FirstCry's CEO on Store Closures: 'Real Estate Suitability Trumps Competition'
In a recent interview, FirstCry's CEO emphasized that the suitability of real estate in a specific area is a more significant factor in store closures than competition.
FirstcryRetailReal EstateStore ClosuresOmnichannelReal Estate NewsFeb 20, 2025
However, like many retail businesses, it has faced the challenge of store closures.
In a recent interview, the CEO of FirstCry shed light on the reasons behind these closures, highlighting that the suitability of real estate is a more critical factor than competition.
FirstCry, established in 2010, has grown from a small online portal to a major player in the Indian retail market.
The company offers a wide range of products for babies and young children, including clothing, toys, and essentials.
Over the years, FirstCry has opened several brick-and-mortar stores to complement its online presence, aiming to provide a seamless shopping experience for its customers.
According to the CEO, while competition is a factor that retailers must consider, the suitability of the real estate in a particular catchment area is far more important.
He explained, 'Real estate suitability in a specific area or micro market is a bigger reason than any competition.
If the location is not right, the store will not perform well, regardless of the level of competition.'
The CEO further elaborated on the challenges of finding the right real estate in a competitive market.
'In today’s retail landscape, finding the right location is becoming increasingly difficult.
High rental costs and limited availability of prime locations are significant hurdles.
We must carefully evaluate each potential location to ensure it aligns with our business strategy and customer base.'
FirstCry’s approach to store openings and closures is data-driven and customer-focused.
The company uses advanced analytics to assess market potential, customer demographics, and foot traffic before making any decisions.
This data-driven approach helps them identify the most suitable locations and avoid the pitfalls of opening stores in areas that may not be viable in the long term.
The CEO also discussed the importance of a balanced approach to retail.
'While online sales have surged, physical stores still play a crucial role in our business.
They provide a tangible shopping experience that online platforms cannot replicate.
Our goal is to create a seamless omnichannel experience, where customers can shop online and in-store with equal ease.'
In conclusion, FirstCry’s CEO emphasizes that real estate suitability is a crucial factor in the success of retail stores.
By focusing on the right locations and using data-driven strategies, the company aims to continue its growth and maintain a strong presence in the Indian retail market.
FirstCry is committed to providing high-quality products and services to its customers, and this commitment is reflected in their strategic approach to store expansion and management.
As the retail landscape continues to evolve, FirstCry remains well-positioned to navigate the challenges and capitalize on new opportunities.
Frequently Asked Questions
Why is real estate suitability more important than competition for FirstCry?
According to FirstCry's CEO, real estate suitability in a specific area or micro market is a more significant factor in store performance than competition. If the location is not right, the store will not perform well, regardless of the level of competition.
How does FirstCry evaluate potential store locations?
FirstCry uses advanced analytics to assess market potential, customer demographics, and foot traffic before making decisions about new store openings. This data-driven approach helps them identify the most suitable locations and avoid opening stores in areas that may not be viable.
What role do physical stores play in FirstCry's business strategy?
While FirstCry has a strong online presence, physical stores are still crucial for providing a tangible shopping experience that online platforms cannot replicate. The company aims to create a seamless omnichannel experience, where customers can shop online and in-store with equal ease.
How does FirstCry address the challenges of finding the right real estate in a competitive market?
FirstCry faces challenges such as high rental costs and limited availability of prime locations. To overcome these, the company carefully evaluates each potential location to ensure it aligns with their business strategy and customer base.
What is FirstCry's approach to store expansion and management?
FirstCry's approach to store expansion and management is data-driven and customer-focused. They use advanced analytics to assess market potential and customer demographics, and they focus on finding the right real estate to ensure the success of their stores.
Related News Articles
Luxury Homes in Mumbai Witness 8% Surge in Sales, Reaching Rs 12,300 Crore
Luxury home sales in Mumbai have recorded a significant 8% rise in the first half of 2023, driven by strong demand and a bullish trend in the residential market.
Boosting India's Housing Market: Budget 2024 Expectations from Real Estate Sector
The real estate sector is anticipating measures to revitalize the affordable housing segment, with expectations of incentives and support measures in Budget 2024.
Bajaj Housing Finance IPO Listing LIVE: Market Capitalization Doubles on Blockbuster Debut
Bajaj Housing Finance shares open at Rs 150 per share with 114% premium over IPO price, market capitalization doubles on listing day
DLF's Mega Luxury Project in Gurugram: Apartments Priced at ₹80 Crore
Real estate giant DLF Ltd is set to launch the most expensive ultra-luxury project in the country, featuring over 400 super luxury apartments in Gurugram, with starting prices around ₹80 crore. The project, named The Dahlias, will be a game-changer in the
NearEstate.in Lists 1500+ RealView 360 Properties, Revolutionizing Virtual Real Estate Tours
NearEstate.in has expanded its Real View 360 property listings, offering a revolutionary way to explore real estate through virtual reality (VR) and geospatial mapping.
Budget 2025: Real Estate Set for a Surge with Tax Incentives
MUMBAI: The real estate sector is celebrating the 2025 budget, which includes significant tax incentives for homeowners and investors, particularly in affordable and rental housing.