Future Group to become branded player

Future Group has made a decision to create brands in the FMCG, consumer durables and apparel spaces. Future Group chairman Kishore Biyani ha...

Future Group has made a decision to create brands in the FMCG, consumer durables and apparel spaces. Future Group chairman Kishore Biyani has put a target for notching up revenues of Rs 10,000 crore from these new businesses by the end of 2012. Future already has 20 brands of its own with labels like John Miller, Bare, DJ&C (all apparel), Tasty Treat, Care Mate, Fresh n Pure (all FMCG), Dreamline (general merchandise category) and Koryo (consumer durables) all the brands are already up and running within the Future Group formats. How will this play out that's difficult to say however here are 3 key challenges for the future group if they handle them successfully than they will surely cause anxiety to all the current players.
  1. The real challenge, will arise when the brands start getting retailed outside the Future formats, where each brand’s traction will be severely challenged by already established brands.
  2. Right now the Future Group has the advantage of price, but it’s more ‘commodity’ than in the branded category space.
  3. The stiffest challenge for the group will be establishing a distribution network that can reach across the length and breadth of the country because that’s where the clout of established players comes into play, giving them the edge.
Also interesting to see are the market shares of each brands within the future group itself
The group claims that snacking label Tasty Treat chips has a 22% share and is ranked No 2. Tasty Treat nankeens, on the other hand, has a 21% share and is the top-seller , Fresh n Pure cooking oil has 9% share while Fresh n Pure ghee has 33% share interesting but not market dominating. lets see how this battle plays out via (ET)
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