Aditya Birla Fashion and Retail Limited (ABFRL), announced its plans to set up a platform for foraying into the Direct to Consumer (D2C) business. ABFRL’s board of directors approved setting up a new subsidiary for building a D2C portfolio, an official statement highlighted.
The company will build a portfolio of distinct, new-age, digital brands across categories in fashion, beauty and other allied lifestyle segments, said a media release.
The newly incorporated entity will organically incubate and also acquire promising and scalable D2C brands. Other than providing growth capital, ABFRL’s proposition is built around its strong operational expertise where it will utilize its rich experience and capabilities to scale up this portfolio.
Ashish Dikshit, Managing Director, ABFRL commented on this move and said, “We are excited about the D2C opportunity in India. At ABFRL, we want to build the next set of iconic brands in the digital space as we evolve with our changing consumers. Leveraging our core capabilities around design, product creation, sourcing and brand building that have enabled us to create some of India’s most loved fashion brands in the offline space, we now wish to craft a blockbuster portfolio in the digital space as well. We are confident that this foray will successfully meet the aspirations of digitally native customers and also create long-term value for investors and other stakeholders.”
The company will now accelerate the process of building the D2C framework and identifying key talent for this play. ABFRL will look to tap into the broader tech ecosystem and collaborate effectively with its ecommerce partners, tech service providers, digital marketing agencies to scale this business rapidly.