- Meenakshi Kumar |
Footwear major Skechers has purchased the minority share of its joint venture with Future Group. This means the business is a wholly-owned subsidiary of Skechers USA. The subsidiary will continue operating under its existing structure and from its existing headquarters location in Mumbai. Skechers is still a relatively young brand India, having been here for less than a decade. In the last five years, it has seen significant growth through its joint venture--a strong wholesale business and a recently launched e-commerce site. As per Rahul Vira, CEO, Skechers South Asia, in India, Skechers has achieved great success over the past few years. And this development will enable them to amplify growth plans, accelerate expansion of our operations and build a stronger network to further gain market share.
The aim is to grow the brand and its presence in a faster, more efficient manner. The network of Skechers retail locations in India currently includes 223 retail stores—61 of which are Skechers owned and operated while the remaining are third-party owned. An additional 80 to 100 stores are planned for 2019—of which approximately 20 will be company-owned, company-operated.
By the end of 2020 or early 2021, the plan is to have anywhere between 400 to 500 stores operational in India. Most of the stores will come up in Tier II cities. By 2022, the Indian subsidiary is aiming to become a billion-dollar brand. Last year the brand saw double-digit increases in wholesale and retail sales and an 80 per cent increase in pairs sold.