To lure more customers opting for lower-priced brands, Shoppers Stop can add ‘value’ stores.
The Economic Times, a leading business daily, has reported that the country’s oldest department store chain follows the lines of Tata Zudio and Landmark Group’s Max to capture a larger market especially in smaller towns.
It is being said that the first store with size anywhere between 7,000-8,000 square feet could open in the next three months. The report also said that Shoppers Stop may open first few of its value format stores in Tier-2 cities before taking them to metro cities.
The company has not said anything on this.
After three decades of selling premium apparel and lifestyle merchandise, the retailer is entering into the mass-priced segment.
Experts feel that Shoppers Stop’s competitors have demonstrated mixed success in the mass segment, and servicing this segment needs merchandising agility to respond to varying customer preferences across markets, as well as the financial ability to sustain and scale.
The value format segment is growing and during Covid-19, we have seen consumption increasing in Tier-2 cities. These cities also have grade-A malls now, offering retailers quality space.
