Retailers are set to end a prolonged period of sluggish sales as the end-of-season sales (EOSS) coincide with the upcoming long weekend.
Apparel and lifestyle retailers have faced challenges since the festival season last year. However, with EOSS, which began in June, sales have started to recover, showing noticeable improvement in July and August.
“We have seen growth in July and August. Customers are also buying new merchandise. We observed high single-digit volume growth in July and August, with double-digit value growth,” said Manish Kapoor, chief executive officer (CEO) at Pepe Jeans India, in an interview with Business Standard.
Kapoor expects even stronger sales over the long weekend.
Fashion and apparel chain Lifestyle shares this optimism, with discounts of up to 50 per cent during EOSS, which will conclude with the long weekend.
“We have sold a lot of our discounted inventory. During the long weekend, 50-60 per cent of our merchandise will be on sale, and we expect positive like-for-like (LFL) growth,” said Devarajan Iyer, CEO of Lifestyle.
Iyer noted a revival in demand, which had been subdued since the start of the year. “Our LFL growth turned positive in July, and sales in August have been even better,” he added.
Celio, which had paused its EOSS, is resuming it for the long weekend, expecting high footfall in malls and shopping areas.
However, the apparel major reports that overall sales remain constrained.
“The shift in the wedding calendar has slightly impacted sales,” said Satyen Momaya, CEO at Celio India. As the festival season kicks in, he expects sales to pick up from September/October.
Momaya mentioned that Celio’s LFL growth during EOSS was at 9 per cent, and he foresees high double-digit LFL growth during the long weekend, with merchandise offered at ‘Buy 2, Get 50% Off’.
First Published: Aug 14 2024 | 9:34 PM IST
