The Hindu Business Line : Genesis Colors set to expand retail network

GENESIS Colors Pvt Ltd, the company that owns the Satya Paul brand, is set to ramp up its retail network with seven new stores this year, taking its total to 15. Four of these stores will be set up during the third quarter of 2003-04.

The Satya Paul brand, which has been corporatised along the lines of fashion houses in the West, produces couture, prˆt, saris, scarves, ties and accessories. It recently expanded its printing facility in Gurgaon and strengthened its distribution network.

According to Mr Sanjay Kapoor, Managing Director, Genesis Colors Pvt Ltd, the company will set up a flagship store of 2,500 sq.ft. area in Mumbai at a cost of Rs 1 crore along the Juhu Tara Road in February and another 1,500 sq.ft. store in Jalandar in April, at an estimated Rs 75 lakh.

"We have a good brand presence in Delhi and Mumbai," he said, and claimed that the company was growing at 50 per cent year-on-year _ mainly accounted for by the womenswear segment.

In the menswear segment, Mr Kapoor said, the company was foraying into semiformal and casual wear with its Winter 2004 collection. These will be priced in the range of Rs 1,500 to Rs 15,000 and will initially be retailed at its stores.

The company is also wooing non-resident Indians and has had a series of roadshows in London, New York and Nairobi, among other cities. Though it does not have a retail presence overseas, the roadshows, Mr Kapoor said, were a precursor to setting up a retail presence. He added that an outlet each would be opened in New York and London come 2005.

He added that the company's focus in the next 18 months was on building volumes and expanding its distribution network, especially in the prˆt segment. U, Satya Paul brand, which is aimed at the price conscious middle market, is currently being test-marketed in Delhi and Mumbai.

The company also exports prˆt and ties. Ties comprise 95 per cent of its export business, with exports of 1 million ties year, mainly silk. Most of its customers are large fashion houses such as Ungaro and Ferre.