Selling design

Jindal Steel's lifestyle brand Artd'inox bags global orders as it plans local expansion.

There is hectic activity at Artd'inox, the lifestyle retail brand from Jindal steel. While it is expanding its presence in the domestic retail space, it has bagged prestigious "outsourcing" contracts from the likes of Ikea, an international home furnishing firm.

The company will supply nearly 40 lakh units of various products to Ikea, including a range of coasters, food dishes and table mats, before the end of 2006.

The tie-up, which fructified after a year-and-a-half of dialogue with the international firm, is "important for our growth and will be a sustainable business model", says Sugato Bose, head, Artd'inox.

What's more, the company is eagerly eyeing the hospitality business in the US and has just locked a $4.5 million deal to provide bath, home and office accessories.

"I can't name the hotel chain because we are bound by contract. However, under the 'single order' category, it is one of the biggest success stories," says Bose.

He adds proudly: "The deal was happening through global tendering and I'm happy to state, we beat companies from all over the world including China and Korea."

While nearly 70 per cent of Artd'inox's products are already exported to the US, UK and other parts of Europe, the company is now looking at supplying to a larger number of renowned international retail brands.

As far as domestic plans go, the company is planning to take the total number of its stores to 25 by the end of 2006, expanding across metros and even smaller cities like Nashik, Kochi and Chandigarh. It currently has four stores in the country.

"We usually invest Rs 50 lakh on every store and for every store we look at 3,000 sq ft space," says Bose, adding that the company will eventually look at franchisees.

Bose is tight-lipped on the size of Artd'inox though he says "the brand has grown by over 400 per cent".

To cater to future growth, the company plans to expand its production capacity by nearly 200 per cent at its Haryana plant, and upgrade the current facilities by investing Rs 5 crore.

Meanwhile, you could pick up a "premier designer range by a Swedish design house" from the latest "A" collection at Artd'inox, which launches new designs in the market every six weeks.