Rosebys tie-up with Style Spa

Rosebys Interiors, the home furnishing and lifestyle retail chain that started retailing in India two years

back, has now entered a revenue sharing partnership with Style Spa. Rosebys aims to expand its base by opening more than 100 shop-in-shop outlets across the country through this tie up. The company is also looking at increasing its stores from 100 to 300 by 2011.

According to Nikhil Sen, Director, Rosebys India Interior Limited, with organized home decor and lifestyle products retailing growing at more than 30 per cent annually, there is a huge market for the home decor and lifestyle market in India, which is pegged at around Rs 14,000 crore. This tie-up will give Rosebys a huge opportunity to reach their target group. The launch will be in two phases. Initially, 50 shop-in-shops are to be opened. This will be followed by 50 more stores across different cities.

According to chief executive Aloke Banerjee,  Rosebys India is likely to generate revenues of about Rs100 crore for the current fiscal, and expects annual sales to reach Rs 500 crore over the next four years aided by its brand-building exercise and store additions. It may be noted that Gujarat Heavy Chemicals had acquired UK’s Rosebys chain in a Rs180 crore deal in 2006. After the acquisition, the company closed down all 320 stores in the UK. Now it’s chalking out plans to re-enter the European market, which it quit three years ago. However, it will stick to the franchise route rather than opening own stores.