Reliance Industries plans to reach over one million outlets in the next 12-18 months for its FMCG products, and key B2C e-commerce platforms in the next 18 months, as it ramps up sourcing and distribution networks.

The bulk of its retail network will be general trade – shops, and outlets in tier 2, 3, and 4 cities- where people tend to buy most of their essentials. Though the company has a network of around 2,500 stores for its grocery and value business, it will be looking at general trade to stock its consumer products.

Reliance Industries did not respond to a request for clarification.

Ambitious plans

Last year, the company launched staples, essential items, and frequently consumed items such as biscuits under the ‘Independent’ brand in Gujarat. This month, it announced the launch of a range of household, personal hygiene, and home care products, priced competitively at 30-35 per cent discount.

The conglomerate is a late and recent entrant into the FMCG business but has ambitious plans in place to rapidly scale through a mix of acquisitions and organic growth.

Industry sources said the company is working on a war footing to put in place its sourcing partners - who are its manufacturing partners for FMCG products – the distributors, stockists, and retail outlets. Its online platform JioMart has 30 lakh kirana partners and sources said the company will be leveraging on this.

Sources said the company is engaging with dealers and sourcing partners in every state for a phased launch of its products, as it attempts to match the reach of deeply entrenched players such as Hindustan Unilever and Procter & Gamble Hygiene.

Though the emphasis is on general trade, it is also experimenting with its own stores. In places such as Mumbai, it is stocking its stores with larger packs of its products or some items to gauge acceptability among urban customers and those who are inclined to shop at hypermarkets and modern retail outlets. The smaller and faster selling packs will be retailed at general trade outlets.

According to trade sources, the ‘Independent’ brand has gained widespread acceptability. The company had plans to expand the brand to other places but had to ramp up its sourcing in order to meet the demand within the state. Once that demand is met, it will be spreading to other states too.

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