Fashion etailer Myntra is getting back on profitability wagon with eyes set on omni-channel strategy and private labels.
The Flipkart-owned firm is planning to open its first offline store in the next 3 months. The store that will house Myntra exclusive brands is likely to be opened in New Delhi or Bengaluru.
“We are exploring omni-channel. We should be able to create a physical store in the next three months. We plan to launch omni-channel with our private brands — Roadster, HRX and All About You,” revealed Myntra’s CEO Ananth Narayanan.
The etailer understands that premium private labels will help the company to grow faster as compared to external brands that are widely available everywhere. With that goal in mind, Myntra is all set to seal a majority stake deal in Hrithik Roshan’s HRX brand.
HRX brand’s sales success convinced the fashion etailer to invest in it. Last year HRX’s sales volume was Rs.100 crore; this financial year the expected sales volume is Rs.300 crore.
Rajesh Narkar, Brand Director/VP Myntra Fashion Brands shared,
“This deal will add an attractive sportswear and lifestyle brand in our private brands collection. Indians are looking to become healthier, more active and want more choice. Leaving aside a few international sports brands, there’s a lack of choice for consumers in sportswear and lifestyle and there’s massive scope to build a large brand in this segment. Buying an equity stake in HRX will align our vision with HRX’s over the long term.”
Myntra is moving away from discounts and is focusing on profitability through diversification. Besides investing in private fashion brands and omni-channel, the etailer is also trying hands on different product categories.
Its home furnishing segment, which was introduced in April this year, is performing well.
“In just three months, home furnishing is about 1 per cent of the revenue and it’s growing at 50-60 per cent month-over month. We are looking at getting about 5 per cent of our revenue from home furnishing,” said CEO Narayanan.
The company is also drawing charts for its personal care and fine jewellery segment as well.
Editor team is specialized in introducing the marketplace content targeting the Indian online sellers. They plan and coordinate to bring the appealing content for the small businesses on how to partner with the e-commerce sites like Amazon and Flipkart and strategies for improving their online business.