Shoppers Stop India’s Largest Departmental Store Chain Reports Modest Growth

Hypercity Retail GrowthShoppers Stop Same store sales growth recovered to 4% in Q4 led by improved growth in March. Growth was strong in the apparels segment; from the geographic perspective, South and East witnessed stronger growth. The management expects same store sales growth to pick up further from the next quarter. Average sales per sqft was flat at Rs2176 in spite of a 2% increase in transaction size and 6% increase in average selling price. LTL volume decline was at 1.7%. Customer entry was down 4.4% on an LTL basis; this was the sixth consecutive quarter of LTL customer entry decline.

No new store was added in the (more…)

Shoppers Stop Growth in Single Digit – Expansion Continues

Shoppers Stop Growth DipsShoppers Stop (SS) departmental stores achieved growth of 8.4% YoY in Q4 FY 2014. East continues to be the best performing region with the highest growth rate. It was followed by north, south and west (in that order). Share of non-apparel category declined by 290bps YoY due to tepid sales of fine jewellery. While private label sales grew 11% YoY, mix decreased by 60bps as various competing fashion brands were being offered at a discount in Q4FY14.

Six SS stores have not met company’s criteria of achieving profitability within 24-30 months. Company is working on (more…)

Online Retailers Jabong, Myntra Stock A Season Old Products – Shoppers Stop

Shoppers Stop vs oNline RetailersIndia’s leading Departmental Retailer, Shoppers Stop management stated that online retailers generally offer products which are at least one season old. Further, the target customers for the online retailing are those who usually shop in shoppers stop during end of season sale. However, the online retailers have been offering huge discounts thus impacting brand image. Consequently brand owners (such as Madura and Arvind) have stated that they will become more stringent as far pricing of (more…)

Shoppers Stop – Tough Economy, Same Store Sales Muted

India’s Leading Lifestyle Retailer, Shoppers Stop’s same store sales growth remained muted at just 5%, despite of an extended sale season. Overall sales growth for the departmental store format was higher at 17% due to 11 new stores opened within the last one year.

Apparel Vs Non ApparelsApparels contributed 61.2% to total departmental store sales (flat YoY)—Men’s wear contributed 32.2%; good growth in sports formal (more…)