The Hindu Business Line : Spencer’s Retail expects a leg up from furniture biz

New Delhi, Nov. 6 The RPG Group-owned Spencer’s Retail has said its expansion plans are on track and the company is exploring new segments to generate revenue.

Spencer’s, which has introduced its new furniture line, Livin Smart, said it is eyeing a turnover of Rs 1,250 crore at the end of this fiscal.

“We are focussed on our expansion plans by foraying into various sub-verticals. Livin Smart, the new furniture line is a business with high growth prospects, therefore, it is important for us to have a presence in it,” Mr Samar Singh Sheikhawat, Vice-President, Marketing, Spencer’s Retail told Business Line.

He said the company hopes to generate about Rs 35 lakh to Rs 50 lakh a month from the furniture business. The company has about 500 stock keeping units in its furniture line.

“We are adding 100 per cent more SKUs to the current range as this is a high sale and margin contributor.”

In its hyper formats, Spencer’s will be allotting as much as 65 per cent of space for its furniture business. “We hope that the bulk of the business will come from the smaller SKUs and we will be sourcing the products from China, Malaysia and Thailand.”

Asked if the slowdown had impacted revenues, Mr Sheikhawat said, “Currently, we have not been impacted though we are keeping a watch on the next two quarters.” Spencer’s had registered a turnover of Rs 750 crore last year. “We hope to close the year with a turnover of Rs 1,250 crore,” he said.

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