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We’ve done reasonably well on our margins and I think one of the things that helped us in this direction was that we tightened our belts and tried to extract cost efficiencies on various levers.The second piece that we tried was also improve on the product mix and therefore push some of the higher-margin products," he said.The information requested from you is necessary for SPARTOO to complete your order. It started showing or rearing its head somewhere in Q2 of last year. The retailer, which is seeing supply constraints for raw materials such as polyurethane, said it took price hikes of 7-12%. Casual footwear is now approximately half of the company’s portfolio, he said. We’ve revamped a lot of our casual portfolio," he said. In our stores, let’s say, from about a year back or maybe even eight months back, there’s a big change in the portfolio. We’ve started a conscious effort towards making sure our portfolio moves in line with consumer trends.
Shah said the company is focusing on more casual footwear and adding more sneakers to its range as the trend has become more mainstream. A number of new sneaker studios were launched, the company said, and the Unlimited sneaker campaign drove the new portfolio leading to an increase in sneakers and casuals style contribution to the overall sales mix. “We continued upshift in marketing investments with campaigns like Unlimited Sneaker.," he said. In a statement on its March quarter earnings, Shah said sneakers led the growth recovery in the quarter while formal and fashion categories also recovered significantly.
Over the next two years, Bata is aiming to increase the franchisee store share to 30%, analysts at ICICI Securities said in a May report on the company. It has more than 300 franchise stores that account for 18% of its store network. In FY22, Bata added more than 80 franchised stores to tap shoppers in tier III and smaller cities. Consolidated revenue from operations rose 12.7% to ₹ 665.2 crore from ₹589 crore a year earlier, it said. Late last month, the footwear retailer reported a doubling of March-quarter profit to ₹62.9 crore. Shah said company-owned stores will expand as well, “it’s just that there is disproportionate expansion happening in the franchise model." It’s ramped up from less than 800 towns about a year back," he added.
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That distribution arm now takes us to almost 1,000 plus towns. So we’ve got a distribution arm and that takes us to almost 20,000-25,000 multi-brand footwear shops. “Another pivot of the expansion of footprint has been basically multi-brand outlets. Shah said the company has also expanded its footprint to reach more shoppers through multi-brand stores.
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