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Lifestyle, part of the Dubai-based retail conglomerate Landmark Group, is expecting demand recovery to pre-Covid levels by the end of this fiscal. The festival season is expected to help further recoveries to 80-90 per cent of “last year’s levels”.
According to Rishi Vasudev, CEO, Lifestyle and Home Centre, till September, demand for apparels and fashion products touched 50-60 per cent of the pre-Covid levels. The ‘End of Season’ sale period was delayed by nearly 45 days. But, following a slow start, the sales picked up subsequently on a “week-on-week” basis.
The recoveries come at a time when footfalls at malls continue to be around 40-45 per cent post-Unlocking. However, conversions (people coming in stores to buying) have gone up by at least 15-20 per cent.
“Right now sales recovery is around 55-60 per cent. And in the coming months, we expect it to be 80-90 per cent of last year’s levels. People are now going out and buying,” he told BusinessLine .
“Considering the current trends, recoveries should be around 90-100 per cent of previous year levels, by the end of the January to March quarter. So when we begin next year, we should be at pre-Covid levels,” Vasudev added.
In apparels, categories like denims, women’s ethnic wear and watches are witnessing good traction. This is in stark contrast to the earlier Unlocking phases, when there was demand for kidswear, loungewear and basic items. Categories like formal wear and travel segments – backpacks – continue to be slow moving.
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According to him, e-commerce was earlier looked at as a separate vertical. However, post the pandemic, the company is ramping up its omni-channel play. From pushing its offerings’ portfolio through WhatsApp or tie-ups with e-tailers like Flipkart, the company is using such omni-channels as a “convenient extension for people who are not stepping out”.
“Demand across the online channels has seen a 2x surge,” Vasudev pointed out, while adding overall online sales (for e-comm industry) is back to pre-Covid levels.
Capex plans, that primarily include new stores, continue to be on-track with approximately ₹8-10 crore being spent on setting up each store. Three stores, one each in Mangaluru, Lucknow and Guwahati, have been opened during the fiscal.
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