Initial years of e-commerce were largely played around the premise that offline retail has failed to penetrate the country. However, after 5-6 years of e-commerce boom, online companies see offline presence as an important part of their strategies.
Beefing up its partnership with well-known brands, Myntra has won the right to manage international fashion brand Esprit’s offline stores in India.
With this deal, Flipkart-owned Myntra would also be selling Esprit apparels and accessories exclusive on its platform.
According to a Mint report, the Bengaluru-based company will manage about 15 stores in the country for the next five years. Myntra expects Esprit to grow five times over the next five years in India.
The move is in line with Myntra’s plan to clinch exclusive deals with brands for managing their online and offline presence.
In June, as part of its brand accelerator programme Myntra had tied up with two women’s apparel brands- western wear brand Chemistry and ethnic wear brand AKS. The online fashion platform anticipated 10 times growth in sales of the aforementioned brands at the time of partnership.
Additionally, in February this year, the company struck a similar deal with Mango to manage 25-30 offline stores as well as the online presence of the Spanish-headquartered brand in India.
Myntra want to shift sales away from discounts and differentiate its platform. Striking exclusive partnership with well-known brands is a part of its strategy as Myntra wants to outrun Amazon India, which is fast catching up in the segment.
The online fashion platform is also betting big on its private label brands. It has brands including Roadster, HRX and Moda Rapido. According to the company, the private brands will add 6% of its overall revenue by the end of the year.