# data[].attributes.attachment_link.title
How Hollywood’s biggest stars are losing their clout

# data[].attributes.attachment_link.description
Streaming has changed the economics of talent

# data[].attributes.body
https://economictimes.indiatimes.com/industry/services/retail/retailers-on-expansion-drive-as-sales-return-to-pre-pandemic-levels/articleshow/87631445.cms

# data[].attributes.attachment_link.readable_text
ET Bureau
An industry executive said Reliance Retail plans to add over 1,200 new stores per quarter for the second half of the fiscal and further accelerate it next fiscal. It had added 813 stores in the September quarter against 123 outlets in the June quarter.

Leading brick-and-mortar retail players such as

Retail, Tata-owned

, Aditya Birla Fashion & Retail, and

plan to accelerate store expansion, launch newer formats and add newer categories as their sales reached or surpassed pre-Covid levels in the festive season.

All these companies shared rapid expansion plans for this fiscal and next in their earnings calls after the September quarter results. Others like Landmark Group, Nike, Puma, Levi's, Skechers, Biba and Blue Stone too are looking to expand as footfalls touched 90-95% of pre-pandemic level last month along with all-time high conversion rate across chains, industry insiders said.

"The sentiment has distinctly improved, we've seen demand which is buoyant, we've seen demand come back in a big way across the country," Reliance Retail chief financial officer Dinesh Thapar said in an investor call. "We've had a good festive season, and I think relaxation and confidence on vaccination has really meant that many more people are out shopping, across our stores."

He said fashion and lifestyle, the firm's most profitable category, has come back to growth and the company has started rapid infrastructure expansion. India's largest retailer's revenue surpassed pre-Covid level in the September quarter.

Trent chairman Noel N Tata in an earnings release said the fashion business has recovered sharply and is now back to operating profitability. He said the company will focus on expansion of Westside, Zudio and also food retail Star.

Both Reliance and Tata did not share future expansion numbers, and emails sent to both companies remained unanswered.

An industry executive said Reliance Retail plans to add over 1,200 new stores per quarter for the second half of the fiscal and further accelerate it next fiscal. It had added 813 stores in the September quarter against 123 outlets in the June quarter.

Shoppers Stop is launching a new chain of standalone beauty stores with plans to open 20 of those and 10-12 eponymous departmental stores in the next two years, its managing director Venugopal Nair said.

Aditya Birla Fashion & Retail (ABFRL) will open 100 new Pantaloons stores annually for the next couple of years, against 60 this fiscal year, besides more than 100 new stores in ethnic wear. It also plans to launch a new menswear brand this month and expand further through franchisee route across brands.

"The businesses' organic capacity to generate cash is very, very high, and our growth we had held back for the last 18 months... You will see a very different trajectory on the growth side as we start to play out the game in next 6 to 12 months," ABFRL managing director Ashish Dikshit said in an earnings call.

Both ABFRL and Shoppers Stop have reached pre-pandemic levels of sales during the festive season.

Most retailers have reduced their debt with cash flows improving and expect debt to come down further, aiding their growth plans.

ABFRL's consolidated net debt as of September was Rs 873 crore, lower by Rs 327 crore from June, due to sharp business recovery. With the festive season sales, it has further reduced debt to Rs 450 crore.

Shoppers Stop has reduced net debt to Rs 62 crore in September quarter from Rs 96 crore in the June quarter, and expects to be debt free by December end.

Retailers, especially those in fashion and lifestyle, had to shut several stores and lay off employees in 2020-21 due to massive drop in sales and mounting debt with consumers remaining largely confined at home due to the pandemic and extended government restrictions including mall closures.

However, some deep-pocketed retailers including Reliance Retail, Tatas and Aditya Birla Group continued expansion in the midst of the pandemic.

Now they are accelerating the pace, and many others are joining the party.

Devaranjan Iyer, CEO of Lifestyle Stores, said the chain is continuing to strengthen presence across key markets in India.

One constraint some retailers face is that rentals have started rising in tandem with business recovery.

Rents could surpass pre-pandemic levels in the next few months, industry executives said.

"Post-Covid recovery has increased real estate prices," said Neville Noronha, CEO of DMart chain of supermarkets. He declined to comment on expansion.

Shriram Monga, principal consultant at retail real estate firm SRED, said even cinema operators such as

, PVR and Miraj are looking to expand as consumers have started thronging the malls once again.

"This rebound has led to fear of increasing prices for properties and since most brands can expect consistency in sales, they are keen on expanding at current rates," he said.

Most retailers' future expansion thrust is more in smaller towns where the consumption recovery has been faster and penetration of modern retail is lower.

# data[].attributes.attachment_link.title
Retailers on expansion drive as sales return to pre-pandemic levels

# data[].attributes.attachment_link.description
Leading brick-and-mortar retail players such as Retail, Tata-owned , Aditya Birla Fashion & Retail, and plan to accelerate store expansion, launch newer formats and add newer categories as their sales reached or surpassed pre-Covid levels in the festive season. All these companies shared rapid expansion plans for this fiscal and next in their earnings calls after the September quarter results.

# data[].attributes.attachment_link.readable_text
Sign up for alerts from The Irish Times

Just click on "Allow Notifications" on the message appearing on your browser to activate them.

We will send you a quick reminder in the future, in case you change your mind.

# data[].attributes.attachment_link.title
Adidas aims to cut out retailers in renewed push for growth

# data[].attributes.attachment_link.description
Sign up for alerts from The Irish Times Just click on "Allow Notifications" on the message appearing on your browser to activate them. We will send you a quick reminder in the future, in case you change your mind.

# data[].attributes.body
Find news from 2021 or 2020 about an issue connected with PLACE of the marketing mix.

If you look carefully you should be able to see an option to leave a link.

Also live your name on the post-it