Mukesh Ambani’s conglomerate Reliance Retail is reportedly planning to launch a fast fashion store chain to compete directly with global fast fashion giants Zara and H&M in India.
This new format for apparel and accessories store chain is said to be called Regalia and Reliance will initially start by opening up 6 stores.
“International brands have the advantage of a certain cachet, which has allowed them to gain disproportionate visibility,” Devangshu Dutta commented. Dutta is the founder and CEO of Third Eyesight, a retail consulting firm.
He also added that despite the monopoly of international brands, the market can certainly make room for more fashion brands. Reliance will have to take into consideration the aspirational aspects of consumers in order to successfully compete with international brands
Spread across around 30,000 square feet, the new Regalia stores are to open up in Mumbai and Gurgaon and most likely Hyderabad and Bangalore.
The brand is set to be launched during Navratri or Dussehra in Bangalore and the name will only be revealed at the time of the launch. The price range of the products is expected to be mid-premium and will be targeting the younger segment of the demographic.
Reliance Retail’s Success in the Fashion Industry
Reliance Retail is one of the biggest retailers in the country.
While they have been able to get several premium-to-luxury international brands under their umbrella-like Burberry, Armani, Canali, Bottega Veneta, etc.; this is still a big move for the conglomerate.
Reliance operates the Marks & Spencer stores in the country and their rival in this fast fashion sector is the Tata group which has the Spanish brand Zara under it. Tata also recently launched their line of fast fashion called Zudio.
After having, recently, partnered with Gap Inc., Reliance is also set to take control over the rights of French multi-brand retailers of beauty products, Sephora, in India.