Infiniti Retail, Tata group’s consumer durable retail venture, has signed a sourcing agreement with consumer electronics major Videocon for its planned private labels.
Venugopal Dhoot, Videocon Industries chairman and managing director has confirmed this and said that we have signed an agreement with Tatas to supply them consumer electronics for their private labels. This agreement is similar to the ones that Videocon had signed with Pantaloon and Reliance.
Conversely, Ajit Joshi, Infiniti Retail CEO has denied the development and said that there has been no alliance with Videocon. At present Infiniti has no private labels and until it builds sizable mass, it won’t introduce them.
According to the said agreement, Videocon would supply a range of goods to Infiniti’s Croma stores, including colour televisions, air conditioners, washing machines and DVD players, which will be sold under the Tatas’ private label.
Infiniti Retail has a technical and sourcing agreement with Australian retailer Woolworths under which it will own and run the retail operations in India, while Woolworths will provide technical support and strategic sourcing facilities from its global network. Videocon has similar arrangements to supply consumer electronic goods to Reliance and Pantaloon for retailers’ private label businesses.