Lifestyle International, part of the Dubai-based Landmark Group, is poised to register an 8-9 per cent growth in revenue over the next few years, which it feels will be in line with the trend in the industry.
Vasanth Kumar, managing director, Lifestyle, told Business Standard that prior to the slowdown, the Rs 40,000 crore premium apparel market in India was registering a 10-11 per cent growth and the company’s top line expansion was also in sync with industry trends.
“Over the next two years, I think, we will have an 8-9 per cent growth, which is in line with the industry. We have been adding half a million customers every year and hope to maintain it,” he said.
According to Kumar, there hasn’t been stagnation in same-store sales the past six months. The company, which has a 10 per cent market share in the segment, has been registering sales of Rs 1,500 per square foot in its stores.
After its recent tie-up with online platforms Flipkart and Myntra, Kumar expects the company’s online business to contribute 15 per cent to its total sales in the next four years. Currently, online sales, primarily happening from the company’s own portal, make up only three per cent of its consolidated sales.
“Serviceability of pin codes has increased from the current level of 10,000 to 28,000 after the tie-up, and we will also launch online exclusive private labels that will be available on the platforms. We will open 8-9 new stores in malls as well,” Kumar told Business Standard.
Lifestyle will be focussing on same-city growth instead of entering new cities and towns, and new stores will be limited to malls only. It is present in 44 cities in the country with a total of 78 stores. Only three are standalone stores.
The Rs 4,000 crore company has been registering 10 per cent growth in its private label sales while sales growth of branded apparels have been in the 6-8 per cent range.