Wildcraft, an indigenous brand specializing in adventure and outdoor products, has allocated INR 80 crore to establish a warehouse in Sira, Karnataka, spanning over 3.5 lakh square feet, according to Gaurav Dublish, Co-Founder of Wildcraft.
In the coming 18-36 months, the brand aims to invest an additional INR 40 crore to enhance its production capacity adjacent to this warehouse facility.
“The funding for the greenfield warehouse came from internal accruals and available debt lines. By July, we plan to merge our four current warehouses, each spanning 1.5 to 2 lakh square feet, into the new facility, which boasts an area of 3 to 3.5 lakh square feet,” he stated.
“After achieving stability, we will initiate the second phase of the project. Once established, the project is expected to create job opportunities for approximately 5,000 individuals. This will also position us favorably for the next 5-10 years,” he elaborated.
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Currently, the brand’s production capacity is 5 million units, and it is operating at maximum capacity.
“We foresee the demand increasing to 10 million units within the next 2-3 years,” he clarified.
The brand features its own R&D lab and production unit, established in 2008. At present, 75 percent of its offerings are manufactured at its production facility, with 20 percent sourced domestically and the remaining 5 percent imported.
At present, the brand has a product lineup of 1,300 items spanning three categories: clothing, footwear, and accessories.
“Currently, accessories account for 50-60 percent of the revenue, followed by clothing at 30 percent, with footwear making up the remainder,” he stated.
“Up until 2018, 70-75 percent of our revenue came from accessories,” he added.
With its current network of 220 stores, the brand aims to inaugurate an additional 50 stores this fiscal year.
“Currently, we manage 160 company-owned, company-operated stores alongside 60 franchise stores. In the previous fiscal year, we launched 40 new stores. This fiscal, we intend to allocate INR 25 crore to bolster our offline retail footprint,” he elaborated.
“Of the 50 stores slated for opening this fiscal year, we will directly operate 35, while the remaining 15 will be managed by franchise partners,” he further explained.
The brand aims to achieve a total of 350 stores by the year 2026.
Currently, one-third of the brand’s stores are located in malls, while the remaining two-thirds are situated on high streets.
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“Our exclusive retail channels generate 25 percent of the brand’s revenue, online purchases account for 20 percent, and distribution channels contribute the remaining 50 percent,” he noted.
The brand is present in 7,500 retail outlets across 600 cities and is supported by a network of 140 distributors.
When questioned about the brand’s revenue growth, he responded, “As a privately held company, we do not disclose specific revenue figures. Nevertheless, over the past 10-11 years, the brand has maintained a growth rate of 25 percent CAGR with positive EBITDA.”