Date:13/11/2006 URL: http://www.thehindubusinessline.com/2006/11/13/stories/2006111302760100.htm

Back The `Fresh' push to promos in Hyderabad

K.V. Kurmanath

A RELIANCE Fresh supermarket in Hyderabad

Hyderabad , Nov. 12

The organised retail trade is showering consumers in Hyderabad with special promotion schemes and discount offers in the wake of Reliance's foray into retail trade in fruits, vegetables and groceries through their outlets labelled `Fresh'. But it insists, this is pure routine. Spencer's, run by RPG Group, has announced a month-long Maha Save campaign on October 25. The schemes, with catchy slogans such as "available only at Spencer's", promise consumers of select FMCG products, one free for every one or two units that they may buy of that product. It also offers reduction in prices of packed soft-drinks, atta, tea and several other products.

Asked whether this had anything to do with the Reliance launch, a Spencer's executive says: "Not at all. We offer special discounts regularly with or without Reliance".

Spencer's runs 13 stores in the city, including the hypermarket at Musheerabad.

Trinethra, promoted by Fabmall, too, announced a fortnight-long special offer on rice and sugar on November 1, two days before the launch of Reliance's first store at Banjara Hills. "If you buy two kilograms of sugar, you will get that at Rs 19.50 (a special price). We also offer savings on rice and other items," a store in-charge said.

Asked whether he saw any threat, he said "no". "We have been getting the average 350 footprints. We have strong presence in all neighbourhoods, long before they announced the neighbourhood concept," he said.

Foodworld representatives, too, said they did not lose sleep over the increasing competition. "Their prices are not great. Say for example, our sugar is cheaper by Rs 2," he said.

"Not only that. On any given day, we offer special prices on at least 75 different products," he said.

Nascent stage

A top Subhiksha representative told Business Line that they welcomed competition. "There is room for many players. The organised retailing is in a nascent stage here," he said.

"Our USP is price differentiation. We offer savings on every item. At the end of the day, a housewife looks at the savings she made in the monthly purchases. We take care of that," he said.