Posts Tagged ‘Reliance Digital’

Mukesh Ambani Appreciates Reliance Jio’s Employees for its Achievements

September 15, 2017

Mukesh Ambani is proud of Reliance Jio’s achievements and its employees and hopes to create many more records with the company.

Mukesh Ambani’s letter

On completion of one year of Reliance Jio’s commercial service, Ambani wrote a letter congratulating his employees. In the letter, he mentioned the achievements of Reliance Jio and praised his employees. Ambani stated that Jio has received 130 million customers in this one year. It has also broken several records at the national as well as global level. Adding to this, Ambani said that the biggest personal satisfactory factor for him is the myth that Jio busted. He believes that Reliance Jio has broken the myth that India is not prepared for advanced technology.

Ambani said that the ways in which India adopted 4G technology and is utilizing it are noteworthy. He told his team that they have overcome the challenge of not only launching a new technology but also making the offer simple, compelling, and convenient. Every city, town, village, and Indian would benefit from this, he added.

Reliance Jio’s plans and growth

The initial phase of Reliance Jio was focused on acquiring customers. As per company officials, the next phase will be focused on launching services. The company will roll out services related to media and entertainment, healthcare, education, and payments banking in the coming few months.

In 2016, Mukesh Ambani launched Jio with two clear objectives. The first one was to offer affordable data services to the masses. The second aim was to disrupt the telecom sector by making the Internet accessible to everyone. However, Reliance Jio has achieved much more than just these.

According to a company official, Reliance Jio subscribers consume more data that the users of Verizon, T-Mobile, and AT&T combined in the United States (US). The official stated that the telecom company did not expect such an overwhelming response and that this was just the beginning.

In a presentation given to the Telecom Regulatory Authority of India (TRAI), Reliance Jio said that the investments it made before 2010 have all surpassed the recovery level. It stated that the company has received excessive returns due to the Interconnection Usage Charges (IUC).

Reliance Jio’s data service

A report from CRISIL mentioned that between the Financial Year (FY) 2012 and 2017, the mobile data usage per subscriber in India jumped to 80 percent per year. The increasing adoption of 3G and 4G services, 40 percent reduction in tariffs, and Reliance Jio’s free data services in the past year have contributed towards the rise in mobile data usage to 1.25GB per month per user.

Reliance Jio official said that Jio is receiving a good response from consumers due to the increasing demand for data. Even though customers have retained their existing operator’s SIM cards, they have shifted to Reliance Jio; and this is very encouraging.

Post its launch, Reliance Jio has disrupted the telecom sector and affected businesses of other major telecom operators in the country. However, the company’s official believes that this impact is short-term and, eventually, the whole industry will benefit from the rise in data consumption.

Summary

Chairman Mukesh Ambani praises Reliance Jio’s employees for its one-year achievements.

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Reliance Jio Launches a Massive Rollout for JioPhone

August 23, 2017

The opening for the JioPhone pre-bookings, the feature phone manufactured by Reliance Jio, the telecom arm of Mukesh Ambani led Reliance Industries Limited (RIL), is coming near. With this, the company is gearing up to supply the required number of phones to dealers.

Pre-booking and beta testing

The phone was available for beta testing from 15th August 2017 to 23rd August 2017. The pre-booking slot for the JioPhone will begin from 24th August 2017. This will be on a first come first serve basis.

Reliance’s efforts to market the JioPhone

The JioPhone is going to be marketed under the conglomerate’s LYF brand. The company is planning to reach out to around 10 lakh retailers. Through this, RIL expects to be delivering around 5 million handsets every week. This is expected to continue on for the next five or six months.

It has already started educating dealers on how to avail of the vouchers as well as the pre-booking process. The transactions for the above will be done via the BHIM app. Mukesh Ambani led RIL is also expected to roll out a Jio point of sale (PoS) version that will come with the pre-booking option for the voucher facility.

The retailers who wish to sell the JioPhone will need to download this app in order to make the required payments for the vouchers and for booking the phone.

Distribution of JioPhone

The JioPhones are going to be imported from Taiwan. These phones will then be brought into the cities of Mumbai, Delhi, Ahmedabad, Kolkata, and Hyderabad. The devices will then be sent to the Reliance Digital stores and Jio outlets. Reliance Digital currently owns a chain of consumer electronic stores. This includes a network of around 1,996 outlets in approximately 700 cities. The company also has close to 1,072 Jio Centers. These outlets will distribute the handsets to the retailers.

First round of JioPhone sales

In the first round, the telecom operator is going to provide dealers with 40 JioPhones. These phones will be available only through the Jio vouchers and on a first come first serve basis. The dealers may purchase these phones by paying the company INR 500 for each voucher which means INR 20,000 in total. Once the dealer sells the phones, he/she will be reimbursed. Of the INR 1,500 security deposit the buyer pays, the dealer will retain INR 500 while the rest INR 1,000 will go to the company. In order to sell its phones, RIL is making use not only of its own work force but also of the services by other logistics companies.

About the JioPhone

The JioPhone is a 4G VoLTE supported feature phone. Here are some of its specifications:

  • A 2 MP rear camera
  • A front VGA camera
  • 512 RAM
  • 4GB internal memory
  • Expandable memory is 128 GB via a microSD card
  • 2,000 mAh battery
  • 4-inch screen
  • Alphanumeric keypad
  • Jio app suite

This phone is also known to be effectively free as the customer will only have to pay an INR 1,500 security deposit which is refundable after three years.

Summary

To promote its new JioPhone, RIL has launched a massive rollout.

Digital Payment Apps Offer Cashback on Reliance Jio Recharge

August 17, 2017

Mukesh Ambani’s Reliance Jio began commercial operations in September 2016. It gained a subscriber base of over 100 million in a record time of six months. The company has always been offering attractive 4G data and voice calling packs to its users.

Cashback offers

A number of smartphone companies have joined hands with Jio to offer additional data. Now, several payment portals have announced cashback offers for Jio users. These portals include Amazon Pay, Paytm, MobiKwik, and PhonePe. Each of them is giving different cashback offers on recharge of Reliance Jio accounts. This move is aimed to attract other users apart from the users of MyJio app.

Most of the cashback given by these digital payment apps are on plans priced more than INR 300. Reliance Jio plans for this range cost INR 309, INR 349, INR 399, INR 509, INR 999, INR 1,999, INR 4,999, and INR 9,999.

Here is a list of all the cashback offers provided by these digital payment portals:

  • Paytm

Paytm’s cashback offer starts from a recharge of INR 100. The app is giving a minimum cashback of INR 15 on a recharge of INR 100 or more. For recharges above INR 300, the cashback is of INR 76. Paytm will credit the money in the user’s account within 24 hours of recharge. To avail of the cashback, users will need to use the promo code, PAYTMJIO while making the recharge from the app. The promo code is listed on the app, so that users may just select it instead of manually typing. Selecting from the list adds the promo code automatically.

  • PhonePe

PhonePe, a Flipkart app is giving INR 75 cashback on a Reliance Jio recharge of INR 300 and more. This offer is available from 14th August to 21st August exclusively for prepaid users. It is applicable on just one Jio recharge transaction. Similar to Paytm, the app will credit the cashback into the user’s PhonePe account.

  • MobiKwik

MobiKwik is offering cashback as high as INR 159. This offer is for new users who have never recharged through MobiKwik. The code of this offer is NEWJIO. Cashback for other users is of INR 59 with code JIOMBK. Both these offers are available for Jio users recharging with the INR 399 plan only.

  • Amazon Pay

Amazon’s cashback offer is of INR 99 for Jio recharges of or above INR 309. This offer is exclusively available on first Jio recharge through Amazon Pay. It is valid from 14th August to 19th August. On subsequent recharges, Amazon is offering cashback up to INR 20 valid till 30th November. This means a user may get a total cashback of up to INR 300 until November. The cashback will be credited to the Amazon Pay account within seven days post the recharge.

Mukesh Ambani led Reliance Jio prepaid plans start from INR 19 while the postpaid plans start from INR 309.

Summary

Digital payment apps like Paytm, PhonePe, Amazon Pay, and MobiKwik have announced different

Mukesh Ambani Supersedes Li Ka-shing to Become Asia’s Second Richest Man

August 2, 2017

Thanks to Reliance Jio and Reliance Industries Limited’s (RIL’s) petrochemical and refining units, Chairman Mukesh Ambani has become the second richest man in Asia.

Mukesh Ambani’s position

According to the Bloomberg Billionaires Index, this year, Mukesh Ambani added around USD 12.5 billion or about INR 80,000 crore to his existing wealth. His current net worth is USD 35.2 billion or around INR 2.2 lakh crore. This surge made him increase his position from being the 29th richest man in the world at the end of 2016 to being the 19th richest man, currently.

Mukesh Ambani overtook Hong Kong real estate magnate Li Ka-shing, who was previously the second richest Asian. At present, the richest Asian is Jack Ma, Founder of Alibaba Group with a net worth of USD 43.7 billion.

RIL’s earnings and investments

RIL has invested more than USD 31 billion in Reliance Jio, its telecom business. Investors have an optimistic view of this venture, especially after the launch of the new JioPhone on 21st July. Earlier in February, when the Chairman announced Reliance Jio’s initial pricing, RIL’s shares saw an almost 50 percent boost.

At present, around 90 percent of RIL’s revenues come from its petrochemicals and refining business, a Bloomberg report stated. Besides, Mukesh Ambani expects the business to reach an EBITDA of around INR 1 trillion in the next few years.

About Reliance Jio

Reliance Jio is the telecom subsidiary of RIL. It was launched in September 2016 and within nine months, it managed to get 117.3 million subscribers, which made it India’s fourth largest telecom operator.

At the company’s 40th Annual General Meeting (AGM), Mukesh Ambani described Jio as a jewel among RIL assets. He also voiced his expectations that the business and societal value of the telecom company will increase and it will become the largest provider of data services, application platforms, and other products during the next decade.

The company is extending its scope of business by offering fixed-line Internet connections as well as releasing a new feature phone known as the JioPhone. This is an effectively free phone as users may buy it with a deposit of INR 1,500, which is fully refundable after three years.

Jiophone will offer customers unlimited voice calls, SMS, and data for a mere INR 153 per month. It is also supposed to have smartphone-like features like voice assistance, 22 languages support, and the Jio app suite. The phone is expected to reach the market by 15th August 2017.

Apart from all this, Reliance Jio has partnered with AirWire Technologies to offer a special device for cars. This device will be able to connect to a user’s car and provide Wi-Fi, diagnostics, and other services.

About Bloomberg Billionaires Index

Bloomberg Billionaires Index is ranking of the richest people in the world. At the end of every trading day in New York, the net worth of each billionaire is calculated and then updated on its website.

Summary

As per the Bloomberg Billionaires Index, Mukesh Ambani became the second richest man in Asia leaving Li Ka-shing behind.

RIL: Golden Decade has Begun

July 28, 2017

Reliance Industries Limited (RIL) is one of the leading conglomerates in India and is led by Mukesh Ambani. RIL is optimistic about its future and has called its next ten years, the golden decade.

RIL’s growth  

The retail and telecom arms of RIL are regarded as “hyper growth platforms” by the company. RIL has been witnessing consistent growth in both these consumer sectors.

The company, apart from having a strong annual cash flow from its petrochemical and energy core businesses, is reaping benefits of its recent huge capital expenditures. RIL’s net profit has crossed the INR 9,000 crore-mark in the first quarter of the Financial Year (FY) 2017-2018.

The company has been relying on its main businesses of refining and petrochemicals that have high margins. However, its retail arm has now been making significant contributions to the total turnover.

Reliance Jio’s growth

The telecom arm of RIL, Reliance Jio offers affordable services to its subscribers. The company predicts a tremendous growth in the future because of the increase in the use of wireless Internet.

It said that Jio has more than 100 million paid subscribers and most of them opt for a tariff plan of INR 349 or higher. Jio has stated that the penetration of smartphones in the market will increase to 60 percent from the current 30 percent in the coming three to four years. Apart from this, Jio also believes that there is a huge scope of growth for high-speed data services as 50 percent of users stream videos and 40 percent consume eSports.

Jio has a wide subscriber base and the users already consume more than 125 crore GB of data with 165 crore hours of video streaming every month. All of this is in addition to the 250 crore minutes of daily voice traffic.

According to the company, an average Indian spends approximately seven times more time on their cell phones every week than on television. This has led to the redefinition of main sectors like entertainment, healthcare, education, and marketplaces. Middlemen are slowly being replaced while direct-to-customer markets are witnessing growth, it added.

RIL’s energy and retail business

According to RIL, its fuel retail business is growing at a rapid rate and enjoys average sales that are higher than competitors. There is no complaint of any malpractice like tampering of fuel pumps and thus RIL has a good credibility in the market.

RIL’s retail sale of diesel has increased by 82 percent in FY 2016-2017. It is because of automation of daily fuel prices at all its fuel retail outlets. This ensures customers that the fuel they are paying for is priced correctly and the prices are updated on time.

The overall sale of retail products by Mukesh Ambani led RIL has a key contribution from the sales proceeds of petroleum products, consumer electronics, and connectivity services. These sectors have observed a strong and sustainable growth, according to the company. Apart from this, the company also revealed that around 66 percent of its retail business is transacted by non-cash modes.

Summary

RIL commented that its “golden decade has begun” owing to high growth expected in its retail and telecom arms.

Reliance Digital to Head to an INR 40,000 Crore Goal by 2020

July 27, 2017

Reliance Industries Limited (RIL) has set a goal to make its subsidiary Reliance Digital an INR 40,000 crore entity by the year 2020. Reliance Digital currently handles the company’s mobile phone and consumer electronics sector.

Reliance Digital’s expansion plans

At a business meeting held to celebrate the company’s ten year anniversary, senior executives and company officials of Reliance Digital revealed the business plans. In this meeting, the target for INR 40,000 crore was set.

Current business share of Reliance Digital

Reliance Digital occupies 4 percent of India’s mobile phone and consumer electronics retailing market. In the previous fiscal year, it achieved around INR 11,200 crore sales. This made it the largest contributor of Reliance Retail.

Reliance Digital accounted for 34 percent of the total sales and overtook even the food and groceries retail. In the quarter between April and June, its share in the retail business increased to 41 percent and it outperformed the industry growth in categories like washing machines, air care, microwave ovens, TVs, and mobile phones. Besides, its like-for-like growth in the last financial year was over 21 percent while Reliance Retail’s overall like-for-like growth was 16 percent.

Reliance Digital stores

At present, Reliance Digital operates around 2,000 digital stores in over 700 cities. Of these, 270 are large-format outlets and the rest are smaller-format Jio stores. These Jio stores sell Jio mobile connection, smartphones, and tablets.

As per company officials, the large format stores of Reliance Digital achieved billion-dollar sales last fiscal. Mukesh Ambani, Chairman of RIL said that due to the increasing demand for entertainment, data, and connected consumer appliances, eight smartphones are sold in a minute while 68 TVs and 42 laptops are sold in an hour at Reliance Digital stores.

After achieving a 90 percent increase in the consumer electronics business last year, Reliance Digital is expecting the market to grow even more and is making plans on capturing most of this growth.

Way forward for Reliance Digital

To achieve the target of INR 40,000 crores, Reliance Digital will need to increase its market share to 12 percent in the next three years. Here are some of its future plans for achieving this target:

  • For the next three years, Reliance Digital is planning to set up 50 large-format stores every year.
  • The company is also planning on selling large appliances like TVs and ACs via the Jio stores.

About Reliance Digital

Reliance Digital is a subsidiary of Reliance Retail, which is owned by RIL. It offers a wide range of electronic products from top brands. It also offers after sales service and support. This includes product installation, maintenance, repair, and customer services.

About RIL

RIL-led by Mukesh Ambani is a conglomerate of companies whose activities range from petrochemicals to electronic products and retail to hydrocarbon exploration. It is a Fortune 500 company. It is also the largest private sector corporation in India.

Summary

Reliance Digital has set a target of becoming an INR 40,000 crore entity by the year 2020.

Reliance Jio Offers up to 72 GB Free Data to LYF Customers

June 21, 2017

As per a new scheme, Mukesh Ambani led Reliance Industries Limited (RIL) subsidiary Reliance Jio is now offering customers up to 72 GB or 20 percent more 4G data on the purchase of select LYF smart phones.

20 percent more data scheme

This new offer is applicable to both—existing Prime customers as well as new customers. It will be applicable on select LYF smart phone purchases made from 9th June 2017 till the stocks last. The data vouchers for this scheme will be applicable from the recharge date to 31st March 2018. After 31st March 2018, any unused data voucher will expire and be forfeited.

Along with buying the LYF device, customers will have to make a recharge of INR 309 or INR 509. This will give them a 4G data voucher of 6 GB or 12 GB, respectively. The complimentary 4G data will be credited within two days of the recharge. The vouchers will be valid for not more than six recharges. This means that a customer may avail of up to 72 GB data using these six recharges.

While the 20 percent more data scheme cannot be used with other offers or promotional schemes of the same type, eligible subscribers will still be able to avail of the benefits Jio provides in its Jio Dhan Dhana Dhan scheme. Apart from this, the free data scheme will be discontinued if the subscriber changes the eligible LYF device for another handset, which is not valid under this scheme.

Smart phones applicable under the scheme

The following LYF smart phones are applicable under the scheme:

  • Earth 1
  • Earth 2
  • F1
  • F1S
  • Water 1
  • Water 7S
  • Water 8
  • Water 10
  • Water 11
  • Wind 4S

Activation of the 20 percent more data scheme

As per the Jio Website, subscribers will have to put their Jio SIM in the LYF handset. After this, they will have to download and install the MyJio app on the device. Once the app is installed, subscribers will have to go to the My Vouchers option in the MyJio app. There, they will have to select View Voucher followed by Recharge My Number. Once they confirm the recharge, they will get a Successful Recharge Notification. After this, they will be able to see the additional data voucher under their My Plans section.

Subscribers of Reliance Jio

As per a report by Bank of America Merill Lynch, a global financial services major, 80 percent of Jio subscribers have only one Jio SIM and around 90 percent have subscribed to its Prime membership plan. The report further stated that around 76 percent users are going to continue using Jio’s services once the promotional offer gets over. Moreover, 84 percent subscribers have already paid the monthly top up with a majority choosing the INR 303 or INR 309 plan.

Summary

Mukesh Ambani led Reliance Jio is offering up to 72 GB of free data to the customers of select LYF smart phones, under its 20 percent more data scheme.

90% Jio Users Become Prime Members while Reliance Jio Offers 20% More Data on LYF Mobiles

June 20, 2017

According to a recent report, Mukesh Ambani led Reliance Jio has garnered approximately 90 percent of its user base into purchasing the Jio Prime membership. Apart from this, the company has also introduced a new offer, wherein those who purchase select LYF smart phones will be eligible to get 20 percent additional 4G data.

Bank of America Merill Lynch report  

According to a Bank of America Merill Lynch (BofAML) report, approximately 90 percent of Reliance Jio users have subscribed to the Jio Prime membership. This report further stated that 76 percent of the users will continue to use Jio even after the offer period ends.

Some other information about Jio users as per the report are as follows:

  • 80 percent users have one Jio SIM only
  • From the existing ones, 84 percent users said that they have already paid for the monthly top up
  • The most popular top ups are of INR 303 and INR 309

The BofAML survey was conducted in mid-June. It consisted of approximately 1,000 users who were primarily using a Jio SIM.

Additional 4G data offered by Jio

As per a new limited period scheme, Mukesh Ambani led Reliance Jio is offering extra 20 percent 4G data on purchase of certain models of LYF smart phones bought from 9th June till the stocks last. The select models that come under the purview of this offer are Wind 4S, Water 1, Water 7S, Water 8, Water 10, Water 11, Earth 1, Earth 2, F1, and F1S.

The users will be eligible for this offer when they make a recharge of INR 309 or INR 509 on their Jio SIM. They will get a top up voucher of 6 GB or 12 GB, respectively. This additional data will be credited within 48 hours of the initial recharge done.

As per the terms and conditions, these data vouchers may be used for up to six recharges done till 31st March 2018. In case there is any unutilised data after the end of the offer period, it will expire.

Steps to activate the additional data

Following are the steps to be followed for availing of 20 percent additional data:

  • Insert the Jio SIM in the LYF smart phones you purchased.
  • If you do not already have the MyJio mobile application, download it on your phone.
  • Open the MyJio app, go to My Vouchers and click on Recharge my number.
  • Recharge your SIM with the plan of your choice. After the recharge is done, you will get a notification of a successful recharge.
  • Post this, the additional data voucher will automatically reflect in the My Plan section of the app.

Users should note that this offer cannot be clubbed with any other alternative offer or promotion. Besides, the benefits of the offer will discontinue on change of device.

Summary

According to a report by BofAML, around 90 percent of Jio users have become Jio Prime members. Apart from this, Reliance Jio has launched a scheme offering 20 percent more data to buyers of LYF smart phones.

Reliance Jio is Offering Cashback on LYF and JioFi Devices

June 13, 2017

Mukesh Ambani led Reliance Jio has come up with promotional offers for its line of LYF smart phones and JioFi devices. Both the offers will give users additional 4G data that will be available in the form of vouchers or data top ups.

Offer on LYF phones

Reliance Jio is offering 20 percent more 4G data to its users buying certain models of LYF smart phones. To avail the offer, customers will have to purchase a LYF smart phone priced between INR 6,600 and INR 9,700. Under this offer, a user may select from over ten LYF models including F1, F1S, Earth 1, Earth 2, Wind 4S, Water 7S, Water 8, Water 10, and Water 11. This offer is only applicable for Reliance Jio customers who are Jio Prime members.

The details of the offer are as follows:

  • A user who has a LYF smart phone will be entitled to get a 4G data voucher of 6 GB with each recharge of INR 309. A 12 GB voucher will be given to those who recharge with INR 509.
  • The recharge done by the user will reflect in the MyJio app under the My Plan section.
  • Users are entitled to recharge and get the additional data vouchers for a maximum of six times.
  • This offer will be valid till 31st March 2018.

The LYF brand comes under Reliance Retail, which is a part Mukesh Ambani led Reliance Industries Limited (RIL).

Users may purchase LYF smart phones on Reliance Jio’s official website, where they may be found under the smart phone section. These smart phones are also available for purchase on Reliance Digital and Digital Xpress Mini stores.

Offer on JioFi devices

Reliance Jio’s portable broadband device, called JioFi is virtually free as Reliance Jio is offering a 100 percent cashback on its purchase. The JioFi is a device that creates a personal hotspot and allows multiple devices to connect with it to access the Internet. The devices may be 2G and 3G smart phones, laptops, and even tablets.

The details of Reliance Jio’s 100 percent cashback offer are as follows:

  • On the purchase of JioFi devices from Reliance Jio’s official website, customers will be eligible to receive cashback in the form of data vouchers worth INR 2,010 or INR 1,005.
  • The data vouchers will be in the form of top ups of INR 201. Ten such vouchers will be given to those who exchange their non-Jio devices at the time of purchasing the JioFi device, under the 100 percent cashback offer. Five vouchers will be given to other buyers who do not opt for the exchange, under the 50 percent cashback offer.
  • The JioFi device costs INR 1,999. Users may purchase it by using the EMI options offered by SBI Bank, ICICI Bank, HDFC Bank, and Axis Bank, among others. The EMI starts at INR 95.03.

The JioFi device is available at Reliance Digital stores, Digital Xpress Mini Stores, and on Jio.com, the official Reliance Jio website.

Summary

Reliance Jio is offering cashback on the purchase of LYF smart phones and JioFi devices in the form of 4G data vouchers.

Reliance Retail to Launch Project Eve Retail Stores

June 6, 2017

Mukesh Ambani led Reliance Retail is set to launch a retail experiential store with premium services. The chain will be called Project Eve. These stores will have a host of facilities for the customers and are set to be more premium than the existing chain of Reliance Retail called Reliance Trends.

Project Eve

This chain of stores will have apparels, cosmetics, footwear, and jewelry. There will also be salons and cafés where shoppers can relax and rejuvenate themselves. All of these services will be available under one roof for their convenience.

With regard to shopping, the Project Eve stores will have in-house brands as well as international brands. The chain will focus on high fashion and premium wear in order to differentiate itself from the existing stores in India which are driven primarily by discounts.

According to a report in Economics Times (ET), the stores would be around 5,000-10,000 square feet in size. One of the executives involved in the store launch said that Project Eve will mainly focus on urban markets like Bengaluru, Delhi, and Mumbai.

Director at the retail consultancy Elargir Solutions, Ruchi Sally, stated that Project Eve might face some challenges as international brands like Zara and H&M have a large piece of market share with plans of expansion and these brands are ahead in fashion and style. She also opined that Reliance Retail will have to come up with a unique experiential retail format in order to set itself apart and not through pricing.

Apparel market in India

Indian apparel market is on the rise as there is fierce competition between varieties of indigenous as well as international brands. The Indian apparel market is expected to reach a valuation of around 60 billion dollars by the year 2020. The global brands in India like Zara, Gap, and H&M are aggressively focusing on expansion with a view to tapping into India’s non-metro cities as well.

Experiential retailing is getting more attention as competition is going on increasing. As margins are shrinking for core products, global players like Adidas, Nike and Under Armour are trying to find a way to stand out. Under experiential retailing, these stores are innovating and offering coffee shops, yoga place or gyms inside the store.

About Reliance Retail

Reliance Retail is a diversified group under Reliance Industries Limited (RIL), which is headed by Mukesh Ambani. RIL has undertakings in telecom, petroleum, and media. Reliance Retail is one of the largest retailers in India. It operates Reliance Trends and Reliance Brands which have associations with several international brands, such as Diesel and Superdry among others.

In the Financial year (FY) 2016-17, Reliance Retail’s overall revenue was INR 33,765 crore. Out of this a 15% share or INR 5,000 crore was contributed by the fashion and lifestyle segment. In the previous year, this segment contributed 20% of revenue for Reliance Retail. The percentage of contribution reduced because Reliance Retail shifted the focus from fashion and lifestyle to electronics and grocery. However, margins in the apparel business are significantly higher compared to other business verticals operated by Reliance Retail.

Summary

Reliance Retail is all set to launch a chain of premium fashion and lifestyle stores called Project Eve. These stores will function under the experiential retailing format.