Thought of the Day:
“Live as if you were to die tomorrow. Learn as if you were to live forever.”
Mahatma Gandhi
Did you know?
Ralph Lauren's original name was Ralph Lifshitz
India:
International:
“Live as if you were to die tomorrow. Learn as if you were to live forever.”
Mahatma Gandhi
Did you know?
Ralph Lauren's original name was Ralph Lifshitz
India:
- L Capital remains committed to investment in Genesis: Sanjay Kapoor: Genesis Luxury founder and MD Sanjay Kapoor says the luxury retailer has resolved its conflict with LVMH Group-owned private equity firm L Capital Asia and that the latter is now committed with its 40% holding in the Rs 200-crore firm. Genesis Luxury, which retails several marquee brands including Armani, Canali and Furla in India, is close to deals with two more global brands, Kapoor said. “L Capital had certain issues with one of our franchisee brands Sephora. Now that we have sold the Sephora business to DLF Brands at the end of last year, the conflict between L Capital and Genesis Luxury is over. L Capital remains committed with its investment in the company. A big four firm, KPMG, has been auditing Genesis Luxury accounts for the last seven years. We don't need to raise fresh capital since there are sufficient funds to meet our expansion plans.” He added. On the impact of the economic factors in luxury retailing, Kapoor said “Business is growing, though there has been a marginal drop in growth rate. This fiscal year, our same-store sales growth has been 15% on a like-to-like basis as compared to 18% last year. This is for matured stores, which are more than two years old. We are still not selling to the uber rich but to new money consumers, such as wealthy professionals and first-generation entrepreneurs who want to feel and look good. Our group revenue too will jump to Rs 360 crore this fiscal from Rs 270 crore last year.” He also added about the fastes growing brands and categories according to him, “Women accessories and men's formal wear are the fastest growing segments in luxury retailing. Our biggest brand is parent firm Genesis Colors-owned Satya Paul, which has 40 stores, while Armani is the largest in Genesis Luxury portfolio with nine stores. Across all the brands, we have 110 stores.”
- Now, Big B will Endorse Health Drink Complan: The Indian unit of US food maker HJ Heinz has roped in Amitabh Bachchan to endorse its health drink Complan. The announcement comes barely few weeks after the Bollywood icon said he stopped endorsing another beverage brand Pepsi when he was confronted by a little girl who wondered why he promoted the soft drink that her teacher had branded as poison. The company said that Bachchan would bring immense credibility and memorability to Complan which has been relaunched and repositioned earlier this month. "It was an unanimous choice by our consumers. He is a living legend, evokes a lot of trust and embodies strength. It is the first time that Complan has associated with celebrities for endorsements," said Seema Modi, managing director at Heinz India. Bachchan, who also endorses brands such as Maggi and Parle Goldstar Cookies, said he feels privileged to be a part of an 'innovative and thought-provoking' brand campaign. "I am looking forward to taking this professional journey with the team at Complan, and I am excited to see the response we will get from audiences to the new commercial and brand messaging for Complan," added Bachchan.
- Haier plans to set up new plant in north India; south on radar: Consumer appliances and electronic goods maker Haier plans to set up a new plant in north India entailing an investment of Rs 100 crore to meet its growing demand, and is mulling over a third one for South region after 5 to 6 years. After completing its ongoing $20 million (around Rs 120 crore) expansion at the Pune plant by May 2015, Haier would start work on the proposed new new plant. "We are planning for a new manufacturing plant in the Northern region. We would take up this new project after May 2015 when we would finish our expansion plan in Pune," Haier India President Eric Braganza told PTI. When asked about the investments planned for the new project, Braganza said the company would invest Rs 100 crore but was yet to find a new location for it. "We have not decided on any location in North. It would depend on the what kind of incentives we are going to get and what would be the government's policy at that time," he said, adding that the new proposed pant would manufacture washing machines and air conditioners. "Logistically India is a huge market and when you expand, you need at least at three plant to meet the demand," he said.
- Coca Cola posts 8% volume growth in India in Q4, 2013: Coca Cola posted 8 per cent volume growth in the October-December quarter in India but its business in the country was slower during 2013 than in recent years amidst slowing economic environment. The Atlanta-based company that posted a net income of USD 1.7 billion during the fourth quarter, down 8 per cent from USD 1.86 billion in the year-ago period, said India, China and Japan led the firm's volume growth in its Pacific group."Our Pacific Group's volume grew 4 per cent in the quarter, representing a sequential improvement versus the third quarter year-to-date results. Growth was broad based with 8 per cent growth in India, 5 per cent growth in China and 3 per cent growth in Japan," it said in a statement. This marked Coca-Cola India's 30th consecutive quarter of growth, 19 of which are double digits. Coca Cola's overall net operating revenues were down 4 per cent to USD 11.040 billion from USD 11.455 billion in the fourth quarter. Its Bottling Investments Group's (BIG) volume grew 7 per cent in the quarter on a comparable basis, led by Germany, China and India, after adjusting for the net impact of structural changes, primarily the deconsolidation of the Philippine and Brazilian bottling operations in 2013. The slowdown in the Indian economy, however, had its impact on its volume sales on a yearly basis.
- Connaught Place 8th costliest office location in world: Cushman & Wakefield: The Connaught Place has emerged as the eighth-most expensive office location in the world in 2013, down from the fourth position due to the depreciation in the rupee, according to a report. London’s West End emerged as the world’s most-expensive office market, retaining its position ahead of Hong Kong, second place. Of the top-10 markets, only London and New York (at sixth position) have seen a rise in rental values (five and 17 per cent, respectively) while most others recorded a slowdown in rental values on a year ago, the report by Cushman & Wakefield said. Moscow (at third position) and New Delhi recorded no change in rental values. “Despite a stronger performance against most of the top markets, the Connaught Place fell from the fourth to eighth position due to an appreciation in both the dollar and euro against the rupee in 2013. This caused a shift in New Delhi’s position in global occupancy costs when measured on a dollar or euro basis,” the report said. Limited activities in the location have led to the rentals remaining stable. This may continue as the market may have reached its peak rental backed by the still prevalent and positive demand for office space in the area.
- FDA chief on India visit; calls for greater drug safety collaboration: The head of the US Food and Drug Administration (FDA) called for more collaboration among regulators to improve drug quality and safety as she wrapped up a visit to India after recent import bans on drugs from a handful of plants in the country. In recent months the FDA has banned the import of drugs and drug ingredients from leading Indian manufacturers including Ranbaxy Laboratories and Wockhardt , citing quality concerns. The bans threaten the image and market share of India’s $14 billion pharmaceuticals sector in the United States. India is second only to Canada as a drug exporter to the United States, where it supplies about 40% of generic and over-the-counter drugs. “We think this is a critical moment in time, when we have to think and act in new ways, and that requires real commitment as national regulators to work as a coalition of global regulators,” FDA commissioner Margaret Hamburgtold reporters. “And that is why it is so important that the Indian regulator really joins us at the table, because they are so important in the global marketplace for medical products.” Hamburg met regulatory and health ministry officials as well as executives of drugmakers including Ranbaxy and Wockhardt. Quality was the central theme of Hamburg’s visit, which included a trip to the Taj Mahal. “It was evident,” Hamburg wrote in a blog post on Friday, “that those responsible for building the Taj and those that are preserving the centuries-old structure are committed to extraordinary quality. She said that “vision of quality and care” remained with her as she met executives from Indian drug exporters.
- Clothes maketh the global businessman: Just after I turned 16, my father took my brother and me to buy our first real suit. It was an occasion marked with a certain ceremony; a kind of rite of passage by which we took the first official step into manhood. My father took us to several tailors, not just in search of the most fashionable cuttings, but in search of education. It began with showing us the different kinds of fabric one needed to be able to differentiate between. He explained how to look for the different types of woollen and linens and asked the tailors to explain the advantages and disadvantages of each. We were educated on different ways in which stitching was done and how the interior of jackets were designed differently by different brands. We quickly learned to see the large quality differences in the way inner pockets were made and to appreciate how different fabrics for the lining was used. One was educated on one-button, two-button and three-button jackets with single or double splits. When we bought our suits, shirts and ties that day, we felt we had done much more than buy an expensive piece of clothing. We felt we had made our first entry into the secret world of worldly men, having becoming slightly versed in the wordless language of suitability that was spoken by men around the world. Later on in life, preferences developed for certain styles and my education of sorts continued, without much fancy. At some point after trial and error, I settled on certain brands—Paul Smith and Armani are still favourites for ready-to-wear business suits, as their imaginary customer exactly matches my silhouette. It can give one a sense of confidence to know that wherever you go around the world, your counterparts are able to see you and know what you are doing just from the looks of you. It was a crucial lesson. Taste is beyond dispute, they say. But that should not keep us from trying. Because our client is certainly not alone. Indian men, in general, wear their suits two sizes too big to start with. They wear the sleeves too long, their pants too high, their ties too short, their shirts too open. They wear worn out slide-in shoes rather than well-polished laced ones. They cannot be blamed. Despite the efforts of companies like BlackBerry and Raymond, it is still very hard to buy a truly well-made, well-cut, well-stitched suit in India—except from international designers. But even when abroad, they often refuse to spend cash and think good suits are a fancy, unnecessary luxury. By Tjaco Walvis - managing director of brand consulting and advertising agency THEY India, and a speaker at the Outstanding Speakers’ Bureau.
- Canadian QSR chain Pita Pit opens second outlet in India at Saket, New Delhi: The healthy Canadian quick service chain (QSR), Pita Pit has opened its second outlet in India at Saket in New Delhi. The first Pita Pit outlet was opened last year in November in Gurgaon. Pita Pit serves healthy ingredients in pita-style pocket breads. The launch of second outlet is in sync with the company's expansion plans in Delhi/NCR. The Pita Pit outlets in India (North & East) are managed through a master franchise agreement with Ishann Dhawan and Anun Dhawan who act as Directors of Mentor Hospitality Pvt Ltd. "There has been a shift in Indian consumers' growing interest in health and wellness and our options are tailored specifically to the health-conscious individual who doesn't want to sacrifice taste for calorie count. With Pita Pit's motto - Fresh Thinking - Healthy Eating, it was a natural fit to cater to the dire need for a healthier alternative on the go," said Ishann Dhawan, Co-promoter, Pita Pit India. "Select Citywalk was the ideal location to open our first South Delhi restaurant, since it has already established itself as the hangout hub for people of all ages. It is essential to be part of such hubs in order to better gauge the Indian taste and to evolve alongside their palate," he added. Pita Pit, globally, has been known for its unique restaurant management practices such as conducting mystery shopping which has been claimed to help boost the company's bottom lines.
- Anupamaa Dayal ventures into home décor: After serving the fashion industry for nine years, designer Anupamaa Dayal has now launched a home decor line. The collection, she says, embodies "adventure, quirky, local, sustainable and hopefully charming" designs. "As a fashion designer for nine years and a jewellery designer for several, my perspective comes with an eye for detail and an instinct for trend. We want to create a space that is uniquely Anupamaa channeling all that the brand stands for," the designer said in a statement. What's unique about the line is that "almost everything" from the line "has been created and sourced within a kilometer's radius...from the village our studio is housed in". "From the village, I have put together a team of painters, carpenters, blacksmiths and tentwallas. For the first time, I spent hours working with the blacksmith smelting, bending creating the racks, the stands and the lamps," she said. "Then (I spent) hours with the carpenter. The cupboards, which already seem a big hit, are painted with dyes from our printing unit and signature Anupamaa colours. Loads of sofas, upholstery, cushions, mats and so on...all made in-house," she added. Some products include bed linen, duvets, cushions of all shapes and sizes, upholstery fabric, curtains, table linen, tablecloths, runners, placemats, napkins. Furniture includes beds, sofas, shelves, ottomans, coffee tables and more. Describing the line, she said: "The collection is Anupamaa Indian. Culled from tradition, but usable in any part of the world.
International:
- Uptick in Consumer Spending Sparks Hope in Milan: Milan Fashion Week starts Wednesday, a few days after yet another government topple made worldwide news. Prime Minister Enrico Letta resigned following a revolt of his own Democratic Party, clearing the path for rival Matteo Renzi, the mayor of Florence, to become Italy’s new leader of the third government in a year. On Monday, Italy President Giorgio Napolitano asked Renzi to form a new government. Renzi will become Italy’s youngest-ever prime minister. The pro-business Renzi has already forged a relationship with the fashion industry, attending Emporio Armani and Ermanno Scervino fashion shows in 2012, and in September last year, announcing with Milan Mayor Giuliano Pisapia a strategic partnership between Florence and Milan focused on the fashion industry and the organization of the Expo, which the latter city will host in 2015.
- London fashion shows draw inspiration from painting, sportswear: London's fashion designers looked to painting and sportswear for inspiration as leading fashion editors, models and celebrities flocked to the capital's biggest runway shows on Monday. British heritage brand Burberry sent models down the runway in long flowing dresses and scarves, daubed with brushstroke designs of flowers, leaves and autumnal abstract prints in shades of cornflower blue, lemon yellow and blush pink. The show, which featured a live performance from musicians Paloma Faith, Ed Harcourt and Rhodes, was attended by actors Bradley Cooper and Naomie Harris, as well as U.S. Vogue editor Anna Wintour and Harry Styles from boy band One Direction. Designer Christopher Bailey said he drew inspiration from artists in London's Bloomsbury Group of the early 20th century, which included painters Duncan Grant and Roger Fry. "What I wanted to do is try to capture that spirit in the collection - the colours, embroideries, the fabrics - but also through all the hand painting on all the bags and the coats and the shoes and the belts," Bailey, who is set to become the company's chief executive soon, told reporters backstage. Burberry's signature trench coats featured hand-painted designs and were cinched neatly at the waist, paired with knitted pencil skirts in shades of ochre, burnt orange, and russet reds. American designer Tom Ford dressed his models in velvet tunics, leather pencil skirts, brightly coloured fur coats and sequined football jerseys embellished with his name.
- Tata 34th in Global 500 brand list; Apple on top globally: Diversified conglomerate Tata group was today declared India's most valuable brand with a value of USD 21.1 billion, while US-based technology giant Apple has retained its top position globally with about USD 105 billion. According to a list released today of world's 500 most valued brand, Brand Finance Global 500, Apple is followed by Samsung (USD 79 billion) at second place globally. In the top-ten, these two are followed by Google, Microsoft, Verizon, GE, AT&T, Amazon, Walmart and IBM. Tata has retained its top place among Indian brands and its global ranking has also improved from 39th in 2013 to 34th now. However, the number of Indian companies on the list has declined to five from six. Other than Tata, the global ranking of all other four Indian companies has dropped and they include SBI (347th), Airtel (381), Reliance Industries (413) and Indian Oil (474). Tata's brand value has increased from USD 18.2 billion to USD 21.1 billion, and it has consistently improved its ranking since being placed 100th in the year 2007. The Indian company which has dropped from the list this year is ITC, which was ranked 445th in the year 2013. According to Brand Finance, SBI's brand value has dropped from nearly USD 6 billion to USD 4 billion, while that of Airtel has marginally risen from USD 3.74 billion to USD 3.8 billion. Reliance Industries' brand value has dropped from USD 3.7 billion to USD 3.5 billion and that of IOC from USD 3.4 billion to USD 3.1 billion. While Apple has been ranked as most valued brand, the annual study conducted by brand valuation consultancy Brand Finance said that it is Ferrari which is the "world's most powerful brand".
- E-tailer Level Group Inks Deal With LN-CC: Fashion and luxury e-tailer The Level Group and retail concept LN-CC have inked an agreement to create a new entity called LN-CC AC Ltd., which will take over all assets and employees of LN-CC to invest in the geographic development and brand portfolio of LN-CC. John Skelton, creative director and founder of LN-CC, will continue to be in charge of creativity, branding and buying for the London-based store and its e-commerce channel. “Whilst our progressive retail concept has gained attention and respect from all corners of the globe, we needed a partner that could complement this from a business perspective, whilst respecting our distinctive qualities,” said Skelton. “We found an immediate fit with The Level Group. With their vision in building brands online, their business know-how and their expertise in operations will help develop the LN-CC concept further, allowing us to focus on our brand partners and search for new talent.” “LN-CC is a striking creative concept in today’s increasingly crowded retail context. A distinctive selection and styling of brands makes LN-CC stand out from a sea of fashion sameness,” said Andrea Ciccoli, cofounder of The Level Group. Ciccoli is a former partner of Bain & Co. and was also a state-appointed administrator of IT Holding. “Now is the time to leverage technologies and new media to bring branding and channel integration to the next level. This brand has great opportunity and the prospect of growing the business is very exciting,” echoed cofounder Cristian Musardo.
- German Retail Group Projects Sales Increase: Germany’s apparel retailers had a mixed year in 2013. The nation’s small-to-middle-sized boutiques and specialty stores booked a 2 to 3 percent decline in sales, while vertical chains generated a slight plus, primarily due to store expansion. On a like-to-like basis, “many expansive fashionchains did not fare better than their (independent) competitors,” said the BTE or the German Apparel Retailer Association’s president Steffen Jost at the association’s annual press conference in Cologne Tuesday (February 18, 2014). Prolonged winter weather put a dent in first half year sales and, capped by disappointing Christmas business, the rest of the year could not make up for 2013’s weak start. According to preliminary figures, 2013 German apparel retail sales were flat at 54.5 billion euros or $72.4 billion, Home-textiles, which fall under BTE reporting, generated another 5 billion euros or $6.64 billion. All dollar figures are converted from the euro at an average exchange rate for the period. The BTE said only 31 percent of independent fashion retailers grew sales in 2013, with 55 percent falling behind 2012 sales levels. Similarly, only 28 percent saw earnings increase, with 48 percent reporting weakened profitability, largely due to early markdowns spurred by weather conditions, and rising energy costs. E-commerce continued to grab market share, with Internet sales of apparel and home textilesrising 20 percent to reach about 8 billion euros or $10.6 billion. Sales via online shops now represent a 13 percent slice of total German apparel and home textile sales.
- Valerie Hermann Resigns From Reed Krakoff Post: Valerie Hermann has resigned her post as president and chief executive officer of the Reed Krakoff Co., effective March 15. The board has named Reed Krakoff as ceo of the company, in addition to his role as creative director. Hermann’s plans could not be learned at press time. “Valerie is a founding partner of the Reed Krakoff company and has been a trusted friend and adviser over the last three years,” said Krakoff. “Her knowledge of what makes a true luxury brand, her insight on all aspects of the business, have been invaluable. I look forward to our continued partnership and friendship.” Hermann added, “I am extremely grateful to Reed Krakoff for giving me the opportunity to come to the U.S. and develop, together with him and a wonderful team, what is certainly going to be one of the most exciting American luxury brands. I am proud to say that we have been not only wonderful partners but have also developed a friendship, which will last beyond my tenure as the head of the company.”
- Retail Stocks Inch Up 0.1%: Retail shares managed a small gain on Wall Street today — the sector's ninth advance in 10 trading days. The S&P 500 Retailing Industry Group was up 0.1 percent to 899.23, matching the gain of the S&P 500, which finished the day at 1,840.76. The Dow Jones Industrial Average finished in negative territory, shedding 0.2 percent to close at 16,130.40. Aéropostale Inc. led those advancing among the equities tracked by WWD, picking up 5.5 percent to $6.50 as speculation continued to swirl about possible investments in the firm by private equity players. The struggling New York-based teen retailer was part of a move forward by a number of specialty store chains on the day, which saw New York & Co. Inc. and Pacific Sunwear of California Inc. both pick up 3.8 percent to close, respectively, at $4.64 and $2.77. Delia’s Inc., shares of which declined more than 10 percent in morning trading after it reported a sharp decline in sales and an increase in its net loss for the fourth quarter, closed the day unchanged at 75 cents. In the continuing battle between The Men’s Wearhouse Inc. and Jos. A Bank Clothiers Inc., MW shares rose 0.8 percent to $44.42 while Bank’s declined 1.7 percent to $54.20. Eminence Capital, an investor in both firms, vowed to continue its pressure on Bank in both proxy and judicial form. The Bon-Ton Stores Inc. and The Wet Seal Inc. had the largest declines for the day, both descending 4.2 percent to $9.54 and $1.85, respectively. While most European markets barely moved, London’s FTSE 100 managed a 0.9 percent increase to 6,796.43. In Milan, the FTSE MIB was up 0.1 percent to 20,478.53, while Frankfurt’s DAX rose less than 0.1 percent to 9,659.78. The CAC 40 in Paris ended down 0.1 percent to 4,330.71. With few exceptions, luxury, retail and beauty issues ended the session fairly close to their starting points. However, French Connection moved up 3.9 percent to 54 pence. Among a quartet of European stocks registering relatively large declines, Inditex was down 4 percent to 105.15 euros, Safilo Group lost 2.6 percent to 16.77 euros, H&M shed 2.3 percent to 285.80 kroner, and Carrefour pulled back 1.8 percent to 26.18 euros. The euro traded at $1.36 versus the U.S. dollar, while the pound locked in at $1.64 and the krona at 15.3 cents.
Currency:
· 1 USD= ₹ 62.215
· 1 EUR= ₹ 85.629
· 1 GBP= ₹ 103.804
· 1 AUD= ₹ 56.018
Glitter Meter: India
Gold (INR/10g) | Silver (INR/kg) | |||
City | Current | Change | Current | Change |
Chennai | 30900.00 | 40 | 48400.00 | 45 |
Mumbai | 30420.00 | 50 | 48400.00 | 45 |
Delhi | 30170.00 | 50 | 48400.00 | 45 |
Kolkata | 30290.00 | 40 | 48400.00 | 45 |
World Indices:
Exchange | Last | Change |
DJIA | 16130.40 | -23.99 |
FTSE 100 | 6796.43 | +60.43 |
CAC 40 | 4330.71 | -4.46 |
DAX | 9659.78 | +3.02 |
Nikkei | 14742.36 | -100.88 |
Hang Seng | 22555.89 | -31.83 |
Sensex | 20634.21 | +170.15 |
NASDAQ | 4272.78 | +28.76 |
*Disclaimer:
World One Consulting Pvt Ltd will not accept any liability for loss or damage as a result of reliance on the information contained within this newsletter including data, quotes, charts and buy/sell signals.
World One Consulting Pvt Ltd will not accept any liability for loss or damage as a result of reliance on the information contained within this newsletter including data, quotes, charts and buy/sell signals.