Ram Chandra Agarwal on V2 Retail’s ambitious omni-channel expansion plans

Ram Chandra Agarwal, Founder of V2 Retail, epitomises the spirit of perseverance with his motto – “Try till you succeed”. Starting as a humble shopkeeper who took a loan to realise his dreams, Agarwal’s journey to success was marked by both triumphs and setbacks. Despite facing challenges such as the collapse of his first successful venture, Vishal Mega Mart, in 2008 due to adverse market conditions, Agarwal remained undeterred.

Learning from his past experiences, Agarwal founded V2 Retail, a company that prioritises offering a diverse range of high-quality products at affordable prices. With 111 operational stores across 17 states in India, V2 Retail has carved a niche for itself in the retail industry by providing customers with a unique shopping experience, characterised by modern ambiance and a wide selection of fashionable items.

In an interview with Adgully, Ram Chandra Agarwal, Managing Director, V2 Retail Ltd, reflects upon his entrepreneurial journey. He talks about his brand and its uniqueness in making fashion affordable for all. He also shares about his first venture, Vishal Mega Mart, and how it taught him about resilience and the will to excel with V2 Retail.

How has your journey been in the retail industry? What are your future plans for V2 Retail?

Since my childhood days, I have been driven by a big vision and a passion for turning dreams into reality. My retail journey began in early 1986 in Kolkata, where I embarked on a path of entrepreneurship.

With over 35 years of experience in the industry, I have witnessed the evolution of retail firsthand. In 2001, I pioneered the concept of value retailing in India, setting the stage for V2 Retail’s journey.

As Chairman and MD of V2 Retail since July 2011, my vision for the company is clear: to become a habit in the lives of our consumers. We are committed to delivering value and variety in a responsible, inclusive, and sustainable manner. Our goal is to blend global best practices with the rich cultural and demographic diversity of India, ensuring that V2 Retail remains unique and tailored to the needs of our customers.

Looking ahead, V2 Retail has ambitious omni-channel expansion plans. However, we are mindful of maintaining a balance between aggressive growth and responsible business practices. We understand that the Indian market is still in its nascent stages, and it is crucial to prioritise getting things right the first time.

We are excited about the future of V2 Retail and the opportunities that lie ahead. With our commitment to excellence and customer-centric approach, I am confident that we will continue to thrive in the dynamic retail landscape of India.

How do you envision the company’s growth and contribution to the retail sector in the coming years?

We envision V2 Retail’s growth and contribution to the retail sector in the coming years through a strategic focus on several key building blocks.

Firstly, we aim to become a habitual choice in consumers’ lives for their fashion needs. This involves not only attracting new customers, but also retaining them and increasing their share of wallet through exceptional service and product offerings.

Secondly, we will ensure our physical presence across semi-urban, rural, and urban markets, ensuring that we are accessible to consumers wherever they are.

Thirdly, we will leverage cutting-edge technology to create a seamless omnichannel organisation, enabling profitable growth in digital commerce while integrating it seamlessly with our physical stores. Finally, we will continue to prioritise offering a great assortment of products, focusing on style, design, freshness, and value to cater to the diverse needs and preferences of our customers. Through these building blocks, we aim to drive sustainable growth and make a significant impact in the retail sector.

V2 Retail is known for its focus on value fashion. Could you elaborate on the significance of value fashion in today's market and how V2 Retail is positioned in this segment? How do you plan to stay competitive in the fashion retail industry?

Our focus on value fashion holds immense significance in today’s market, especially in a nation as diverse as India. Bharat is a nation rich in diversity, festivities, culture, values, habits, and beliefs. V2 Retail is uniquely positioned to serve this diverse sub-continent in its true and original form, without merely replicating Western models. Our approach integrates global perspectives while remaining deeply rooted in the essence of Indian society.

We are driven by a vision to become a habit in the lives of our consumers, ensuring that fashion is accessible to every Indian citizen. Value fashion retailing is not just about offering affordable clothing; it is about catering to the aspirations of over 100 crore Indians. It is about making those aspirations a tangible reality for our customers. This segment represents a sweet spot in the market, boasting incredible potential due to the sheer size and diversity of the consumer base.

To stay competitive in the ever-evolving landscape of the fashion retail industry, V2 Retail remains committed to innovation and adaptability. We continuously analyse market trends, consumer preferences, and emerging technologies to ensure that our offerings remain relevant and appealing. Additionally, our emphasis on customer satisfaction, quality products, and affordable pricing helps us maintain a strong competitive edge. By staying true to our values and vision while embracing change, we are poised to thrive in the dynamic world of fashion retail.

Could you provide some insights into the unique selling points and strategies that set V2 Retail apart from other players in the market?

V2 Retail stands out in the market due to its unwavering commitment to becoming an integral part of consumers’ lives, setting it apart with a distinct purpose that drives every facet of our operations. Our singular focus on customers permeates throughout the organisation, influencing operations, supply chain management, design, customer service, and channel strategies. By prioritising customer needs, we navigate all aspects of the business with financial prudence, ensuring sustainable growth and success.

One of our key unique selling points lies in our organisational culture. Over decades, V2 Retail has cultivated a culture that fosters continuous learning and growth. We’ve established robust processes and practices, embraced data-driven decision-making, and instilled an ethos of simplicity and clarity in our work environment. Each member of our team embodies the spirit of excellence, akin to the legendary archer Arjun, diligently pursuing their responsibilities with empowerment, access to resources, data, guidance, and motivation.

This steadfast commitment to customer-centricity and a culture of excellence has propelled V2 Retail’s evolution over the years. Our ability to blend innovation with tradition, coupled with a relentless pursuit of customer satisfaction, has been instrumental in our success, enabling us to carve a niche for ourselves in the competitive retail landscape.

In 2007, you sold off Vishal Megamart. What prompted this decision, and what benefits do you foresee for V2 Retail now in terms of learning?

Like every good thing comes to an end, the decision to sell Vishal Retail in 2007 was a difficult, but necessary one. Several factors prompted this decision, including changes in market dynamics, evolving consumer preferences, and strategic considerations. Despite its success, Vishal Retail faced challenges that made it prudent to divest.

Transitioning to V2 Retail after selling Vishal Retail provided invaluable lessons and opportunities for growth. It allowed us to reflect on past experiences and gain clarity on what not to do. Learning from both successes and failures is essential in the business world, and this transition provided us with a fresh perspective and renewed focus.

Moreover, the sale of Vishal Retail enabled us to reallocate resources and streamline operations, positioning V2 Retail for success in the dynamic retail landscape. By leveraging our expertise and lessons learned, we are better equipped to navigate challenges and capitalize on emerging opportunities in the retail sector. In essence, while selling Vishal Retail marked the end of an era, it also marked the beginning of a new chapter for V2 Retail, characterized by resilience, adaptability, and continuous learning.

Were there any challenges or emotional aspects associated with parting ways with Vishal Megamart, considering its history in the retail sector?

Parting ways with Vishal Megamart certainly carried emotional weight, given its significant role in the modern retail sector’s early years in India. It was a time of building something remarkable, and there’s always a sentiment attached to leaving behind what you helped create. However, I find solace in the fact that Vishal Retail is thriving, knowing that the foundation I laid continues to support its success. As a leader, it is crucial to detach and embrace new opportunities. Once I made the decision to part with Vishal Retail, I approached my new journey with renewed commitment and enthusiasm. All in all, it is gratifying to witness the fruition of the efforts invested in Vishal Megamart and to embark on new ventures with optimism.

On a personal note, how do you navigate the dynamic and competitive retail sector? Any lessons learned that you would like to share with aspiring entrepreneurs in the industry?

As an entrepreneur navigating the dynamic and competitive retail sector, I firmly believe that success is not a matter of chance or accident, but rather a result of intentional design. To thrive in this environment, one must lead by example, embodying traits such as discipline, humility, and a willingness to take responsibility. Throughout my journey, I’ve learned the importance of delivering value to all stakeholders – employees, consumers, and shareholders alike. This entails listening, learning, unlearning, and relearning, while remaining steadfast in timeless principles. Efficiency and staying true to one’s vision and purpose are paramount. My approach has been rooted in disciplined efforts and a commitment to humility. For aspiring entrepreneurs in this industry, I would emphasise the significance of these principles. By embracing discipline, humility, and a dedication to delivering value, one can navigate the challenges of the retail sector with resilience and integrity.