KOLKATA: Tanishq, the jewellery brand of Titan Industries, does not see soaring gold prices as a major concern for its retail business, a top company official said today.
“The gold price is no big concern for us,” Titan Managing Director, Mr Bhaskar Bhat said here on the price of the precious metal, which was hovering close to Rs 19,000 per ten grams.
“We have registered volume growth of gold jewellery by 11 per cent in the previous year,” Bhat said, without giving any projection for the current fiscal.
Mr Bhat said the company was planning to add another 15 stores during the year. The company has 115 stores across the country. Meanwhile, Titan is trying to promote a better workplace for the gold artisans of its outsourcing partners to improve productiv ity and bring down costs.
“In the concept of Mr Perfect Workplace, we provide a healthy workplace with air-conditioning, compared to the pitiful conditions in which artisans work traditionally. Free Rs 50,000 mediclaim is also offered to workers,” Mr Bhat said.
The concept will attract talent to the trade, a Tanishq official said. There are 22 outsourcing partners which feed 100 per cent of Tanishq’s gold jewellery requirement. - PTI
Source:Hindu Business Line:PTI.
Tags:Tanishq Franchise,Perfect Workplace, jewellery franchise,gold franchise, jewelry franchise, jewellery business, diamond franchise, jewelery franchising, gold franchising.Bhaskar Bhat, Titan,
Showing posts with label jewelry franchise. Show all posts
Showing posts with label jewelry franchise. Show all posts
Thursday, June 3, 2010
Thursday, December 31, 2009
Franchising Poised To Explode In Small Format Retail In 2010
Mumbai: Even as retailers shelved their expansion plans last year and struggled to keep company-owned stores running, they figured out a way to multiply their stores and sustain business — through franchising.
Franchise India Holding Ltd, estimates a rise in the adoption of franchise model by small-format retail players in the country since the slowdown last year.
As per its estimates, 85% of all small-format retail business in India now operates on the franchise model.
“Earlier, only 50% of small-box retail companies in India operated through franchise model, while the rest is operated only through company owned stores. This is a very significant growth from what it used to be a year or two ago,” Gaurav Marya, president, Franchise India Holding said.
During the recession, most retailers were starved of capital for expansion. Franchising offered a model to sustain their business.
“That was when we saw the growth in retail and companies that were earlier not franchising started looking at the model,” Marya said.
Brands such as Koutons, Levis, Reebok and Adidas, which were traditionally not franchising, have lately started looking at the model.
So much so, the retail format ratio for most brands now stands at 80% dedicated to franchising and 20% for company run at strategic locations.
According to Franchise India, large-box retailers typically desist from taking the franchise route, although some, like Trent’s Westside chain, are franchised.
Videocon India, which runs two retail formats — Next (electronics chain) and Planet M (music and departmental chain) — is now starting to franchise Planet M, which was earlier being expanded through company-run stores.
Bata India, the largest retailer and manufacturer of footwear in the country with 1,200 stores, is starting its own franchise network to expand retail presence in a few months, Marcelo Villagran, managing director and chief executive officer of the company, had told DNA Money in October. Bata is looking at opening 60 flagship stores every year and tapping the franchise model will help the brand accelerate further in the market that is getting highly competitive.
Cookie Man, the retail chain store owned by Australian Foods Ltd, which runs over 50 stores across India, is looking at reaching a total of 250 stores through franchising in another 5-6 years.
“Not only does the franchisee bring in the capital, but also, the retailers are able to save 4-8% on the point of sales,” Marya of Franchise India said.
Currently, 45% of organised retail sales in India are through franchised outlets.
This is in line with the developed world countries like US and Europe, where these models are well incepted in the business world.
As per Franchise India estimates, the fashion retail industry in the country is pegged at $29 billion and growing at 12% per annum. India is now opening up as a competitive apparel retail market.
The market potential for footwear is 1.1 billion pairs and it is estimated to be a $2 billion sector.
The jewellery market is estimated at $9.7 billion, with gold contributing 98% to retailing. And the industry is touting retail franchising as the best mode of tapping the market’s potential.
Source:Shailaja Sharma / DNA
Friday, January 1, 2010 2:17 IST
Franchise India Holding Ltd, estimates a rise in the adoption of franchise model by small-format retail players in the country since the slowdown last year.
As per its estimates, 85% of all small-format retail business in India now operates on the franchise model.
“Earlier, only 50% of small-box retail companies in India operated through franchise model, while the rest is operated only through company owned stores. This is a very significant growth from what it used to be a year or two ago,” Gaurav Marya, president, Franchise India Holding said.
During the recession, most retailers were starved of capital for expansion. Franchising offered a model to sustain their business.
“That was when we saw the growth in retail and companies that were earlier not franchising started looking at the model,” Marya said.
Brands such as Koutons, Levis, Reebok and Adidas, which were traditionally not franchising, have lately started looking at the model.
So much so, the retail format ratio for most brands now stands at 80% dedicated to franchising and 20% for company run at strategic locations.
According to Franchise India, large-box retailers typically desist from taking the franchise route, although some, like Trent’s Westside chain, are franchised.
Videocon India, which runs two retail formats — Next (electronics chain) and Planet M (music and departmental chain) — is now starting to franchise Planet M, which was earlier being expanded through company-run stores.
Bata India, the largest retailer and manufacturer of footwear in the country with 1,200 stores, is starting its own franchise network to expand retail presence in a few months, Marcelo Villagran, managing director and chief executive officer of the company, had told DNA Money in October. Bata is looking at opening 60 flagship stores every year and tapping the franchise model will help the brand accelerate further in the market that is getting highly competitive.
Cookie Man, the retail chain store owned by Australian Foods Ltd, which runs over 50 stores across India, is looking at reaching a total of 250 stores through franchising in another 5-6 years.
“Not only does the franchisee bring in the capital, but also, the retailers are able to save 4-8% on the point of sales,” Marya of Franchise India said.
Currently, 45% of organised retail sales in India are through franchised outlets.
This is in line with the developed world countries like US and Europe, where these models are well incepted in the business world.
As per Franchise India estimates, the fashion retail industry in the country is pegged at $29 billion and growing at 12% per annum. India is now opening up as a competitive apparel retail market.
The market potential for footwear is 1.1 billion pairs and it is estimated to be a $2 billion sector.
The jewellery market is estimated at $9.7 billion, with gold contributing 98% to retailing. And the industry is touting retail franchising as the best mode of tapping the market’s potential.
Source:Shailaja Sharma / DNA
Friday, January 1, 2010 2:17 IST
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