New Delhi, Oct 5: Marking a shift in its retail strategy, the TNG Cotton Casuals brand is extending its presence from multi-brand stores to exclusive branded stores called TNG Stations. Dwarka Men's Collection--which owns the TNG brand--recently opened the first TNG Station at Delhi. With another store due to open in Delhi, and one in Mumbai by mid-October, the year-end target is: a network of 20 exclusive TNG Stations across the four metros and mini metros like Chandigarh, Bangalore and Jaipur. This would include eight stores in Delhi, four in Mumbai and two in Calcutta.The two Delhi outlets are franchisee-owned. At present, TNG has a network of 700 multi-brand dealers across the country, besides six shop-in-shops in Delhi, Mumbai and Jaipur. On the retail shift, says Dwarka Das Agarwal, managing director, Dwarka Men's Collection: ``The intention is to strengthen TNG's identity as a premium brand, separate from the company's other brands: Cairo, Dash and Regalia.''
The company is also increasing brand visibility for TNG by going in for aggressive advertising. It has doubled its ad budget for the brand from Rs 1 crore in 1998-99 to Rs 2 crore this year. The media plan includes a press campaign, due to break in the first week of October '99. The ads will target upmarket audiences through magazines like Elle, Swagat, and India Today.
In the second phase of advertising, youth channels like MTV and Channel V will be targeted for TVCs which will ``rope in young executives into the buyers' network.'' Also being planned are a host of promotions like the TNG Millennium Contest, which will have as first prize a car, besides electronic items like CTVs, music systems and gift vouchers of Rs 1,000. The contests will begin on October 11. Every customer making a purchase of over Rs 1,500 would be eligible for the contest.
TNG Cotton Casuals, the flagship brand of the company, was launched in January 1998 to target the upmarket, fashion-conscious, modern man in the age group 25-40 years. While Dash is a mass, value-for-money brand in the price range Rs 400-700, Cairo's range of formal shirts is priced between Rs 800-1,300. The Regalia brand is a value-for-money, mid-priced range brand which includes suits, jackets, trousers in the Rs 2,100-Rs 8,000 segment. The TNG range is priced between Rs 700-1,500 for trousers and Rs 525-1,400 for shirts.
Agarwal claims that several factors strengthened the company's resolve to give a premium positioning to its flagship brand: a turnover of Rs 25 crore in the first year of operations; an ORG-Marg survey for Images Panorama fashion magazine in July 1999 which placed TNG alongside brands like Pepe, Blackberry and Numero Uno; a three-day booking exposition in Delhi in July 1999 that covered regular and prospective dealers, and attracted orders worth Rs 5-6 crore; dealer feedback; and good brand recall in customers.
The TNG brand posted a turnover of Rs 25 crore in 1998-99--against a total turnover of Rs 45 crore--and is targeting Rs 45 crore this year.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.