Raymond readies to cook with Italian GAS

Raymond and Italian apparel brand Grotto SpA, through a 50:50 joint venture, launched the high-end fashion brand GAS in the capital. With the launch, Pradeep Bhandari, group president, Raymond, also announced an ambitious retail expansion plan. Besides launches in Mumbai and Bangalore, the company plans to have 600 selling points by the end of three years, which include 80 exclusive stores, 12 flagship stores as well as multi-brand outlets. Raymond expects a turnover of Rs 200 crore from its casual high-end fashion wear business by the end of three years.

Both Raymond and Grotto have collectively pumped in Rs 50 crore for business expansion. However, additional monies will be spent on brand promotion in mass media as well as below the line.

The price range of the GAS collection is pegged between Rs 1,800 and 6,000. The brand targets the cosmopolitan, international-trend conscious consumers and hence the steep range would be the least of concerns says Bhandari. Claudio Grotto, founder, chairman and CEO, GAS, is quite optimistic about the Asian market. “There is a lot of excitement in the Asian markets, especially in India. A lot of Indian young men and women are very passionate about fashion and I am sure they associate with the GAS’ essence of fashion.”

GAS had, in fact, recently opened a flagship store at Causeway Bay in Hong Kong. “Europe is a little quiet at the moment, though we are opening another store in London as well, but there is a great opportunity in Asia.” GAS is present in 56 countries and is available at 3000 selling points. When asked if the GAS would consider adaptations in its product range for India, Grotto says the GAS range reflects the global design and therefore it will continue to be just that.

Among its other plans, Raymond is keenly looking at the executive women wear segment. Though Bhandari did spell out its business plans, he says there is tremendous market potential in women wear. Also, Raymond has signed a memorandum of understanding with the National Institute of Fashion Technology (NIFT) for design inputs and tailoring support.

Source : http://www.dnaindia.com/report.asp?NewsID=1090444