Salient points
- The newly launched Bags brand of Titan Company Limited aims to increase online revenue from 10 % to 40 percent by the end of the fiscal year.
- The brand plans to expand its physical presence by opening 35 stores in 10 cities, with an ambitious goal to achieve a total of 100 stores by the end of the tax year 2028.
- With the category of bags worth 6,000 crores, only 2,500 crores are organized, presenting significant growth opportunities for the new Titan Company Limited brand.
The brand of bags just launched by Titan Company Limited is observing to increase its online revenues from 10 % to 40 % by the end of this tax year, he told Etretail Manish Gupta, CEO – Fragrance and Accessories Division, Titan Company Limited.
In online space, the brand has an exclusive presence with Myntra for the next quarters together with its website.
“For Fastrack, 60-70 percent of the revenue comes from online channels. In the same way, we see Irh’s online sales in any place between 35 and 45 % by this end of the tax year,” he said.
In the space offline, it manages 7 points of sale owned by the company and managed by the company together with a presence in 140 departmental stores – buyers stop and lifestyle – in 25 cities.
The brand, which launched its first in October 2024, plans to make franchise by opening its first franchise outlet in the next four months.”During our first phase of expansion, that is, by this end of the fiscal year, we plan to open 35 stores. In exercise 27, we will add another 35 stores and, by the end of exercise 28, we plan to take the total count of the shops at 100″, he explained.
“The 10 initial brand stores will be owned by the company and managed by the company and will publish that 99 % of our stores will be managed by franchising partners,” he added.
The brand is watching to open its shops in 10 cities: Delhi, NCR, Mumbai, Punk, Ahmedabad, Bangalore, Chennai, Hyderabad, Calcutta, Lucknow and Chandigarh.
It provides for opening shops both in shopping centers and in the main roads.“Currently, all our shops are in shopping centers and an average shop in a shopping center extends over 500 squares and 700-800 square foot will be the ideal size of the shops on the main roads,” he said.
Speaking further of the Capex, he added: “We invest RS 7.000 – RS 7,500 for SQ.FT.”
The brand, which claims to enjoy a repeated tariff of 7-8 percent in its stores, offers 120 bags of bags, 20 wallet skus and 60 skus in further categories in offline space.
The brand, which has an ambitious goal for the RS 1,000 RS revenue clock, is observing to close this budget at RS 100 crores selling 3 lakh bags.
“According to our projections, we are on the track of 80 % and we will be able to achieve the tie and the sign of the revenue of RS 500 from FY 28 easily,” he said.
However, highlighting the scope of growth in the segment, he said that the opportunities in the category are immense.
“Currently, the categories of luggage and accessories are 18,000 crores – RS 20,000 crores per year, and within this, the category of bags is as large as RS 6,000 crores and only 2,500 crores are organized. Therefore, we have the opportunity to draw on the unsuccessful potential of the market,” he explained.
“We are ready to invest in a massive way in the future, as soon as these 10 markets in which we expand our offline presence, they begin to deliver very well,” he added.
