Fastrack shelves plans to launch footwear, apparels
Fastrack is among one of the few brands which has grown fast by successfully extending itself from watches to accessories relevant to the target group. As the general slowdown hit the growth in sales, Fastrack has shelved its plans to enter categories like footwear and apparels for the time being.
“The footwear category has become very competitive after several brands entered the space recently. Apart from a few international brands, some of the apparel brands like Allen Solly and Louis Phillipe have launched footwear. E-commerce players too have added to the competition. We do not want to extend Fastrack into a crowded category. We are looking for categories where there are not many brands so that we can contribute to the growth of category,” said Hemal Panchamia, marketing head of Fastrack.
Similarly, Fastrack also has shelved plans to launch apparels. Instead it is on the look out of accessories that are less crowded. Last year Fastrack had launched helmets, which hardly has any brands. This year it is not looking at entering any new category.
Meanwhile, Fastrack will increase the number of store keeping units under the existing categories, especially in watches.
Watches still account for 70 per cent of the brand turnover and it grew by 10 to 12 per cent last fiscal against the brand growth of nine per cent. The brand has been registering a double digit growth in the previous years. “The general economic slowdown has hit most of the brands. This year we expect things to be better. The consumer sentiments have already improved and we have seen 12 to 15 per cent growth in sales in March to May period,” he said.
On the retail front, Fastrack will be adding 74 stores this year, taking the store strength to 220. Last financial year the brand posted a turnover of Rs 840 crore and this year it is expecting a higher growth to touch Rs 1,000 crore.