RPG to set up more Giants in AP

RPG Enterprises is expecting to grow its retail business by more than six fold to Rs 4,000 crore by 2007 from the existing Rs 600 crore. The company now pins its hopes on the Giant Hypermarket brand to drive its ambitious growth plans.

It plans to increase the number of hyper-market stores to 14 from the existing one store, which was set up in the city two years back. It will set up these stores in nine cities across the country .

The company has already identified a 50,000 sqft second location in the city for its Giant store in the Sanathnagar zone, and is planning to set up two more Giants, one each in Vijayawada and Vizag. The company targets to reach a turnover size of Rs 2,200 crore from Giant stores alone by 2007.

"We are planning to increase the number of Food World stores by another ten in the next twelve months from the existing 21," Raghu Pillai, the president and CEO of RPG Enterprises (retail segment), told media persons here.

The company currently has 92 Food World stores in Tamil Nadu, Pune, Bangalore and Hyderabad. It currently earns Rs 400 crore turnover from Food Worlds, Rs 120 crore from Giant, Rs 60 crore from Music World stores and the rest from Health and Beauty stores.

The company also plans to increase the number of health and beauty stores to 200 from the existing 27 by 2007. It also plans to increase the number of Music Worlds to 100 in the next three years from the existing 23. Interestingly, RPG earns over 30 per cent of its revenues from the AP market.

"Hyderabad is the only city where all our four retail store brands are located," Pillai said. The company opened a 8,000 sqft flagship Food World store at SD Road on Wednesday.