Welcome to the February edition of MRP (Maximize Retail Potential) targeted at helping professionals in the retail industry stay informed of the latest news and trends. The February issue focuses on private label strategies adopted by retailers worldwide and the lessons in store for Indian retailers. With budget around the corner, the issue captures the wish list of Indian retailers.

The country has a vibrant, vigorous and vivacious media, a pool of high skilled and technologically sophisticated labour, an independent and impartial judiciary and a robust legal infrastructure. Based on the successful companies that have enjoyed financial gain since the silent franchise boom, the future of Indian franchise is very bright and positive. At present, the government is taking keen interest in the development of franchise business and is considering enacting franchise laws SMEs have a huge potential to leverage this opportunity.

Retail companies roll out women-friendly initiatives to retain female staffers

Ashni Biyani took her baby steps in the corporate world when she had joined the Future Group as director of Future Ideas three years ago, at the age of 25. Biyani belongs to a growing club of women who are in senior positions across India Inc, endorsing what companies are now figuring out: hire and retain women because it makes business sense. However, part of the challenge organisations face is to retain women employees at mid-and senior levels, as they get tied down to domestic responsibilities. Companies are now rolling out women-friendly initiatives — from the option of working from home to relaxation rooms - to arrest this trend.

Retailers have posted a healthy increase in operating profit margins (OPM) the quarter ended September 2009. Sales of organized retail formats and brands have increased and hope to grow the next quarter.

As retail companies cut costs, slash headcount and learn to cope with weakening demand during the recession, software engineers at Tesco Hindustan Centre (HSC) were busy developing innovative solutions that helped Tesco generate millions of dollars through efficiencies in supply chain and other functions.

RPG Group is in “serious dialogue” with an international private equity partner with retail experience to offload 15-25% stake in Spencer’s Retail.

Reliance Footprint ties up with ASICS Corporation Japan, world’s leading sporting manufacturer

Reliance Footprint the footwear specialty store of Reliance Retail and ASICS Corporation Japan, one of world’s leading sporting manufacturers have entered into an exclusive partnership. ASICS has entered into an exclusive distribution agreement with Reliance Footprint. ASICS will be launched in India through a combination of EBOs and presence in Reliance Footprint stores.

Tesco, the third largest retailer in the world, is planning to open its first wholesale cash & carry outlet in India this year. "We will open our first wholesale cash & carry outlet in India this year," Tesco International and Internal Communications Director Greg Sage told PTI. Tesco already has presence in India through a joint venture with Tatas. These stores are located in Mumbai, Bengaluru, Ahmedabad and Chennai.

United Spirits, spirits arm of the UB group, has launched Spiritz & More @ House of Spirits, a liquor hypermall in partnership with Bangalore-based entrepreneur Subba Reddy. Spiritz & More @ House of Spirits will offer over 1,000 brands in the store. Some of the brands that will be available include Jura, W&M Special, Black Dog, Pinky vodka, Antiquity, Signature, Royal Challenge and other mid-segment and premium brands from the United Spirits portfolio.

Spanish porcelain maker Lladro is looking to expand into tier II cities. The brand wants to increase its presence and redefine its presentation by opening shop-in-shops and Lladro exclusive stores. The brand, at present, has nine exclusive stores and 25 shop-in-shops across India.

Several global companies from whom Wal-Mart Stores Inc., the world’s biggest retailer, sources consumer goods for its private labels business are seeking an entry into India to profit from the growing importance of organized retailing in one of the world’s fastest growing economies.