Italian furniture brand Chateau d'Ax has entered the Indian market through a master franchisee agreement with Style Spa Furniture Ltd which runs 113 eponymous showrooms across India.
The brand has set up an outlet each in Delhi and Mumbai this week and another store in Hyderabad will be opened in November. The €350 million company claims 90 per cent of its sales from Europe. The foray into India accompanies expansion into Australia and South Africa in the recent past.
Speaking to
Revenues
Style Spa claims sales of over Rs 110 crore in 2010-‘11. Chateau d'Ax is expected to contribute Rs 45 crore to revenues over three years. Products sold under the label will be designed and made in Italy, with initial deliveries taking up to three months. A three-piece sofa set will retail between Rs 2.8 and Rs 7.5 lakh, while the Style Spa range starts at around Rs 40,000.
A second brand from the Chateau d'Ax stable, Milano & Design (M&D) will be introduced through the arrangement with Style Spa. Products under the M&D label will be designed in Italy, but made in China. The price band will be lower than Chateau d'Ax — a sofa set will cost between Rs 2.5 and Rs 4.5 lakh.
“They are two separate brands. The first store for Milano & Style will open in Cochin in the next three months,” informed Mr Arun Mahajan, Managing Director, Style Spa Furniture.
Chateau d'Ax started operations in 1948, and commenced production in China three years ago. It has 330 outlets including 140 in Italy and 85 in France. It also sells in markets like the US , but does not have an exclusive retail presence there.