Eyeing Rs 1,800 crore turnover this fiscal, RPG group has planned aggressive expansion plans for its retail business.
“Last year, we achieved a turnover of Rs 1,000 crore. Our aim is to grow our retail business aggressively and achieve a turnover of Rs 1,800 crore this year,” RPG group chairman Harsh Goenka said.
Funded through both internal accruals and debt, the group plans to pump in Rs 1,000 crore as investment into its retail business over the next three years to fuel its expansion.
Goenka indicated that the company has virtually shelved its plans to go in for an initial public offer (IPO) this year.
“We have sufficient funds presently. We will go in for an IPO only when external funding becomes necessary,” he said, adding he did not foresee any difficulty in raising funds internally for expansion this year.
On the cards is expanding the network of Spencer’s stores. The store tally is expected to go up to 600 from the present 400.
The company is also concentrating on strengthening its back-end by investing considerably on IT, and is in the process of streamlining other business processes.
Last week, Indiaretailing reported about Spencer’s restructuring its Ghaziabad outlet at Pacific Mall, bringing it in sync with its flagship stores.
Anurag Rajpal, business head, apparel vertical at Spencer’s, told Indiaretailing that the store is one of the oldest outlets from Spencer’s and needed upgradation to deliver better services and experience to consumers. He informed, “We have our flagship store in southern Kolkata, and the Ghaziabad store has been brought in sync with it.”
Quizzed if the company is introducing a new publicity campaign too, Rajpal said, “The store will be open for customers from May 10, and an advertising campaign introducing the new look and the new experience of Spencer’s will begin in print media a day in advance.”
Rajpal had also informed that similar revamping exercises will be carried out whenever required.