Nilgiris which currently has 40 stores plans to have 500 stores by the end of 2010. Nilgiris is a 100 year old brand in Bakery, Dairy and Foods.
Nilgiris has appointed a professional design agency and a creative agency to draw up a new and a contemporary store design which will change the overall look of its stores in 3 months. Nilgiris will also make changes in its business model to suit to the changing dynamics of retailing in India.
Nilgiris wants to establish and strengthen its brand and presence in South India where it already has its presence established. Nilgiris has 2,000 employees and most of them will work on enhancing its back end. Currently, only 20% of products stocked in Nilgiris are own brands and the remaining 80% are FMCG products all approved by Nilgiris, which the franchisees purchase directly them from distributors. By investing in backend and doing bulk purchase for all their franchisees, Nilgiris will get a good chance to bargain and hence pass on the benefit to the consumer.