Croma focuses on private labels for better margins

Infiniti Retail, a wholly-owned subsidiary of Tata Sons, will now focus on its private label products to garner better margins in electronics and consumer durables retailing. The company will have 50 more products to its private label portfolio as it adds 22 new stores to its large-format, multi-brand retail chain Croma this year. All the new stores coming up this year will be in the existing markets, other than one in Rajkot. The company will spend over Rs 50 crore for the new stores this year. At present, they have 48 different products from personal care equipment to laptops and consumer durables. In 18 to 24 months, Croma stores expect 20 per cent of its revenue to come from private label products. On an average, a consumer can expect a 10 to 12 per cent cheaper price for a private label product compared with the same quality branded product.