21 January 2016
Retail, a part of the $16.9 billion Mahindra Group, will sell
products of US kidswear firm Carters Inc. in its chain of
BabyOye stores across India and online, the company said on Wednesday.
This will be Atlanta-based Carters third attempt at establishing
itself in the Indian kidswear market.
Mahindra Retail plans to open 40 so-called shop-in-shop BabyOye
storeswhere a brand owner or retailer takes space in another
retailers storein 15 cities across India in 2016.
In the past, the OshKosh Bgosh kidswear brand, which Carter
acquired globally in 2005, tried to make inroads in the Indian
markets, first in the 1990s and then in 2008.
With OshKosh Bgosh it had adopted a premium positioning
which did not work in India as kidswear is a competitive segment
with well entrenched local players, said Devangshu Dutta,
chief executive officer, Third Eyesight, a retail consultancy
firm. According to him, getting the pricing and product right
is important in this segment.
Now, Mahindra Retail and Carters have entered into a buy
and sell arrangement. However, the two companies are looking at
partnering beyond the agreement to create the look and feel of
the Carters retail experience in India, said Prakash Wakankar,
chief executive officer, Mahindra Retail.
Also with this partnership Carters is hoping to make the
brand accessible to India. We dont anticipate any
pricing discrepancy. We plan to make the brand accessible and
have great value offering, said Keving Corning, Carters
executive vice-president (international). He did not rule out
the possibility of bringing OshKosh Bgosh back to the Indian
market in the future.
The Carters range will start at Rs.600 and go up to Rs.2,500
and will be available for the just born to 24-month-old toddlers
in the brick and mortar stores. Online the company will have products
for up to seven-year-olds.
(Published in Mint)