Spencer's plans 15 per cent growth in new retail space; large-format stores to drive business
The retail major is likely to add 2.5 to 3 lakh sqft retail space over the next two years, it said in its investor presentation report, adding the growth will be driven through the large-store format.
NEW DELHI: Spencer’s Retail, part of the RP-Sanjiv Goenka Group, has laid down its future growth path, targeting 15% y-o-y growth in new retail space. The retail major is likely to add 2.5 to 3 lakh sqft retail space over the next two years, it said in its investor presentation report, adding the growth will be driven through the large-store format.
The retail major also pegs the online penetration in India will reach 10.7% in FY24 as compared to 4.7% in FY19. “There are a lot of opportunities for e-retailers in India to capitalise upon with the gradually growing internet penetration in India.”
Out-of-store channel will also be a key driver for growth for Spencer and Natures Basket, according to the company. It plans to service gourmet & international cuisine in existing geographies through Natures Basket and aims at making its gifting studio the one-stop destination for gifting solution across food & non-food categories in India.
The company has been witnessing strong growth in the omnichannel vertical, registering a 6.5x growth from 2019 and 4.5x growth from 2020. In fact, the share of omnichannel grew from single digit of 2% to double digit as a sustainable base.
“Continuous investments are being made in the online platform (deliveries through Ecomm/ Telephone/whatsapp/Chatbot) for enhancing consumer experience,” it adds in the presentation. “E-commerce will be the fastest growing channel for retail because of the ecosystem -- growing consumerism of the middle class, young population, access to technology platform,” said the company. ORIPL is an e-commerce company and 100%-owned subsidiary of Spencer’s Retail Limited.