Calcutta, RPG Cellucom India plans to invest Rs 500 crore to set up 500 retail outlets across the country this fiscal. RPG is the master franchisee of Cellucom, a $500-million retailer of telecom and IT products. Bengal will have 24 stores before the Pujas and 65-70 this fiscal.
“We will have 150,000 sq ft of retail space across the country and sell products of all major brands in telecom and IT. We will have three retail formats — flagship stores of 1,000 sq ft each, standalone outlets of 500 sq ft each and shop in shops. The funds will come from internal accruals of the RPG group,” said Sunil Bhagat, chief executive officer of RPG Cellucom India.
RPG Cellucom has 50 stores in the National Capital Region, Pune and Mumbai. The company expects an annual turnover of Rs 200 crore with a revenue of Rs 9,000 per sq ft each month. It sees 30 per cent of the revenue coming from IT products.
The venture will employ 2,000 to 2,500 people. Cellucom has about 80 stores in West Asia and Africa.
“Besides better pricing, we will try to introduce the latest telecom and IT products in the stores. Many telecom and IT companies have inventory problems. They have to clear stock before they can get fresh ones, most of which are imported,” Bhagat added.
So, RPG Cellucom customers will get the latest international range comprising entry-level phones as well as premium ones. RPG Cellucom has also started a loyalty programme at its NCR stores.
Calcutta and Durgapur will have 12 stores by July 15. Between July 15 and 31, RPG Cellucom is set to open 100 stores nationally and expects 65 per cent of revenues to come from smaller cities. Telecom and IT retailing comprises about 9 per cent of the total domestic retail market.
In New Delhi, where RPG Cellucom has about 300 outlets, it has a 22 per cent share of the market. Customers in Calcutta can look forward to special offers during the inauguration of the stores, as in other cities. The offers include free return air ticket within the country on purchases worth Rs 4,500 onwards.
Source: Calcutta Telegraph, India