Globus has always been claiming to cater to fashion for a changing world, and it seems to have acquired its own entity and image to do away with Indian celebrity endorsements for its retail outlets.
The brand have always used young Bollywood icons such as Kareena Kapoor and Soha Ali Khan in the past, but now it is confident enough to hold its own ground as it has registered significant profits and sees no reason in appointing a new and expensive brand ambassador.
Vinay Nadkarni, Managing Director and CEO, Globus Stores, feels when the company was in its growth phase and needed the initial push, it was necessary to have a brand ambassador. However, the company has taken a decision not have one. The stores have also started making operating profits with a turnover of Rs 200 crore last year and now it plans to expand the number of stores from the current 26 to 30 stores this year.
Globus will be funding the operations through money from the promoters as valuations are not always right in private equity funding. It will spend Rs 4.5 crore on each store as it expands to new towns.
It seems, Globus may have taken a leaf from Pantaloon and Westside, as both these store brands have discontinued using Bollywood stars and cricketers for endorsements. While Pantaloon has discontinued with Bipasha Basu and Zayed Khan, Westside has done away with cricketer Yuvraj Singh in its campaigns. However, Future Group`s value format store Big Bazaar continues using endorsements from cricketer M S Dhoni and actor Asin.
Globus is planning expansion with outlets in Raipur, Vijaywada and Pune, targeting the youth markets. Continuing with the target group of 18-25 years of age, Globus has nearly 75 per cent of its merchandise coming from its private labels as it finds this strategy more revenue generating.