Kishore Biyani-led fashion discount chain Brand Factory is planning to ramp up its store expansion to take on major e-commerce players including Snapdeal, Amazon and Flipkart, who have made huge profits by offering deep discounts this festive season.
“Brand Factory is a big retail chain. Currently, we have 50 stores across 22 cities pan India. We are planning to open at least 6 more stores in this fiscal year,” says CMO, Brand Factory, Roch D’souza.
It seems, the Government’s decision to allow 100 per cent FDI in online marketplaces and restricting online retailers from discounting has further deepened the trust of discount chain in its model.
E-commerce Players v/s Brand Factory
But just when everybody thought that e-commerce sales have been put on hold due to the new FDI norms, some online majors restarted sale events, mostly betting big on the fashion category.
Amazon’s Great India Festival, Flipkart’s Big Billion Days and Snapdeal’s Unbox Diwali Sale were big hits among shoppers. The sites offered up to 70 per cent discounts this festive season in a bid to take on the competitors.
E-tailers clarified that the brief lull in sales, followed by a resurgence, was not due to the new FDI rules. They said that discounts during promotional events are offered by their sellers and not them.
However, Brand Factory seems to be unfazed by online marketplaces, since the chain offers discounts on more than 200 brands on display all year round.
“While these online players offer discount only during a specific period of year, Brand Factory offers 20 – 70 per cent discount all year round on brands. Sale on all the merchandise, during every season is our USP,” reveals D’souza.
He further adds, “Our customers consider Brand Factory as a destination of choice during every season. The consumers are confident of getting the best discounts and best deals during festive season too. Overall our sale has grown multifold over the last festive season.”
Catering to the demands of consumers from all age groups, the decade-old chain offers a wide range of Indian and international fashion brands at affordable prices.
“Our target customer is omnipresent. Merchandise available at Brand Factory stores includes men’s formals, casuals, youth wear, women’s wear, sportswear, kids wear, footwear, accessories and more. Anyone who enjoys good discount on latest fashion and hottest brands is our customer,” says D’souza.
Brand Factory: Confident of its Model
A few years ago, the market was flooded with many companies operating on discount chain model like The Loot, The Grab Store, Coupon, Megamart and Promart. But over the time, most of these companies have either exited the market or shut operations.
But Brand Factory feels its robust model has helped it grow over the years.
“Every company has different mode of earning revenue even if they are based on discount model. Our model is functioning very well. Brand Factory is a large format multi-brand discount store and has been growing at double digits year-on-year,” says Dsouza.
Brand Factory has recently introduced their new brand campaign #Dontgetfooled where the brand is trying to relate to all the street-smart customers.
“While we have actively promoted various deals and offers in the past, this attempt is to establish Brand Factory as a brand of choice for smart shoppers who are not willing to compromise on purchase of best brands. The Ad films showcase situations where the lead protagonist and the other character are equals in style and establish the protagonist as smarter of the two as he shopped for the same merchandise at a better price at Brand Factory. We have chosen the digital and cinema route as the former gives us virality and reach and the later is a great platform for storytelling and to reach captive audiences. Through this initiative we want to reach the youth,” concludes Dsouza.