Consumer durables major Videocon Industries acquired PlanetM, the music and entertainment retail arm floated by the Times group for Rs 200 crore.Â The acquisition was done by Next, Videoconâ€™s retail chain for consumer electronics and home appliances. Videocon chairman VN Dhoot said PlanetM, which has a huge brand equity, fits in well with the groupâ€™s retail ambitions. Dhoot said the group plans an over six-fold increase in PlanetMâ€™s turnover from around Rs 150 crore to around Rs 1,000 crore in a few years time. to achieve this we will invest Rs 500 crore and will have 1,000 PlanetM stores across the country.”
With 150 stores across 42 cities, PlanetM is one of the leading players in organised music retail. NextÂ CEO Dhruv Chandri said PlanetM offers a unique opportunity for Videocon’s retail foray to tap products and services for the new-age consumers.
A majority of PlanetMâ€™s turnover comes from the music and home entertainment business. However, the music retail chain has also emerged as one of the leading sellers of iPod and console games like Microsoftâ€™s X box. Chandri said Next will launch a range of new IT products, including mobiles, through the PlanetMÂ stores.
Last year, Videocon made its maiden debut in retail through Next. Apart from dealing in consumer durable brands Next also sells its private labels under the same brand name in more than 500 of stores spread in 180 cities. With PlanetM in its kitty, Next eyesÂ Rs 2,000-crore turnover by 09.