The Mumbai-based footwear company Regal Shoes is aiming to double its exclusive boutique network of ‘Inc 5’ to 10 and of Regal showrooms from 16 to 20 in eight cities by the year-end. The shoemaker is also negotiating with the US-based Merrell Inc to introduce Caterpillar brand in the Indian market. To support the newly created channel of Inc 5, the company is also setting a semi-mechanised plant by January-end 2002 in Mumbai which will manufacture 1,000 pairs a day.

Says Mr Shiraz Lalani, manager, marketing, Regal Shoes: ‘‘Caterpillar has floaters and casual shoes, priced over $50. We’re trying to arrive at more India-specific pricing: like a pair of floaters will be priced at Rs 2,500 against the usual Rs 4,000.’’

Regal Shoes also markets foreign shoe brands like Floreshiem (Rs 1,995-Rs 9,000), targeted at corporate executives and party-goers and Francschetti (Rs 14,000-Rs 16,000), targeted at males over 50 years.

Says Mr Lalani,‘‘In a sluggish market environment, we would like to maintain our turnover of Rs 30 crore (2000-01) this fiscal — though profitability is expected to be affected.’’

Regal Shoes is design-testing a third brand for ladies called ‘Lemon’, which will be sold through ‘Inc 5’. ‘‘We’re also looking at another pretty, bridal branded shoes which can be worn for evening parties at a price point of Rs 1,800-Rs 2,500. ’’

Currently, Inc 5 has two ladies brands Fruit (priced at Rs 700-Rs 1,700) and Rasberry (Rs 800-Rs 1,500). The store-only labels are sold on the proposition of ‘style and attitude’. Inc 5 labels create around five new designs a month compared to 8-10 designs a year under the Floresheim brand.

Regal Shoes’ retail network is operated and managed by franchisees while the retail space, store stocks and inventory is owned and developed by the company. A typical Inc 5 outlet is expected to take floor-space of 1,200-1,400 sqft with an investment of around Rs 40-50 lakh.