On Thursday, senior executives announced that Giordano, the retail brand, aims to achieve a twofold increase in its apparel business revenues in India by 2024.
The Hong Kong-based company, which re-entered the Indian market almost a decade later, is positioned to end 2023 with a revenue of INR 20 crore from its apparel business.
In 2024, Ujjval Saraf, the director of Brandzstorm India Marketing, Giordano’s partner in India, stated that the revenue from Giordano’s apparel sales is projected to increase to INR 40 crore, with the number of points of sale doubling to 100.
Ishwar Chugani, a member of Giordano International’s management committee, mentioned that the company currently operates 108 points of sale in Myanmar and views India as a promising market.
Saraf stated that the objective is to achieve a revenue of INR 100 crore from apparel sales by 2026, accompanied by an expanded distribution strategy encompassing exclusive stores, shop-in-shop setups, and online marketplace presence.
Currently, around 20% of its sales originate from online marketplaces such as Myntra and Ajio. Additionally, the company is exploring the possibility of launching a dedicated website to facilitate direct sales to consumers, according to Saraf.
Brandzstorm sources all products sold under the brand locally, and Chugani mentioned that the company is also aiming to enhance its reliance on India for global sourcing.
Historically, the company has relied on Vietnam and China for product sourcing, but recently, Bangladesh and India have been included as additional sourcing destinations, he noted.
Chugani mentioned that within the next two years, a quarter of the group’s total units will be sourced from India. He also added that for the Gulf Cooperation Council countries, the current 25 percent will rise to 40 percent.
When questioned about the re-entry into India, Chugani, noting the company’s previous presence from 2008 to 2012, stated that they have learned valuable and “expensive” lessons from that experience, which they are now actively avoiding.
During its initial venture, the company opted for independent stores in prime locations without a local partner. Additionally, it had a local unit head who was not based in India, as noted by Chugani.
Although the partnership with Brandzstorm was established in 2019, it only came into effect in 2021, Saraf mentioned. Currently, the collaboration has resulted in 50 points of sale spanning 13 states and 23 cities.
