Shoppers Stop recently opened a 50,000ft2 (4,645m2) store in Gurugram which houses high-end brands like Michael Kors, Kate Spade and Coach. Over the last year, the company has been upgrading existing stores and opening new format stores to cater to different customer segment. Shoppers Stop has set a target to open about 50 stores this financial year — 40 of these will be in the beauty space and 10 will be department stores. It will also be spending about Rs 150 crore as capex for this upgradation and new store launches. Over the last couple of years, private brands have helped the company rake in good growth and revenues. 12% of the company’s overall sales come through private brands space. In an effort to improve the brand mix, the company conducted a brand reshuffle — it exited 37 brands (17 apparel and 20 home) and added some other relevant brands. This change in strategy comes in the background of a consumption slowdown playing out in India. In the last quarter, Shoppers Stop reported a muted revenue and a -1% same-store sales growth. Shoppers Stop is also working on growing its omnichannel presence. Over a year after the Amazon deal, four of Shoppers Stop’s stores have become omnistores. The plan is to get that number to 20. Omnichannel makes up to 3% of overall revenues.
