Future's two key biz gone; will Staples and Home Town go next? Daily News & Analysis Future Group will sell more businesses in a desperate bid to rein in runaway debt levels, say observers. PantaloonRetail is likely sell its stake in Staples Future Office Products, its joint venture with Staples Inc, by June 30 for Rs. 200 crore and in its insurance joint ventures with Italy's Generali Group by December for around Rs. 1,000 crore, it has been reported. A company source said that the group is in talks with Piramal Healthcare, Dewan Housing and some public sector banks for selling a 74% stake each in the life and non-life JVs. It also wants to sell stake in retail businesses like home and electronics where it has the HomeTown and eZone formats and in some joint ventures under listed entity Future Ventures.

Reebok fraud case: Adidas asked to file IT returns inIndia Economic Times Adidas, the German headquartered sports goods maker, has more problems on its hands than tackling the alleged fraud in its Reebok India business. The international tax division, a wing of the Central Board of Direct Taxes (CBDT), has asked the parent company to file income-tax returns in India as it reckons that Adidas is generating some of its income from the country, but not paying taxes here, according to an official in the income-tax department. The profits that the tax authorities are seeking to tax are independent of the income that the company earns from its two subsidiaries in India - Adidas IndiaMarketing Pvt Ltd and Reebok India Company. A notice has been sent calling for returns for the financial year 2010-11 (or assessment year 2011-12) and a letter has been sent seeking information for previous years. The move is the outcome of surveys conducted a few years ago where the department found some evidence of the global parent generating income in India, independent of its subsidiary, said the official in the income-tax department. However he did not disclose details of the business or activity sought to be taxed or the income which the tax authorities believe Adidas is generating.

FDI in multi-brand retail: Govt seeks support of allies, Opposition Business Standard Drawing flak for economic growth slipping to a nine-year low of 6.5 per cent in 2011-12, the United Progressive Alliance (UPA) government on Tuesday appealed to both allies and the Opposition to support it in opening the multi-brand retail sector to foreign direct investment (FDI). Commerce & Industry Minister Anand Sharma said that those who did not want implementation of the Cabinet decision on FDI in multi-brand retail should be respected but that those who supported the move should be allowed to do so. He appealed to parties across the political spectrum to help in the growth agenda. He said that the time has come to convert major economic reforms into policy initiatives and that he would continue with "consistent political persuasion" since more than half the states are keen on FDI in retail.

Promart plans to open 200 stores by 2013 mydigitalfc.com VEMP Lifestyle and Apple Group of Companies that acquired Promart last year from Provogue India, feel that the discount store format will work well in cities other than metros. Staying away from metros will help Promart keep the real estate and labour costs low, compensating for the low margins in the business. Promart, that offers 25 to 60 percent discount on lifestyle brands throughout the year, will be opening 200 stores by the end of 2013, while ensuring break-even of each store within one to one-and-half years. Promart is opening stores in cities like Bharuch, Bhavnagar, Vapi and Valsad. The company will open around 100 own stores, but in smaller cities it will look at franchising as well.

UK brand Pavers England added to Yebhi's shoe cart India PRwire Yebhi.com, India's largest home, lifestyle and fashion e-retailer has added the international brand Pavers England to its portfolio. Manmohan Agarwal, CEO BigshoebazaarIndia Pvt. Ltd (owner Yebhi.com) said, "The addition of Pavers England is a very important milestone for us as it is one of the most stylish brands in the market today. The UK-based brand Pavers England... is merchandised at 50% cost on our portal."

Longines holds back India expansion plan FashionUnited India Swiss watchmaker Longines, which has about 64 outlets in India, is holding back its India expansion plans owing to high duties and taxes on luxury watches in the country. Walter Von Kanel, President, Longines said, "As of now, we are not looking to invest any further." He also called for some assistance from the government to encourage foreign watchmakers to invest in India. Longines is part of the Swatch group.

Stanley Lifestyles initiates talks with L Capital to raise $ 20 million Hindu Business Line Nearly two years after it deferred plans to raise capital through private equity, Bangalore-based premium leather furniture and car seats maker Stanley Lifestyles is once again in discussions to bring in $ 20 million through PE infusion in 2013. "We have initiated discussions with PE fund L Capital, sponsored by the LVMH Group that invests in brands," Mr Sunil Suresh, CEO, Stanley, said. According to him, the money will be utilised in two stages. The first tranche of $ 10 million will be used for forward integration such as establishing new showrooms. The second tranche will go to fund backward integration.

News - Food, QSR

Devyani International cooks plans to grow retailbrands Hindu Business Line QSR (quick service restaurant) chain Devyani International (DI) plans to grow its Swensen's and Vaango brands through a market saturation strategy rather than expand rapidly across the country. Swensen's is a US-based luxury ice-cream retailing brand, while Vaango is a South Indian food retailing brand. DI is the master franchisee for Pizza Hut, KFC, Costa Coffee and Swensen's ice-creams in India, while it owns the Vaango chain of South Indian food outlets. The company plans to add around 140 stores at an investment of about Rs 200 crore in the current fiscal across its five QSR brands.

Trends

Woodland aims to be a carbon neutral retail chain by 2015 Economic Times Footwear and apparel retailer Woodland is aiming to be a carbon neutral retail chain by 2015, on the back of a slew of environment friendly initiatives. Woodland has roped in environmental consultancy firm NextGen to calculate carbon emissions at its current 350 stores. Woodland Managing Director Harkirat Singh said that NextGen was in the process of calculating the level of carbon emissions from electricity used at stores, diesel consumption of generators and fuel burnt by the staff when commuting. "We want all our stores to be carbon neutral retail chain by 2015," he said, by which time Woodland would have around 500 stores.

E-tailers go on a hiring spree Hindu Business Line Slowdown or not, Internet penetration in India has paved the way for online retailers' growth. To supplement this growth, the industry is looking for the best talent too. Fashionandyou.com, which has a staff strength of 800 people, plans to hire more than 400 people this fiscal year and will be seeking out candidates from Indian Institutes of Management (IIMs) and Indian Institutes of Technology (IITs). Yebhi.com is likely to add 2,000 people to its staff strength. Last year the online retailer added 1,000 people.

Electrolux inks 2nd licencing pact in India with Morf Business Standard Swedish multinational home appliances major Electrolux Group has entered into a licencing agreement with Chennai-based Morf India Limited to offer its range of water and air purifiers under the Kelvinator brand. The company currently has a licencing agreement with Videocon Industries to sell the Kelvinator brand of home appliances, including refrigerators and air-conditioners in India. Under the agreement, Morf has been licenced to market the Kelvinator range of water purifiers and air purifiers in Indiaand Sri Lanka. The products will be manufactured by companies approved by Electrolux in India and China.

MartJack collaborates with Junglee.com CIOL MartJack, a solution for merchants to build and manage their online stores, said that it has collaborated with Junglee.com to help consumers choose branded products from listed sellers. MartJack, an integrated payment, logistics and customer acquisition solutions, is already being used by top retailers, brands and manufacturers, the company said in a press release. Junglee.com is an online shopping service by Amazon which enables customers to find and discover products in India. Customers can discover over 1.2 crore products and 14,000 brands, and purchase items directly from hundreds of retailers listed on Junglee.com. The collaboration with Junglee will help consumers choose branded products from listed sellers including Martjack sellers/merchants registered on Junglee.com.

Insight

Resurgence In Demand For Luxury Goods KPMG Spending on luxury goods has bounced back to pre-recession levels. The recovery was propelled largely by the rising consumer spend in emerging economies, which has encouraged luxury goods manufacturers to adopt various initiatives to expand their operations in such countries. However, a few challenges remain. For one, many luxury shoppers in both developed and emerging nations remain frugal. Also, the increased trade in counterfeit luxury goods is a growing concern.

Analytics is a critical need for retailers to be future ready (Premium) - View Free Sample customers today have access to a wealth of information even before they begin their shopping. To offer them the right product mix at the right price and through the right channel, retailers should know what they value the most. Analytics can help them achieve this by delivering a smarter shopping experience and helping them build smarter operations, merchandising mix, and supply chain. Indira P Rani, Vice President (Distribution Sector) with IBM India/South Asia, talks to "images retail" about the importance of analytics to retailers .

Tips to sharpen your Shopper Research (Premium) - View Free Sample Moohlas are being spent behind decoding shoppers, Shopper research has sure risen to significance but as we pump in the monies, we also fight the many hazards that threaten to eat up the money. Right from wastage and spillover during research, to the risk of ending up with unyielding insights. Providing a solution to this plight we have some Shopper research experts hailing from leading research organizations. Read to know the tactics for effective shopper research.

Marketing your brand to the trade (Premium) - View Free Sample The eco system of brand marketing has one crucial aspect -the Trade, which includes the retailer and others who are involved in supplying your product. The success or failure of a product or brand depends on how well the trade positions your brand. Here's where trade marketing enters. And there are agencies, which help brands woo their trade better. Point of purchase delves deeper into this. While Trade Marketing as a concept has become quite an integral part of the brand marketing DNA, the concept sure has morphed, changed and had an overhaul owing to the changing times and dynamism of Indianretail. We thus probe this topic with a fresh outlook and quizzed some leading agencies who have built a strong forte in providing trade marketing services. We started off from the very definition and went on to know what they as agencies have been doing in this space for their clients. Read on to get an interesting account of Trade marketing.

Findings of the Checkout India 2012 Study on Indian Shoppers (Premium) - View Free Sample The Checkout India is a shopper study designed to understand motivations and attitudes, rituals, and other factors that influence shopping. The study was commissioned by The Integer Group India and conducted by Ipsos Marketing, India, in Q4 2011. With a population exceeding 1.2 billion, India is a large and diverse market. The Checkout India attempts to shed light on retail and shopping practices today. How do urban and rural shoppers shop similarly- and differently? What are the predominant Indian shopping style? What new retailpractices are emerging in this fascinating market?.