Essar plans telecom retail stores

The Indian retail market space is hotting up. Close on the heels of the recent announcement by Reliance of its proposed entry into the booming retail market, the Essar Group is also planning to set up a chain of branded telecom retail stores across the country.

The Indian retail market space is hotting up. Close on the heels of the recent announcement by Reliance of its proposed entry into the booming retail market, the Essar Group is also planning to set up a chain of branded telecom retail stores across the country.

8220;Essar8217;s plan is to create a 8216;one-stop shop8217; that would offer convergence of all telecom products and services with a pan India footprint having more than 2,000 outlets in the next five years,8221; informed sources said.These stores spread across the country would provide customers a choice of telecom products and services under one roof where the customers would be guided by a professional staff. The stores would also provide services like mobile-based gaming and entertainment, repairs and refurbishments of handsets.

The company is planning to tie up with local as well as globally recognised brands for this venture. According to sources, the company has envisioned an investment of Rs 500 crore in the first phase and would be puting an additional Rs 1,000 crore over the next few years in this new business.

When contacted, an Essar Group spokesperson said, 8220;We as a group are always looking out for growth opportunities but we cannot comment on our future plans.8221; The company had earlier roped in KSA Technopak to conduct a feasibility study for this project.

The Essar Group along with the Hong Kong based Hutchison Whampoa is India8217;s second largest GSM service provider, having a client base of over 13 million customers. Industry trackers say that telecom industry growing at a phenomenal rate in the country, Essar8217;s initiative to converge telecom service and products would help the company create better value.