International BusinessHome decor store Rosebys plans 500-700 stores over 5 yrs
In a mega-expansion spree, Dalmia group"s home decor retail chain, Rosebys, plans to rollout 500-700-stores across the country over the next 3-5 years.
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The UK store, which was acquired by Sanjay Dalmia-led Gujarat Heavy Chemicals in 2006, presently operates 70 outlets in the country.
"We will have a total of 125-stores by March-2010. On a broader horizon, we plan to open between 500-700-stores over the next 3-5-years," Rosebys Interiors India Director Nikhil Sen said.
He added the company would set up at least 30 franchise stores, on 700 to 2,000 sq ft of area, by December-end.
The retailer already has a footprint through franchisees in cities like Mumbai, Delhi and NCR (National Capital Region), Kolkata, Hyderabad, Hubli, Vizag, Jamshedpur and some towns in Punjab, Haryana and Tamil Nadu.
"We are predominantly a franchise chain. At best, we will have 5 per cent stores as company-owned," Sen said, adding the franchise model of expansion suited them best.
Rosebys had last year toyed with the idea of expanding into markets like Romania, Poland and Vietnam.
"We are talking with some potential partners. Nothing is decided and we will take it as it comes," Sen said.
Rosebys had a turnover of Rs 81-crore in fiscal 2009 and is targeting a Rs 85-90 crore annual turnover this year.
The company had earlier announced plans to invest Rs 150-crore over the next few years as part of a brand-building exercise.
Rosebys has positioned itself as a one-stop shop for both soft and hard home furnishings like bed and bath items to accessories and lamps. The chain sources products from its global network that is spread including from South-East Asia apart from procuring from its Vapi factory.
The company last year sold 77 Rosebys stores in the UK and all its stock to a subsidiary of Edinburgh Wollen Mill.