Shop-in-shop format has been a huge success for Toniq: Sohel Lalvani
Shop-in-shop format has been a huge success for Toniq: Sohel Lalvani

Toniq Retail Brands was launched with a view to cater to the accessories market in India, which was hitherto unorganised. Each of their four brands - Toniq Accessories, Fida Jewellery, Pulse, and The Bro Code were formed keeping in view the different consumer segment that it caters to. Toniq Accessories offers fashion jewellery such as necklaces, rings, hair accessories etc. Fida is their line of handcrafted Indian ethnic jewellery. The Bro Code offers men’s accessories such as ties, cufflinks, lapel pins and much more. 

What are the price points your brand ranges in?

Each of our brands caters to a different market segment. While Toniq accessories offers products in the range of Rs.249 to Rs.3000 (including bags). Pulse caters to a relatively price sensitive audience with products in the range of Rs.100 to Rs.800.

There exist many players in this segment, what’s your strategy to beat the existing competition?

As a company, we stay on top of our game by planning ahead. We focus on planning, forecasting, trend research, designing, pricing and branding and visibility 

We do research on trends and keep an eye on the changing business scenario combined with high business expertise, which let us stay ahead of the competition. Through our accessories brands, we cater to different segments of the market, allowing us to focus on each. Individually, each brand follows a separate strategy that suits its identity.

Which format, according to you, works well for your brand– EBOs versus shop-in- shop? Why?

The Shop-in-shop format has been a huge success for Toniq as a brand. A large portion of Indian consumers even now consider ‘accessories’ as an add-on for their attire. The Shop-in-shop format allows us to reach them in a manner that is both convenient and effective. Point of purchase displays in MBO formats continues to be one of the most lucrative spaces for accessories retailers.

Keeping in mind the growing customer preferences, what’s your omni-channel strategy? Do you sell through your own ecommerce or through marketplaces and which ones?

Keeping in line with today’s highly competitive market, we have opted for a multi-channel strategy which allows us to reach a vast array of consumers at their place of convenience. Our brands are available offline at various ‘Multi Brand Outlets’, as well as online on our own e-commerce website and other shopping marketplace giants such as Myntra, Jabong and many more.

What’s the technology that is being used to make store operations efficient and who are your tech partners in the same?

As a ‘shop-in-shop’ format, a large portion of our operations management involves aligning our systems with that of the parent retailers. Inventory control systems have become an indispensable part of our operations.

How do you manage your supply chain and logistics effectively?

We follow well established supply chain models at all levels. Time management becomes a priority for us, to keep things running smooth and efficiently. We have longstanding relations with our suppliers and logistics partners, which enables us to stay on top of things. 

 What are your expansion plans?

We aim to establish each of our brands as the go-to accessories destination in India. We are looking at increasing our point of sales, within emerging MBOs. We are also looking at newer markets.  North East India, for instance has a huge potential for the fashion category, so do the tier two and three towns in India. Our goal will be to expand to those cities as well. We will also be looking at identifying pop-ups at prominent malls across the country where we can showcase our products.

We plan to have the following footprint in FY17- 18 that is Toniq – 150, Pulse – 70 and Fida – 10.

 Does franchising strategy fit in your business model currently?

Our current business model follows a holistic approach and is flexible enough for us to try out various expansion formats, including franchising. For franchising, we wish to expand in the North-Eastern region as well as some of the two and three tier cities.

What support you give to the franchisee?

We will provide franchisee with all the support required in the following aspects namely Product, Technology know how, Warehousing practices, Pricing, Merchandising, Forecasting and Trend analysis.

 

Stay on top – Get the daily news from Indian Retailer in your inbox
Also Worth Reading