According to a PTI report: Lots Wholesale, which opened its second cash & carry store in Delhi NCR on Thursday, said for the next 2-3 years the company would continue to add more stores in North India as a part of its expansion plans and intends to have a national footprint in 10 years time.
Besides, the company also plans to adopt Omnichannel system integrating online sales channel with its brick and mortar stores and also is open to explore the idea of having dark stores/ fulfilment centre in India.
We plan to become profitable in about 5-7 years, Tanit Chearavanont, Managing Director, Lots Wholesale Solutions told PTI.
The company, which started its operation in India in July this year, at present has a customers base of around one lakh members.
Cash & Carry, also known as wholesale trade, is fast emerging in India, where Lots Wholesale competes with players such as Walmart, Metro Cash and Carry and Reliance Cash and Carry, a unit of Reliance Industries Ltd.
On being asked about, Lots’ plan to open dark stores, Chearavanont told PTI:” As we continue with our business and grow our operations, and our volume, we could potentially look at something like that also.”
Lots, which has committed investment of Rs 1,000 crore in India to open 15 stores in three years, plans to add one store this financial year.
Asked about the investments Lots Wholesale Solutions has made in India so far, the company did not share the details.
Chearavanont, however, said it invests around Rs 60 to 70 crore for the opening of each store.
The company is directly sourcing from the farmers and would build its catchment based on the products available locally, said Lots Wholesale Director Operations, Business Development & Expansion Sameer Singh said.
“We are getting our supply chain in play. We would have it in larger piece once our demand aggregates,” he further told PTI.