Why Gen Z Loves Rareism?

It was an enlightening journey for Jyoti when she visited Japan between 2013 and 2015, wherein she discovered that Japan had a thriving beverage market that has no sugar and no added preservatives! The drinks were full of healthy nutrients! Observing the products at close range inspired her so much that she decided to launch a healthy beverage brand that was mindful of using natural ingredients. In the year 2021, Jyoti founded Teafit for those who were health-conscious.

The health beverage industry is estimated to reach $30 billion by 2026, which is triple the size of the industry right now. Demand for natural and premium products is rising day by day in the country, making the CAGR increase by 9.89 percent. Teafit is a D2C brand that serves beverages made with natural ingredients and no added sugar, focusing on health and wellness.

“At TeaFit, we are positioned to meet this demand by offering a range of beverages that are both delicious and crafted with a focus on health. Our products are made with natural ingredients, no added sugar, and are designed to provide functional benefits.” explained Jyoti Bharadwaj, Founder, Teafit. “Our USPs include being completely free from added sugars and artificial additives, which sets us apart from many competitors. Each product is crafted with care to ensure it supports wellness and fits into a balanced lifestyle.” 

Expanding Health Beverage Reach

Teafit has set its presence on offline as well as online platforms, although e-commerce platforms are the major source of sales for the brand. It emphasizes premium retail locations and health-focused outlets in the country. The brand had partnered with cafes and fitness centers as well, intending to make Teafit a staple health beverage brand.

“In the retail landscape, we at TeaFit have strategically positioned ourselves to reach health-conscious consumers across various channels. Our goal is to make TeaFit a staple for those seeking better beverage options, whether they’re shopping in-store or online, ensuring we’re available wherever our customers are looking for healthier alternatives.” claims Jyoti. 

The health beverage brand is present across urban cities, and also targets Tier II and III cities. It centers around health-conscious individuals, which encompasses a wide range of age groups, from young professionals to older adults. The brand is exploring the opportunity to enter the global market.

"We focus on several major demographics. Our primary target includes health-conscious individuals who are dedicated to maintaining a balanced lifestyle. Geographically, we are expanding our presence across major urban centers in India where there is strong demand for healthy beverages. We are also targeting Tier II and III cities to reach a broader audience. Additionally, we’re exploring opportunities to enter international markets with a growing interest in premium, health-focused products,” she said. 

Strengthening Online and Offline Presence

Teafit is present on quick-commerce platforms (Zepto and Blinkit) as well as on e-commerce platforms Amazon, Flipkart, and Big Basket. Its products are also available in modern trade outlets, Reliance and Nature’s Basket. The product portfolio for the brand includes three items with bottled and sachet packaging, overall making 10 SKUs.

“We’re also enhancing our online presence by investing in digital marketing and e-commerce platforms to reach more customers nationwide. Additionally, we’re building strategic partnerships with retailers, health stores, and cafes to increase our physical retail footprint.” elaborates, Jyoti. 

Ensuring Quality and Consistency

Being a D2C brand, Teafit has optimized its supply chain, enhanced efficacy, and given a competitive pricing opportunity. With an online presence, it has extended its reach, creating a promising customer base. 

“This direct relationship helps us tailor our products and marketing strategies to better meet their needs. Additionally, it enables us to maintain control over the quality and presentation of our products, ensuring a consistent brand experience,” she said. 

The brand upholds premium standards and quality by partnering with trusted suppliers and undergoing the vetting process for purity and sustainability. Adapting and updating industrial practices to ensure quality control measures in production. 

To maintain and ensure precision, the brand uses technology in the production process while blending and packaging. State-of-the-art technology is used in the manufacturing process, promising monitoring and control. The brand has streamlined operations, optimized cost, and supply chain management contributing to premium standards.

“We also utilize technology for real-time quality checks and data analysis, which helps us promptly address any issues. Additionally, technology plays a crucial role in managing our supply chain, from sourcing ingredients to distribution, allowing us to streamline operations and optimize costs. By integrating these technological advancements, we uphold our commitment to premium standards and effectively meet our customers' growing demands.” added Jyoti. 

Future Vision 

The brand aims to expand its retail on international grounds, including the US and UAE, keeping its national presence. Leading the healthy beverage industry with transparency, promoting a healthy lifestyle along the way. By adapting and upgrading from the market opportunities, Teafit develops for sustained expansion.

“We aim to have a strong presence across major cities in India and expand into international markets where there’s growing demand for premium, health-focused beverages. Our product portfolio will continue to evolve, offering a diverse range of options that cater to various health needs and preferences. We plan to strengthen our retail partnerships and enhance our digital platforms to reach a wider audience. Ultimately, we aspire to be a trusted brand that inspires healthier living and sets new standards in the industry,” concludes Bharadwaj.

Oriflame, the renowned Swedish beauty brand known for its direct and community selling strategy, has reiterated that its products available on e-commerce platforms are fake and consumers should only purchase their products from their authentic website. With over two decades of presence in India, Oriflame is recalibrating its marketing and expansion strategies for the Indian market. The brand is also expanding its wellness category and focusing on the younger generation to enhance growth in the region.

Oriflame offers a wide range of products in India, including skincare, makeup, fragrance, hair and body products catering to both adults and kids. The skincare category generates the most revenue for Oriflame.

Brand Journey

In an interview with IndianRetailer.com, Edyta Kurek, Senior Vice President and Head of India and Indonesia, discussed the brand’s commitment of not entering in the retail and e-commerce spaces and shared the brand's expansion strategies for India.

Reflecting on Oriflame’s journey in India, Kurek said, “We were one of the first direct selling companies in the Indian market, and we addressed the market’s needs at that time. We attracted many educated individuals from good families who wanted to be independent. The financial opportunities we offered were so attractive that they kept the spirit of direct selling alive.”

Kurek further said, “Over the years, we didn’t use external media to communicate about our brand to people in India and around the globe. We believed our brand partners would do the job. But in this new age, this isn’t enough. We need to start talking about the brand more loudly now. We also allowed other brands in our category to speak louder, and now we will be doing the same, promoting our products more aggressively.”

Elaborating on the growth journey, Kurek said, “When we compare our journey to a decade ago, the market dynamics have changed. We have expanded in many cities, including Kolkata, Delhi, Mumbai, and the Northeast, which is our fastest-growing market. We have extended our product portfolio, and with two manufacturing units in India, we are producing over 85 percent of our products here.”

Staying True to Direct Selling

When asked if Oriflame will adopt an omnichannel strategy, Kurek responded, “I echo our CEO’s words: we don’t have these plans. We have developed a direct selling business model, and it will remain the same. We have our brand partners and will share the margin with them. Getting into retail stores or putting our products on shelves is not easier. We are loyal to our brand partners, and they believe they can build their future with us. They earn money with us.”

Kurek reiterated, “The products being sold on e-commerce platforms are fake and are not allowed, and I repeat, we don’t have any retail footprint in India. We urge our consumers to purchase Oriflame products from our authentic Oriflame website. We have also informed e-commerce platforms about this issue in the past.”

Premiumization Not a Focus

India is experiencing a wave of premiumization, with multiple brands seeing an uptick in their premium segments. However, Oriflame’s focus remains on providing affordable products to the middle-class income group and gradually moving towards premium product ranges.

Kurek explained, “Our product portfolio is very diverse. We offer simple and inexpensive products, like shampoos and basic skincare, as well as sophisticated products based on our own technologies that deliver results in two weeks. We believe that once people try our basic products, they will build trust and then opt for our most exclusive products. We are ready to move towards premium ranges, but we don’t want to focus on premium customers because the middle class will always be our largest customer base with significant purchasing potential.”

Expansion Strategy

According to Markets and Data report, the Indian Skin Care Market was estimated to be worth USD 2.56 billion in FY2023. Facial care was the market's largest category both in terms of value and volume. The market is expected to reach USD 3.73 billion by FY2031 growing at a CAGR of 4.82% for the forecast period between FY2024 and FY2031.

Talking about the expansion plans in India, Kurek said, “We are expanding the network of our brand partners and are growing strongly in Northeast India. North India is the biggest market for the brand. We have a strong presence in the South, but Central India is still underpenetrated. We have 150,000 brand partners in the country, and we are growing strongly in India.”

She further said, “We are also creating a new strategy for India focused on the younger generation, as their mindsets and behaviors differ from their parents. We tell the younger generation that our business model requires no financial investment, just a bit of time to grow and earn a good income. They are very discerning about products, wanting them to be good, sustainable, and effective. So we are planning a digital-first strategy to communicate with them.”

When asked about the lack of investment in advertising or marketing strategies, Kurek stated, “Until now, we never planned our media strategies. But in the coming days, the board will strategize in these areas and plan according to market needs. I believe India will receive the necessary resources to grow.”

Note: Consumers can purchase authentic Oriflame products from authorized brand partners and on brand website in.oriflame.com

In the big world of fashion, India stands out as a major player, snagging the second spot in textiles and garments. As the fifth-largest exporter of textiles, covering not only clothes but also home goods and tech items, India quietly shapes global fashion. The Indian apparel market, valued at $40 billion in 2020, is headed towards $135 billion by 2025, silently securing a 4.6 percent share in the vast global textile and apparel trade. In this unassuming climb, India proudly claims the title of the world's third-largest exporter of textiles and apparel.

In the lively field of Indian fashion, The Shirt Dandy (TSD) steps in as a breath of fresh air. Born in Vienna in 2022, this brand aims to change how men deal with fashion, blending innovation, heritage, and eco-friendliness into every stitch. Founded by Thomas Hebenstreit and Aayush Sharma, TSD's goal is simple – to make shirt shopping easy. With top-notch technology, great craftsmanship, and a commitment to excellent service, TSD stands at the forefront of a fashion shift. It's not just about shirts; it's about stories woven into the fabric, tales of togetherness, tradition, and a thoughtful choice for style. As we dive into TSD's journey, it becomes more than a brand; it transforms into a celebration of craft, proof of different cultures coming together in a fantastic creation.

Thomas Hebenstreit, the visionary Founder and CEO said, “At The Shirt Dandy, our mission is to revolutionize the Indian apparel industry, transforming the way men engage with fashion. Through the fusion of cutting-edge technology, impeccable craftsmanship, and an unwavering dedication to superior service, we aim to simplify the shirt shopping experience like never before.” 

“The holistic approach of digitalization and automation, prioritizing reduced lead times, and offering unique benefits such as lifelong free alterations, a future buy-back program, and the exclusive Dandy Club, connecting members with industry leaders,” he added.

Aayush Sharma, Co-founder shared, “We believe that soon India will become the world’s new factory as it continues to expand its impressive portfolio of major announcements and overcome its structural weaknesses. With The Shirt Dandy, we aim to intricately blend the finest elements of Indian and Austrian cultures into each stitch.” Aayush's insight emphasizes the brand's deep appreciation for Indian fabrics and the harmonization of tradition with innovation, ultimately crafting shirts that transcend borders, narrating a tale of unity. This collaboration, rooted in the "Make in India" program, seeks to elevate the excellence of Indian production while merging it with Austrian precision. The Shirt Dandy isn't merely a brand; it's a celebration of craftsmanship and a testament to the fusion of diverse cultures into an impeccable masterpiece."

Tech-Powered Personalization

At The Shirt Dandy, they've brought in cool tech to shake up your fashion game. Their AI-powered 3D Configurator is like your fashion sidekick, helping you create the perfect shirt that screams 'you'. No more guesswork – it's all about your style, your way. The 3D Configurator, a mix of cool Austrian smarts and Italian flair, makes the whole process super easy. Click, choose, and voila – your personalized shirt is ready to rock.

Diving into the 3D Configurator

Imagine a place where picking styles, fabrics, and details is as easy as ordering your favorite snack. That's what the 3D Configurator does – it turns shopping for shirts into a fun, interactive experience. The Shirt Dandy isn't just selling shirts; they're handing you the keys to your style journey. It's not just fashion; it's about making your mark, one button at a time. But wait, there's more! The Shirt Dandy goes beyond just selling shirts. They're here for the long haul, offering free alterations for life. Your favorite shirt feeling a bit snug after all those weekend BBQs? No worries – they've got you covered. And guess what? They're planning a buy-back program. Yep, your shirts get a second shot at life, keeping it green and cool. Plus, there's the Dandy Club – it's like joining an exclusive club for fashion fans. As a member, you're not just buying shirts; you're becoming part of a community that's all about the love for fashion.

Keeping It Sustainable

But fashion with a conscience? That's The Shirt Dandy's vibe. They're all about using materials like 100 percent cotton, linen, bamboo, and Tencel – making sure your shirt isn't just cool but also eco-friendly. And it doesn't stop there. They're on a mission to cut down on the environmental footprint in every step of making your shirt. So, when you rock a Shirt Dandy creation, you're not just looking good; you're doing good for the planet.

Future Goals

Looking ahead, The Shirt Dandy dreams of a world where everyone can have their custom-made shirts without breaking the bank. They're not just thinking local; they've got a global vision. Their flagship Digital Signage store in Gurgaon is the next big thing, bringing together the best of online and offline shopping. As they spread their fashion wings, they're not just selling shirts; they're redefining how we all think about our wardrobes. It's not just about clothes; it's about making a statement, your statement, in a world that's all about style, fun, and doing right by the planet.

How do you see baby care market evolving in India. Kindly share few numbers to quantify the same? Also, what would be the tentative market size of organic products in baby care category? Kindly state few numbers to quantify the same?

 Baby care market is growing at 17% CAGR and will continue this strong growth since penetration is still very low. Organic & Natural products is less than 5% of the market today but gaining ground quickly. With growing disposable incomes and lesser number of children per family both time and money available per child will continue to rise. 

What kind of distribution is planned for MamaEarth in online and offline space. Going forward what are the plans to scale up the distribution? Also how do you ensure safe delivery of your products? Also shed light on your return policy?

We intend to continue scaling up with online platforms and build strong offline presence over next few years. We ensure we shrink wrap each product followed by bubble wrapping the same to ensure safe delivery. Anyone who doesn’t like the products can return them to us.

MamEarth has recently acquired series A funding. How the raised funds are being utilized? are you still scouting more funds?

Team building, R&D & marketing is where we are spending. 

Companies such as J&J are market leaders in baby acre segment. Do you see them as your competition?

Yes they are a large competition but we are building our own niche. 

What are retailing challenges in this category?

 Driving discovery for the brand in offline is a key retailing challenge

At last, kindly highlight your growth plans? 

We intend to become a 100 Cr toppling company over next 3 years.

Cashify, formerly ReGlobe, is a registered trademark of Manak Waste Management Pvt Ltd. The company offers complete solution wherein customers can sell old or used gadgets hassle-free. It enables the customers to sell their old gadgets online and get instant cash along with free home pick up.

How did Cashify started? What was rationale behind coming up with this concept? Also shed light on your business model? How this concept is different from refurbish or open box sell?

Before Cashify.in came into existence, we had been testing the market through different business models and were earlier called ReGlobe. However, today, Cashify stands at the forefront of End-of-Life product management and works with all leading electronic brands in the country. The rationale behind our success, is an interesting fact that the realized ‘end-of-life’ is highly circumstantial and ‘one man’s waste could very well be another’s resource’, of-course if the product has not reached a non-usable condition.

Today, Cashify is India's pioneer for Exchange & Buy Back for all used Smartphones and electronics. For our million+ customers, selling anything on Cashify.in means Easy & Instant Cash. Having partnered with more than 40 leading Smartphone brands, we are expanding business rapidly across India, and are currently present in 35 cities. 

Kindly shed light on your current footprint? Going forward, what would be the strategy to grow your network?

We are currently present in 35 cities. The strategy way forward is to spread our wings into new territories &expand our footprint into every Indian home where Old Smartphones still wither their life in a drawer without even knowing what Cashify value they offer.

Kindly shed light on your operational categories? Apart from tech gadgets do you also operate in any other category or plan to? Also mention the category where you get maximum traction?

The categories we buyback are Smartphones, Tablets, Laptops, Gaming consoles, iMac & TV. Right now we are active only in electronics category & have no immediate plans to start off a new category. We garner maximum traction from the Smartphone category. However, we’ve launched ScreenPro to help our users get on-site screen replacement done for their Smartphones, in 30 mins, in upto 50% lesser than the market price. This is currently available in Delhi NCR and expanding to more cities August onwards.

As of now, Cashify is used via about how many potential sellers every day?

Cashify has helped more than a million users to sell their Smartphones and other gadgets till now. As people sell their Old Smartphones, Cashify helps them get the desired liquidity to upgrade to better ones.

Have you raised any sorts of funds so far or plan to?

We have recently raised a Series C round of $12 million led by a group of Chinese investors.

Who do you see as your potential competition within the same space?

Today’s digital native looks for a quick and convenient solution to his every need, and in the electronics space, Cashify currently leads the market in terms of Users & Fastest disbursal of Cash. When we say, you can sell your old Smartphone in 60 seconds, we mean it.

According to you, what are the major challenges in resale market?

Currently, the major challenge in the resale market is that reselling old, used devices does not come as a natural tendency to user due to lack of options available except Cashify’s. We aim to overcome this challenge by building strong brand presence that will help TOM recall for the users.

At last, kindly highlight your growth plans?

By end of 2018 we have plans to expand are offline presence across country. We will be setting up 50 kiosks in total from the current 5 in Delhi NCR. We are also currently exploring international markets. but the biggest milestone to achieve is our goal to get more than 2 lac users sell their gadgets to us every month by 2019.

How do you see high end jewellery retailing market is growing in India? Also shed light on your journey so far?

India is one of the highest purchasers of gold in the world and also the biggest consumers of diamond. High end jewellery as in branded jewellery retailing market is flourishing and will keep on growing.This is not only due to the domestic consumption of jewellery like buying jewellery for occasions, gifting purpose or to celebrate particularly during marriages or marriage related events - but also because in the recent times PRIVATE EQUITY INVESTORS (PEI) which earlier had inhibitions about investing in commodity price driven business like gold and silver are also taking keen interests and investing substantial amounts in the jewellery business.The PEI investment has increased from $50 million to $300 million in the last 5 years. 

We grew into retail business in 1982 and started with our maiden retail showroom in AC Market, Kolkata. In 1988 we expanded our retail footprints in Kolkata and opened our second showroom in Bada Bazaar. In 1992 we expanded our horizons and opened our third showroom in Jaipur. In 1996 we opened our fourth showroom in New Delhi and in 1998 we opened another showroom in Lord Sinha, Road Kolkata. In the year 2015 we opened our manufacturing unit with a corporate office and a boutique showroom in Delhi which has been a big milestone for the brand. It has been an extremely illustrious journey for the family and it is by winning the trust and patronage of customers, the company has grown from strength to strength over seven generations.

According to you, what are the challenges of as far as offline jewellery retailing is concerned?

One of the main issues faced by offline retailing is to physically create and maintain jewellery designs with the current fashion trends as one incurs huge investment in the process of making real jewelry. Designs that are no longer trending or not in fashion incurs losses interms of labour charges and melting loss. With the ever changing paced fashion trends and the need of the consumers to own the most current outstanding statement pieces, retail jewellers have to keep introducing new products creatively in every three months.

Kindly shed light on your current distribution in online/offline space? Going forward, what are the plans as far as distribution expansion is concerned?

Our existence ismajorly into the offline market. More than 90 percent of our income comes through our retail stores and manufacturing units based in Kolkata, New Delhi and Jaipur. We are currently based in metropolitan cities but we have future agenda is to expand our retail foothold into Tier 1 cities, as these cities has immense potential with regards to the demand for high end Jewellery.

We are planning to come up with an e commerce website and mobile application by end of 2018.

How do you compete with leading brands such as Tanishq and CaratLane?

With all due respect we really don’t see much of a competition with regards to these brands as their target market is very different from ours. The level of customization and personal touch that we provide to our clients both in terms of our products and services is something that we are really proud of and keep trying to grow on.

This being said the way these brands are organized and handles their back end work flow is something we are working towards. This includes their organization structure and the way every department from their procurement to sales is in sync with each other providing a very efficient work flow.

What is your average selling price? Also shed light on your average bill size?

There is no average selling price that we follow. What we have are the products ranging from as low as 40,000 to as high as 2crores but we do focus on products ranging in the price category of 30 to 40 lacs.

Thus, average bill size also comes to around 15 to 20lacs.

Also how are you looking to extend the brand identity in the online channel?

We are coming up with an e commerce website and a mobile application dedicated to real Jewellery by the end of 2018.  

At last, kindly highlight your growth plans?

The vision of The House of MBj is to redefine elegance, allure and style in the form of stunning pieces of jewellery and continue to maintain the credibility and trust in the market. Apart from the growing retail presence we also intend to make our presence on E-commerce and develop a mobile application by end of this year. It is our constant thrive to complement the growing international presence by participating in international shows and exhibitions and domestic market by entering into Tier 1 and Tier 2 cities. It is also important to make the trade transparent as much as possible to sustain the trust of our clients.

How do you see current online home furnishing market is growing in India? How do you see this market will stand in next two years? What would be estimated share of Pepperfry in overall market?
Home and furniture is $32 Billion market which is set to reach $ 71 Bn by 2020. While the total offline market is growing at 10-15% YoY the online component is growing at 300% YoY. Over the next few years, it is expected to become 9% of overall eCommerce, 6% of the overall home and furniture market. These projections are in line with home and furniture trends worldwide where the segment constitutes more than 10% of eCommerce in markets across the globe; it is 13% of US eCommerce, 19% of Chinese eCommerce, 20% of Brazilian eCommerce and 17% of the eCommerce market in Russia. In the next 3-5 years, leading home players are set to reach the global standards. Pepperfry sees a huge opportunity to lead this growth. We already have a large share of the online traffic with 62% of the overall online home and furniture segment traffic coming to Pepperfry.com. Omni-channel is going to be a key growth driver for improving the customer experience. Pepperfry is geared towards scaling the Studio presence from present 21, and has recently rolled out a franchise model with an aim to build the largest omni-channel network in the country. We will open 46 Studios by March 2018.

Lastly, there will be a spurt in the growth of ancillary services. Providing additional services especially in the home segment like designing and consulting are set to become important features. We started the trend as early as 2014 and have been providing complimentary consulting to our customers since then.

Pepperfry was started as pure online entity, but now gradually moving to offline space as well. What is the rationale behind this shift? Is online not a viable option for high ticket (expensive) furniture? Also, highlight your current footprint across the channels? How you are looking to enhance your distribution/footprint?

Pepperfry continues to be an online business even today with an aim to establish the largest omni-channel network in country. Our offline presence comes to life in the form of our Studio’s. In the last 2 years, the Studios have emerged as key customer engagement touch points for Pepperfry. We want to be present where are customers want us to be and will continue executing to our omni-channel strategy by opening many more Studios across the country this year.

These Studios are unlike typical stores, they are experience centres that serve as a design inspiration for customers looking for a differentiated range of furniture and home decor. It is a one of its kind concept where one can experience the cutting edge design, various types of furniture with different wood finishes and get an idea of the overall quality of the furniture from Pepperfry. It is in line with our goal to help create 20 million beautiful homes by 2020. We will continue to empower our customers to design their own homes, with the help of our in-house counsel of interior decorators who offer complimentary counsel to help customers.

We have 21 Studio across key cities and plan to open more. We serve customers in more than 500 cities through Pepperfry’s specialized large item delivery fleet of more than 400 vehicles operating from 17 hubs across key states. Pepperfry also provides assembly and installation support to customers through a team of more than 250 carpenters across major towns and cities. Pepperfry expects to double its logistics footprint 1000+ cities & towns to establish robust delivery network in Tier III and Tier IV cities.

Presently, how many categories you are retailing and which category is churning better results? Any plan to extend the existing categories?

Pepperfry offers a highly differentiated catalogue of more than 1.2 lakh products across categories like Furniture, Home Décor, Lamps and lighting, Furnishing, kitchen & dining, housekeeping, and Hardware &  Electricals. In furniture bed, followed by coffee tables, shoe racks etc. are our largest selling furniture items. Other categories like décor and lamps and lighting are also popular.

Which category would be on your focus for future expansion?

We will continue to build our furniture portfolio and expand other categories like modular furniture, kids’ furniture, décor and lamps & lighting.

In India fashion is seem to ruling category in the online space. Unlike to international markets why Indian home furnishing industry is not picking up the similar momentum? What are the major challenges or setbacks in Indian online furnishing space?

In the next 3-5 years leading home players are set to reach the global standards. Pepperfry sees a huge opportunity to lead this growth. We already have a large share of the online traffic with 62% of the overall online home and furniture segment traffic coming to Pepperfry.com.

How you are managing the supply chain of heavy furniture items? Presently, how many pin codes are you serving?

The biggest challenge is poor infrastructure and supply chain. For a specialized vertical like furniture, large item distribution poses as a huge challenge. There is no prototype in the online industry for a vertical like furniture that can be imitated. We overcame that by pioneering our own “Large Item Distribution model” which hasn’t been attempted by any other company in the past. By making significant investments in that area we have built the largest big box logistics through a hub and spoke model that covers a majority of our furniture orders. This comes from our business orientation that “when you take risks, you will make mistakes. But you should be the best at fixing them.”

Today, we have 17 delivery centers and a fleet of over 400 vehicles serves customers in more than 500 cities. With a proficient team of more than 250 carpenters we offer assembly and installation support to customers across major towns and cities. Having commenced the origin to hub shipment process through contracted trucking arrangements in April 2013, we have been able to significantly reduce delivery per unit costs with increasing scale and operating efficiencies. Through this superior supply chain management, we have been successful in bridging the supply gap by establishing the largest big box delivery network in the country.

Are you looking to tie-up with realty developers for product placement exercise (for brand promotion per se)?

We are geared to ramp up our alliances business by partnering with builders, corporates and the HORECA (Hotels, Restaurants and Cafes) industry. This will be done through gift cards for employee R&R programs, office interiors, gift cards for builders to drive primary sales, modular furniture for new projects, etc.

Last year Pepperfry had raise funding in series E Round. How you are planning to invest raise amount? Are you still scouting for more investment?

Pepperfry has overall raised USD 167 million from marquee investors like Goldman Sachs, Norwest Venture Partners, Bertelsmann India Investments and Zodius Technology Fund.

In keeping with Pepperfry’s sharp focus on customer experience, the plan is to optimise the funds in areas like supply chain automation and expand the big box logistics network to 1000+ cities. We will continue investing behind building the largest omni-channel by extending our Studio coverage across Tier II and III towns and introduce cutting edge technology to enable our customers design beautiful homes.

What is your strategy on private labels?

Pepperfry has meticulously designed an in-house portfolio of house brands to meet the over-arching and diverse needs of our customers. Each House brand is differentiated by design ethos and every furniture piece has to fulfill specific design requirements and quality standards. We have put in place stringent quality control checks for these brands every solid wood product is BVQI certified before it is shipped out.

House Brands:

·                     Woodsworth - Woodsworth is characterized by a timeless, classic range of furniture. Reflecting designs that are sleek, contemporary and functional

·                     Mintwud - Mintwud is conceptualized for modern and compact homes

·                     Casacraft - The modern designs in the CasaCraft range represent the ideals of practicality, cutting excess and absence of decoration

·                     Amberville - Amberville is synonymous to a stately and gracious living

·                     Bohemiana - Bohemiana is a range of furniture that blends the free spirit of the eclectic with the rigid frame of the Industrial pieces

·                     Mudramark - Mudramark is carefully crafted furniture which is influenced by ethnic Indian art, architecture and culture

·                     Mollycoddle - Mollycoddle is a versatile range of modern children’s furniture with a punch of vibrant and cheerful colours

We will continue to introduce more designs to provide our customers a differentiated portfolio of furniture and home designs.

 At last, kindly mention your growth plans?

Pepperfry has set out a mission to help create 20 million beautiful homes by 2020 and taking cognizance of the need to have multiple engagement touch-points for its consumers, Pepperfry pioneered the omni-channel approach by opening 20 Studios across the major metro cities in India. These Studios essentially serve as offline experience centres for discerning Pepperfry customers who are seeking design inspiration. Here they can not only experience a select Pepperfry range but also avail complimentary design consultation.

Pepperfry is geared towards scaling the Studio presence and recently rolled out a franchise model with an aim to build the largest omni-channel network in the country. As mentioned earlier Pepperfry will open 46 Studios by March 2018. We will extend our Studio coverage into Tier II and III towns, and in keeping with Pepperfry’s sharp focus on customer experience significant investments will be made behind Supply Chain Automation and the Big Box logistics network will expand to 1000+ Cities. In a nut shell right now our focus is to be present wherever our customers are present be it through Studio’s or marketing.

How do you see the market of specialty retailing is growing in India?

Speciality retail is on a constant path of growth with consumers looking to shop specific specialised categories at stores that give great value for quality and design.At Chumbak, we are focused on building a brand that encompasses products that are companions to a woman’s every day. From her mug for coffee to the cushion covers she sleeps on at night, to expressing her style through Chumbak fashion, Chumbak is a multi-category category brand, that specialises in design.

Kindly shed light on journey of your brand to Indian market?

In 2010, Chumbak was launched as a design led souvenir brand with approximately 15 product sub-categories ranging from cushion covers to magnet & keychains. In 2012-2013, Chumbak started opening pop-up stores across malls which eventually lead to opening its first flagship store in 2014 at CMH Road in Bangalore and the launch of a brand-new home collection. This further led to more stores being opened across the country along with a revamped webstore. In October 2015, Chumbak launched its Fashion Collection and has been expanding its retail presence ever since.

Kindly highlight the current distribution including online and offline. Also, shed light on strategies to scale-up the distribution?

The current split between online and offline is 30-70. Within online, 70% sales comes from www.chumbak.com and the remaining comes from marketplaces. We are looking to expand to 15-20+ additional stores in FY 2017-18within India. We are constantly improving the features on our website to make it as user friendly as possible. We are now working on re-launching our App which will be a combination of shopping and have some interesting features to keep consumers further engaged.

Presently, how many categories the brand Chumbak is retailing, also shed light on your biggest category?

Chumbak retails fashion, home and accessories – these being the larger, umbrella categories. Under these categories, we periodically introduce new products. Accessories is the largest category right now which encompasses collectables, travel, tech and fashion accessories.

Also shed light on your starting and exiting price point?

Products like notebooks start at Rs. 125 and the price range can go up to Rs. 40000 for a double seater sofa.

Do you see fashion majors like H&M, Zara as potential competition or your lifestyle category?

There will always be competition for every category that we retail, but we will always stand for unique designs.

Also share few words on your design and manufacturing team?

Chumbak is not just a design led brand, but also a design studio, and all our designs are created in-house. We go through a stringent interview and test process to hire some of the best talent to design and illustrate at Chumbak. Albeit not too big, the design team at Chumbak brings their unique styles to create designs that keep in tone with the brandlanguage that we have evolved to and will continue to. The team is constantly experimenting with new designs to keep our audience engaged, whether it be through the Indian themed designs on magnets and keychains or the more contemporary thematic and trendydesigns on apparel.

The product team at Chumbak is divided into merchandising and sourcing teams. Both teams along with the design team under Shubhra’s guidance decide on the product lines for the brand. We don’t have a manufacturing team as such, as the sourcing team manages the manufacturing of products with our in-house and external vendors.

At last, kindly mention the brand’s growth plans? Also comment on Chumbak’s international foray? 

Mentioned above. Working on the international plan, so would prefer not to comment on this just yet.

National Payments Corporation of India (NPCI) has partnered with Reliance Retail stores to promote mobile based UPI app payments as in-store payment solution. The move opens path for faster implementation of NPCI’s mission to drive cashless payments and the Digital India Initiative. Customers can use any UPI-based app including BHIM or any other Bank promoted UPI app. On the sidelines of the announcement of partnership recently in Mumbai, A P Hota, MD & CEO, NPCI spoke to Indianretailer.com, while revealing the future targets of digitising transactions, strategies, government’s ambitious target of placing 5.5 mn PoS terminals across the country. 

What spurred you to partner with Reliance retail stores to encourage in-store payment using UPI?
The usual perception about UPI was that this is just another form of money transfer system and it was not considered as in-store payment tool. Now, with this partnership we are taking UPI beyond the functionality of pure digital money transfer system to in-store payment system. Usually in stores consumers either pay by cash or cards and now they can also pay through UPI from mobile, as an in-store payment solution without using cards, across all formats of 200 Reliance Retail stores in Mumbai.

What will be the process to be followed for the in-store payment?
For in-store payment Axis bank as a partner has designed POS device in such a way that retailer can accept the payment from mobile. In the process in-store PoS device will generate the QR Code and that code can be scanned through mobile by using UPI application to make instant payment. In the QR code, the amount is also captured so the consumer doesn’t need to punch the amount. The process is further simplified by Bharat QR Code.

As of now for UPI, the transaction limit is Rs 1 lakh. For BHIM application the one time transaction limit is Rs 10,000 and per day limit is Rs 20,000 with max 20 transactions. The refund process is also real time in UPI.

In a day how many transactions happen using UPI?
We are now clocking 2.2 lakh transactions a day. Out of these transactions around 80k to 90k transactions are happening across BHIM based applications. Average value of the UPI transactions is close to about Rs 3000 per individual and around 44 banks are live with UPI.

What is the government target of digitising transactions through UPI and what is the strategy?
Government has set the target of 25bn digital payments in 2017-18. Presently the volume is less than 10 bn. UPI is available on smart and ordinary feature phones and we want it to be the main vehicle for the payments. NPCI has started a service called *99# for ordinary feature phones to make payments through UPI. Hence to reach the target it would require the tremendous amount of work.

Around 95 percent of the payments happening in transportation are still in cash across the country. The bulk of toll gate payments are in cash and now we are converting them into digital thorough ETC lanes at national highways. Even the state highways will also go ETC way.

So far how many PoS have been placed by banks and what is the target for this year?
At Kirana stores payments are still done in cash because they don’t have PoS machine. Before demonetisation there were only 1.4 mn PoS terminals and in the last 3-4 months another 1 mn terminals have been added.

Further the government is aiming to take the total number of PoS terminals to 5.5 mn across the country by September 2017. There will be 1 mn traditional PoS, 1 mn QR code based PoS and 1 mn Aadhar based PoS added. There are large five banks that have 80 percent of the PoS terminals. Updating PoS is a yearlong activity.

When is the government planning to launch Aadhar Pay and what will be the process?
On 14^th April the PM is going to launch Aadhar based payment system. In this system, customer can walk in the retail store without mobile phones or without credit or debit card. He just has to know his Aadhar number to make the payment to the merchant. Purpose of the Aadhar Pay is to widen the digital platform for more and more merchants to come on board.

But, still in our country the consumer awareness and financial literacy about digital payments is missing. Hence, to increase awareness the new financial literacy programme is being planned by the government in co-ordination with RBI and other banks. In the budget also, the government has announced BHIM referral or UPI referral programme under which both consumers and merchants will be given cash back rewards and that way the promotion will take place.

How is the progress with Aadhar authentication and do you also plan to integrate biometrics into the UPI platform?
According to RBIs mandate, all upcoming PoS should have Aadhar authentication facility, but none of the banks have implemented Aadhar authentication yet. It was to be introduced from 1^st January, but now that has been extended till 1^st of July. We have planned biometrics into UPI. We are designing it in such a way that it can take fingerprint as a form of authentication. Enablement is ready at the backend and it is just matter of time. In Aadhar pay, the terminal would be the mobile phone of the merchant itself. Sooner or later we are going towards mobile first strategy.

What about the bug that was recently found with BHIM which led to huge loss of money for Maharashtra Bank?
The bug was created by about 50-60 people near Aurangabad. They figured out the loophole in the system and robbed about Rs 25 cr from the bank. These people had accounts in 19 other banks. So far the bank has recovered some amount and some is still at large. We are now not allowing any bank to join UPI unless they have a thorough re-conciliation process.

What is your take on post demonetisation digital transactions going down with increased proportion in the economy?
For stickiness to happen it takes time. Over a period of time that stickiness with digital transactions will come. So, with NPCI and government effort the stickiness will come.

Like Reliance stores, is NPCI also in discussion with other merchants to partner with?
There is a big road map for that. Currently we are also in discussion with Big Bazaar.

When will bill payment through BHIM be possible?
The bill payment through BHIM will come in June 2017. Idea of BHIM is that all banks need not go for app.