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A P R I L 2 0 0 8 , R S 7 5

w w w . t i m e s b 2 b . c o m

Retail Shrinkage
Caught you there!

Retail Estate
Destination mall

SCM
Moolah matters…

Technology
IT in retail

CMYK
Front Inside Cover

Full page

Hana Cobi Co Ltd


w w w. t i m e s b 2 b . c o m
FOREWORD
A P R I L 2 0 0 8
V O L 5 I S S U E 9
Anything but stationary
It is estimated that the Indian market for school and
PRINTED AND PUBLISHED BY education sector is currently hovering around the
Joji Varghese on behalf of
World Wide Media Limited Rs 5,000 crore mark. Given the governmentís emphasis
The Times of India Building, on education, this market will only grow in the days
Dr Dadabhai Naoroji Road,
Mumbai 400 001 ahead. Add to this the demand for paper and stationery
items from offices at all levels. All this obviously translates
EDITOR
Jitesh Pillai into huge business potential for the stationery industry.
Both domestic as well as international players would want
EDITORIAL & DESIGN COORDINATION
Netscribes (India) Private Limited to leverage on the growing demands. While Indian players
E-mail: niranjanm@netscribes.com are busy strengthening their positions, some international
Content Editor
Niranjan Mudholkar biggies ñ like Staples and OfficeOne ñ have already arrived
on the scene. Thereís a lot for everybody but who gets the
PRINTED AT
Rajhans Enterprises larger pie, is something only time will tell.
No. 134, 4th Main Road, Industrial Town, The race is on and the industry is abuzz with words
Rajajinagar, Bangalore 560 044
like expansion and innovation. A few months back
PROJECT COORDINATION Todayís Writing Products Ltd (TWPL) opened its first
Bennett, Coleman & Co. Ltd.,
The Times Of India Building, stationery retail store under the brand name Offix and
Times Business2Business, Response, announced the plan to open 500 such stores based on
First Floor, Above MediaNet,
Dr. DN Road, franchise model over a period of three years. ITCís
Mumbai 400 001 stationery business, which reportedly is growing over
Phone: 22731937
100 per cent per annum, is expanding its product
SUBSCRIPTIONS portfolio by diversifying into writing instruments and
Mail: subscriptionsb2b@timesgroup.com
Tel: 022-2273 1228, 2273 3499 offering customised solutions. Meanwhile, Navneet is
looking at consolidating its leadership position by
INDIAN OFFICES
AHMEDABAD +91 9824000827
INTERNATIONAL OFFICES launching innovative marketing ideas. It has become the
Tejas Joshi
tejas.joshi@timesgroup.com INDIA first Indian stationery company to install automatic
BANGALORE Times International Marketing,
VKN Prasad
prasad.vkn@timesgroup.com
+91 9844355290
The Times of India Building, vending machines that will make available products like
CHANDIGARH Dr DN Road,
Arun Sharma +91 9814814007 Mumbai 400 001 long books, notebooks, drawing books, pencils and
arun.sharma8@timesgroup.com
Tel: + 91-22-22731116
CHENNAI
Leelaram JP +91 9840766775 Fax: + 91-22-22731948 various other stationery products to its consumers. The
leelaram.j@timesgroup.com E-mail: int.times@timesgroup.com
COIMBATORE
G Putarjunan +91 9843377016
plan is have 100 such machines within a year. These are
UK & EUROPE
govindarajan.putarjunan@timesgroup.com
HYDERABAD
Bharat Vaswani just a few examples but they obviously point towards
Pradeep M +91 9848024076 The Times of India,
pradeep.m@timesgroup.com
KOLKATA
No 54, Sydney Road, really interesting times ahead. One cannot help but
West Ealing,
Neelava Mukherjee +91 9830107357
neelava.mukherjee@timesgroup.com London W13 9EY, United Kingdom notice that except for the sound, stationery has nothing
MUMBAI Tel: + 44-208-8403838
Indrajit Chakrabarti +91 9892223069
indrajit.chakrabarti@timesgroup.com
Fax + 44-208-8403493 to do with the word ëstationaryí; this industry is really
NEW DELHI E-mail: timesofindia@btconnect.com
Ramanpreet Wadhwa
ramanpreet.wadhwa@timesgroup.com
+91 9811800201
USA happening and dynamic.
PUNE C. Umesh
Deepesh Chatterjee +91 9822494135 The Times of India Do share your views with us at
deepesh.chatterjee@timesgroup.com
1311 College Avenue
RAJKOT
Shailesh Desai +91 9426322707 Palo Alto CA 94306
timesb2b@netscribes.com
shailesh.desai@timesgroup.com
Tel: 650 796 6867
VADODARA
Tony Zachariah +91 9898592125 E-mail: timesofindia@compuserve.com Content Editor
tony.zachariah@timesgroup.com

All rights reserved. Reproduction without prior permission of the publisher is expressly prohibited. The publisher makes every effort to ensure
that the magazine’s contents are correct. However, we accept no responsibility for any errors or omissions and accept no responsibility for
any loss or damage caused as an effect thereof. The opinions expressed by experts are their own and in no way reflect that of the publisher.
Contents News National 5 Through a press interaction with Ian
Watt, Innovator in Chief, Retail
News Global 7 Xpressions and Ashwin Puri, VP of

Cover design: Sachin Puthli


Property Zone, Sandhya Patil finds out
Spotlight how developers and retailers can
“The Indian market is very decide on various factors before
price-sensitive” 23 selecting a property to build a
retail mall

SCM
Moolah matters… 32
It has become important to invest your
Cover Story money on right applications. In this
interview with Satish Moorjani, VP-
Smart equipment for you 10
SCM Consulting Services, Bristlecone
Sayanti Banerjee learns more about ëthe art
International, Sandhya Patil finds out
of stationeryí retailing from Shailendra Bella Casa marked the entry of the
how efficiently supply chain can
Gala ñ VP Stationery Division, Navneet R Raheja Group into speciality home
benefit a business in the long run
Publications (India) Limited improvement retail sector. In this
interaction with Ananth Narayan,
Chasing big dreams in small
Technology
CEO, Bella Casa India (Pvt) Ltd,
IT in retail 35
towns 14 Niranjan Mudholkar checks out the
Sayanti Banerjee unravels how the
Sandhya Patil finds out from Vikram companyís progress
Mane, CEO, Cartoleria Retailing Pvt Ltd, new age IT solutions can facilitate
how the company has established its modern age retailers to increase
Retail Shrinkage
stationery retailing business in the tier 1 customer satisfaction, minimise
Caught you there! 26
and 2 cities losses and boost profits
Through an interaction with
Dharmesh Lamba, Regional Head of
A new concept in franchising 17 Checkpoint Systems Inc, Sayanti
Event Watch
Through an interview with Naveen Banerjee finds out how retail
Disha 2008 38
Rakhecha, Cartridge World, CEO South Sayanti Banerjee attended Disha 2008
shrinkage can be controlled
Asia, Sayanti Banerjee finds out what to understand how synergised supply
makes them stand out in the todayís Retail Estate chain will drive competitive advantage
business world Destination mall 28
Mobile retailing
Of elegance and substance 18 MobileNXT 39
Sandhya Patil learns from Anand Vijay Menon, CEO, MobileNXT
Laksminarayan, National Manager ñ Retail, gives insight into the retailing world
Srinivas Fine Arts (SFA), how one can of mobile in an interview
'experience the finest in paper' with Sandhya Patil

Eco-friendly publishing 20 Brand Watch


Sayanti Banerjee probes into the concept of Up for grab 41
eco-friendly publishing which is Retail Biz gives you a low-down on the
popularised by TERI Press new products in the market

4 RETAIL BIZ APRIL 2008


NATIONALnews

Reebok’s latest Hex Ride Collection


Reebok has always mixed and matched sporty look with chic style. Innovation
has been its paramount global brand value. Over the years, Reebok has paved
the way with new technologies such as – The Pump, DMX and ERS cushioning
systems, Kinetic Fit system and many more. As a part of the spring 2008,
Reebok launched the new state-of-the-art technology - Hex Ride, which will be
a part of the performance running footwear.
Reebok’s Hex Ride running footwear collection features a hexagonal,
honeycomb-style build which is one of the top strength to weight ratio
constructions engineering can offer. Providing consumers with the best of both
the worlds, Hex Ride technology features exceptional cushioning while still
providing a lightweight ride.
The hexagonal build is a natural, efficient, and energy saving pattern
allowing more stable and softer ride. Hex Ride technology is dramatically larger and more impactful, both
functionally and visually, covering the entire bottom of the shoe. The evolution of Reebok’s Hexalite technology
was previously featured only in the heel or fore-foot of the shoe. Now this technology will be a part of performance
running styles such as – the Smooth Fit Hex Ride, Operator Hex Ride, Hex Exec and Hex Ride Rally.
The Hex Ride range will be available in Reebok stores across India for both men and women. This footwear
collection is innovative as well as a fashion-forward lifestyle product.

AV Birla to open ten more by opting for a new partnership between the two. A mega
hypermarkets soon plan is aimed at turning the existing kirana stores into
For Representational Purpose only
Around ten their franchisees. This model of business can create a
hypermarkets win-win situation for both the retailers, since this
under the brand partnership will help kiranas survive the onslaught of
name ëmoreí, organised retail by enhancing their competitiveness.
will be rolled out As a franchisor, Vishal Retail will provide kirana
by the AV Birlaís stores with technology, new practices, visual
retail venture ñ merchandising skill and special promotional schemes on
the Aditya Birla offer, in the companyís hypermarket ñ Vishal Megamart.
Retail Limited It will also take over their supply chain completely. A
(ABRL). Having minimum guarantee to all kirana stores will be offered
launched its first by Vishal in order to ensure that they do not lose out on
hypermarket in revenue after having joined hands with Vishal.
Vadodara with Vishal Retail is also planning to foray into the cash
the investment and carry business in the current financial year. Lifestyle,
of Rs 25 crore, restaurants, consumer durables, IT, footwear and
ABRL has speciality formats dedicated to fashion are likely to be the
announced its plan to launch more of such formats in retail options. These various formats will be categorised
Gujarat and Delhi.
For Representational Purpose only
Earlier, ABRL had unveiled its plan to invest, Rs
8,000 ñ 10,000 crore in expanding its operations across
the country, over a period of five years. The company had
declared its intent to emerge as one of the leading retail
players in India by planning 1,500 super markets and
100 hypermarket stores in the next five years.
Oracle will provide retail-based applications, finance
related and infrastructure software to the retail arm of
Aditya Birla group.

Vishal Retail’s mega plan


In the tug of war between organised and unorganised
retail, Vishal Retail has chosen to look for smart options

RETAIL BIZ APRIL 2008 5


NATIONALnews

into separate divisions and will have different CEOs


heading them.
A new retail partnership forged between
Koutons has big plans for retail Dell and Croma
expansion
Koutons Retail India Ltd, the upcoming apparel discount
retailer aims to raise
Rs 2.5 ñ 3 billion through
equity in 2009ñ10 to fund
its big expansion plans.
Presently, the company
has a network of 1,150
outlets including Koutons
and Charlie Outlaw outlets
across the country. By the
financial year 2010, the aim
is to double this number.
Recently, the company
has forayed into womenís
For Representational Purpose only
wear and kidswear segment
with brands like ñ Les Femme and Koutons Junior.
ëLes Femmeí will sell womenís western wear,
including casuals and formals and the likes.
It will open 100 Les Femme and Koutons Junior Now a wide range of award-winning Dell Products will be
outlets and double this number in the 2010 financial available at select Croma stores. The consumers can experience
year. These outlets are likely to open in metros, tier-1 and and place a customised order for Dell laptops and desktops (‘Dell
tier-2 cities. Products’) with the consumer electronics retailer in India. World’s
Launching exclusive brand outlets (EBOs) in the near No. 2 maker of personal computers – Dell, has tied up with
future in order to showcase their latest offerings, are also Indian retailer Infinity Retail to sell its laptops and desktops
on the cards. Koutons is also looking at acquiring several through the Croma chain of stores.
regional brands as part of this venture. Dell’s extensive range of acclaimed products will be
showcased in a premium retail environment for the first time in
Vimal to re-define fashion with a India. The Dell XPS and Inspiron systems will be available at the
reputed Italian designer Croma stores with distinctive Dell branding and support. This will
be the first time for Dell Products to be made available in India
through such retail outlets.
The whole idea behind this initiative is to help customers
touch, feel, browse and experience the Dell Products. They can
also request for customisations of those products in order to suit
their specific requirements. The home delivered facility will also
be available.

Vimal, the flagship textile brand of Reliance Industries metro cities, on the art of making fine quality Italian
Limited opened its second exclusive retail store at KG suits, as part of the "Vimal Master Craftsmen Initiative".
Road in Bangalore. This Indian textile brand is back Maurizio Bonas will develop seasonal collections for both
with contemporary products that will appeal to the apparel and fabrics at Vimal to re-define fashion for the
fashion savvy consumers and offer contemporary new Indian along with giving his valuable inputs on
shopping experience. ëvisual merchandisingí at the exclusive Vimal stores.
In this relaunch phase, Vimal is all set to offer its Along with revamping its collection, Vimal will offer
customers the best from the world of fashion. A step in a shopping ambience that reflects an international retail
this direction has been Vimalís association with Maurizio design and architecture.
Bonas, the well-known and reputed designer and master The redesigned Vimal showrooms will reflect
suit-craftsman from Italy who is based in Florence. the bold new spirit of Vimal, along with its brand
Mr Bonas has been associated with Vimal now for a new identity. These are the innovative ways in which
year in its endeavour to train leading suit-makers in the Vimal will redefine fashion.

6 RETAIL BIZ APRIL 2008


GLOBALnews

M&S inaugurates its new ‘green’ store in Ilkley, UK


Marks & Spencer has opened a new contemporary 6,600 sq ft food store
For representational purpose only

in Ilkley. The store stocks over 2,000 quality food products from ready
meals to fresh produce, salads and snacks to an extensive range of fine
wines and champagne. It has an in-store bakery and integrates a number
of initiatives as part of the company’s five year ‘eco’ plan. Water-saving
features include dual flush toilets and self-closing taps, while lighting
with movement sensors will help to save energy use in the store. Some
70 per cent of all construction waste materials have been recycled.
M&S now has ‘Simply Food’ stores across UK. Testing eco-solutions
to meet the challenges that food retailing presents, is a major factor that will help M&S reach its overall goal of
becoming carbon neutral by 2012.

Vestcom International, Inc hires tapped out the retail giant in both January and February
well-known nutritionist to head music sales.
its in-store health and nutrition Based on a congratulatory noted circulated to Apple
programme employees, the iTunes Store gained control over a 19
Vestcom International, Inc, the leading provider of data- percent share of all US-based retail music sales for at
driven shelf-edge marketing solutions to major retailers least one week in January, which was enough to instigate
and brand manufacturers in the grocery, drug, and mass the online music store to the No 1 position, a few points
merchandising industries, has announced the hiring of ahead of Wal-Martís 15 per cent share.
Anissa Buckley as senior director health and wellness. It was certainly a quick climb for Apple to the top.
Buckley will be responsible for developing health and The only thing that remains uncertain is whether this
nutrition marketing programmes for Vestcomís recently momentum will carry Apple through the rest of 2008.
initiated turnkey grocery wellness marketing
programme designed for retailers of all sizes. Spartan to sell 12 Pharm Retail
The programme will provide retailers with easy-to- Stores to Rite Aid Corporation
read, data-driven, integrated shelf communications
For representational purpose only
that will operate as colour-coded nutrition ëflagsí to
identify foods that meet special dietary needs, such as
Gluten Free, Healthy Kids, Organic, and/or
Heart Healthy.
Vestcom family believes that Buckleyís experience
will prove to be a huge asset towards the programmeís
success. Vestcom also thinks that its health and wellness
marketing programme, under the supervision of Anissa
Buckley, will provide retailers with the support they need
to adopt value-added in-store programs that identify
healthy products and streamline shelf-execution.
Vestcom recently acquired Buckleyís Rochester, Spartan Stores Inc (SPTN) has agreed to sell certain
New York-based ëNo Excuse Nutritioní, a retail assets of 12 of its 14 Pharm Retail Stores to Rite Aid
marketing company founded in 2005 to support its Corporation (RAD).
new initiative. The company said that the profits from the sale
would be used to help fund its disclosed strategic growth
Apple seizes No 1 position in music objectives. The transaction is anticipated to occur in
retail from Wal- 45 to 60 days. The company said that it is in discussions
For representational purpose only

Mart to sell certain assets of its remaining two Pharm Stores


Apple has finally managed in independent transactions.
to dash ahead of Wal-Mart
to become the USís largest Black & Lizars sold to European
music retailer. According retail giant for £20 million
to the latest data from Black & Lizars, the largest independently-owned
NPD MusicWatch, Apple opticians in Scotland, has been sold to a conglomerate of

RETAIL BIZ APRIL 2008 7


GLOBALnews

TESCO to initiate its first green store


in Ireland
For representational purpose only
For representational purpose only

European investors in a deal assumed to be worth more


than £20 million. Tesco plans to open its first ‘eco store’ in Ireland, in October at
The Glasgow-based firm, which has 255 staff and can a cost of Euro 12.5 million (US$ 18.1 million). The store will
trace its history back 178 years, is expected to become utilise 45 per cent less energy and will save 420 tonnes in carbon
part of a Europe-wide network under the chairmanship emissions. This will result in a 30 per cent reduction in CO2 for
of UK retail veteran Maurice Bennett CBE, founder of Tesco. The store will make use of timber columns in preference
the Warehouse Group, Oasis Stores and Phase Eight. to steel, solar panels to generate electricity, better insulation,
The consortium has entrusted an initial funding more efficient baking ovens, air retrieval and recycling measures,
package to expand the Glasgow-based chainís 25 outlets and new technology to create self-sufficiency for heating and
in Scotland and Northern Ireland through acquisition hot water. Tesco has been testing new technologies in its stores
and to take the brand into England and mainland across the country and as a result of which it has come up with
Europe. London-based international optical retail a more sustainable blueprint for its new building. Tesco’s ‘eco
entrepreneur Majid Sadjadi is the new chief executive. store’ drive is certainly not about short-term environment-
friendly initiatives, but also about transforming its business
Wendy’s plans to bring in chicken model so that the reduction of its carbon footprint becomes a
wraps for hungry consumers on central driver of its business.
the go
Wendyís, one of the worldís largest and most successful
restaurant operating and franchising companies, has
announced that it is introducing a new line of three
Chicken Go Wraps.
For representational purpose only

These chicken wraps are designed to meet


consumersí growing demand for high quality, portable
snacking options at a reasonable price.
The Chicken Go Wraps, featuring tender, centre-cut
chicken breast fillets, will be available in Grilled, Spicy or
Homestyle ñ with shredded cheddar cheese, fresh lettuce
and ranch or honey mustard sauce wrapped in a warm
flour tortilla.
Wendyís believes that the excellent quality of its
chicken and its proprietary spicy offering will
enable them to stand out from other competitive wraps
in the market.

8 RETAIL BIZ APRIL 2008


Full page AD

FIHL
COVERstory

Smart equipment for you


Sayanti Banerjee finds out
more about the art
of stationery retailing from
Shailendra Gala
– VP Stationery Division,
Navneet Publications
(India) Limited

W When I was in school, some of my most prized


possessions were my pencil box, eraser, notebooks and
the likes. The look, feel and smell of these ordinary items
had an extraordinary value for students then. But now
with the gizmo, techno savvy generation, these mundane
Navneet stationery has successfully established itself as
one of Indiaís most loved stationery brands. We are one
of the organised national players in the stationery
segment with probably the widest range of products in
student stationery market.
utility items have come of age. Yet, being the regular use
products, pens, notepads, pencils, erasers, sharpeners, What are paper stationery and non-paper
staplers and the likes are always in demand. The product stationery? Which of the two brings more
portfolio is constantly evolving with innovation and state- lucrative business and why?
of-the-art manufacturing technology coming in. Hence, Navneet Publications (I) Ltd has emerged as a leader in
retailing of school or office stationery is churning out to the field of providing syllabus and non-syllabus based
be a popular business sector. There are old players and educational material to students. As such, the brand
new ones in this brewing avenue now. Also, with the Navneet enjoys a monopoly status and unshakable brand
buzz word being ëgreen consumerismí, recycling and loyalty. Navneet is always on the lookout for newer
eco-friendly products are being encouraged. It might be avenues to serve the student community.
more expensive, but it is interesting how retailers are Navneet Publications is broadly divided into two
trying to make both the ends meet. strategic business divisions ñ ëBook Publishing Divisioní
Navneet Publications (India) Limited is a leading and ëStationery Divisioní. The book publishing division
player in the field of providing syllabus and non-syllabus consists of educational books, childrenís and general
based education material to students since 1959. books, which together publish more than 3500 titles
Shailendra Gala ñ VP Stationery Division, shares his yearly. Navneetís stationery division is the only one across
views on the trends of stationery retailing and Navneetís the country to offer an entire range of student stationery
journey so far. products since the last 12 years. The paper stationery
products include different varieties of ñ long books,
Has retailing of stationery and paper products notebooks, drawing books, scrap books, practical books,
come of age? Kindly elaborate. journal paper, subject specific books and so on.
Yes, this industry has seen a lot of changes over the years. The newest segment is the non-paper stationery
It was started as a completely unorganised sector, which segment under the brand name ëFuní with its innovative
is slowly changing. The advent of the organised retail has and state-of-the-art range of products like ñ writing
also added to this change. The biggest example here is pencils, erasers, sharpeners, colour pencils and exciting
that earlier books were sold in gunny bags by kilos and colour range which will be shortly introduced.
now they are shrinking wrapped in packs of 10, put
inside cardboard boxes. How has Navneet adopted KAIZEN (Lean
Manufacturing System) in their production,
How has Navneet positioned itself in the kindly explain?
Indian stationery market so far? Navneet has adopted ëKaizení since 2002 in our
Navneet Publications (India) Limited has emerged as a stationery manufacturing units and distribution depots
leader in the field of providing syllabus and non-syllabus at Silvassa, Daman and Vasai. Their various techniques
based educational material to students since 1959. have been implemented and practiced since then. The
Navneetís aim is to give excellent and value added quality biggest advantage for Navneet has been the timely
products at reasonable rates. Over a period of time, production and distribution of quality products in the

10 RETAIL BIZ APRIL 2008


Full page AD

FIHL
COVERstory

minimum required space and optimum utilisation Why did Navneet decide to tie up with
of resources. Reebok in order to promote the stories of
sportsmen like Dhoni through their
Why did Navneet decide to tie up with notebooks?
Grabbit? Is this advance technology suitable The Reebok series has currently two cricketers ñ Dhoni
for India? and Yuvraj and also one basketball player ñ Allen
We at Navneet are always trying to give something new Iverson. The thought behind this series is to show
and extra from service point of view. Grabbit is an students the story of their success. What they did, how
innovative venture between Navneet group and Empire they think and the experiences they shared in their
Industries Pvt Ltd. Though this concept of vending is journey to reach greater heights. This should definitely
very unique but it is well accepted in our country; for motivate students to overcome challenges in their
example ñ Indian Railwaysí ticket vending machine. respective fields.

How user-friendly will the system be? Kindly How educative do you think it will be?
give an idea of the operation. Again, as stated before, Navneet is always looking for
Making the purchase of any product is now become better value-added products for its consumers ñ mainly
easy and more convenient. You just have to select the students. Since cricket is like a religion in this country,
product and then the attendant will do the operational youngsters always look up to all the players. This series
part for you, of choosing respective code of the product. is not only educative, it is also motivational.
Insert the currency and the machine will deliver the
product of your choice within seconds. There is no How does Navneet ensure that its stationery
worry of putting exact currency as the machine will also goods are eco-friendly?
return the change after purchase. This machine accepts Majority of our products are eco-friendly. Our paper
credit cards as well. stationery products are not produced from cutting down
trees. They are made from a renewable raw material
What according to you are the advantages of ëbagasseí or sugarcane waste. After the cane has been
the new age savvy Grabbit vending machine? crushed to make sugar, the left over pulp is turned into
Highlighting Points on Grabbit vending machine are paper and ëNavneet My Long Bookí eco-buddy book uses
as follows: this paper and the technology that is harnessed, to make
” Instant product availability this paper product absolutely world-class.
” Brand perception
” Showcasing How successful have exhibitions like
” Products are available in a single machine at MRP ‘Stationery World’ been so far?
and no extra cost is charged The company has been actively participating in all major
” Machine has currency detector. Credit cards are also book fairs in India and abroad to gain a wider scope of
accepted business and to have hands on experience with other
” Personal attendance for its customers major developments in this field. Mega Events like ñ
” Creates brand consciousness and recall amongst ëStationery Worldí definitely helps us in generating
our consumers. revenue in terms of brand awareness in the industry.

12 RETAIL BIZ APRIL 2008


Full page AD

CLAIRVOYANCE
COVERstory

Chasing big
dreams in
small towns
Sandhya Patil finds out from
Vikram Mane, CEO, Cartoleria
Retailing Pvt Ltd, how the
company has established its
stationery retailing business
in the tier 1 and 2 cities

Tell us something about Cartoleria Retailing and hence, we wish to offer our customers the experience
Pvt Ltd. How did you get started with the of shopping for their stationery, like never before.
stationery retailing business? Why do We believe that customer loyalty will interpret
you feel the need to start the stationery profits for us. We have also tied up with several schools
retail business? for supply of text books, note books and other stationery
Stationery trade outside India is altogether a different products to the students at affordable discounts.
business. We saw that there was lack of awareness about We will be the pioneers to offer discount on the text
the stationery retailing business in India and hence, felt books this year.
the need to offer modern retail experience to the Indian
customers. This passion propelled us to start Cartoleria Stationery market in India is unorganised. Do
Retailing Pvt Ltd. you think this will hinder the growth of
organised retail players in this segment?
Could you tell us what are the trends like in What factors do you think will help to pull
the stationery market in India? How has the customers towards organised retail outlets?
market for stationery transformed with retail The unorganised nature of the present stationery market
industry taking hold on almost every is a boon for us. Customers do not have any choice to
segment? What is your take on this? How do select from, they do not get to see the new products, and
you think the retail trend will translate even the untrained manpower in the shop has no
profits for your business? product knowledge. These factors make it difficult for the
Today average spending per student on stationery customers to make a buy decision.
products has increased substantially. Parents want their Customers always look for good shopping
children to use the best and new products. Students and experience. Customers like to see, feel and try the
parents are always on the lookout for the latest products. products, which then go in our favour. We provide
When it comes to shopping in big cities, ëpriceí is not a complete range of stationery products with prices below
vital issue. its MRP cost.
With globalisation, we can now have an access to any
thing and every thing that is latest in the market. The How is the competition in the stationery
best part is that due to immense competition, retailing segment? What care must be taken
Indian manufacturers have started pacing with to survive in this competition?
International players. At present, we face competition from the traditional
With too many SKUs coming of age and the prices of market. However, this competition is manageable.
a majority of products getting insignificant, retail Modern stationery retail market is yet to grow in India.
industry is heedless towards the business of stationery However, a blend of modern retail experience with
products. We are veterans in this business of stationery personal touch factor helps in a big way to attract

14 RETAIL BIZ APRIL 2008


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Brigade Group
COVERstory

the tier 2 and tier 3 cities of the state. How


has been the response from these markets?
Do you have any plans to take your business
to the tier 1 cities? Are you planning to
extend your business in other states as well?
Our business strategy depends mainly on offering our
service in the tier 2 and tier 3 cities. These cities give us
the broad reach to expand our business with less scope
for competition.
We have been in these markets for some time and
our customers want to see more of us. We have no plans
to migrate to tier 1 cities as of now .We have plans to
extend our business in Gujarat and Karnataka in this
financial year.

How did the tie up with Godrej Agrovet Ltd


happen? Is there anything more to come for
Cartoleria?
Godrej Aadhaar did not have a full-fledged stationery
section. They were looking out for someone who will
help them start this section in their shop. We approached
them at the right time. And the deal was cracked.
‘For Representational Purpose Only’
Today, they want us to spread our concept in all the
customers in the shop. Customers love the attention and malls they have in Maharashtra, Gujarat, Haryana
being pampered as well. These factors help us to get and Punjab.
more and more customers to our shop, which thus There are other big retail chains who want us to do
works as our plus point. And I believe that this will business with them. In the near future, may be we will
surely take us ahead and away from the competition. be the support provider for stationery products to all
major retail chains.
Tell us about your institutional sales. How do
you make the office supplies available to Tell us about the products you retail? Where
your customers? is this stationery being manufactured? How
I feel that the Institutional sales are full of ëcheatingí. The does supply chain management and logistics
suppliers have taken full advantage of customersí work for you?
ignorance and have cheated them on both quality and We have an all brand umbrella. We deal in all kinds of
quantity level. These suppliers quote rates for the best products. Our product range includes:
quality products and supply cheap and inferior quality ” Office Stationery
products. Short quantity supplies are rampant. ” School Stationery
For instance, computer printer ñ suppliers deliver ” Student Stationery
800 sheets in place of 1000 sheets to the customers ” Home Stationery
practically all over. However, the customer ” Executive Stationery.
remains clueless. At present, we have a central supply hub at CBD Belapur
We at Cartoleria, follow the transparent policy. Our and we take care of supplies to our outlets and office
customers have full faith in us. We help them with supplies from this location.
advices. We keep our delivery commitments. We have
also made available more efficient ways for our What is your annual turnover? What are your
customers to place their orders. They can place their future retail plans?
orders through our website, fax or phone. Cartoleria has We have just been in this business for a very short-time.
also employed experts to assist its customers with their And I believe that we will certainly have a big impact on
buy decision. Most of the customers approach our stationery retailing in India very soon.
experts first before placing orders. Our delivery vans
carry supplies to our customers. Any final comments for our readers.
Stationery retailing with modern format will be a treat to
What kind of business strategy do you the customers. They will see the stationery shopping
follow? Your business is already spread across malls very soon.

16 RETAIL BIZ APRIL 2008


COVERstory

A new concept
in franchising
Through an interview with Naveen Rakhecha,
Cartridge World, CEO South Asia,
Sayanti Banerjee finds out what makes
them stand out in the business world
How evolved is the stationery retail sector in differentiates itself by helping customers to re-use their
India, presently? cartridges while guaranteeing OEM like quality at a
Stationery retail in India is largely unorganised. fraction of the cost. All cartridges recharged at Cartridge
However, consumers today have specific needs and World come with 100 per cent money back guarantee.
manufacturers and retailers are aligning themselves with
those consumer needs. This has given birth to the How eco-friendly are the products?
concept of speciality stores which offer a wide range of The basic mantra for any environment friendly process
products and specialised services to customers unlike the is: ëReduce - Reuse - Recycleí. Cartridge World promotes
kirana stores. This is the gap that the organised players this concept by helping customers reuse their spent
are positioning themselves to cater to. cartridges and also by using recycling process itself.

How well does Cartridge World fit into this What according to you are the reasons behind
retail sector? Cartridge World’s success?
Cartridge World is uniquely positioned as a speciality Cartridge Worldís partners in India ñ AFL (The leading
retail format covering digital imaging supplies express and logistics company) had all it required. The
,consumables and services business. In India, industry concept is unique as it is a win-win-win model for the
estimates reflect that printer consumables are more than customer, the franchisee and Cartridge World. The
a Rs 2,500 crore opportunity growing at over 30 per cent success was a result of thorough market research, a well
YOY with no saturation point in view in the future. planned strategy and adept execution by the team in
India. We are glad that it is recognised by FAI and the
How has Cartridge World’s journey to success jury members for the prestigious ëNew Concept in
been so far? Franchisingí award.
Cartridge World was founded in South Australia in 1997.
We operate on franchised retail store format. Today, it is Kindly share your expansion plans with us.
one of the worldís largest retailers of printer cartridge Currently we have 34 operational stores across 16
refilling services with over 1600 stores across 46 locations like Mumbai, Delhi, Bangalore, Chennai,
countries. Cartridge World operates on a three tier Hyderabad, Kolkata, Indore, Jaipur, Guwahati to name a
franchise model and all our stores are independently few. We aim to have 100 stores by the end of financial
owned and operated by the independent franchisees. year 2008ñ09 and expand our retail presence to tier 2
Cartridge Worldís ability to recharge printer cities in India. Also, we aim to cover every region in such
cartridges at half the cost while guaranteeing OEM a way that the Cartridge World stores are within the reach
(original equipment manufacturer) like performance of our customers.
and alleviating consumers of any warranty and quality
worries have made it popular. After having been named as ‘No.1 toner
replacement service franchise’, what more
What is unique about the concept of does Cartridge World wish to offer?
‘refilling’ printer cartridges? How cost- Our mission is to provide retail and institutional
effective and efficient is it? customers with the best sales and service packages on
We use cartridge specific raw material (ink, toner and the supply of consumables, printers and provide
parts), which are of quality comparable to that of OEMs. information on the benefits of reusing and recycling.
Each cartridge is recharged through a process specific to Our retail stores are ëone-stop shopí for all printer related
it, to enable us address their specific architecture. needs.We are planning to introduce printer servicing and
Cartridge World, through use of innovative technology, repair services very soon.

RETAIL BIZ APRIL 2008 17


COVERstory

Of elegance
and substance
Sandhya Patil learns from Anand Laksminarayan,
National Manager – Retail, Srinivas Fine Arts (SFA),
how one can ‘experience the finest in paper’

S Srinivas Fine Arts (SFA) has established itself


successfully in the Indian printing industry. More than
40 year old company, SFA kick started the stationery
business by launching products under the brand name ë
which they are situated (the first stage has been the major
metros) like Landmark, Crosswords, Odyssey, Staples,
Reliance Time Out, and many more. We are present in
Mumbai, Delhi, Kolkata, Bangalore, Chennai,
Nightingaleí . Nightingaleí s wide variety of products are Hyderabad, and so on. Currently we are planning to
designed to enhance individualí s written expression by enter into the medium format stores of the same key
giving them the best quality stationery. Based in Sivakasi, retails in tier 2 cities like Mysore, Pune, and others.
this company has always ensured to offer its customers
the world-class technology by manufacturing and How has been the response from these
marketing high quality stationery products for the markets – with regards to a) the demographic
domestic and international markets. presence b) working with big retailers and, c)
customers’ response?
Why do you feel the need to start the There has been a good response from these markets, as
stationery retail business? Could you tell us the product is reaching the end consumer through these
what are the trends in the stationery market, key retailers, whose presence is very vast and spread
in India? How has the market for stationery across the country. There has been a warm response
transformed with retail industry taking hold from the consumers, as the quality and the design of our
on almost every segment? How do you product range is of very high standard. In fact many
think the retail trend will translate profit for customers feel that ë Nightingaleí is a brand from the UK,
your business? which is now changing, as awareness is created that it
In todayí s changing retailing business environment, we has always been a complete Indian product. Working
believe that there has been a change in a shopperí s with key retailers has been much organised as we go by
shopping habits, as he/ she wants to buy what he/ she the annual agreement which is mutually accepted by
needs, based on quality, size, design and utility. And this both. And hence, there is no loop for confusion.
has rendered us with an opportunity to start our retail
course with major retailers of the country. Do you think running a mall or having your
The reason for this focussed presence is that we are space in the mall proves out to be a good
providing the right product for the right customer. We business investment? Please elucidate your
plan to focus entirely on the growth of the organised point of view.
retail segment in the future and make our presence with Costs matter in this venture. Hence, the demographics of
them. Footfalls to the key retail and the quality of the the key retailers and the footfalls is a major advantage for
customer profile will translate into awareness of our us and our product presence is adding value to them
products and translate to customer satisfaction and (giving the customer a better choice).This is the reason,
business profits. why we have planned to start up shop-in-shop with the
major key retail chains across the country.
Which retail format do you fall in? In which
cities do you vend your products? How did the Stationery market in India is unorganised. Do
tie up with various big retailers happen? you think this will hinder the growth of
We fall into the major retail key stores, large and medium organised retail players in this segment?
formats who have considerable footfall or the location at What factors do you think will help to pull

18 RETAIL BIZ APRIL 2008


COVERstory

supply chain management and logistics work


for you?
We have a dedicated and a highly knowledgeable team
focussed only for the corporate client for the diaries. We
customise diaries for the major corporates,
understanding their designs and needs. Orders are
confirmed and the end product is delivered to the
corporate. The logistics is very clear as the customer
gives us the delivery instructions and the end product is
delivered as per their needs to different destinations.

How is the competition in the stationery


retailing segment? Who are your
competitors? What care must be taken to
survive in this competition?
The stationery segment is growing at 15 ñ 18 per cent per
annum and there are competitors who are trying to
match our quality and the designs. But since we upgrade
our manufacturing technology and designs very often,
we are always ahead of such competition. Innovation of
new products is a major strength and we gain immense
knowledge and upgrade ourselves from attending
international trade expos.
customers towards organised retail outlet?
This used to be a fact but is changing as there are major What kind of business strategy do you
stationery manufacturers joining the race. As for us, we follow? Tell us something about your
belong to a premium segment and cater to the selective advertising strategy.
consumer who truly believes in high quality, designs and We maintain a low ATL (above-the-line) ad strategy. But
finish. The floor layout of each organised retailer is easy we believe in sensible BTL (below-the-line) strategy like
for the customer to find what they really want and this is good merchandising and product displays in all the
where it is advantageous for big brands like us to be outlets we are present. One of the major reasons for this
present in these retail chain stores. is that the diary is a seasonal product. Stationery
products are targeted at above 20 years of age group and
Which products do you manufacture at SFA? ‘ our range is for the design, fashion, utility and quality
Eco-friendly’ is a current buzz word with ‘ conscious user. Hence we do in-shop ad like POS (point-
green consumerism’ making waves amongst of-sale) and mailers and we take part in the stationery
various businesses. What’ s your take on this? expos in India in different regions for creating product
Is SFA into the race of ‘ eco-friendly’ awareness and continuous press write-ups are given in
products? the newsprint. For the current year, we are planning to
We never used leather from the time we started this advertise in selective in flight magazines.
business. We follow some of the strict guidelines on
usage of paper and finish. What is your annual turnover? What are your
We buy/ import finished paper from the future retail plans?
manufacturers who are involved in nature conservation, We are a more than 250 crore company with interest in
hence, though not directly but indirectly we believe in textiles as well. Our future retail plans are to join hands
conserving nature. In many of our products, especially with the major key retailers and make our product range
diaries and hard bound books, we use boards made of available to the consumer at all times for the many years
recycled paper pulp. We use cotton cloth as cover to come.
material in some of our diaries. We are planning to
introduce green stationery/ eco-friendly office products Kindly give some closing words of wisdom to
in future, which will be made of just raw paper board our readers.
with minimum usage of colour/ inks and printing. ëExperience the finest in paperí is our motto and we take
all pleasure to stand up to this commitment by
Tell us about your institutional/ corporate innovation and offering the customer the best of paper
sales. How do you make the office supplies products with attractive designs which in itself gives a
available to your customers? How does the different experience in writing.

RETAIL BIZ APRIL 2008 19


COVERstory

Eco-friendly publishing
Sayanti Banerjee probes into the concept of eco-
friendly publishing which is popularised by TERI Press

I In todayís world it is extremely important to use eco-


friendly products. This is just one of the simplest ways in
which one can make an attempt to protect the
environment. There are so many products which we use
on a day-to-day basis that might be harmful for our
of newspaper, notepads, books or tissue paper for that
matter. Irrespective of what the end product is, the source
of most paper products remain the same ñ trees. By now
we have not only acknowledged the fact but have also
experienced the phenomenal climatic changes caused by
ecosystem but we are reluctant to let go off them or are gradual deforestation.
unaware of the hazards caused by them. The Energy and Resources Institute (TERI) in
For instance, paper is one of the most common consonance with Delhi government had organised a
substances we use in our daily lives, whether in the form high-level conference on ecological and sustainable
publishing practices in the capital. At this event entitled
ñ ëPathways to Greení, high-profile publishers, paper
manufacturers, and printers debated on ecological and
sustainable publishing practices. It was meant to serve as
a platform for stakeholdersí dialogue on ecological and
sustainable publishing practices. The conference was
inaugurated by Sheila Dixit, Honourable Chief Minister
of Delhi. Namo Narain Meena, Honourable Minister of
State for Environment and Forests, delivered the
presidential address at the conference.
The mission of Terrapin, the childrenís imprint of
TERI Press, has been spreading awareness among
children about various environmental issues. The books
entertain as they subtly educate. The theme of all these
books is woven around TERIís mandate of energy,
environment, and sustainable development. What makes
these publications stand out is the effort TERI Press puts

20 RETAIL BIZ APRIL 2008


Full Page AD
House AD
(All Mag AD)
COVERstory

in publishing books on energy, environment, and the With recycling and green consumerism in vogue,
likes on eco-friendly paper mostly. paper products have come of age. Recycling is the
Madhu Singh Sirohi, Head ñ TERI press, Area reprocessing of old materials into new products, with the
Convener, explains, ìEcological and sustainable aim of preventing the waste of potentially useful
publishing practices are those that aim at finding some materials. So like the concept suggests, paper recycling is
innovative solutions to the environmental hazards that the process of recovering waste paper and remaking it
are linked with printing and publishing in India. Teri into new paper products. Ms Singh Sirohi feels, ìThough
Press is always looking to adopt new and innovative the recycling of paper is a concept that is gathering
measures in publishing, like the use of recycled paper, to momentum, it is very far from constituting a
ensure that environmental considerations are given mentionable percentage of paper used in India. We print
utmost priority. As far as the brand position is most of our indigenous products including four colour
concerned, we want to position ourselves as a leader in childrenís books on eco-friendly paper. We print a
environment friendly publishing.î monthly magazine ñ Terragreen, Indiaís leading
environment magazine which goes out to thousands of
readers every month on recycled paper. It is one of the
many efforts that will go a long way in establishing TERI
press as ëIndiaís first green publisherí.î
Eco-friendly papers range from being wood free,
chlorine free, handmade and recycled paper. All eco-
friendly papers are not uneconomical but most of them
are higher in price to their counterparts because the
processes used to make them environment friendly are
expensive for manufacturers and add to the cost. This
makes them more expensive for consumers as well.
Hence, paper products, whether in packaging, books or
products, are still not made of recycled paper.
Ms Singh Sirohi concludes, ìWe have a long way to
go before paper products come of age in India with
respect to their ecological impacts. In India, it is
important for the government to consider reducing
import duties, offer tax incentives to encourage
manufacturers and consumers as well as help stabilise
the cost of eco-friendly paper products.î

22 RETAIL BIZ APRIL 2008


SPOTLIGHT

“The Indian market


is very price-sensitive”
Bella Casa marked the entry
of the R Raheja Group into
speciality home improvement
retail sector. In this
interaction with
Ananth Narayan, CEO, Bella
Casa India (Pvt) Ltd,
Niranjan Mudholkar checks
out the company's progress

What is your assessment of the speciality home importance as other elements. Also, today, the customer
improvement retail sector in the country? What has lot of options to choose from. This new trend has
challenges and opportunities do you see for a made the home beautification retail emerge as one of the
player like Bella Casa in this market? fastest growing sector in the modern retail industry.
With the boom in economy, double-income households Bella Casa, in spite of being a year old, we foresee a
and the on-line knowledge, Indian consumers are lot of untapped opportunities in the market. The industry
increasingly giving importance to the need of upgrading is growing at the rate of 15 ñ 20 per cent at present and
their lifestyle. This change in the consumer behaviour
has led to a distinctive change in their lifestyle habits
which is not only apparent in their eating and shopping
habits but also in their home space. Today, the very idea
of designing oneís home has gone a sea-change. Unlike
a few years ago, the concentration was only evident in the
living room. Today, the focus has extended to kitchens,
bathrooms and accessories and each and every room is
given equal importance. As a result, kitchens and
bathrooms have moved from being utility rooms to
glamorous and classy. These rooms have gained a lot
attention as they lend a style statement to the entire Qtr page AD
house apart from being a matter of pride for the
household. Modular kitchens, stylish and elegant shower Shimla chemicals
cabins, bath tubs, shower enclosures, bathroom
accessories and designer tiles have occupied equal

Bella Casa in Pune


SPOTLIGHT

the growth potential is equal in metros and tier 1 cities. About Bella Casa
The increase in spending power and the aspiring
element growing amongst the consumers in these cities The term ‘Bella Casa’ derives its origin from Spain which
are the key factors which drove us to focus in these means ‘beautiful home’. Bella Casa is retail venture from
markets. the Rajan Raheja Group, one of India’s leading business
As for the challenges are concerned, the rising cost of conglomerates, with diverse interests. The Group has
real estate and the availability of relevant manpower are been responsible behind leading brands in the country
critical bottlenecks in our industry. Finding properties in like Johnson Tiles, Marbonite, Outlook, Exide, Raheja
metros is our biggest challenge today, but we intend Properties, Globus Stores, Prism Cement and RMC
drawing synergies from our group companies and take Readymix. With the launch of Bella Casa chain of
advantage of the same. At the same time, we are already exclusive stores, the Group marks its foray into the
into investing heavily on training and manpower speciality home improvement retail sector.
recruitment to ensure the availability of quality
manpower in this rapidly growing market.
Yes, we have plans to open 650 stores. As you are aware,
Only a certain section of the Indian Bella Casa India (Pvt) Ltd is the latest retail venture in
consumers has been choosy about its home beautification from the R Raheja Group. Bella
bathroom-ware and kitchenware. However, Casa has two store formats ñ Bella Casa and Tile Bazaar
thanks to the economic boom, more and more and the 650 stores will be divided into these two store
people are adding to this category as lifestyle formats (Bella Casa ñ 250 and Tile Bazaar ñ 400).
differentiation is quickly replacing functional Bella Casa ñ This chain of stores is primarily for the elite
differentiation. And both branding as well as and those who keep abreast of the latest innovations in
pricing are the key elements that influence the international market. It is the one-stop-shop for tiles,
lifestyle differentiation. What will be Bella baths and kitchens, floorings, mosaics, shower
Casa’s strategy in this context? enclosures and bathroom fittings. It houses some of
Undoubtedly, the Indian market is very price-sensitive; worldís finest and latest products from interior dÈcor hot
willing to spend money in most cases, but always cost- spots such as Italy, Germany, Austria, Spain, England
conscious, evaluating every rupee spent. Therefore, it
becomes important for retailers to offer world-class
products at good prices but backed by excellent services.
Apart from the quality products, our main USP is the
services offered to our customers. Each of our stores has
a dedicated team of in-house designers who assist the
customers in making the right purchase decision and
also ensures that he/she is free of any post-purchase
installation worries. The team of professionals is trained
to assist right from understanding each individualís
taste, finding the right design solutions, helping to
choose the right colours and patterns and supervising
the installation.

At present, how many stores do you have?


Where are they located and how has been the
customer response so far?
Currently, we have four stores ñ one each in Mumbai,
Bangalore, Pune and Gurgaon. All our stores have
received good customer response. The average customer
walk-in per store would be around 400 ñ 500
each month.

Reportedly, Bella Casa India (Pvt) Ltd is


planning to establish about 650 stores in the
coming decade. Can you confirm this with
details about the format of these stores,
investments planned and already made and
the targeted locations?

24 RETAIL BIZ APRIL 2008


SPOTLIGHT

and Turkey. There are baths from Twyford, kitchens from Ahmedabad. Depending on the location, the manpower
Nobilia, laminated floorings from Egger, tiles from Imola varies from three to five people per store.
Ceramica and Cerypsa, glass mosaics from Vidrepur, Since, we are in the process of fine tuning our
faucets from Kludi and shower enclosures from HUPPE business module, therefore it is too early to talk about
ñ Germany. All our stores are company-owned. Each the investments. However, at a later stage, we will be
Bella Casa store occupies a retail space of 4000 sq ft in a better position to divulge information on
approximately. Currently, we have four stores and in the the investments.
pipeline are stores in Indore and Ahmedabad.
Tile Bazaar ñ This is the countryís first-of-its-kind value Online retailing is a slowly emerging sector
retail tiles and sanitaryware showroom. This store deals across the retail arena. Would you consider
in value engineered and factory surplus right from tiles, getting into this format too?
sanitaryware, bathroom fittings, accessories and so on. Online retailing is really gaining acceptance in our
Shortly, stainless steel sinks, storage tanks and modular country too. However, we do not intend to get into it at
kitchens will be added to offer customers a complete present. But, once we increase our presence, we might
budget shopping experience. The store size of Tile consider getting into it.
Bazaar stores ranges from 400 ñ1 600 sq ft. At present,
we have 17 stores in different parts of the country and by Use of technology, particularly IT solutions,
2017 we will have around 400. Next in the pipeline are is becoming imperative for the retail sector.
stores in Chennai, Vapi, Vijaywada, Guntur, Vizag and Can you comment on Bella Casa’s investment
in and implementation of technology?
We also have a very strong IT set up. All our offices and
stores are connected through Tally which enables
smooth functioning including billings and supply
chain management.

Where do you see Bella Casa – in terms of


market position – in the next two to five
years? What kind of market share will you
target in that time and what according to you
will be the growth drivers?
Looking at the rate the industry is growing, we plan to
open around 250 Bella Casa stores and 400 Tile Bazaar
stores within a span of 10 years. By then, we will be in a
position to share details on our market share. We will be
introducing more and more products in the segment ñ
tiles, bath and kitchen ñ and will continue to emphasise
on the service segment.

RETAIL BIZ APRIL 2008 25


RETAILshrinkage

Caught you
there!
Through an interaction with Dharmesh Lamba,
Regional Head of Checkpoint Systems Inc,
Sayanti Banerjee finds out how retail shrinkage
can be controlled

W When it comes to discounts, retailers donít mind


pampering the consumers in order to make them happy.
But when consumers chose to take the notorious ëfive-
finger discountí as referred to in Australia and the United
States, the retailers feel cheated. Well, I was bantering
get flicked are ësmall and pocketable itemsí; popular ones
being ñ shaving accessories (including cosmetics),
confectioneries and chocolates, biscuits, toys and clothes.
According to a recent global research conducted by
Centre for Retail Research, UK and sponsored by
about the infamous practices of shop lifting or Checkpoint Systems Inc ñ shrinkage cost the worldís
commercial burglary. This is one of the root causes of retailers $98.6 billion, representing an annual ëtaxí on
retail shrinkage. Other things that lead to apparent honest consumers everywhere of $287.70 per
inventory losses are small or large process errors, household. Industry circles estimate loss from shrinkage
accounting lapses, pricing mistakes and the likes. accounts for nearly three to four per cent of an Indian
Retail shrinkage can be better defined as the chainís turnover, which can be estimated as nearly
difference between book stock and actual stock or the double of their western counterpart. This translates into
unaccounted loss of retail goods. In India, the items that an annual loss of about Rs 9,000 crore for the industry.
The Global Retail Theft Barometer Survey Information
Report deals with all retail sectors and vertical markets in
India, Australia, Japan, Singapore and Thailand. The
highest shrinkage was found in India, 2.90 per cent, a
reduction of 9.4 per cent over last years 3.20 per cent.
Dharmesh Lamba, Regional Head of Checkpoint
Systems Inc, explains, ìIn the retail environment, any
merchandise lost is considered as shrinkage in the store.
This can be either due to customer thefts, employee
thefts, vendor frauds or administrative errors. All lead to
the shrinkage for the retailer.î
Checkpoint Systems Inc, established in 1969, is a
leading multinational manufacturer and marketer
of technology-driven integrated loss prevention,
merchandising and labelling solutions to the global
retail industry. It has a presence in 80 countries and
a global network of more than 25 service bureaus in
the worldís apparel manufacturing space; 32 direct

26 RETAIL BIZ APRIL 2008


RETAILshrinkage

required to protect various types of merchandise in the


The Global Retail Theft Barometer Survey Information Report
store, merchandising solutions are in-store visual
deals with all retail sectors and vertical markets in India, communication.î He adds further.
Australia, Japan, Singapore, and Thailand. The survey With a comprehensive portfolio of products and
information was provided from 103 large retail businesses of
services ranging from traditional security technologies to
real-world RFID systems, source tagging and service
these countries. They operated 16,230 retail stores with
bureau capabilities, Checkpoint makes it easy to deploy
combined retail sales of $65,418 million, equivalent to six the right value-added solution to meet the customerís
per cent of retail sales in these five countries. need to reduce losses and work more efficiently.
The highest shrinkage rate was found in India, 2.90 per cent,
EVOLVE is one of the latest innovations from
Checkpoint Systems. This new range of products will
a reduction of 9.4 per cent over last year's 3.20 per cent
offer higher accuracy, fewer missed items, ability to
” The highest average rates of shrinkage were seen in vehicle protect smaller items, broader coverage with fewer
parts/hardware/ building materials retail (1.80 per cent), pedestals and more open space for customer
merchandising.
” Cosmetics/perfume/beauty supply/pharmacy (1.70 per
EVOLVE also has software defined radio in which
cent), and
EAS tag signal is directly processed and safe. This new
” Apparel/clothing and fashion/accessories (1.69 per cent), product provides full system connectivity which means
” The lowest rates were footwear/shoes/sports goods and evolve electronics is the central point of SMS
sports goods (0.68 per cent), liquor, wine, beer (0.84 per
information. This helps in seamless interconnection of
key components and therefore automatically increases
cent), and jewellery/ watches (0.88 per cent).
reliability. Of them, SLIMLINE is the most stylish and
fashionable EVOLVE product with innovative ferrite
In India, 22.0 per cent of shrinkage was regarded as being based antenna. It can be easily mounted directly on
caused by administrative error.
metal, has small profile as compared to pedestal, open
entrance walkways and cart enclosed flexibility and
aesthetic preservation by avoiding cart and product
subsidiaries throughout Asia Pacific, Europe and the collisions. This is favourable as it provides narrow
American continent. antenna technology competing with costly and
Mr Lamba says, ìIn India we work with the cumbersome floor systems while maintaining high level
Pantaloon Group, Aditya Birla Retail, METRO Cash & of visual deterrent value.
Carry, Koutons, Lilliput, Ritu Kumar, Ritu Wear, Salasar Mr Lamba explains, ìCheckpoint introduces the first
Garments, Nic Nish, ETAM, Straps, PROMART, Priknit, of its kind, door-mounted RF-EAS Antenna System. The
and many more.î Evolve S10 represents a true breakthrough in RF-EAS
Checkpointís vast portfolio of services and products Antenna design and the result is a strong and accurate
enable customers to track, brand and secure their goods antenna in a very compact and attractive design. It has
worldwide. It provides shrink management solutions to mounting flexibility, allowing it to be mounted to
over half of the worldís top 200 largest global retailers. virtually any surface, like glass, wood or metal while
Checkpoint continually delivers smart security solutions freeing up the valuable retail space for merchandising
to boost retailersí profitability by reducing shrinkage (the and sales purposes.î
loss of goods along the supply chain), increasing supply Product innovation and subsequent introduction in
chain efficiencies and enhancing customersí shopping market is forte of Checkpoint Systems, Inc. The
experience. Players are keen to invest on shrinkage companyís mission is to be the leading provider of
control mechanisms, such as installing RFIDs, sensors, solutions that help manufacturers and retailers identify,
IT solutions and training employees. secure and merchandise consumer goods worldwide.
Mr Lamba elucidates, ìCheckpoint Systems, apart The products are reasonably priced and are also well
from having Radio Frequency Electronic Article accepted in the Indian market.
Survelliance (RF-EAS) system, also provide retailers with Mr Lamba concludes, ìEVOLVE is not only an
people counting units, for instance ñ tracking the ongoing revolution for the retailer but also for
footfalls in the store. Checkpoint offers retailers with Checkpoint Systems as we ëevolveí into a ëtotal shrink
Checkpro Manager Systems, which is a web based data solutions providerí for our customer. Capitalising on our
collection service and exception based reporting extensive experience and global infrastructure, we help
solution.î our customers control their assets, boost efficiency,
ìRF-EAS and CCTV are Loss Prevention equipment increase sales/circulation ñ all leading to greater
which track the possible thefts in the retail store. profitability and productivity by bridging the gap
Labelling solutions are different types of labels and tags between todayís and tomorrowís technologies.

RETAIL BIZ APRIL 2008 27


RETAILestate

Destination mall
Through an interaction with Ian Watt, Innovator in Chief,
Retail Xpressions and Ashwin Puri, VP of Property Zone,
Sandhya Patil finds out how developers and retailers can
decide on various factors before selecting a property
to build a retail mall

S Shopping in a mall is exciting. It is one of the popular


destinations to spend your day. Welcoming elevations,
long strolling escalators connecting one floor to another,
various colourful brands decked behind those jazzy glass
windows, plush environment, and a chilled-out
Time has made it necessary to explore the conditions,
which will help the developers construct the right format
for retail in India. This country is the hot investment
destination and Indiaís retail industry should not be
neglected. The country has lot of opportunities and
atmosphere; everything is so perfect. I can spend hours should be explored to find out the potential areas of
and hours shopping or just roaming around in a mall growth. In order to trace those opportunities and to know
amidst this ambience without feeling sweaty! Window where India falls short, it was very important for me to
shopping or brunching at the food centres when hungry, understand the various aspects leading to the
are also good options. unfavourable conditions of retail mall management.
By the bye, todayís large spending population is The Press Interaction with the Innovator in Chief,
happy shopping at the malls. And mall owners, too, are Ian Watt, of Retail Xpressions and Ashwin Puri, Vice
vying hard to attract the customers to their shops. But President of Property Zone, proved out to be a good
while getting excited with the thought of entering into mode of identifying the pros and cons of retail mall
the malls, these shop owners ignore the very fact of scenario.
ëspace managementí. However, they should not be put to ìIndians are through the advent of the mall and are
fault. Itís the mall developer, who should be blamed for now able to enjoy a different shopping experience to
this plight. In an attempt to match the western mall what they have had up until now,î says Mr Watt. ìThe
developers, they forget to translate the international Indian consumer is constantly becoming more aware
standards in developing the malls, here, in India. due to various influences in daily life. For him, the

28 RETAIL BIZ APRIL 2008


RETAILestate

hypermarket shopping in the larger cities has become a What make malls so popular?
trend,î adds Mr Puri. Malls have definitely changed the The success of a mall counts on the positioning of the
perspective of the Indian consumer and have set a new mall. And this can be determined by factors, which
standard of shopping, giving rise to the emergence of include: tenant base, local demographics, expenditure
more malls for the service of the consumers. potential, traffic patterns, local consumer behaviour and
Mr Puri puts in, ìMalls are becoming outlets to in-depth knowledge of competing centres/ malls.
service the consumer requirements. Until a few years ì Convenience, availability of national and
ago, mall experiences were limited to consumers international brands under the same roof, catering for
travelling abroad. With Indian consumers now the entire family, better availability of parking in
getting access to such experiences within their cities, comparison to high streets ñ amongst other factors, have
their shopping habits are undergoing a change. made malls the flavour of the current times with the
Shopping with entertainment is fast catching up and growing middle class,î adds Mr Puri. In recent times,
shopping malls are slowly becoming the place to meet India is witnessing the growing trend of mall culture ëof
and conduct business, a privilege enjoyed mainly by mid-sized malls on multiple levels with developers
hotels till date.î looking at maximising floor space index (FSI)í. He states
Mr Watt believes that the Indian consumer will have further, ìThis trend needs to change and developers need
access to concepts and brands through a mall and will to look at correct usage of the rights available rather than
enjoy a more global experience. But, according to him, just developing the space into shopping.î
ìThis concept should not however be allowed to Mr Watts puts in, ìThe shopping centre/ mall
destroy the unique aspects that are part of the industry in India is at an exciting stage with the sheer
existing retail scene. Every country has things that volume and scope of what needs to be done will allow the
are unique to their culture and community. This opportunity for new concepts and approaches to retail
is what creates the point of difference. The mall development for starting up here. They will set the
should be considered the modern version of foreseeable new trends and care must be taken not to
the market place and allows for a more formal merely replicate older models as often these are fraught
and organised form of retail but at the end of with shortcomings that do not need to be copied.î
the day, it is doing what was always done ñ providing ìThe other trend that one notices is that there seems
a place for people to meet and enjoy themselves to be a standard model to develop a tenant mix in a
while shopping.î centre, which broadly tends to segregate women, men

RETAIL BIZ APRIL 2008 29


RETAILestate

and childrenís shopping experience. In addition,


developers tend to spend too much time wooing
international brands ignoring creating differentiating
factors. In fact, a few multi-mall developers are opting for
the same brands in centres/ malls in different locations,
which completely ignore the local market needs. I would
expect these trends to change in due course of time,î
suggests Mr Puri.

However, as it is said, every problem has a solution.


Similarly, there are various deciding factors before opting
for a property to build a retail mall. And these aspects
contribute in conceptualising and designing of retail
properties or malls.
ìAs I said earlier, a shopping centre (retail mall)
needs to be conceived to service the needs of the
community/ customers. It is not just about owning a
piece of land and deciding to build a shopping centre.
It is important to understand the principle ëpeople needs
first and property returns result from well conceived impact of the Nano; this is going to change life for many
projectsí. No developer should expect that just because people in India,î he adds further.
he wants to build something that it will be successful. Adds Mr Puri, ìThe success of shopping centres/
Understand the market and the demographics of malls is determined by how well a centre is able to
the site and what the community needs as well as the enhance the consumer experience. Therefore,
planning constraints that exist and plan properly. î considering the consumer in all that is done is
explains Mr Watt paramount. Whether we talk design that can be catered
ìA good example of the poor planning that exists in to reflect the community, or selection of tenants that
India, today is the apparent lack of appreciation for the serve the needs of the immediate catchments, or looking
need to provide adequate parking in a development. at entertainment avenues need to consider the consumer
People in India are only beginning to enjoy the benefits and how their experience can be enhanced.î
of car ownership and as more people own cars they will ì However, there are a number of challenges that we
want to be able to use them and projects with face while delivering services in India,î says Mr Puri. He
good and well planned parking facilities will benefit. Two says further, ìThe major hurdle is the lack of
points to remember a) With a car a shopper can carry understanding on shopping centres that primarily come
more goods/ purchases than they can using public due to not having developed such facilities before.
transport and this means they inevitably spend more Shopping centres/malls need to be managed and
which is good for the retailer and ultimately for the nurtured for them to deliver investment returns.î
developer because a retailer needs sales in order to pay Mr Watt finds lack of understanding of the fact that
rent. b) Bear in mind the ëTata factorí and the future there is a chain of connected events, as the main reason
for the shopping centre to work. And therefore, it
becomes important to understand the requirement to
construct the shopping centre or mall according to the
needs of the community who will come to shop. ìHaving
taken care of that, you can then plan shops to meet the
needs of the retailer. Most centres/ malls today ignore the
fundamental need to provide the retailer space that they
can use efficiently,î he states.
When a retailer opts for his shop, he looks for space.
A good managed store with spacious structure influence
the popularity of the shop and works as a crowd puller.
ìShopping centres/ malls are long term investments
unlike residential projects, where developers can cash in
on their investments early,î says Mr Puri. However, on
the other hand, these retailers ëdecide/demand rentals
that are not realistic or relative to the type of sales
turnover that can be achieved,î points out Mr Watt.

30 RETAIL BIZ APRIL 2008


RETAILestate

Mr Puri, too, agrees with what Mr Watt stated. He


explains, ìRarely do developers take into consideration Company Profile
the turnover that retailers need to do to achieve the rental Pioneer Property Zone Services Pvt Ltd (Property Zone) a
levels. Parking is grossly underdeveloped in most centres 50:50 joint venture between ICS Realty, India and Old Mutual
in India with developers not realising that parking is an Investment Group Property Investment (OMIGPI), South
investment towards a successful development and that Africa, provides an entire gamut of property solutions for the
they cannot look at returns from parking at the same shopping centre industry right from site identification, project
level as rentals.î conceptualisation, leasing and event asset management.
He further explained that maximisation of FSI is also While the entire gamut of services offered by Property Zone to
one of the challenge, which results in massing up its retail customers includes: Design development services,
Lease management and leasing, Property management services
developments substantially more than what these
and Asset management, the company can boast of an
developers can take.
impressive clientele comprising IVR Prime, Ozone Developers,
ìThere is a large gap in the understanding of what Mantri Developers, Sheth Developers, Runwal Group, Dainik
management of shopping malls entails. Collection of Bhaskar Group, P S Srijan Developers, Liberty International,
rent and facilities management is often considered mall amongst others.
management, which is not correct. Use of international
consultants needs to be encouraged. Besides, getting a
more sound development will enhance the capabilities of Currently, it works with leading developers and
local consultant in retail developments,î he adds. retailers in India to optimise performance and returns.
Taking this into consideration, their company, ì To me, the most significant differences between Indian
Property Zone brings with it decades of experience in and international centres/ malls is the volume of people
developing and managing property portfolios. that Indian centres/ malls need to cater to in comparison
The company was created to establish and to boost to its international counterparts. This individual fact is
the retail industryís growth and match international going to mean that Indian developers will need to look at
standards. The team consist of highly skilled and multi different solutions to problems in comparison to the
disciplined members, who have the experience and west. For us, a consumer is an essential part. And
know-how necessary to redefine and implement agreed therefore, it is important to constantly determine his
management strategies, redevelop and help in expansion needs, cater to him and enhance his shopping
of projects. experiences,î opines Mr Puri.

RETAIL BIZ APRIL 2008 31


SCM

Moolah matters…
It has become important to invest your money on right applications. In
this interview with Satish Moorjani, VP-SCM Consulting Services,
Bristlecone International, Sandhya Patil finds out how efficiently supply
chain can benefit a business in the long run

O Over the years, globalisation has attracted competition


from among various sectors. Retail is one such sector,
which is going through many changes. Retailers world-
wide have joined the force to deliver the best products
and services to their customers and achieve new heights
customersí loyalty. Good supply chain management is
the recent mantra with each retail supremo heading
towards adopting it. Earlier it was not the case. There was
no such bull fight among the retailers with regards to
spending on the supplier to the store system. But now it
on various levels. Whether it is about embracing new is a different story. Retailers, too, are spending more
technology or scaling their business by introducing new money in order to improve their supply chains.
standards, retailers have always ensured to take on this Naturally, this is because the trend is changing, which is
battle and make it a win-win outcome for both ñ the thus evolving the retail scenario.
consumers and the retailers.
People have started preferring retailersí shop rather How has supply chain process revolutionised
than buying the day-to-day necessities from a both, nationally and internationally?
nearby kirana store. Peopleís penchant for buying There are varieties of products available for the
varieties under one roof has encouraged the retailers customers and therefore the customersí loyalty is not the
to establish their retail outlet at every next possible same. It is reduced to the needs or products or to the
convenient destination. Growing consumersí demands brands. And because of that the supply chain has to
and their increased interests of shopping in the retail become more responsive and flexible with the changing
outlets/ malls has made it necessary to update the stocks requirements of customers. ITís application has
available on the shelves from time to time. increased in terms of its role in the supply chain.
And therefore, the retailerís are arduously trying to catch IT-enabled supply chain is the only way by which you can
up with the requirements of the consumers to earn their integrate supply chain across different geographies,
different locations and have the visibility of what is
happening at the customersí end. And therefore, we are
able to take actions to respond to those changes. And
thus, IT-enabled supply chain is something that is
catching up internationally
At the retail perspective, the supply chain has
revolutionised in terms of sourcing by using e-
commerce. Integrating e-commerce with sourcing has
generated the flexibility of buying goods from cheaper
sources in other countries. It has helped in improving
inventory visibility and control. It has helped in
responding faster in changing customers demand levels
in terms of volume, totality and so on. This change is the
result of different types of products entering the market
everyday. This thus changes the process, making it
necessary for you to respond to that.

What according to you are the factors that are


responsible for the continual supply chain
process evolution?
Firstly, globalisation is the reason behind the continual
supply chain process evolution. It has evolved the
functionalities of the supply chain. Secondly, with the
Pallet and Shelves in a Warehouse availability of range in each product category going up,

32 RETAIL BIZ APRIL 2008


SCM

the number of suppliers has also started increasing. And View of a Warehouse
therefore managing those suppliers, renewing their
contract, pricing, and decision-making, requires lot
of interfacing with the suppliers. This involves the
technology, which will thus help in sourcing
and procurement.
According to me, lack of manpower has led the
retailers to adopt technology. There is no need for
manual follow up or intervention. Technology will help
the retailer to deal with large number of suppliers. At
SAP the system like SRM (supply relationship
management module) helps interpret the number of
suppliers and even helps with the visibility of what stock
the retailer has. With such system, it replenishes the
stock level too. And all these things happen
automatically. A retailer does not even need to tell this to
the supplier. All these facilities help the retailer reduce
the manpower.
client’s organisation to meet its objectives?
What does it take to be a supply chain Elucidate your point with an illustration.
manager? Which is the other way a retailer The first reason is the number of intermediaries that
can meet the business challenge in the makes the supply chain costly. The less number of
absence of skilled supply chain managers? people in the chain, the less will be the expense. Now,
A supply chain managerís job is a challenging job. He that is possible if an organisation has a total IT-enabled
should have various qualities to deal with different connectivity across the supply chain. With this you can
departments of an organisation. He has to deal with communicate easily, work collaboratively, you can see
different departments like finance, sales and marketing. what is the stock and even the supplier from the other
He should have good understanding of the business and end of the world, what stock he has and the issues that he
the functions and should be sensitive to the demands of is facing, and so on. This is what is called as integration
all the departments. of the supply chain and which provides visibility across
Being a supply chain manager is always a high the supply chain. So this is one way to help our
pressure job. With competition, he cannot afford to leave customers to improve their costs.
any change or cannot overlook a particular item to be out The other way we recommend to our customers is to
of stock, though it is understood change the supply chain processes. As the supply chains
that person cannot have control on the changes are not very responsive and flexible, they tend to forecast
in demand. The reason is ñ customersí preferences the market. Many of the companies are now operating on
keeps on changing with their demands. And therefore, forecast-based system and based on that the company
despite that he has to ensure that his store do not fall stocks the inventory. However, if the sale is not as per the
short of supplies. forecast, then it leads to the cumulation of the inventory,
This means the challenge on one hand is that the hence making it uncomfortable to maintain. And when
demand is changing. And on the other hand, the supply the consumersí requirement changes, these inventories
chain manger has the pressure to utilise minimum become obsolete. Such things happen in case of
inventories. There are times, when infrastructure or garments. But at times, items sell more than what was
workforce breaks down. So these too call for lot of forecasted, then the stores go out of stock.
challenges in terms of unpredictability. However, the time has changed. The trend is now
In the absence of the supply chain managers, it will towards the pull-based system, wherein you keep certain
be good enough to IT-enable the whole process system. inventory, which is adequate enough to serve the
The other way out is to outsource such managers, variations of demand. And as and when the inventory is
because nowadays it is possible to outsource most of the consumed, you can replenish that inventory. So the items
organisationís activities like logistics, and so on. that are not selling, you will not bring more of that. This
in turn will limit the restocking of your inventory.
What are the reasons behind the supply
chains being costly? How do you help your How different is supply chain management to
client reduce its supply chain costs? What that of logistics? Do you think technology or
kind of values do you recommend to your changing business models are accountable in
client to improve these costs and help your distinguishing SCM and logistics?

RETAIL BIZ APRIL 2008 33


SCM

The term logistics is used very loosely. Sometimes it this reference model. They have defined the processes of
refers to the transport system or to a certain aspect of the supply chain as ñ plan, source, make, deliver, and
supply chain. It also involves meeting customer return. These are the references that they have put down
requirements, warehousing, delivery, and so on. for the companies and on that basis the companies
According to me, logistics has more to do with follow the councilís references to see how their own
movement of material. Supply chain covers other areas processes work on the SCOR level.
like, planning that includes demand forecasting and Radio Frequency Identification (RFID) technology
demand planning, inventory planning, supply network has now become more popular among the retailers.
planning, production planning and scheduling, Could you please tell us something about it.
sourcing, procurement, material scheduling and also It, is a kind of identification like the bar code.
deciding the measures to change the supply chain. So However, RFID technology is more expensive, because
supply chain is more encompassing. the reading of the RFID tags depend on the distance.
Greater the distance, more expensive is the cost of the
Building good cold chains and maintaining a RFID technology.
proper stocked warehouse are gaining
impetus. Do you think these investments What are some of the other big supply chain
are worth for a business to benefit in the challenges coming over the next five years?
long run? How this will change your company,
Absolutely, there is a high growth potential in this going forward?
business. This growth will be the outcome of the trade The first challenge is the globalisation. The tariff barriers
through the perishable items. It is a big business for are coming down and world is becoming better
todayís retailers, because many malls have started connected. Even the mergers,and acquisitions are posing
including fruits and vegetables on the shelf for their a challenge of the dynamic environment for the supply
customers. Malls sell these items with a ëdiscountí and chain to keep itself efficient and cost optimal.
ëhygienicí tags as compared to that of the hawkers or the The other challenge is the price. With prices going
kirana stores. And this has definitely brought a huge down, it has become necessary for a business to show
business for the retailers. With volumes of the customers improvement every quarter to quarter. And in order to
going up, this business will need such facilities of increase revenue, the company has to increase its sale on
maintaining the food items at the proper temperature. a large scale. This will add to the high operating costs,
And therefore, a cold storage has turned out to be a which will certainly increase the storage costs, logistics
necessity. Pharm retailers will also need the cold storages costs, and so on.
to store the medicines.
Tell us about few trends in the supply chain
With growing availability of various supply management.
chain management softwares in the market, it One trend is towards the demand-driven supply chain. It
must be difficult for a retailer to decide is sometimes pull-based or sometimes push-based. It
which software is right for his business also increases postponement strategy. It helps to
model. In this case, how do you address your differentiate our product or customise it for the
client in choosing correct software? customers. For instance, giving customers a choice to
It depends firstly, on the kind of processes the retailers select their own print on a plain t-shirt is the best way to
are following. And secondly, the level of sophistication customise your product to the needs of your customers.
used in those processes. These processes explain the The other trend is optimisation of end-to-end supply
factors like inventory planning, distribution, chain. Earlier the trend was of optimising only the
functionality, level of integration that they have across the company. But now the trend is to consider the entire
supply chain, and so on. Do the suppliers have supply chain.
IT-enabled systems? Is there communication IT-based? For instance, if I try to reduce my inventory, but if the
What is the mode of sourcing, whether an e-commerce suppliersí inventory is going to increase then that stock
or something else? All these things depend on the level will come back to me in sometime in the future.
of technology and also the culture of an organisation. Therefore, I should not do things that would make it
Therefore, while addressing a client, the future gain of an inefficient for other partners in the supply chain. But
organisationís scalability of its operations has also to be rather, I should try to make the entire supply chain more
taken care of. efficient for all the partners.
Automation is also one of the trends. It is a tightly
Tell us something about the SCOR model. integrated supply chain. It has an end-to-end visibility and
It stands for Supply Chain Operations Reference model. with intelligent software it will convey your decisions to
The members of Supply Chain Council have developed your concerned partners in the supply chain.

34 RETAIL BIZ APRIL 2008


TECHNOLOGY

IT in retail
Sayanti Banerjee finds out how the new age IT solutions can
facilitate modern age retailers to increase customer
satisfaction, minimise losses, and boost profits

T
Today, organised retailing has become a booming
industry in India with tremendous potential for further
growth. The modern retailers are trying to spread their
wings and diversify their presence in the industry. Apart
from the traditional retail formats, online retailing has
per cent features and functionality for every client to run
their business efficiently by reducing cost and
maximising the consumer experience.
DVS offers international solutions which have been
localised for Indian retailers. LS Retail based on
become popular in the age of e-commerce and m- Microsoft technology is one of the largest end-to-end
commerce is soon to make it big in the retail industry. In integrated and adaptable business management
this highly competitive world, only practical solutions applications that contribute to streamlining financials,
backed by advanced technology can give the retailers the customer relationship and supply chain processes. It
winning edge. enables businesses to innovate, improve productivity,
Currently there are a number of IT solution and collaborate.
providers gearing up to meet the challenges of the retail
domain, in an innovative way. Two eminent What is data management as far as retail
representatives ñ Rakhee Nagpal, MD Dynamic Vertical industry is concerned?
Solutions and Patrick Mathias, Regional Manager- As the retail industry is still at a very nascent stage, the
Enterprise, Cisco India ñ share their views on the role of retailers today are still struggling with the basics -
IT in retail. manual processes, data inaccuracies, and disparate
Dynamic Vertical Solutions (DVS) is a market and systems. One of the challenges a retailer today is faced
technology leader in end-to-end integrated and adaptable with, is the concern to consolidate data and convert it into
business management applications, providing meaningful information. A lot of data is mismanaged
comprehensive solutions for organisations of all sizes and not put into the right use.
and all Industry sectors. Cultivating innovative However retailers are investigating the use of
technologies on a reliable foundation of international emerging practices and technologies aimed at delivering
best practices and business experience, DVS delivers substantial improvements in performance. This is where
scalable solutions that enable its customers to the integrated, end-to-end systems play an integral role.
continually improve upon their decision-making
Rakhee Nagpal,
capabilities and business success.
MD Dynamic
Vertical Solutions
Today the booming retail sector is being
empowered by IT solutions, what has Dynamic
Vertical Solutions been doing so far in this
avenue?
The changing demographics and consumer behaviour is
forcing retail to evolve from the neighbourhood kirana
store (unorganised retail) to organised retail, which
presently accounts for four per cent of the total market
and is likely to increase its share to 22 per cent by 2010.
DVS has focused on the retail segment in the last 18
months and this will continue to be a key focus sector
going forward. We are investing in research and
development and in parallel, educating the market in
terms of the advantages of our technology. The retailers
still look at cost of technology as expenditure rather
than a long-term strategic investment for faster and
seamless growth.
Within the retail segment, our aim is to deliver 100

RETAIL BIZ APRIL 2008 35


TECHNOLOGY

Implementing a solution like LS Retail helps the Can retail shrinkage and shoplifting be
retailers to improve data integrity and convert this data controlled to some extent by putting IT solutions
into meaningful performance reports, that will inturn in place? (Kindly explain with an example.)
help the management to make better decision and so on Shrinkage and shoplifting are a large and growing
and so forth. challenge for retailers, the global retail shrinkage cost
Data which is captured at the front end, or at a store retailers a whopping Rs 4,01,647 crore (Rs 4,016.47
level, is integral in reducing retailers overall costs by billion) and that for the Indian retailers, it was close to Rs
enhancing the management of inventory, effective loyalty 8160 crore (Rs 81.6 billion).
programmes and cross selling opportunities when a Shrink reduction and prevention is definitely
consumer is transacting. growing in importance as a vital business practice. The
contribution to total store shrink was reported in five
What are LS Retail and Cenium? How can they categories: employee-caused shrink, shoplifting,
help Indian retailers? receiving, and accounting errors/damage. Of all
LS Retail and Cenium are internationally proven components of total store shrink, employee-caused
seamlessly integrated solutions, built on Microsoft shrink ranked number one.
Dynamics Platform that caters to the retail and hotel Retailers are employing the right technologies and
industry, respectively. It covers everything from POS to we are determined to help retailers in loss prevention,
back-office and head-office on the same application, operations, risk management and merchandising.
allowing seamless integration of all functional areas in all Some of the latest international standard products
of the following activities ñ retail management, financials, provided by DVS, such as StoreVision, is fully integrated
sales, purchase, inventory, human resources, payroll, CRM transaction data and CCTV video images, filters out all
and production processes catering to retail and hospitality. ëhigh-riskí transactions, allows for quick review and
These solutions will help organisations optimise identification of transaction shrinkage, and reporting to
their business systems, align supply chain management retail management.
and enhance consumer experience across in-store, The StoreVision solution has been proven in various
online and mobile channels. retail formats, including pharmacies, convenience stores,
supermarkets, hypermarkets, specialty stores, and
Who are your retail clients? What kind of department stores.
solutions have you been offering to them? Apart from the LS Retail, NAV and Cenium, an end-
We have more than 1000 stores and some coveted to-end integrated solution, DVS also offers add-on
brands as our customers in India like; Linc Retail, solutions that enhance the customer experience at the
Pyramid Retail, Disney Artists Stores, Door Steps, store level.
Lilliput, Albeli Fashions, Body Care International to Peocon will help retailers to monitor the behaviour of
name a few. customers in terms of their choices and convert footfalls
Our customers have also adopted international into sales. They are suitable for fashion and apparel
solutions like inventory management solutions - AGR, to stores, malls and the likes.
help them get an accurate forecast and minimise the cost Cisco Systems, the company has developed
of inventory, hand point - handheld solutions for effective Intelligent Retail Network (IRN) for the retail sector and
queue busting and field sales and Peocon - people have been working with leading global and Indian retail
flow solution. organisations. Todayís retailer needs to achieve greater
Also internationally, the LS Retail suite of solutions information visibility and control between stores and
are being used by leading clients like IKEA, Addidas, headquarters to continue to survive and grow.
Levis, Debenhams, Pizza Hut, Booths Supermarket, and Cisco understands these needs of retail environment
the likes, in more than 130 countries. and has been instrumental in developing Intelligent
Retail Network (IRN) which helps retailers to deploy retail
Can DVS solutions help retailers with rapid applications to trim operating costs, improve productivity,
growth and expansion plans? How affordable and maximise customer outreach across the enterprise.
are the DVS solutions?
All our solutions are scalable and highly adaptable to the Today the booming retail sector is being
expansion plans of our customers. Some of our empowered by IT solutions. What has Cisco
customers have been able to adopt some of the best retail been doing so far in this avenue?
practices that will make them industry leaders in their Once a fairly traditional industry, retail is rapidly
domain. Our solutions cater to the fast track retailers, approaching the forefront of interactive technologies. In
who not only want to grow but also ensure high todayís competitive environment, retailers increasingly
customer service levels and experience, but also do that rely on in-store technologies to help enhance customer
without increasing costs. service, differentiate their stores in the marketplace,

36 RETAIL BIZ APRIL 2008


TECHNOLOGY

streamline operations, and increase revenues, so on and With IRN, retailers can:
so forth. ” Boost productivity by connecting people, places, and
Ciscoís ëIntelligent Retail solutionsí are tuned to meet information especially managing third party vendors
the specific needs of retailers and offers comprehensive ” Improve customer satisfaction by enhancing the
and scalable networking solutions. shopping experience
In all, Cisco retail solutions are made up of four ” Increase revenue by improving decision-making
modules, each designed to meet specific needs in the through utilisation and delivery of data
retail environment. The ëIntelligent Retail solutionsí ” Secure and reliable by protecting brand image
impact the retail environment as follows: and assets.
” Store Connectivity ñ Increasing operating efficiency
across stores using wide-area networks (WANs) and How has Cisco been improving access to
virtual private networks (VPNs) to access corporate and company information by updating sales
store information, including Radio Frequency technologies, and refocusing on the future of
Identification (RFID-based) inventory management and business as far as the retail sector is concerned?
standard retail applications. Empowered by the Intelligent Retail Network, retailers
” Store Mobility ñ Use of wireless technologies at the gain the flexibility to meet the constantly changing
point-of-sale for faster checkout and real time product business and technology demands. Across the store -
information, in the store to improve operations, and operations, merchandising, human resources, training,
throughout the supply chain to reduce costs. customer services, and the supply chain-organisations
” IP Communications ñ Reduces retail costs through can develop a roadmap, based on this powerful
converging data and voice systems, providing instant foundation, that will support their corporate vision for
communication throughout stores and with enterprise years in the future. Implementation of unified network
applications and resources. solutions not only benefits the retailer with a
” The Store as a Medium ñ Supports employee training transparent supply chain but reap benefits on the
and productivity and maximises customer satisfaction human resource front as well. In-store rich media
with in-store broadcasting, multi-channel shopping, and systems such as plasma video displays, kiosks, digital
digital signage, as well as revenue-boosting smart signage, and personal PDAs and other devices play an
technologies and information kiosks. increasingly important role in providing customers
On the whole, Ciscoís Intelligent Retail solutions are and stores personnel with advertising, brand
not only beneficial for retailers but makes shopping reinforcement, pricing, training opportunities, and
quick, efficient and pleasurable for customers who have corporate communications.
a better chance to fulfilling their shopping wish list and
walking out satisfied. Who are Cisco’s clients? What kind of solutions
does the company offer to Indian clients?
What is Intelligent Retail Network (IRN)? We are currently in talks with the Future Group as well
Ciscoís Intelligent Retail Network (IRN) is a platform that as all other leading retail businesses in the country. We
enables retailers to streamline business operations, are not in a position to disclose these names as yet.
accelerate decision making and improve customer flexibility to the equation. In-store broadcasting and
satisfaction and manage inventory better. digital signage to create new revenue-generating
advertising as well as accelerating brand awareness and
customised messaging also improving the over-all
shopping experience.

How are those solutions different from the


ones offered abroad?
While the technologies and solutions that Cisco offers to
customers are standardised across the world, it is
interesting to note that many Indian retailers are
adopting technologies that are far ahead of those adopted
by their western counterparts.
Patrick Mathias,
Regional Manager- Well, though much needs to be comprehended one
Enterprise, Cisco India thing remains clear that the IT solutions are certainly
going to empower the Indian retailers with smart
business tactics. With technology in place, the Indian
retail sector is all set to flourish like never before!

RETAIL BIZ APRIL 2008 37


EVENT

Disha 2008
Sayanti Banerjee attended IIMM’s seminar to
gather views on how synergised supply chain can
drive competitive advantage

I In this age of neck breaking competition one thing that


gets you recognised easily, is a certificate from a reputed
institute. Today, in order to make it big in the retail sector,
you have to be professionally groomed on certain skill
sets at least.
chain at any point where residual value is recyclable.
A typical supply chain begins with ecological and
biological regulation of natural resources, followed by the
human extraction of raw material and includes several
production links, for instance; component construction,
Indian Institute of Materials Management (IIMM) is assembly and merging before moving onto several layers
the only professionally led institution in the field of of storage facilities of ever decreasing size and ever more
materials and supply-chain management, for over three remote geographical locations, and finally reaching
decades. It offers courses recognised by the ministry of the consumer.
HRD, Government of India. It is affiliated to the So a proper definition of a supply chain or logistics
International Federation of Purchasing and Supply network would be ñ a system of organisations, people,
Management (IFPSM), headquartered at Atlanta, USA. technology, activities, information and resources
IIMM had organised DISHA 2008, an international involved in moving a product or service from supplier to
seminar on synergized supply chain to drive competitive customer. Supply chains link value chains as well.
advantage. The seminar focused on ñ purchasing, Following are interesting excerpts from the various panel
logistics and supply chain management. It also marked discussions at DISHA 2008:
the launch of an international programme on ëCertified While launching the programme Paul Novak,
Professional in Supply Management (CPSM) and its President ñ International Federation of Purchasing and
contribution towards a social causeí. This programme Supply Management (IFPSM), USA said, ìHaving had
targeted at top executives and professionals, aimed at success with the programme at Institute of Supply
enhancing executive skills and equip them with the latest Management, Arizona (USA), we are optimistic that the
strategies and methodologies with all aspects of SCM. MNCís will take lead from their American counterparts
ëSynergized Supply Chain to drive competitive and recommend this course to their company personnel
advantageí was an attempt to bring all the dimensions as well.î
that help drive competitiveness within the supply chain, Speaking at the conference, Anshuman Singh, CEO
be it through better demand forecasting, performance Future Logistics, said, ìSupply Chain Management in the
management, talent retention or embracing new retail pie is 75 per cent. Logistic companies follow the
business models, together. This programme provided retail pathway. Quoting from the book ëIt happened in
insight into the revolutionary change that had happened Indiaí written by Kishore Biyani, the founder of the
within the railway freight corridor and linked it up with Future group, Mr Singh said, ìRe-write rules but retain
the Railway Budget 2008. values is the motto we follow. To simplify the concept of
Supply chain activities transform natural resources, SCM, I would say ñ retail is a simple business which
raw material and components into a finished product that involves buying and selling but what we need to manage
is delivered to the end customer. In sophisticated supply is what follows inbetween. Thatís where SCM come in.î
chain systems, used products may re-enter the supply Arun Gupta, Customer Care Associate and Group
CTO, Shoppersí Stop felt, ìOur motto is to provide our
consumers with an exclusive experience and not that of
just another retail outlet. As far as fashion is concerned,
it changes with seasons and during festivals SCM
becomes even more important.î
Vikas Kumar, Practice Head ñ Wipro Consulting
said, ìFor total value management it is important to
decide on the supplier and how to manage relationship
with the supplier. Cost of rejection, returned orders,
stock outs and the likes have to be taken into account as
well. Also, cost management for short product lifecycles
need to be worked out.î

38 RETAIL BIZ APRIL 2008


MOBILEretailing

Get your mobile


next door!
Vijay Menon, CEO, MobileNXT gives
insight into the retailing world of mobile.
Sandhya Patil reports

Tell us something about The MobileNXT. opportunity to set up a store in store/ shop-in-shop
MobileNxt was started two years ago by me and my format in their outlets. However for us, all the formats
friend and colleague, Romy Juneja. We met each other add value to our company.
while working at Motorola. We found that the stores in
tier 2 and tier 3 cities did not offer accurate service to the How does a ‘one-stop mobile solution shop’
customers. They did not have right range of models, structure work towards the growth?
right kind of ambience, right kind of salesperson, and so We discovered that the consumers used to go at different
on. So we decided to start our business by setting up places to buy new connection, mobile handset,
stores in these cities of India because, the metro cities accessories and so on. Therefore, we thought to bring all
already had such stores that were catering to the these services under one format of one-stop shop with
consumers there. So this was how the genesis or the idea the choice of multiple brands. Apart from this we also
was born in November 2005. The company was offer our customers various other gadgets like iPOD,
registered in February 2006 and our first store was MP3 players, and so on. We have also created a choice for
launched in April 2006 at DT Mall in Gurgaon. Till date our customers to buy gaming devices from our store.
we have 50 MobileNXT stores across the country.
Whereas, in the tier 1 cities of India ñ Mumbai, Delhi, Elucidate on the complete telecom solutions
Bangalore, Kolkata ñ we have tied up with various big and services that you offer? Do you have tie-
retail chains like Shoppersí Stop and many more. ups with any mobile brands?
From providing the range of mobiles, accessories, and
Explain the formats in which the MobileNXT the related services, we also offer knowledgeable sales
works. According to you which format brings people (store executives), who help the customers
in more profit? through a buy decision. These store executives are
The first type of format is stand-alone stores, which are trained consultants. You will find at least four store
mainly found on the high streets or in the shopping executives and one store manager across each
centres. These stores are owned and operated by us.
Sometimes they are franchisee-owned but operated by Vijay Menon at the store

us. The second type is the shop-in-shop format, wherein


we have our outlets at big retail malls. The third format
is enterprise store. We pioneered this type of format,
wherein we establish our store in big corporations. We
started stores based on these formats in the corporate
campuses of Motorola in India, TCS, and so on. These
stores do not operate everyday. They operate once in a
week or fortnight. Lastly, the virtual store format is
something that we have online. Consumers can buy
accessories or mobile phones and even the services of his
choice by logging on an online MobileNXT store.
Earlier, we started with just the stand-alone format.
But as our business evolved, the other formats came
subsequently to us. For instance, Shoppersí Stop and
Star India Bazaar (Tataís Trent Ltd) brought us an

RETAIL BIZ APRIL 2008 39


MOBILEretailing

The MobileNXT Store

MobileNXT store. We also have ëvalue-addedí offers for Tell us something about the process of
our customers. We have tied up with major national logistics and distribution and the supply
operators like ñ Airtel, Vodafone, Idea, Reliance, and so chain that you follow.
on. And on the other hand, we have tied up with major We are building up critical masses in six states in India.
mobile handset manufacturers like ñ Motorola, These focus states are Karnataka, Tamil Nadu, Bihar,
Samsung, Nokia, Sony Ericsson, and so on. We buy these Punjab, Haryana and West Bengal. These states were
handsets from the national distributors rather than chosen by using scientific method of market potential
buying from the local distributors. For instance, we buy value and were recognised as the high potential states
Nokia handsets from ACL, who is the national by this study.
distributor. Samsung does not have a national Using these data we have expanded
distributor, but a regional distributor. So, mainly the idea our business. We have built the distribution hub in each
is that we buy the products from the highest level of the of these states. We get the materials from the
manufacturersí distribution channels. Sometimes, the manufacturers in this distribution hub and then we feed
manufacturers admit their promoters to the store. it in our stores. We will also move onto states like
Maharashtra and Andhra Pradesh very soon.
What makes you different from your
competitors? What are your future plans of extending your
An important factor that differentiates us from our retail store chains in India?
competitors is our presence in those geographies, where We are planning to spread our business by starting 500
they have not yet reached. We offer the consumers from MobileNXT chains of stores across India by 2010. This is
these geographies (tier 2 and tier 3 cities), the experience our ambition and we are aggressively working towards it.
that they never had before. We get almost 30 ñ 35 per cent I think there is a huge opportunity in our country
of repeat customers to our store. Though we are not in every sector.
running any CRM programme or loyalty programme, we Organised retail is a booming sector and telecom
have the customers coming to our stores. The reason sector is also on its high. We see a huge potential for our
behind this is that our customers like our store, our business on both the organised retail side as well as the
service and so on. I believe the kind of branding with the telecom side.
experience that we offer to our customers make us more We are really very excited with such opportunities. We
promising and different in their eyes. We at MobileNXT have also picked up the franchising programme very
understand your needs and help you to make a assertively to bring the entrepreneurs to the small towns of
buy decision. India and work with us.

40 RETAIL BIZ APRIL 2008


BRANDwatch

Up for grab
Retail Biz gives you a low-down on the new products
in the market

Indian brand, Italian designs boutiques across the city. This high quality designer
fashion jewellery designed in Italy is now available all
over India at affordable prices.

Timepiece from Raga


Titan launched its new collection of Raga Crystals
watches. Raga is Indiaís only woman watch in India. This
collection includes two ranges of watches ñ Venus and
Fairy Dust.
Add a touch of sophistication and glamour to your
wardrobe with Venus ñ a unique new watch by Raga
Crystals. This exquisite crystal studded design is inspired
Apriati launched its accessories designed exclusively for by the first star that dazzles your eye. An elliptical dial
an elegant and sophisticated woman recently in the adorned with a promenade of crystals gives this
presence of its brand ambassador, Malaika Arora Khan. timepiece a very modern appeal. The watch is named
The financially smart independent woman of today looks after the Roman goddess of love and beauty.
at jewellery purely as a fashion statement ñ as a reflection Look your stunning and glamorous best with the
of the way she feels ñ Bold and Beautiful. new Fairy dust ñ a beautiful crystal studded watch by
Apriati brings to the fashion-conscious discerning Raga Crystals. Adorned with a delicate gleaming bracelet
woman a wide range of beautiful, unique and high-end and embedded with a unique stone dust dial pattern
fashion jewellery created by Italian masters known the
world over for their uncompromising quality and design
at highly competitive prices. Apriati knows and
understands the woman on-the-go and that reflects in
the jewellery it has designed.
You can shop this eye catching collection at the
Apriati boutique at Kemps Corner or at the soon-to-open

RETAIL BIZ APRIL 2008 41


BRANDwatch

specially handpicked by our experts keeping in mind


your taste and your budget. And it has been compiled to
make your home modern, warm, and as special as you
and your family.
Special Modular Kitchen:
A space that is closest and even sacred in the minds of
the Home Maker ñ The kitchen. Wide range of
configuration, styles and themes to suit the sense of
aesthetics. Exclusive Italian style kitchens available in
four premium options be it contemporary or classic. To
top it up all kitchen comes with three years warranty
Special Living Rooms:
A range of products introduced for the first time in the
country,.Italian scarlet sofa that will catch the eye to latest
makes it a classic creation. The perfect way to cast a spell European floral prints to enliven your living room.
on your special one! Veneers used in inimitable style in Marquetry Dining
Both the watches are available in yellow metal and range and Zebrano sofas. At Home Town; we have kept
bi-metal versions and are available at all the World of in mind the latest international trends for your needs
Titan showrooms as well as the leading multi-brand and preferences.
outlets and departmental stores across the country. So Special Bedrooms
the choices are unlimited! From contemporary Platform style beds with storage, to
Indianised Wardrobes; From Wenge finishes to suit
Interesting interior and décor products contemporary interiors to rich grain veneers;
And flooring, walls, furnishings, decor and lighting
solutions to match! At Home Town, we have kept in
mind the latest international trends and your needs and
preferences. Find everything you had in mind to make
your bedroom special!
Special Modular Wardrobe:
Wardrobes designed to your requirements, completely
customised to your entire familyís needs. Benefit from
its wall to wall and floor to ceiling construction ñ so that
your bedroom looks compact and you donít waste an
inch! Choose from more than 18 finishes, customise the
accessories from ëHisí and ëHerí consoles, size it to
match your space and create a design with the help of
trained designers that will truly reflect your needs. At
your doorstep, flat packed, straight from the factory, itís
assembled within two days. Whatís more, it comes with
a two year warranty.

Make your home special with HomeTownís all new range


of Home Interior and dÈcor products. HomeTown,
Indiaís most comprehensive home making/ home
improvement store from Home Solutions Retail has
come up with its new range to make your home an
extremely special place.
Special Homes:
You like your home to be special. At Home Town,
nothing pleases us more than giving you everything you So whatever it is that makes your home special, rest
need to make it so. From your living room to the assured you will find it at HomeTown.
bathroom, we have everything you need for every part of
your home. This catalogue showcases the choicest new Two to tango!
introductions we have, that are just waiting to become a Titan Nebula, the premium 18K gold watch brand from
part of your home. Every piece of this collection has been Titan, launched the Duet collection ñ three pairs of

42 RETAIL BIZ APRIL 2008


BRANDwatch

specially crafted speed and continuous auto-focusing to help you capture


gold watches for fast-action shots. This intelligent technology allows the
the wedding camera to quickly focus on fast-moving subjects by
season. predicting where they will be in the frame ñ and
Meticulously ultimately reducing shutter lag.
crafted in 18k gold, It is a ideal pick for adventure sports, school recitals
this collection is a and family vacations. Available at all leading retail stores
unique blend of and exclusive Sony outlets, the DSCñH10 also has
intricate gold additional accessories such as wide and telephoto
craftsmanship and conversion lenses, filters, batteries, travel chargers,
fine watch making sports packs and cases.
technology. Three Packing a power punch in the small sized camera are
pairs of gold some of very sharp and distinct technological features
watches present in which enable DSCñH10 to have a dominant edge over
leather and gold other models available in the markets.
straps, form the ” A powerful Carl Zeiss 10x optical zoom lens and long
collection. The dials come in various adorned looks with range flash, helps capturing distant images.
unique patterns and are ” Superior face detection technology, to identify and
embellished with an all focus up to eight faces in a frame which automatically
round engraved pattern adjusts the focus for correctly exposed photos
cases. The pair in an ” Advanced sports shooting mode which combines
all gold look comes high shutter speed and continuous auto focusing to help
with a gold you capture fast action shots. This allows the camera to
bracelet that focus on fast-moving subjects by predicting the frame
drapes beautifully and reducing shutter lag.
around the wrist. ” DñRange Optimizer (DRO) makes you capture
The Nebula balanced images when shooting in high-contrast or
collection has been backlit scenes. DRO modifies the range from highlights
so exquisitely crafted to shadows through its in-camera hardware processing ñ
that they can be the ultimately producing more natural, evenly exposed
perfect accessory for images
any wedding outfit. ” Built-in slideshow function for fun playback of
Each watch comes with a lifetime warranty and is photos. Create slideshows set to varied music options, of
designed to last for generations.
The collection is available in mother of pearl dials in
both champagne and white options. The collection is
available in all World of Titan showrooms across
the country.

Capture the action


Sony India Pvt Ltd, Indiaís leading consumer electronics
brand, launched its new high-zoom digital camera ñ the
Cyber-shot DSCñH10, an ideal choice for avid lovers of
photography. DSCñH10 is a delight to use as it combines
superior technical performance in a convenient, pocket-
friendly size enabling both photo enthusiasts and those
new to digital photography to capture incredible images
like never before. The 8ñmegapixel camera with its
powerful Carl Zeiss 10x optical zoom lens and a long-
range flash is perfect for helping you easily capture playing up to eight songs via the cameraís USB port.
close-ups, even from a distance. Its face detection ” A full 1080 high definition resolution helps connect
technology can identify and focus on up to eight faces in the camera to a compatible HDTV set
a frame, and automatically adjusts the focus for correctly
exposed photos. Scan ‘em all
The high-zoom camera includes Sonyís advanced Tired of long checkouts at retail counters? Unsure if your
sports shooting mode, which combines high shutter hospital/pharmacy is prescribing the correct medication?

RETAIL BIZ APRIL 2008 43


BRANDwatch

window systems which are going to compliment modern


office structures. They will not only add to the comfort
but also in turn lead to enhanced productivity.
Fenesta Building Systems (FBS), a division of DCM
Shriram Consolidated Ltd (DSCL), has introduced a wide
range of Fenesta uPVC (unplasticised polyvinyl chloride)
windows and doors especially designed for the lifestyle
and health conscious office population in the country.
The new state of the art Fenesta range is designed
and developed by FBS purely in India. The new range
will add both to the comfort and ambience of the modern
office atmosphere.
The new system has an international look and feel
and provides an exciting array of features for all
segments of work places that not only make them
economical but also viable. Some of these features are:
” Unlike Aluminum, UPVC is a non-conductor; it does
not transmit heat. This, in turn, saves energy. In
addition, Fenestaís triple sealing system does not allow
cold air to escape or warm air to enter. This results in
reduced air-conditioning bills.
These are issues of the past, as Intellicon launches two ” Office owners on busy streets can take advantage of
best-of-breed products from the stable of Metrologic the triple sealing system to completely obliterate noise
Instruments Inc, USA which will provide unmatched and dust, thus keeping the outside. Fenesta UPVC
performance due to their dynamic new design and windows reduce noise by as much as 30 decibels.
scanning throughputs. ” Fenesta UPVC require very low maintenance as they
The Metrologic MS7820 Solaris is a new vertical are termite proof, fire resistant and self-extinguishing
mini-slot scanner engineered to increase productivity and do not fade or discolour even in the wake of harsh
with an unmatched feature set. It is designed for retail weather conditions.
environments including convenience, liquor, speciality ” They are structurally strong and durable as they are
and grocery stores. steel reinforced. The strength of the UPVC windows
Solaris has been developed to increase system output helps in making the office structure more secure.
and lower the total cost of ownership. It scans the widest A recently launched new range of Fenesta Windows
range of barcodes from high density to poor quality have been precision engineered to counter wind loads of
codes. The Metrologic MS7580 Genesis begins a new era upto 3000 Pa (249 Km/hr). This new system is made
in barcode reading with 2D barcode reading capabilities unique by a special ëHurricane Barí to resist heavy winds
in a presentation mode. It is designed and a ëRain Trackí that drains rainwater outside thereby
for retail, healthcare, manufacturing and effectively preventing it from seeping indoors. The new
transportation industries. Genesis meets the marketís range offers latest styles like Slider-Casement
need for a bar code reader including those displayed on a
mobile phone screen for new applications like digital
boarding passes, event tickets or mobile coupons. Smart
and sophisticated, Genesis is going to change peopleís
perceptions about barcode readers.
For the second year in a row, Metrologic has received
the top score for its products according to the VSR POS
survey. Its barcode scanners finished first in each of the
five core areas of customer satisfaction: features,
innovation, reliability, pricing and service and support.
Both The Metrologic MS7820 Solaris and The
Metrologic MS7580 Genesis are available through
Intelliconís 15 direct offices and over 60 channel partners.

Home away from home


The search for aesthetically planned work places end
with the new world class engineered Fenesta UPVC

44 RETAIL BIZ APRIL 2008


BRANDwatch

been uniquely designed and handcrafted. Jaipur Gems


has turned its love for color and fashion into a sublime
collection of exquisite wearable art. This line offers a
wide variety of opulent and artistic floral styles for the
ageless women
The new collection brings in a refreshing feel to
fashion. Designed on the theme of flowers, this
inspirational jewellery is sure to add that element of
sparkle to your look. All pieces combine modern
jewellery design with classic elements, making each
piece distinctive.
The floral Collection at Jaipur Gems consists of
fashionable pendants, rings and earrings. This
inimitable line of high quality handcrafted jewellery with
flowers is made up with an eclectic mix of sumptuous
precious and semi-precious gemstones, diamonds,
citrines, amethysts and topaz set in white and
combinations and Tilt & Turn windows. yellow gold.
The steel reinforced Fenesta UPVC windows and What sets Jaipur Gems apart is the originality in the
door systems were first launched in India in 2003 in design, fine craftsmanship, best quality of gems and
technical collaboration with Spectus Window Systems, metals, making it the ultimate name in jewellery. The
UK, a pioneer and market leader having significant designs at Jaipur Gems have always reflected a statement
presence in US and Eastern Europe. of style and luxury to complement and enhance the look
When vinyl (main component of UPVC) was of the wearer.
developed, the scientists were oblivious of the fact that
their invention would come to play a vital role in our daily
lives-helping make products like UPVC doors/windows
that are simply superior. They were initially launched in
Germany and UK between 1960 and 1980 marking the
beginning of a new era in the housing and construction
segment. Later, the trend spread to France, Italy and the
USA and soon caught up with other parts of the world
like Middle East, Brazil and China. The world market of
steel reinforced UPVC windows and door systems is two-
thirds of the total market. Fenesta is committed to
continuously evolving its product range to meet the
changing needs of the Indian consumers.

Blossoms of eternity….

Jaipur Gems introduces its latest floral collection. Floral


glamour by Jaipur Gems, have intricately designed
creations in their ensemble and are a reflection of
tradition and excellence and are in tune with todayís
fashion and the times. One-of-a-kind ornaments have

RETAIL BIZ APRIL 2008 45


BRANDwatch

One of the designs from this stunning floral line available in a range of chest prints, auto stripers, cut
collection is the delicate pendant that is an amalgamation and sews in fabrics such as polo piques, sinckers, knits,
of green amethyst with citrines and smokey topaz, set in jaquards available in round necks as well as
yellow gold. It has fine diamonds placed on the eloquent collar options.
pendant which makes it look stylish and chic at any The exquisite summer collection by Cottons by
evening party. Century is 100 per cent natural cotton having excellent
Another elegant creation from this range is the perspiration absorbing capabilities and facilitates air
beautifully crafted pendant that is set in white gold with passage that provides comfort in handling the everyday
citrines and smokey topaz surrounded by diamonds in stress, keeping you fresh and cool. Each garment of this
the form of a petal. This stylish pendant is attached to a collection is sutured into skin-friendly, sheer fabrics that
white gold chain and can be worn to light up special ensure perfect relaxation despite the heat and humidity
occasions this summer. of Indian summers.
A symbol of eternity, a metaphor for purity, an
example or strength, thatís how Jaipur Gems is defined. Summer in capri
The inimitable collections at Jaipur Gems have opened a Leading menswear
mystical window to the fine and opulent jewellery that is brand, Turtle has
creating news far and wide. announced the launch
of its Spring Summer
Beat the heat Collectioní08, titled,
Enhance your style statement this summer with Cottons ëSummer in Caprií. The
by Centuryís latest cool spring/summer collectioní08 in collection draws
menís formal and casual wear. The collection for menís inspiration from Capri,
formal wear exuberates the summer freshness with a a small island in Italy
vibrant palette in solid blues, pinks, yellows and greens that is an oasis of calm
and many more colors beast suited from the and serenity.
male perspective. The collection
The collection of reversible shirts in vibrant stripes accordingly brings
and checks will definitely get your heart beat racing together a palette of
which are in regular as well as slim-fits and are well light, calm pastel
complimented by there 100 per cent cotton trouser shades with crisp cuts
range, in a variety of fabrics and finishes like ñ wrinkle and design lines. The
frees, dobbyís, satins , corduroys , silky denims which are collection has a spread
available in flat fronts and pleated trousers. of shirts, trousers, T-
The short and long kurta collection is also a product shirts and accessories.
which is popular for the variety of prints and ëSummer in Caprií
embroideries in cool summer fabrics and vibrant shades. reflects a sense of the
It will certainly add an extra zing the summer fashion. latest global style and
Also the summer sensation for men from Cottons by exudes subtle yet crisp
Century offers trendy new T-shirts priced encompasses cuts, designs, colours,
patterns and fabric that
function together to
create unforgettable
clothes with unique
detailing. The fabric
used ranges from pure
cotton to linen, voiles
and even poly satin.
While the collection is characterised by a vintage
charm, the detailing gives it a fresh timeless appeal. The
entire range has been conceptualised in an Italian
design studio. Summer in Capri is available at all Turtle
Worlds as well as at MBOís such as Pantaloons,
Shoppersí Stop, Globus, Indiabulls Megastore, Central,
and so on. The Spring Summer Collection from Turtle
promises to be a must-have in the wardrobes of
discerning men.

46 RETAIL BIZ APRIL 2008


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