The Hindu Business Line : Heritage Foods sets up two retail outlets in Chennai

The company, which opened its first retail outlet named `Fresh@ (name of the location)' in Hyderabad in November last year, currently has 20 stores — 15 in Hyderabad, three in Bangalore and two in Chennai.

The Chennai stores are on a pilot basis to study consumer preferences and the right mix of merchandise, said Mr S. Jagdish, Vice-President (Retail), Heritage Foods. According to him, the official launch of the Chennai stores will happen in two weeks' time.

Without specifying any numbers, he said Heritage Foods plans to open more outlets in Chennai in the months to come.

It also seeks pan-India opportunity for its retail venture. "While we are rapidly expanding in the South and planning to put 100 stores by the end of the year, we are also studying other markets beyond the South," asserted Mr Jagdish. `Fresh' outlets (around 2,000 sq ft each) are positioned as complete daily-need stores with a distinct focus on fruits and vegetables and grocery. In other words, agri-based products would occupy almost 75 per cent of the shelf space and FMCG would fill the rest, he said.

According sources, it also considers various other formats for Chennai to sell vegetables and fruits alone.

The company procures more than 90 per cent of the vegetables it sells from the farming community in Kuppam district in Andhra Pradesh.

The pilot stores in Chennai also offer home delivery and a dedicated call centre has been set up to facilitate this.

The Rs 300-crore Heritage Foods has earmarked Rs 150 crore for the retail venture in the first phase. The company is expected to announce its annual results for 2006-07 by the end of this month.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Tata Motors cuts car production by 20%

Transitions Optical plans mega ad campaign on UV-protected eyewear

Vishal Retail plans Rs 110-cr public issue

Heritage Foods sets up two retail outlets in Chennai

Marico ventures into weight-control biz with Kaya Life

Seiko enters India with premium watches

Royal Classic launches premium trousers range