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Germany’s s.Oliver to expand in India
Germany’s premium apparel brand s. Oliver is planning to increase its India presence. The company would open 77 stores in India by the end of 2012 at an expected investment of Rs 60 crore.
Germany’s premium apparel brand s. Oliver is planning to increase its India presence. The company would open 77 stores in India by the end of 2012 at an expected investment of Rs 60 crore. It already has a 50:50 joint venture tie up with Orient Crafts.
“We are eyeing to be the top player in the premium apparel category by 2015,” said Gaurav Sehgal, chief operating officer s. Oliver India.
The company currently manages self-operated stores and shop-in-shops at Delhi, Mumbai, Hyderabad and Pune.
“The next stage of our expansion will be largely in tier-ii cities of North India like Jallandhar, Chandigarh, Amritsar, Ludhiana and Patiala,” said Sehgal. He further explained that a large number of NRIs from Europe and US visit these cities and moreover there is a willingness and propensity for the locals to spend. “It would be prudent on our part to set base in these cities first.”
Sehgal added that rentals account for 20 per cent of the company’s total operational costs. “The current slowdown has helped us lease space at competitive rates.”
Globally an s. Oliver store does not exceed 20,000 sq ft but in India the company would not like to have stores larger than 7,000 sq ft. The company operates 5800 stores in 31 countries and garnered a turnover of $1.6 billion (Rs 7,400 cr) in the calendar year 2009.
