The Hindu Business Line : Subhiksha goes for store makeover

“Once the upgrade of the first store (in Chennai) was completed, an ‘Identity Manual’ was developed, and it is according to this manual that the stores are being revamped.”

Sravanthi Challapalli

Chennai, June 11 Subhiksha, the Chennai-based discount retail chain, has embarked on an exercise to upgrade its stores across the country.

Mr Mohit Khattar, President (Marketing), told Business Line that this initiative was meant to improve the functional aspect of the value being delivered.

“Customers look for value and convenience, not ambience. With the revamp of the stores, now customers can enjoy both the shopping experience and the savings in price,” he said.

The upgrade started just a couple of months ago but has already been having an effect in that there are more customers walking in and sales have gone up by 50-70 per cent compared with the pre-revamp days, Mr Khattar said.

As modern retail evolves and customers’ expectations along with it, the need for better shopping environment intensifies. In the case of Subhiksha, the focus is on the functional aspects.

For better lighting, the company has a pact with GE to recommend the right kind of lighting for the stores to enable customers to locate the products easily and read the information on them. It is also improving the ventilation and changing the layout of the store.

The width of the aisles and the placement of the categories and brands are designed to make the store more easily navigable. The billing counters also have been changed to deliver a better billing experience and will improve with the implementation of SAP, Mr Khattar said.

Once the upgrade of the first store (in Chennai) was completed, an ‘Identity Manual’ was developed, and it is according to this manual that the stores are being revamped, Mr Khattar said.

Though costs differ based on the size of the store and extent of renovation, on an average, Subhiksha is spending about Rs 2.5 lakh a store. Of its 1,300 stores across the country, 1,000 older stores are being upgraded, Mr Khattar said, adding that it would take three months to finish. The rest of the stores (the newer ones) have been designed according to the new identity requirements.

The chain aims for all stores to have a standardised look and feel, but will factor in location-specific buying patterns and consumer behaviour.

The smartened-up stores also have the effect of making customers feel better about shopping at a discount store, Mr Khattar said, reassuring them that they are getting the best on offer.