Branded furniture retailers Style Spa, @Home, Tangent, Krome and Usha Lexus have set up shop in Pune, but the entry of Home Solutions Retail (India) Ltd, part of the Future Group, is expected to usher in competition in the segment with retail brands at every price point.
Home Solutions Retail is bringing its Home Town brand to Pune. This is a one lakh square format store that will be a one-stop destination to meet every need of an India home owner. We have picked up one lakh sq ft space at the Ishanya Mall and hope to take off sometime in April or May 2007. It will offer everything a home needs under one roof, Mahesh J Shah, head, furniture & homewares, Home Solutions Retail, said.
The Home Town format stores are coming up elsewhere too, with the first one coming up at Noida and in Ahmedabad, Shah said.
Pune is exploding. The citys consumers are young with good disposable income and we would like to be there to offer them products at every price point, Shah said.
Home Solutions is already present in Pune through the Big Bazaar network and the Central Mall. But going by the demand and response at these stores, the company is bringing in the stand-alone Furniture Bazaar that caters to the utilitarian and affordably priced value segment with store sizes of 6,000-10,000 sq ft while the Collection.i, a lifestyle furniture store targeting the upper end of the market with 10,000 -15,000 sq ft stores.
Furniture Bazaar has already come up in Pune and this is the fifth such store in the country. This format is banking on building huge volumes and offering customers value pricing by leveraging its sourcing.
This is a high volumes low margin business. We plan to open 25 stores by June and have a network of 100 stores in next five years, Shah said.
Collection.i will make an entry in the next couple of months, Shah said. The company expects its Home Solutions brand to do business of Rs 150- Rs 200 crore and become as big as the food and apparel segment.