Chandigarh, Apr 16 (UNI) North India-based Nahar Group which runs apparel stores under the Monte Carlo and Cotton County brands has announced a Rs 100-crore plan to expand its retail business to 700 outlets in two and three tier cities across the country in the next three years.
''We are planning to open 700 retail outlets by 2008 at an expense of Rs 100 crore,'' Nahar Group Vice Chairman and Managing Director Kamal Oswal told reporters.
The outlets would be set up in the Tier II and Tier III cities and not the conventional metros, he added.
The Nahar Group has brands like Monte Carlo and Cotton County in its kitty.
Out of the 700 stores, 100 will exclusively cater to the Monte Carlo brand. However, Cotton County will find a place in 600 outlets with the same name, across the country.
''The idea is to give our customers the best value for money. If we reach out to the customer directly, we can provide them with products at a much cheaper rate,'' Mr Oswal said.
India, Asia's second fastest growing economy, is in the midst of a retail boom. The retail market in India is estimated to be worth around 330 billion dollars and is growing at a rate of 10 per cent for the last five years.
The increasing mobility of the middle and upper middle classes has resulted in the ever growing demand for retail goods.
Organised retail in India is expected to grow at a rate of 40 per cent for the next five years and this is reflected in the rapid growth in sales of supermarkets and department stores.
It is also because of the growing preference of the middle and upper middle classes for shopping at these retail stores as they offer shopping ambience, variety and a single-point source for purchases.
So far, modern-format retail has scaled up its presence in the metros and a few tier-II cities. However, the future will see Tier-II and Tier-III cities attract more retail outlets.
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