Bombay Dyeing is taking its textile brand overseas and has set up its first franchise operated store in Jeddah in Saudi Arabia. In the past, the brand was distributed in certain markets in West Asia.
Speaking to Business Line , Mr Debashis Poddar, CEO, Bombay Dyeing, said, “We are making a new beginning with our brand in the overseas market. Through a local franchise we have opened our first branded outlet in Jeddah and intend to launch more outlets across West Asia and the SAARC countries.”
Targeting Indian expats and non resident Indians (NRIs), a clientele which is familiar with its brand, Bombay Dyeing is adopting a franchise strategy, much like what it has been doing in the domestic market.
“We hope to have 10 to 12 outlets across West Asia and the SAARC countries. All these years we have been exporting as an OEM supplier to other brands in the US and the UK. Taking our own brand overseas will now be a huge challenge. We are certainly not expecting the kind of volumes we get in our export business, but hope to make a beginning in these new markets,’’ added Mr Poddar.
Exports amount to nearly 15 per cent of Bombay Dyeing’s Rs 400-crore sales turnover from its textile division.
Meanwhile in the domestic market, Bombay Dyeing is experimenting with different retail formats based on size and product placement. It has decided to set up specialty stores which will stock only certain categories of textiles to cater to a particular target audience. “We will have specialty stores which would be limited to a certain category like bed and bath only,” specifies Mr Poddar.
Bed and bath continues to be Bombay Dyeing’s core category, comprising nearly 80 per cent of its sales. The company also dabbles in smaller categories such as school uniforms, sarees, suiting and shirting materials in certain markets.
Specialty stores would be smaller measuring between 300 and 500 sq ft unlike the average size of a Bombay Dyeing store which is usually 850 sq ft. Bigger flagship stores measuring between 2,000 and 4000 sq ft have also been planned to stock the entire range of the textile major. “Today we have a single flagship store and intend to scale it up to 7-8 stores in the next couple of years,’’ adds Mr Poddar.