Uniqlo set to expand beyond Delhi-NCR with Lucknow store

New Delhi: Japanese retailer Uniqlo is set to expand its presence outside the Delhi-NCR market with a store in Lucknow, Uttar Pradesh. The new store will open at Lulu Mall in July 2022.

“This launch also supports our underlying commitment to the ever-evolving Indian market and marks a major milestone for our business expansion in India,” said Tomohiko Sei, Managing Director of Uniqlo India. “This is an important milestone for our expansion outside of Delhi-NCR for our physical stores,” he added.

Lucknow’s next store spans 9,265 square feet; Uniqlo’s Lucknow outlet will be the brand‘s seventh store in India.

The retailer will focus on North India as an expansion market this fiscal year as it attracts positive response and strong demand for its winter portfolio, especially its signature fleece jackets and interiors hot.

“We already have very positive feedback on the entire winter items. So that first expansion is here, it’s North India. The city (Lucknow) is also very close to Delhi. Thus, we manage to maintain our quality of service, including logistics and operation. In fact, we are focusing on northern India first,” Sei said.

Uniqlo entered India in 2019 with its first store in New Delhi. It has a total of six stores in Delhi-NCR.

Sei said the company was in expansion mode; the retailer is still looking for an opportunity. “We are always looking for opportunities, including in Mumbai,” he added.

For the fiscal year ended March 31, 2021, the clothing retailer reported an 86% increase in revenue to 239 crore, according to financial data seen by the business intelligence platform, Tofler. Its losses for the year amount to 36 crores. The company has reduced its losses over the past fiscal year. In the previous year, Uniqlo India recorded a loss of 64 crore, according to the latest available financial statements of the company.

A year ago, the retailer also launched large-scale e-commerce operations in India months after launching limited online deliveries as the pandemic accelerates shoppers’ adoption of e-commerce.

E-commerce sales now contribute 15% to the retailer’s sales, Sei said. He ruled out plans to partner with a third-party e-commerce marketplace in India.

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