V-Mart Retail plans to open around 40 stores in 2020-21. The value fashion and lifestyle product retailer already has 260 stores in almost 195 locations across India, largely in Tier II and III cities. So there will be a total of 300 outlets by next fiscal. Stores are opened with an average lifecycle of around ten years to 20 years.
The company is hoping to close the year with around 20 per cent growth in topline. About 70 per cent of V-Mart’s offerings are private labels. V-Mart has improved a lot on private labels not only in terms of designs but also in terms of product quality and has also worked on sourcing capabilities in private labels. Customers have started recognising its private labels. The company has also improved a lot on in-store branding and visual merchandising. Online retail will also be used to increase its private label strategy.
One of the first fashion retailers to introduce the modern retail format in small towns in India, V-Mart’s growth over the years underscores the untapped market potential for affordable fashion. Robust investment in manpower, technology, and processes has enabled the company to expand to existing markets and enter new geographies.