The Reliance Group Chairman, Mukesh Ambani, a big believer in the power of number nine. has chosen to kick-off his next big bet: the launch of Reliance Retail on October 18, reports the Economic Times. Ambani and the Andhra Pradesh chief minister YSR Reddy are expected to inaugurate the group’s first retail format — a basic fresh food & vegetable chain — in Hyderabad. Nearly 28 outlets in AP are expected to go live on the same day.
After AP, Punjab is expected to be the next stop for the US$ 5.5 Bn.(Rs 250 Bn.) retail juggernaut. As is widely known, Reliance Retail has plans to launch two different formats, ‘Feel Fresh’ and ‘Feel Fresh Plus’. ‘Feel Fresh’ stores will stock fresh fruits, vegetables and staples and will be spread over 3,000-5,000 square feet.
On the other hand, ‘Feel Fresh Plus’ stores will be spread over 10,000-15,000 sq ft, and stock fruit and vegetables as well as apparel, consumer electronics, FMCG items and even medicines. Both these formats will be entirely company-owned and managed.
After the launch in AP and Punjab, Reliance Retail will then spread out to other cities such as Mumbai and Delhi, where Reliance has identified up to 80 locations each. Reliance is also in the process of acquiring six acres of land in Hyderabad from Bhagyanagar, a real-estate developer in AP, for Rs 75-100 crore. RRL is planning a mall in the acquired land which will be the centre point of RRL’s operations in Hyderabad.
RIL spokesperson declined to comment on the development. The company has already signed agreements with the West Bengal and Punjab governments to tie up for procurements and roll out retail outlets. Sources said that after entering into an alliance with Sahakari Bhandar in Mumbai, the company had been looking at strategic alliances with other co-operatives too. However, the other initiatives are yet to fructify.