Reliance Retail may enter fashion wholesale biz

With the aim to establish its unorganized bulk business of garments and accessories, Reliance Retail is entering wholesaling of fashion and lifestyle products through both offline and online channels.

 

Along with its branded range of products, the wholesale business will aim small and medium retailers nationwide for bulk supply of products, including its own branded material, sources said. It plans also to service customers through a B2B portal.

 

Reliance Retail has put together a team that is working on a raft of private labels specifically to sell to small and medium retailers, said one of the sources. It is enrolling small and medium independent suppliers as well for the venture, said another person.

 

The new venture will fully focus on the growing fashion market in India, especially in small cities and towns. Reliance Retail having already consolidated its position in FMCG under the label Reliance Market has been selling food products, general merchandise as well as some amount of ready-made garments..

 

Reliance will offer an “integrated ecosystem” of services including logistics, warehousing, marketing and other services to help sellers grow their business with retailers throughout the country, said the company.

 

The company also runs one of the biggest fashion store networks in India through Reliance Trends, which added more than 100 outlets, or about 1 million sq ft of retail space, in the fiscal year ended March 2018. The fashion arm has over 450 outlets spread across over 220 cities nationwide.

 

Given the nature of the unorganised wholesale market for such products, it makes sense for Reliance to venture into wholesaling of fashion and lifestyle products market watchers said.