Lalit Agarwal, Founder & Managing Director, V-Mart Retail, says, the company expects to grow by 18-19 per cent this year. He acknowledges that the company is still striving to return to pre-COVID same-store sales levels. It is taking strategic steps to enhance its offerings with the best fashion, products, and prices. V-Mart is also focusing on reducing the average selling price and introducing products appealing to Gen Z consumers.
In the retail sector, value has become a significant driver of fashion, with increasing consumer movement from unorganised to organised retail. This shift has led to better footfalls and improved sales compared to previous quarters. Smaller towns are experiencing resurgence in consumer demand, partly fueled by the economic boost from recent elections. Festivals like Eid and Poila Baisakh contributed to positive performance in the first month of the current quarter. However, a decline in wedding-related sales during May and June has been observed, balanced by an uptick in holiday and travel-related consumer spending.
For FY25, Agarwal aims to achieve continued business growth. Efforts to improve internal capabilities, provide top fashion and products at competitive prices, and launch Gen Z-targeted styles are beginning to yield results, he says. V-Mart achieved 6 per cent same-store sales growth (SSSG) in the last quarter and aims to sustain or surpass this growth, targeting overall revenue growth of 18-19 per cent this year.
Despite reporting a loss in Q4, V-Mart’s performance was in line with expectations. The company's online platform, Limeroad, has been a significant area of focus, with efforts underway to reduce its financial burn and integrate it more effectively with V-Mart’s offline operations. No new acquisitions are planned, indicates Agarwal. The company’s current priority is the successful integration and scale-up of Limeroad to complement V-Mart's physical retail presence, he adds.
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