Korean lifestyle brand Mumuso planning to boost their retail presence

South Korean lifestyle brand Mumuso expansion strategy is to expand its presence all over India and is aiming at a business turnover of Rs 1,000 crore with over 300 outlets by mid-2022, a top company official said.

As part of its expansion, Mumuso would have a blend of both the company-owned and franchise stores.

It would invest between Rs 80 lakh to Rs 1.2 crore towards setting the company owned and franchise stores.

The company, which had entered the Indian market in September, 2018 with its stores in Kolkata and Mumbai, plans to expand to other metro, tier I and tier II cities as it is banking on range of affordable products.

Besides, the company plans to go online to tap into the rapid growing   e-commerce business in the country.

“ India being a fast emerging market for retail industry, they are expecting an accelerated growth in a short span of time,” he said.

Mumuso offerings includes health and beauty products, fashion home accessories to apparel and digital products. 

The new stores are expected to open  in cities such as Delhi, Chennai, Bengaluru, 
Hyderabad, Kolkata, Pune, Goa, Jaipur, Indore and Surat. 

The company is also planning to source locally special apparels and small leather products. 
As per the FDI norms, it is mandatory to source 30 per cent goods from India in single brand retail trade. 
Currently, Mumuso has presence in around 30 countries.

Aditya Birla Fashion buys India rights of Forever 21

Aditya Birla Fashion and Retail, part of Aditya Birla Group, has pipped e-commerce portal Myntra to acquire the rights for global fashion chain Forever 21 in the country for an undisclosed sum.

Forever 21 had a three-year-old tie up with DLF Brands and wanted to exit the partnership for much aggressive play in the country, said sources in the know. Myntra was also in talks to buy the rights of Forever 21, reports said earlier.

Aditya Birla Fashion has signed a memorandum of understanding (MoU) with US based Forever 21 to acquire its exclusive online and offline rights for Indian market and its existing store network in India from the current franchisee Diana Retail, the company said in a release.

Pranab Barua, managing director of ABFRL said, "The proposed acquisition is in line with our strategic intent to create the largest integrated branded fashion player in the country. With the acquisition of Forever 21 India business, we aim to create a strong foothold in the womenswear business in the western wear segment. Currently, the western womenswear segment is growing at more than 20%. The proposed acquisition will further strengthen leadership position of ABFRL in the branded fashion space."

Forever 21 entered the country in 2010 through a Middle East-based group Sharaf Retail, but could not scale it up. In 2013, it forged a partnership with DLF Brands to open 40-50 stores in five years in the country, but couldn't open stores as planned.

Jatin Malhotra, director, global expansion, Forever 21, said: "Forever 21 has built a very strong franchise in India in the last few years and has already become a brand of choice for fashion conscious women. The young demographics of the country and emergence of fast fashion segment offers opportunity for rapid growth for the brand. The partnership of Forever 21 and ABFRL will help establish Forever 21 as one of the largest womenswear brand in the country".

Based in Los Angeles, California, Forever 21 sells fashion merchandise for men, women and kids. Forever 21 is ranked as the fifth largest speciality retailer in the United States.

Founded in 1984, Forever 21 operates more than 730 stores in 48 countries with retailers in the United States, Australia, Brazil, Canada, China, France, Germany and others. Forever 21 has brands like Forever 21, XXI Forever, Love 21 and Heritage in its portfolio.

Being Human to take its style to Nepal

Being Human Clothing by Mandhana Industries is planning to open eight stores which consist of five franchise stores, two exclusive brand outlets (EBOs) in India and one franchise store in Nepal by March 2015. The stores will be targeted in cities like Hyderabad, Kolhapur, Mohali, Noida, Lucknow, Pune and Jalandhar in India and Pokhra in Nepal.

As part of their development strategy, the brand has added 18 exclusive stores, including six franchise outlets in the FY 13-14 and five EBOs in FY 12-13 to their expansion portfolio. Holding 29 exclusive stores including six franchisees, Being Human Clothing keeps its promise of offering global fashion and helping the twin causes of education and healthcare through the Being Human – The Salman Khan Foundation. Being Human Clothing’s target is to increase the number of stores to 50 by end of 2015.

Manish Mandhana, Managing Director, Mandhana Industries Ltd said, “We continue to grow in new and existing markets with focus on quality, sustainability and profitability. Our aim is to grow in double in the coming years and reach out to as many people as we can. We are grateful for the response we have received”.

Kunal Mehta, VP - Marketing and Business Development, Being Human Clothing said, “Before we move into any new city or country an assessment is made of the markets potential. After a thorough research on demographic structure, purchasing power, competitor analysis, infrastructure etc the decision is made. We are very delighted with the announcement, we are hoping for the continued great response.”

Spykar to expand denim footprint in India

Company plans to increase the present 206 Spykar stores across major cities and towns to over 400 stores

Spykar, a specialist in making fashion jeans is expanding its footprint by adding new stores, products and extending its denim franchise into the FMCG category.

It is planning to increase its exclusive stores from the current 206 Spykar stores across major cities and towns to over 400 stores over the next three years.

"Spykar is the only Indian player who is making fashion jeans. The range includes the five-pocket jeans, fashionable denims, cargos, fatigues, loozers, jackets, tees, shirts and inner wear. We are adding over 50 designs every month. We have just launched a range of matching jeans, T-shirts and jackets targeted at the young boys and girls, who primarily drive our brand. Every six month we bring out a new fashion in our range. The latest collection bears witness to our exquisite, elaborate and gallant styling for the rebellious and self indulgent youth of today", said Sanjay Vakharia, director at Spykar Lifestyles.

According to Vakharia, India's total denim jeans market is of Rs 6000 crore which is mostly dominated by foreign players. Spykar is particularly targeting youth who are of 15 to 25 years of age for its products.

The expansion of stores will be focused around tier III and IV cities. Each new franchise exclusive store in the 800-1,000 sq ft size would invest Rs 25-Rs 30 lakh to open a store with a minimum of 1,800 stock keeping units (SKUs).

The company recently launched its autumn and winter collection in Pune to expand its foot print across India to cash in on growing demand for its range of jeans.

Spykar is now planning to extend its denim franchise into the FMCG category with a slew of products like talc, hand wash, body gels and shampoos.

It is already selling with deodorants and perfume and it is now increasing its FMCG distribution with a 'lifestyle' positioning. Spykar has already licensed its FMCG business to a third party (Staark Accessories) with 150 distributors.

Spykar also sells a range of eyewear, bags, belts, wallets and socks. Spykar is now planning to foray into FMCG category by launching products like hand wash, body gels and shampoos. It is now increasing its FMCG distribution with a 'lifestyle' positioning.

With the annual turnover of Rs 183 crore, the company is growing at CAGR of 18-20% last the 10 years.

Recently, Metmin Investments, a HNI fund owned by Apurva Bagri, has increased its stake from 32 to 60% for an estimated Rs 300 crore by buying out the stake of private equity player Avigo Capital Partners who sold its 28% stake to Metmin Investments who now promotes Spykar Lifestyles.