Wednesday, August 30, 2006

HLL and Kirana stores team up

HLL is teaming up with kirana stores to check the control of big box retailers such as HyperCITY and Big Bazaar. The company has tied up with almost 175 local stores in Ahmedabad to make them into Super Value Stores (SVS), with lots of freebies, gifts and double packs on the lines of how the modern retailers sell products. The SVS stores will have a common look and branding with yellow boards and similar layouts.

In an article in Daily News & Analysis:
The key to this unusual partnership between elephant and ant is common branding, lower prices, higher discounts and special promotional offers that are exclusive to Super Value Stores. Under the deal worked out by HLL, kirana stores that opt to rebrand themselves as SVSs get an additional 3% commission on monthly sales. Plus, there are promotional offers that are available nowhere else. An HLL spokesperson told DNA Money: “SVS is the first and pioneering programme through which the company and trade have developed a win-win partnership.”

Read the full article here.

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