Go Fashion strengthens the presence of retail stores in small towns

Go Fashion (India) Ltd, headquartered in Chennai, plans to increase its offline retail presence in the northern and eastern markets, in addition to strengthening the number of exclusive branches in Tier 2 cities and 3.

“Currently, we have a strong presence in the south and west. We have also started to increase our presence in the northern and eastern markets,” said Gautam Saraogi, CEO of Go Fashion (India) Ltd. Activity area.

Go Fashion has a market share of over 8% in the women’s bottoms segment. The Company is engaged in the development, design, supply, marketing and retailing of a range of women’s bottoms under the “Go Colors” brand.

Store addition

In FY22, the company added 54 exclusive brand outlets to reach the 500 store milestone. The brand also has a strong presence in large format stores such as Reliance Retail, Central, Pantaloons and Unlimited, among others. Currently, 58-60% of Go Colors exclusive stores are located in Chennai, Bengaluru, Hyderabad, Mumbai, Pune, Ahmedabad, Delhi and NCR.

“We will continue to invest in expanding our store footprint by adding 120-150 stores each year. New stores will be in existing markets and we will also focus on expanding into Tier 2 and Tier 3 markets” , Sarogi said.

Some of the potential cities for Tier 2 store expansion include Bilaspur (Chattisgarh), Tezpur (Assam), Ahmednagar (Maharashtra), Dindigul and Dharmapuri (Tamil Nadu).

Strong offline recovery

Of the total sales, 97% comes from the offline channel, and within it, 72% comes from its own-brand stores, while large-format stores account for the rest.

Sarogi said the online channel has seen traction after pandemic-related restrictions. It now accounts for 3% of total sales and the company plans to push that number into double digits over the next few years.

“Our offline sales have also returned to pre-Covid levels. The first few months of the pandemic were difficult due to store operating restrictions. At that time, online sales did quite well, but now with the decline in Covid cases we are seeing offline sales making a strong comeback,” Sarogi added.

Published on

June 16, 2022

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