Online discounts affect ITC’s lifestyle retailing biz

ITC’s lifestyle retailing business, part of its Rs 9,000 crores new FMCG segment is suffering because of the online discounting strategies of e-commerce firms. ITC’s lifestyle retailing business division has established a nationwide retailing presence with its apparel brands Wills Lifestyle and John Players. Apart from enjoying a physical store presence, the company’s range is available online on their own web platform and e-commerce sites.

“During the year (FY15), the performance of lifestyle retailing business was impacted by the continuing slowdown in discretionary consumption expenditure. The rise of online apparel retail, aided by heavy discounting and consumer offers, also impacted performance,” ITC said in its recently released annual report. “Wills Lifestyle and John Players continue to be driven on digital platforms to enhance reach, increase awareness and tap online sales potential including through social media and specific e-commerce portals,” it added.

Wills Lifestyle expanded its retail footprint during FY15 and the brand is now present in 104 exclusive stores in 44 cities and more than 500 shop-in-shops in leading departmental stores, regional chain stores and multi-brand outlets. The brand is also present in six Wills Lifestyle boutique stores in select ITC Hotels.