We expect 25-30% sales from Tier 2-3 cities in next two years: CEO, Bombay Dyeing
The leading home decor brand plans to set up 100 new stores in Tier 2 and Tier 3 cities
Published - 19-June-2018
Home décor brand Bombay Dyeing plans to set up 100 new stores in several Tier 2 and Tier 3 cities across the country over the next one year and is banking on the next wave of growth in these cities for this expansion plan.
“Currently, Tier 2 and Tier 3 cities contribute 10-15% of our sales. We expect this to grow to 25-30% over the next two years,” says Aloke Banerjee, CEO of Bombay Dyeing.
The company gets most of its e-commerce orders from Tier 2 and Tier 3 cities. “Therefore, we decided to go into an expansion mode,” said Banerjee. Bombay Dyeing is taking on an expansion plan of this scale after a hiatus of 5-6 years.
The company hopes to grow by 35-40% over the current financial year. A significant chunk of this growth is expected to stem from e-commerce. Bombay Dyeing is present on Amazon and Flipkart and has its own e-commerce portal as well. “We are already the number one seller of bedsheets on Flipkart. We hope to double our turnover on Flipkart this financial year.”
Along with the expansion plan, Bombay Dyeing recently introduced a new product: Customised bedsheets. The recently launched offering allows consumers to have their bedsheets digitally printed with images of their choice. The week-old offering has brought the legacy home decor brand more than 250 new orders from across India.
Most of the orders that the company has received are requests to have the family photo printed on the bedsheet, says Banerjee. People from metro cities, mini-metros, and B&C class towns have placed orders for the bedsheets which are priced at Rs 1,999.
Apart from the unique idea that makes the product very desirable, it is the pricing that has helped sell the product, says Banerjee.
Bombay Dyeing is generally perceived to be very expensive. “We kept the pricing for this product very sweet. Bombay Dyeing has bedsheets that range from Rs 700-Rs 4,000. We wanted to give an offer to the consumer that shows that we can give a fantastic product at a sweet price depending on what they want.”
For its current campaign, the company has leveraged TV, outdoor and digital, with 15% of the spend going to digital. The company very recently began using digital advertising and is already seeing great results, shares Banerjee.
The campaign video has been conceptualised by L&K Saatchi & Saatchi.For more updates, subscribe to exchange4media's WhatsApp Channel- https://bit.ly/2QUdLCK