Tata launches steel retail store for consumers
Indian steel manufacturer Tata Steel has launched a steel retail store called Steeljunction in an attempt to create new paradigms in the industry for B2C consumers.
The outlet will provide a “one stop destination” for consumers intending to shop for the metal. It will showcase steel products catering to four consumer segments – Home Decor & Gifting, Home Building, Home Making and Tools & Implements.
The 6000sqft store promises a comprehensive product range, services and in-store facilities. The firm’s investment is part of its strategy to build stronger customer relationships, distribution networks and brands that focus on value-added segments such as retail and help to strengthen the revenue profile.
Apart from showcasing its own branded products, Tata Steel has also collaborated with its vendor partners to feature their premium branded products in the home-making space at this store. While the Steeljunction store will promote the look and feel of the products, customers can easily purchase them online through the Company’s e-selling platform Aashiyana, which made more than ₹100 crore (US$14.1 million) within one year of its launch.
“Steeljunction is integral to our strategic focus on the retail segment,” said Tata Steel CEO & MD T V Narendran. “It is aimed at providing a differentiated steel purchase experience to discerning customers. Steel is the most sustainable metal and has diverse applications. This initiative will give a fillip to consumption of steel, as products will be made available from more accessible locations.”
The Company has a large retail business that leverages an extensive network of more than 200 distributors and 12,000+ dealers, as well as a strong portfolio of brands to sell branded steel across the country. This segment is relatively insulated from international cycles and provides strong cash flows.
“The core purpose of Steeljunction has remained the same since 2005,” said Tata Steel VP steel marketing & sales Peeyush Gupta. “It is to provide a touch-and-feel experience to its consumers, including consultation on the right choice of product for their home building and home making needs.”
Tata Steel’s branded products, retails and solutions business grew by 30 per cent YOY during the last fiscal year. Since inception, 1 million units of Tata Pravesh steel have been installed and more than 10,000 consumers have been served.