Furnishing Business

Godrej Lifespace, a division of the FMCG major Godrej Group, plans to enter the furnishing and home accessories business segment by the end of 2008.

According to unofficial estimates, the furnishing and home accessories market in India is worth approximately Rs 15000 crore. The market is mostly dominated by players from the unorganised sector.

According to Vice President and Business Head (Retail Division) Godrej and Boyce Mfg Co Ltd, Shyam Motwani, the company was working on a plan to enter the furnishing and other home accessories segment that would be added to its present retail business.

Godrej Lifespace has strong presence in home and office furniture segment, and in electrical appliance and lockers business.

The division generates 70 percent of its business from home furniture and office furniture, 20 percent from electrical appliances and remaining from its lockers business.

“By Diwali next year, we will start this new business segment which will be added to some of our stores in the country”, Motwani said. He added that the company will begin its pilot project in some metros soon.

Offerings in the furnishing and home accessories segment includes home curtains, designer table lamps, wall paintings and the like.

Motwani added the company would require two years to establish itself in the furnishing business segment.

Godrej Lifespace is believed to have generated revenues worth Rs 100 crore last financial year and expects a 50 per cent increase in the current fiscal.

The retail division has set a turnover target of Rs 500 crore by 2010. Godrej Lifespace also plans to set up 100 stores across the country in next three years.

At present it has 54 stores in the country and plans to increase that number to 65 by the end of this fiscal.

Recently, Godrej launched its third store in Ahmedabad and expects to add another five in the city.

It may set up 12-13 stores in Vapi, Surat, Vadodara, Ankleshwar, Jamnagar and Kutch.