Videocon’s Next Retail is planning to have an exclusive arrangement for technical support and sourcing services with Bright Star Logistics, a $3-billion US-based distribution company in the category of mobile devices.

Forging an arrangement along the lines of the Tata and Woolworth tie-up, the global company is expected to serve as the back-end operator for the Next and Planet M stores.

Mr K.S. Raman, Director, Next Retail, told Business Line, “We would be having an exclusive arrangement with a global distribution company which is almost similar to the Tata-Woolworth association. This global company would manage the inventory, sourcing, merchandising and back-end operations of our mobile phone business.”

Mr Raman further added: “This global company is already connected with other big retailers across the world and we would use its expertise in India to provide a different kind of mobile retailing in the country.” The global distribution company is expected to bring in multiple mobile phone brands into the country including its own private labels. In fact, with Planet M stores under its fold, Next Retail is expected to grow the mobile telephone category further.

Mr Subir Ghosh, COO, Planet M, says: “We are planning to have mobile phones as an added category at Planet M. Bright Star Logistics would help in bringing about the best sourcing deals and products in this category.”

With its presence in 50 countries, Bright Star Logistics also provides supply chain facilities for mobile devices and has arrangements with a host of retailers and manufacturers across the globe.

Providing back-end technology for retailing operations of Next and Planet M, Bright Star Logistics is expected to give an impetus to growing the mobile phone category for the consumer durable retailer. As Mr Raman says, “Mobile phone retailing is a speciality business and our strategy is to provide a complete consumer experience on what is available in mobile phones. Along with Planet M, we intend having a strong mobile category in the consumer durable business.”

In fact, Bright Star Logistics would also bring in its patented software to prove brand analysis in this category across markets. It would provide initial knowledge needed for the new mobile phone models being sold at the stores.