Hasbro plans retail expansion

Hasbro Clothing, a Chennai-based apparel firm, plans to expand its retail network in Karnataka by opening 32 stores next fiscal.

The company, which markets menswear brands like Genesis, Basics and ProBase, presently, has 34 outlets across the four southern states and some northern and western cities. In Karnataka, it has two exclusive outlets, in Bangalore.

"Karnataka is witnessing a higher consumer spending. It is also part of the retail boom. We intend to open stores (1,000 square feet each) in Bangalore, Mysore, Belgaum, Hubli and a number of emerging cosmopolitan towns like Manipal," Hasbro Clothing Director Hanif Sattar said.

In Bangalore alone, 13 exclusive outlets have been planned. Gulbarga, Davanagere and Hassan are some of the other towns where company outlets will be opened.

The retail expansion in Karnataka is part of the company's Rs 45 crore plan to increase its presence across the country. It intends to open 120 stores in all the southern states from April 2008.

"Since we are from South India, the company's brands have a strong presence in the four states. We will continue to focus on the south for growth. The four southern states together generate 85 per cent of our business," he added.

The company is also looking at secondary and tertiary cities like Coimbatore, Madurai and Trichy to open retail outlets. Its products are available through 600 multi-brand outlets in South India, including LifeStyle and Globus.

The company registered a turnover of Rs 57 crore last financial year. This fiscal, it expects to touch Rs 70 crore. "Next year, we are expecting a higher growth owing to the retail expansion. We intend to touch Rs 92 crore next fiscal," he pointed out.

The company has already forayed into foreign markets such as Sri Lanka, Maldives and the West Asian countries. "The foreign operations account for close to 8 per cent of our total sales," Sattar said.

Hasbro has an apparel production unit in Chennai where up to 1.2 million pieces of shirts, trousers and non-apparel accessories are manufactured. "About 40 per cent of our requirements are met by the factory. The rest are sourced from other manufacturers all over the country," he stated.

The company is planning to launch new product categories in the coming years, including denims and accessories.