Murjanis add five more to wardrobe
To Distribute Jimmy Choo, Fcuk, Calvin Klein, Tumi & Build-a-Bear
MUMBAI: Following its master franchisee tie-up with the Gucci Group to bring the luxury brand into India (ET was the first to report this on January 13), the New York- headquartered Murjani Group, has tied up with five other luxury brands for sole distribution/licensing in India.
Speaking exclusively to ET, Vijay Murjani, managing director said, "It's now two years since we brought Tommy Hilfiger (global sales of $5bn though its third quarter results have shown a dip in sales) into India and the brand's success has given us enough confidence in the market to expand further. We want a presence in each segment, the luxury, premium segment and speciality or niche. These six brands will see our group's presence in each and we see ourselves as custodians of the brands."
While Mr Murjani will be looking after India operations, the choice of the brands is largely due to his father Mohan Murjani who has to his credit the launch of the first designer jeans, Gloria Vanderbilt in the US in the 1970s as well as Tommy Hilfiger. So, the rationale for Gucci was the strength of its brand, its wide appeal and a strong leather goods business. The choice of Jimmy Choo, a luxury shoe brand, was according to both father and son, "a no-brainer," with its positioning and appeal.
The arrangement for both Gucci and Choo would be of master franchisee for India. In the premium segment comes French Connection, better known after its 1997 re-christening as Fcuk, with its light weight fabrics and high street appeal. The other brand which Vijay Murjani would not confirm but which may be under his belt, is the US giant, Calvin Klein, both for which he would be the sole licensee.
"Fcuk has a huge brand recall in India and has a broad audience appeal with a presence in all - men, women and children's clothing. It's relevant for India," says Vijay Murjani. For the speciality segment, the Murjanis have tied with Tumi, US luggage brand with a strong appeal for the professional.
There is also a franchisee agreement like with the US toy chain, Build-a-Bear, a brand senior Murjani is particularly excited about bringing in. The investments are "substantial", is all the family held company heads would say. With a year end or early '07 launch in Mumbai and Delhi for almost all the six brands, Murjani's retail requirement will probably see some strategic investors, like real estate developers coming in.
"Retail locations for the luxury brands is the real challenge as a Gucci store would require at least 3,000 sq ft each, same for Fcuk while Choo being shoes, could go with a 1,000 sq ft. What is needed is for a developer to build a high street, create one with cafes and stores and an ambience for luxury so that brands can grow outside the five star locales they are in." ended Mohan Murjani.
