The performance comes at a time when most retailers are smarting from high inventory and slackening consumer demand.
More importantly, say experts, it makes the ambitious goal set by Mukesh Ambani — of a Rs40,000-50,000 crore turnover in 3-4 years — appear achievable.
What has worked for the company is the aggressive expansion plan it had charted out, say analysts. “During 2009-11 when most retailers were focusing on their existing stores, Reliance made the most of the deep pockets that it has and added a lot of stores across all formats. This strong footprint is what is helping the company now, “ said a retail analyst.
“Reliance Retail witnessed strong growth through new store launches and same store sales growth,” the company said in a press note.
Over the past year, it has seen an impressive same store sales growth of 5-25% across formats.
Another retail analyst pointed out that Reliance has also been experimenting with different store formats since 2010. “With this, they know what store format works in which markets,” he said.