Benetton India expects 45 percent revenue drop due to Covid-19

By

Maverick Martins

Published
May 12, 2020

Fashion retailer Benetton India expects is revenue to plummet by 45 percent for the current financial year due to the coronavirus pandemic.
 

The company has already started reopening its stores in a phased manner across the country after receiving permission from local authorities. However, the reopened stores are not the brand's revenue money-making stores as they are mostly located in non-metros.
 
The government has also announced that shopping areas such as malls could remain closed after the lockdown is scheduled to reopen on May 18, which may further add to Benetton’s woes.

"What we are supposed to deliver in this year's budget (January-December), if everything goes well and there is no Covid-19 phase 2, we anticipate that it can only be delivered next year. In terms of revenue impact, Benetton India expects 35-45 percent impact,” Benetton India Managing Director and CEO Sundeep Chugh told PTI.
 
“Our priority was protecting and investing in our people. Our brand is all about team, which is behind the brand. We realise that we are in a very difficult situation (but) we keep investing in our people," he added.
 
Benetton entered the Indian market in 1991 and has around 350 brick-and-mortar stores across the country. The brand also retails online on multi-brand platforms including Amazon, Flipkart, and Shoppers Stop among others.