKV. Facebook Twitter Linkedin Email

  Insight 
A Critical Analysis Of Impact Of Pricing On Consumer Buying Behaviour In Apparel Retail Sector: A Study Of Mumbai City
IJMER

Consumer Buying Behaviour is the study of individuals and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society. Consumer behavior is increasingly a part of strategic planning for the future investment and growth of any industry. Retail industry or precisely to say apparel industry is no exception.

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Category Watch- Sneakers (Premium) - View Free Sample
The white canvas Saturday school shoe of yore has donned newer hues in a sportswear market which has the potential to grow at 33 per cent between 2010-14. With a handful of brands at play in this niche category, the opportunity in a billion plus population is huge. S&A looks back and forth. Since the rubber-soled plimsolls of the late18th century to the canvas topped multihued sneakers (because the rubber soles made walking so quiet that a person could sneak up on someone) of today, sneakers or keds or canvas shoes, have come a long way. The world over, especially in the US, sneakers emerged as "artifacts of societal shifts, reflecting social revolution in the 60s, punk rock rebellion of the 70s, and hip-hop identity of the 80s. Sneakers are a consumable aesthetic representation of culture, and their value as a medium for communication transcends the leather, mesh, and rubber of which they are comprised." Back home, the white canvas Saturday school shoe was the only avatar that the common man was familiar with until almost the late 80s. It was a minuscule number that was aware of the Nikes, Reeboks, Adidas or Puma. A study by Ernst & Young estimates the sportswear retail market at Rs.365.8 billion, expected to grow at a robust CAGR of 33 per cent during 2010-14. Out of this the footwear segment makes up for 60 per cent of the total market. Anupam Bansal, Director, Liberty Shoes, pegs the total footwear market "at about Rs.20,000 crore, with the unorganised segment hogging almost 85 per cent. Out of this, the sports shoe market would be roughly a Rs.3,000-Rs.4,000 crore market. The market would be more in the organised segment because the sports shoe is a technology product and most of the people are making sports shoes in an organised set up" .

The Business of Design- Making SALE a big deal (Premium) - View Free Sample
In a competitive market retailers and brands are constantly trying to increase their topline with offerings, promotions and store experience strategies. SALE is a time tested strategy to attract footfalls and increase conversions with well communicated compelling offers. Stores and brands use different communicate strategies in their SALE windows - some a no fuss message to create awareness and a very few others opportunistically transforming them into Brand Billboards. SALE ! SALE ! SALE ! Scream the news papers and store windows in the market place which are working on grabbing the attention and enticing shoppers with irresistible deals . It's often human to be unable to resist a great deal and Retailers and Brands have taken full advantage of this right from when discount retailing came into existence in the 1950s. Deals often change 'wants' into 'needs' and retailers use this as a panacea to most topline challenges. Nielsen's recent Shopper Trend Study reveals that 30% shoppers change store and brand based on promotions offered. Also, 54% of brand or store loyal shoppers are active deal seekers. Markdown Sales are either a planned seasonal event or a tactical call to address specific stock issues. For each, the tone and effort of the sale is different. I prefer calling them- Complete and Overlay Sale Windows. In the former, SALE is the primary single message in the window and in the latter it's a secondary communication message added onto to the window communication promoting a featured offering.

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.

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