Canon forays in retail domain
Canon India Pvt. Limited, a leading digital imaging company, on Friday announced its foray into the retail space with the launch of its exclusive brand retail store -Canon Image Square.
The first store in the country, located in The Great India Place Mall, Noida, NCR region of New Delhi was inaugurated by ace cricketer and Canon Brand Ambassador Sachin Tendulkar.
“Canon has brought fun to my own life and there is no vacation without my Canon. In fact, these days I am planning to graduate to use the D-SLR and explore the magical world of photography,” said Tendulkar.
The retail store covers an area of approximately 1450 sq. ft. and is based on the franchise model.
It is a one stop destination for people with imaging needs, enabling increased visibility and reach across the country with an objective to boost sales, claimed the company.
Canon, in India, plans to inaugurate five such stores by December 2010, followed by 95 retail stores in 2011, 100 in the year 2012 and another 100 stores in 2013 taking the count to 300 stores in the next 3 years.
The first year would see the launch of three stores in Delhi-NCR followed by one store in Nasik and one store in Bangalore.
The company plans to establish about 100 stores across 6 metro cities and 200 stores in 150 Tier II and III cities, eventually.
With this plan, Canon India would deepen foothold in 150 cities in the coming three years.
The stores enforces Canon’s increased focus on penetration across the country including major metros and tier II & tier III markets to enhance the brand awareness and increase sales.
The area covered by each outlet would vary from a minimum of 800 sq. ft to a maximum of 1300 sq. ft.
Speaking on the occasion, Kensaku Konishi, President & CEO, Canon India said, “We have had record growth of 50% in 2010 and expect to close the year at Rs. 1260 cr. In three years, the new Brand Retail Business Division will contribute 20% of our revenues.”
Alok Bharadwaj, Senior Vice President, Canon India said the company is expecting revenues of Rs 100 crore in the first year, followed by revenues of Rs 300 crore in the second year and a revenue of Rs 600 crore in the third year.
“The company is planning to make an investment of about Rs 50 lakh per store and an investment of Rs 150 crore in the next three years towards the remaining stores. The company expects estimated revenues of Rs 30 lakh, per store, every month from Canon retail stores,” Bharadwaj said.
Canon also announced during the conference that it has crossed the landmark of Rs 1000 cr turnover today with 2 more months to go in 2010 and felicitated Master Blaster Sachin Tendulkar with an EOS 60D to signify the first product of the next Rs 1000 cr lap in its chase for growth.