Home Fashion Myntra to manage Forever 21's retail chain in India
Myntra to manage Forever 21's retail chain in India
By Indiaretailing Bureau
Myntra, one of India's leading online fashion portals, is in talks to take over the local retail chain of Forever 21 in India. The US fashion brand, Forever 21, is targeted at teens and young adults.
Flipkart-owned online fashion store Myntra is in advanced talks to manage the local retail chain of Forever 21
Myntra already sells Forever 21's products online in India under an exclusive tie up. The deal to take over the 10 brick-and-mortar stores – currently managed by a joint venture of Forever 21 and DLF Brands – will mark Myntra's entry into offline retailing.
Forever 21 wants to exit the joint venture and instead wants to run a franchise operation in India. The talks are for Myntra to take over and effectively manage the franchise in India, boosting revenue which has been a paltry Rs 250 crore a year as compared to Spanish rival Zara's Rs 720 crore per annum.
Meanwhile, Myntra is exploring the possibilities of opening its branded offline stores as well.
Forever 21 entered India in 2011 through a franchise route with Dubai-based Sharaf Retail and the business failed to scale up for two years, prompting the Dubai company to close the lone store in New Delhi in early 2013.
After the companies called off their franchise agreement, Forever 21 formed the joint venture with DLF Brands and opened ten stores in the National Capital Region, Mumbai, Pune, Bengaluru, Thane and Hyderabad.
To get latest insights on fashion business and more such articles subscribeto Images Business of Fashion
Forerver 21
Previous articleColgate confirms interim dividend of Rs 3 per share
Next articleEasyMeat and Venky's agree to share revenue
Indiaretailing Bureau
Winter Wear Market: Indian fashion retail's hottest sector
Myntra registers 50 pc rise in end of season sale
Myntra's End of Reason Sale sells 3.3 million products on Day 1; registers 67 pc rise in orders over last year