Oyzterbay plans to reach 100-outlet mark this fiscal  ( July '29,2003, HBL)

OYZTERBAY, the branded jewellery company, plans to take its retail network to 100 outlets by the end of the ongoing financial year, 2003-04. The company currently operates 76 stores, which is a mix of exclusive shops as well as shop-in-shop format.

Mr Vasant Nangia, Chairman of Oyzterbay Pvt Ltd, said the company would aim to emerge as a significant volume player in the branded jewellery segment over the next few years. Oyzterbay is expected to close this year with revenues in the vicinity of Rs 40 crore. Oyzterbay's presence is spread across the top 20 cities in the country with further strengthening of the network planned in the top metro markets.

Oyzterbay has 26 exclusive shops and 20 shop-in-shop stores, while its branded silver business, Citron, is present in 30 shop-in-shop outlets. The brand, which offers both 18 ct and 22 ct products, is primarily aimed at a consumer group in the age bracket of 16 to 24 years. The bulk of the offerings fall in the price bracket of Rs 800 to Rs 5,000. The domestic gold jewellery market is estimated at Rs 45,000 crore. The branded jewellery segment accounts only for three to four per cent of this market.

Significantly, Mr Nangia said the company was expecting to report operating profit for the first time during the current year. The two-year-old start-up, which was founded by a team of professionals who quit Tanishq, has been funded by ICF Ventures. Mr Nangia added that the ongoing year might also witness Oyzterbay's overseas foray with the company exploring opportunities in the West Asian markets.

The gold market in the Gulf has seen a degree of turmoil in the recent past, forcing it to take a closer look at the branded jewellery business, the industry observers said. In fact, Tanishq, has already made a foray into this market through Damas chain of stores.