Brand Factory does a first, to charge entry fee on 'free-shopping' days

Future Group is doing what perhaps no other retailer has done ever: charging customers a cover of Rs 100-250 to enter its discount fashion format Brand Factory.

The cover charge would be applicable during a five-day promotion campaign from November 22-26, when Brand Factory will charge consumers buying goods worth Rs 5,000 at maximum retail price (MRP) from its 50-odd stores only Rs 2,000. Even that would be returned in the form of free merchandise, gift vouchers and cash back in the company’s mobile wallet. Customers can also redeem the entry fee against purchases.

Kishore Biyani, Founder stated the move is similar to pre-bookings online and in the bargain its gaining customer loyalty. It is to encourage serious shoppers, and bring exclusivity to their shopping experience, says Biyani.

In 2016, Brand Factory, a discount chain built on the lines America’s TJ Max and Marshalls did business worth Rs 115 crore during a similar three-day shopping event, selling more than a million pieces of garments. But the crowd was too big to manage. Some 12 lakh people visited Brand Factory outlets during the event. This time, the company expects a more controlled environment.

According to Suresh Sadhwani, Business Head the company hopes to limit customers and curate the footfalls better. Over the past two years, several retailers have been taking steps to help customers impatient with long lines at checkout counters, especially on weekends.