Welspun India, the largest terry towel producer in the world, is looking at ₹730 crore business from e-commerce as it looks at a larger play in the USA, UK and India through its own brands by FY23.
The company is investing close to $10-15 million (₹70-100 crore) over a two-three year period towards the launch of own brands (including licensed ones) and putting in place of an e-commerce network – including the back-end and front-end and up-skilling of its workers. Says, Dipali Goenka, Joint Managing Director and CEO, Welspun India.
By 2023, e-commerce will have a $100 million contribution to our business. And this is going to come from our own brands like Welspun here in India, acquired ones like Christy in UK (which made towels for the Queen of England) or US-based brands like Martha (TV host Martha Stewart’s licensed offerings) and Scott Living (American TV show host brand),” Goenka.
“The new way visible to us is related to our emerging businesses – advanced textile, flooring, our licensed brands and e-commerce – and they will have a quite big contribution in our business,” she said, adding “the model (e-com) is very scalable in the UK and the US.”
Emerging business verticals include floorings and advanced textiles businesses that the company has been investing in here over the last few quarters. With approximately ₹300 crore investments being further made in floorings, the company is expecting benefits of these verticals to accrue Q4FY22 onwards.
Owned and licensed brands, and emerging businesses of advanced textile and flooring, have posted 87 per cent growth YoY and have a revenue contribution of 15 per cent to Welspun India’s revenues.
