Kiaasa Retail store expansion plan targets 250 outlets in India by FY29
Kiaasa Retail, an ethnic wear retailer listed on the BSE SME platform, plans to nearly double its store network by adding 67 to 70 outlets in the next two years using Rs 69.7 crore IPO proceeds. Chairman and MD Om Prakash said the wider goal is 250 stores by FY29, focused on tier II and III cities.
Business
Kiaasa Retail, an ethnic wear retailer listed on exchanges earlier this week, planned to expand fast. The NCR-based company aimed to double its sales network over three years. The goal was to reach 250 stores by FY29. Chairman and MD Om Prakash said listing funds would support store growth and working capital.
The company raised Rs 69.7 crore through its IPO. Kiaasa Retail was listed on the BSE SME platform on Monday. It had more than 122 stores across India at the time. Om Prakash called the listing a milestone for the business. The company operated in over 70 cities and 16 states.
Kiaasa Retail store expansion plan after listing
Om Prakash said the listing proceeds were meant for near-term store openings. “We plan to open another 67 to 70 stores in the next couple of years, for which we have raised this fund. However, we have a bigger vision for having a network of 250 stores by FY29, expanding more deeply inside,\” Om Prakash said.
Om Prakash described the current push as an early stage of growth. Kiaasa Retail planned this as the first phase of a longer journey. The company was mainly targeting tier II and tier III locations. Om Prakash said these cities formed the main customer base. The strategy aimed to deepen reach beyond large metros.
Kiaasa Retail growth targets and profit focus
On financial expectations, Om Prakash outlined a moderate sales target. Kiaasa Retail expected 10 per cent topline growth over the last year. \”We are also focusing on the bottom line by maximising the product portfolio and increasing the ASP of the products. So we are focusing more on increasing the bottom line than increasing the top line,\” Om Prakash said.
Om Prakash said the company may raise more funds later if needed. The aim would be smoother expansion and better product planning. \”So its just the beginning of a journey,\” Om Prakash said. The focus was also on meeting customer demand through tighter management. The company planned to scale without losing control of operations.
Kiaasa Retail online sales and exports alongside stores
Along with physical outlets, Kiaasa Retail planned to build other channels. The company was looking at online sales and the export market. \”Thats another part where we will be focusing on the MBOs part. Online, we have just started, and we have not yet done much on this part. So there are many other verticals that we can focus on,\” Om Prakash said.
Om Prakash said execution and basics would matter as Kiaasa Retail grew. \”Now we just need to keep the momentum but work on the basic things. While we have to work on building the blocks more strongly so that we can sustain in any period of time,\” Om Prakash said. The company said 90 per cent of stores were company-owned and company-operated.
Om Prakash said Kiaasa Retail was only five years old. \”Its just a five-year-old company. Its a brand that has grown just because of customers love,\” Om Prakash said. Om Prakash added, \”There is a great roadmap ahead and we just need to follow step by step and execute, be loyal to the customers and to the stakeholders.\”
With inputs from PTI