The Hindu Business Line : Cotton County lines up expansion plans

Pune May 30 Buy two, get four free. A somewhat similar refrain has been heard from other textile retailers too, but it has brought back to Cotton County showrooms about 80 per cent repeat customers, according to Mr Sachin Sahni, Associate Vice-President.

Cotton County is the flagship fashion brand of the Rs 100-crore Nahar Retail Ltd, a 100 per cent subsidiary of the Ludhiana-based Rs 2,500-crore Nahar Industrial Enterprises Ltd (NIEL).

Speaking to newspersons, Mr Sahni said that the company, which has about 95 per cent of its garments in the male category, is now foraying into women's and kids' segments.

Cotton County Femme will mainly offer Westernwear such as t-shirts, denim, capris and winter wear, as soon as the season begins. This would include sweaters, tops and designerwear.

The kids' segment would be called Cotton County Tazo. Mr Sahni said that compared to brands such as Lilliput and Gini and Jony, the prices would be much lower. "We are looking at competing with the prices prevailing with the unbranded offerings."

The other extensions it recently launched in the market include French Republic, a premium-end segment with prices of over Rs 2,299 for trousers; it has been in the market for six months now.

Mr Sahni said denims would be added to this range and would be priced above Rs 1,699.

A couple of weeks ago, another extension called Cotton Country Alpha was launched; this is a fixed price bracket segment.

The stores currently stock only shirts in this brand, priced at Rs 299. Soon, trousers, costing Rs 399 each, will be available.

Mr Sahni also said the company was eyeing expansion in the accessories segment, with leather goods and wallets. It currently has socks, handkerchieves and ties in this segment. Besides, it plans to launch towels in the domestic market soon.

Mr Sahni said the company is in expansion mode, and would have 500 stores by the end of the current fiscal. Currently, it has 258 outlets of which 11 are company-owned.

The company plans to add more stores in the South in the next fiscal. By the end of the current fiscal, the stores would move away from the men's only category to a family shop, catering to men, women and kids.

Pune has about three stores and the company is looking at setting up a total of 10 in the city. Maharashtra has about 15, which would be increased to 50 by 2008.

There is no store in Mumbai due to the high cost. "But, maybe after one year, when our position becomes a little more stronger, we might enter Mumbai."

Maharashtra accounts for seven per cent of total revenues, which stood at Rs 100 crore for the year ended March.

The company is looking at revenues of Rs 200 crore for the current fiscal.

Mr Sahni also said that the company currently manufactures about 10,000 garments a day, which would be doubled. This would entail an investment of Rs 10 crore.

To cater to the demand, the company has also tied up with vendors.

The other investment would be in setting up the stores, which would be to the tune of Rs 50 crore, he added.

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