In order to beat the economic slowdown Digiworld from Videocon Group, plans to shift focus to tier 2 and tier 3 cities and expects more than half of the turnover from small towns. As per the latest strategy, the company targets rural markets with population between 50,000 and 1 lakh and expects another 25 per cent of its sales to be absorbed in these markets, once it reaches the 1,000-store mark
Jaideep Rathore, Chief Operating Officer, Digiworld, Value Industries (a Videocon Group company), said, “There is slowdown in demand in the metros as consumers tend to postpone purchase decisions. On the other hand, we find first-time buyers for categories such as LED TV sets in the tier 2 and tier 3 cities. We expect 70 per cent of our turnover to come from smaller non-metro markets.”
The company has also has introduced a smaller format under DW Mobile stores, spread across 500-800 sq ft, for its IT products. DW Mobile currently has 48 outlets.