Archies to scale up globally in UK, US, SEA Australia; new retail concepts underway

The gifting company is gearing up for its next big leap with a revamped website, ambitious global plans, exciting new store formats, and a range of fresh products

Bengaluru: Once, in the age of handwritten notes, when WhatsApp didn’t exist and wishes weren’t just mindlessly forwarded, greeting cards were cherished tokens of affection. Colourful, creatively shaped, and often hiding a pop-up surprise, these cards had the power to make hearts skip a beat and were treasured for years.

Archies was an undisputed star of this era.

Its journey began in 1979 when Anil Moolchandani, now Chairman & Managing Director, received his very first order worth Rs 12 from a customer in Lucknow. What started as a modest social expression venture snowballed into something much bigger in the blink of an eye.

By 1984, Archies inked its first international licensing deal with Walt Disney, bringing Mickey Mouse and Donald Duck to Indian greeting cards. The brand launched its first state-of-the-art concept store Archies Gallery in 1987 at Kamla Nagar. By 1993, it had celebrated the opening of its 100th store.

Fast forward to today, the Delhi-based company runs over 550 stores across 66 cities – a mix of 250 company-owned outlets and 300 franchises. Its merchandise took a wise turn, offering all kinds of gifting items once the digital era began.

Now, Archies is gearing up for its next big leap with a revamped website, ambitious global plans, exciting new store formats, and a range of fresh products, all part of the blueprint.

In an exclusive interview with IndiaRetailing, Varun Moolchandani, Executive Director at Archies, sheds light on the brand’s transformed business model, category expansion, upcoming retail formats, global expansion and more.

Edited excerpts…

How would you compare the OG Archies, known for greeting cards, with today’s gifting-focused company?

We started with printed products, primarily greeting cards. The response to this category was overwhelming. We offered a wide range of cards for Indian festivals like Diwali and Rakhi, as well as global and emotional occasions such as Valentine’s Day, Mother’s Day, Daughter’s Day, Friendship Day, birthdays, anniversaries, and more. 

• In 1990, the company was incorporated as Archies Greetings and Gifts Private Ltd. As customer demand grew through the ’90s, we expanded its offerings to include a variety of gift items, marking its evolution into a full-fledged gifting brand. 
• By 1995, it was renamed Archies Greetings and Gifts Ltd.
• In 2000, the brand took its first digital leap with the launch of an online portal, tapping into the rising popularity of e-cards and online gifting. 
• Two years later, in 2002, it rebranded as Archies Ltd, aligning its identity with its diversified product range and expanding business footprint.

What are your current distribution channels?

We operate through multiple retail channels to ensure widespread availability of our products. Offline, the total retail touchpoints will be close to 2,000.

Firstly, we have our own company-owned stores and a network of franchised outlets across the country. Secondly we work with independent gift retailers, typically mom-and-pop stores, in the general trade market. Thirdly, we are present in modern trade, particularly in North India, where we supply to a range of supermarkets and hypermarkets.

Furthermore, our products are available on major online marketplaces such as Amazon, Myntra, and Flipkart. These platforms carry our core product categories for customers who prefer digital shopping. We also have our own e-commerce platform (archiesonline.com) which has recently been revamped.

Another major channel we have over the past two and a half years is the quick commerce space, partnering with BlinkIt, Zepto, and Swiggy Instamart.

What proportion of your sales comes from online vs offline?

Currently, around 90% of our sales come from offline channels, while about 10-12% comes from online. By the end of this year, we expect the online vertical to contribute around 20-25% of our overall business. This growth will mostly be driven by our revamped website and quick-commerce channels. 

Which market is witnessing the highest growth?

The southern market undoubtedly holds immense potential. While our physical presence in regions like the South and East is currently limited, this gap is effectively bridged by our partnerships with Q-commerce platforms, through their extensive network of dark stores across India.

How many SKUs do you offer across all categories?

We offer around 3,500 products across greeting cards for various occasions, gift items, wrapping papers, gift bags, stationery, personalised gifts, and home décor. 

Will you be foraying into any other categories?

We are currently placing greater emphasis on the kids’ category. While India already has a strong focus on kids’ health, hygiene, and baby grooming products, we see an opportunity to expand gifting options specifically made for children under the Archies brand. 

Moreover, we are developing a new range of home décor gifts, featuring designs inspired by Korean aesthetics. Our team is actively working on this collection, which we plan to launch later this year.

When do you see the biggest spike in customer activity?

If we look at the top-performing festivals, Rakhi ranks number one for us, followed by Diwali, Christmas, and New Year. We treat it as a single festive period since the celebrations are closely spaced over five to six days. Among international occasions, Valentine’s Day is our biggest, followed by Mother’s Day.

What are the current formats of offline stores?

We operate multiple store formats, including kiosks and larger format stores. Our artist stores are branded as Flash Artist, and within modern trade, we have kiosks operating under the shop-in-shop model. The average size of our stores ranges from under 250 sq. ft. to 1,500 sq. ft., depending on the location and format. 

Currently, about 70% of our business is generated from high street markets across India, while malls contribute roughly 30%.

Any new formats coming up?

By July, we plan to launch 3-4 new format stores called Archie’s Express, which will focus on offering affordable products with fast-moving inventory, ensuring quick stock replenishment. 

Archie’s Express aims to provide everyday essentials at lower price points, catering to customers seeking value and convenience. While the product range will be similar to other stores, this will emphasise a more economical selection, featuring lower ticket prices but higher sales volumes.

We are also planning to open large-format kids’ focused outlets featuring activity zones and dedicated indoor play areas where children can enjoy birthday celebrations, games, and more.

Has Archies established its presence in any global markets?

Yes. Last December, we launched our presence in the UAE market, including Dubai, Abu Dhabi, and Sharjah, through our local partners. Leveraging their network, we plan to expand to Kuwait, Saudi Arabia, Bahrain, Qatar, and Oman by this summer, ideally before August. Our online and offline channels are both operational in these regions. 

Our brand benefits from the large Indian diaspora in the Middle East, many of whom have grown up familiar with Archies. This nostalgia and brand recall creates a strong demand for both Indian festival products and international gifting ranges, making it a win-win situation for us and the consumers.

Do you have plans to tap into any other markets?

We continue to focus on our international growth, which is a major part of our future strategy. We expect to complete the first phase of this expansion, covering the shortlisted countries, within approximately a year and a half.

We have already signed an agreement with a major group in Sri Lanka, with our first shipment scheduled for this month. 

Looking ahead, we are targeting Southeast Asia, including Thailand, Malaysia, Indonesia, Singapore, and the Philippines. We plan to establish a presence in these five markets by October at the latest.

We are also in discussions for expansion into the UK and the US. We currently have two partners ready to launch in the US, pending clarity on tariffs between India and the US. The UK is a crucial market, especially with the new trade agreements providing greater opportunities. Finally, we have a project underway in Australia, targeting the Indian diaspora there, with plans expected to progress by December.

Which channels will support your global entry?

We are mostly targeting general trade gift shops, as well as large-format retailers like hypermarkets and supermarkets including chains like Carrefour and Target. 

We also plan to sell on online marketplaces such as Amazon US and Amazon UK, with all operations routed through our regional channel partners.

What are your retail rollout plans for this year?

We are planning to open approximately 25 to 30 new stores during this fiscal, with a strong focus on North India, especially Delhi-NCR, followed by markets like Uttar Pradesh, Jammu & Kashmir, Rajasthan, and Punjab.

Where does the company stand in terms of financial performance?

Our FY25 results are still awaited. In FY24, we achieved a turnover of Rs 80 crore with a profit (PAT) exceeding Rs 8 crore. 

FY26 has just commenced, and we are currently tracking a growth rate of 20–25%. With ongoing expansion across both online and offline channels, we aim to sustain and gradually accelerate this growth momentum in the years ahead.