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Published
May 26, 2017
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Benetton, Zivame approach DIPP for single-brand retail licence

Published
May 26, 2017

Lingerie retailer Zivame and Italy’s fashion brand Benetton have approached the government to convert its existing venture into a single brand retailer, taking advantage of a 2015 policy that allows foreign-funded companies selling only their own brands to build e-commerce channels to offer the products.


Benetton-Noida Store


Actoserba Active Wholesale, which owns Zivame, has applied to the Department of Industrial Policy and Promotion (DIPP) for expansion of its existing facilities and conversion of wholesale to retail operations, “to undertake single brand retail trading of Zivame branded products, including (through) ecommerce”, according to the DIPP website.
 
Italy’s fashion brand Benetton, one of the oldest foreign brands to enter India, has also applied to the DIPP to change its existing model to single brand and to undertake its own e-commerce. Currently, Benetton operates a wholesale business in India that supplies products to be sold through a network of franchisee outlets.

Sundeep Chugh, chief executive of Benetton India, told a news agency that his company had filed the application “to be able to create an omnichannel experience for our customers” in India.
 
Earlier this year, online furniture marketplace Urban Ladder filed an application to change its business into a similar single-brand structure so that the company could stock and sell its own products — offline and online — without forgoing overseas investment.

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