‘Reliance Digital’ unveiled in B’lore

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Bangalore, Dec 24 : Reliance Retail Ltd (RRL) will set up 150 outlets of ‘Reliance Digital’, its consumer electronic concept mega store, across the country by 2011.

After inaugurating Reliance Digital in Banglaore, Ajay Baijal, president and chief executive - Reliance Industries (CDIT Business), said the company would invest around Rs 5-6 crore for an outlet covering approximately 20,000 sq ft.

Baijal said the current market size for consumer durable, home IT and telecom stood at Rs 70,000 crore and expected it to grow to Rs 1.4 lakh crore by 2011. The company is eyeing around Rs 20,000 crore business in these segments by 2011, he said.

“Despite rising real estate costs, we are confident of establishing 150 outlets within the timeframe across the country because consumer durable, IT and telecom market is growing at 20% with strong retail demand.”

Moreover, the weakness of dollar against rupee has increased the buying capacity in this particular segment, which would drive up the retailers in this sector, he said.

In Karnataka alone, the company will establish around 10 digital outlets in the next three years, he said, adding, “Around 20-25% of our stores across the country will be set up in metros while the remaining in Tier-II cities.”

To sell the company brand, he said several parameters including volume of sourcing, service-after-sales and price comes into picture. “Otherwise we are very open to doing things in applications like kitchen appliances, consumables like USB and memory sticks and accessories like connectors and cables,” he said.

He also indicated that the company would sell a few products with its own brand from next year onwards.

Reliance Digital in Bangalore covers an area of 23,000 sq ft and offers around 4,000 products spread across more than 150 brands.