The Hindu Business Line : Godrej’s furniture unit eyes 20-25% sales growth

Godrej Interio, the furniture unit of Godrej and Boyce Manufacturing Company Ltd, aims at a 20-25 per cent growth in furniture sales at Rs 1,100 crore in 2009-2010, up from Rs 880 crore in 2008-09, according to Mr Ratul Mazumder, General Manager – Sales (East), Interio Division.

The company aims to achieve a turnover of Rs 2,000 crore by 2012-13.

While the business-to-business segment was likely to grow by about eight per cent, the growth in the business-to-consumer segment would grow by about 20 per cent this year, Mr Mazumder said, announcing the launch of the 4,000-sq ft Godrej Interio showroom in Behala here on Monday.

The business-to-business segment accounts for almost 80 per cent of the company’s total furniture sales, he pointed out.

“Last year was an exceptional year where we witnessed a robust sales growth during the first six months, while the last six months were marked by a sudden sharp slump in sales. This year, however, things are looking up and with the kind of schemes we are offering we are hopeful of scaling up our sales,” he said.

The company, Mr Mazumder said, was offering discounts ranging between 10 per cent and 20 per cent during the festival season, apart from offering free gifts with every purchase in order to lure the customers. “Close to three-five per cent of our topline is spent on advertising and marketing,” he said.

Godrej Interio, which currently has eight self-owned showrooms in Kolkata, plans to open two more showrooms by the end of this fiscal, he added.

“At present, we have three factories, one each at Vikhroli, Guwahati and Uttaranchal but Vikhroli plant manufactures about 80-85 per cent of our total production.

“We are looking to shift our base from Mumbai as cost-wise it is not a very feasible market. We will look at States that will offer us tax holidays and where the power and labour will be relatively cheaper,” he added.

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Godrej unveils Godrej Interio

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