Myntra’s brick-and-mortar push

In October 2017, Myntra along with its partner, Barcelona-based fashion brand, Mango had opened its first brick-and-mortar store in Delhi. The e-tailer had bagged omnichannel distribution rights of Spanish fashion brand Mango in February this year.

As part of the alliance, the companies will set up 25 Mango stores in five years. The companies had said they expect to see about 250% growth in business and a 50:50 split between online-offline sales in a year.

A month before that, Myntra bagged distribution and management rights of the international fashion brand Esprit. The company also began managing 15 Esprit offline stores in the country.

While announcing the addition of Mango venture Myntra CEO Ananth Narayanan, said that the fashion e-tailer is looking out for more such partners for omnichannel presence in the country. He said that Myntra is expecting 10-15% of business from such partnerships in the next five years.

Narayan said that offline presence boosts online sales for an e-tailer. Citing its private label brand Roadster’s first offline store in Bangalore in Bangalore in March 20017, he said the online sale of the brand grew by 4% after the brick-and-mortar store opened up.

Note that, Myntra’s private label business ‘Myntra Fashion Brands (MFB) and brands business turned profitable on an EBITDA level in September 2017, and MFB contributed to about 23% of Myntra’s overall business.