Lotto Sports to follow cluster approach for expansion
“We have 66 mono brands stores and 200 shop-in-shops. By the end of this year, we will be having 100 mono brands stores and 300 shop-in-shops. Our strategy is to expand in North India and in the second phase enter West and South,” Mr Lalit Kishore, Managing Director, Sports Lifestyle said. The mono brand outlets will be set up with an estimated investment of Rs 20 lakh a store and will entail a retail area of 500-700 square feet.
Sports Lifestyle has a 15-year master licensing contract with Lotto. Mr Kishore said pricing will be a key strategy and Lotto products will be cheaper than leading lifestyle brands. It currently focuses on two lines — sports and sports lifestyle.
The sports lifestyle, which included accessories and apparel, contributes 70 per cent to the total sales. The company said its turnover for 2011-12 is likely to be Rs 65 crore.
Lotto stands at fifth position among international brands in the Indian sportswear market after Reebok, Adidas, Nike and Puma.