Stats for LOOT[/b]
Concept: Multi-branded discount clothes and footwear
Territory: Nationwide Agreement
Term: 5 years
Number Of Units: 12
Investment Required: Rs 50, 00,000 to 1Cr Franchising
Commenced: 2004
The Loot Stores - The Loot is a leading multibranded discount chain, offering customers a wide range of formal, semi-formal casuals, sports categories of garments, footwear and accessories for men women and kids with discounts ranging. The Loots strength as a retailer lies in proper procurement and an excellent supply chain management. This helps in getting better pricing from the manufacturer and passing the benefit on to the consumer. The Loot, a Mumbai based multi-brand retail chain, has recently opened its store at Anna's Arcade, Spencer Junction, in Thiruvananthapuram. This is the company’s first store in Kerala. It further plans to set up a number of stores in Kerala via the franchise model. Jay Gupta, managing director, said the retailer recently took over 5 stores from franchisees when it found them unviable and then turned them around. “After we took over the stores, they are showing better results. It is actually the mismatch created by the franchisee or their lack of contribution. We may shut down 2-3 unviable stores, but this is not due to lack of footfalls,” Gupta said. Of its 98 stores, 65 are run by franchisees. “Of them, 50% are doing very well, 20% are average performers while 25% are below average. Loot India has also drawn up certain criteria for choosing its franchisees for future stores. The company started its operations in 2004 in Mumbai. Presently, it has 150 outlets out of which, 110 are franchisee owned while 40 are company-owned. The Loot operates via franchising as it believes that every city has different rules and regulations about which the local entrepreneurs are aware of, this is helpful for smooth functioning of franchised stores. The LOOT started in the year 2004 as a "Value Retail" format store, post the launch and the stupendous success of its first store, The LOOT has set up 25 outlets, and is working towards launching a new store every 15 days in Mumbai and other cities across India. The company is on track to achieving a total turnover of Rs.60 crores before the end of this financial year and aims to do a turnover of Rs.100 crores by 2009. The Company is opening one store a fortnight which is a record of sorts and by the end of year 2009 will have close to around 100 stores across India. The company will decide on its fund raising plans after reaching a turnover of Rs.100 crores to further increase its network to penetrate into B and C class towns in India.