Mukesh Ambani owned Reliance Industries Limited’s retail arm has decided to exit its new non-vegetarian chain ‘Delight.’ According to a statement released by the conglomerate, this discontinuation will be in effect immediately. The retail arm will focus on vegetarian offerings within their retail portfolio from now on. Reliance Retail in an official statement said, “Despite this sensitive balance of availability and convenience, it was felt that certain sections of customers were still hesitant to shop at our other stores. Reliance Retail has therefore decided to focus on vegetarian offerings only, within its retail portfolio.”
Reliance Retail had earlier planned to set up ‘Delight,’ a chain catering to non-vegetarian products. The chain’s expansion plan was highly ambitious with it stating to stamp its presence in 25 cities in 11 States. Over 100 stores were to come up in the same time. As the profits in the non-vegetarian sector can be up to 100% higher than those in the food and grocery sector, the retail chain had in fact at a later date planned to set up over 1000 stores. The company added, “We believe that this decision will help us to fully leverage our core competencies and remain relevant with a wider section of consumers,” it added.
The company had introduced Delight as an independent format for non-vegetarian offerings in select geographies and a completely dedicated and fully segregated supply chain was maintained in order to cater to the distinct preferences and ideologies of different customers, it added.
Earlier, it was reported that the retail arm of RIL, had in fact tied up with a foreign partner to support his new venture. However, refuting the same, a spokesperson from Reliance said, “We wish to clarify that we have not tied up with any foreign partner for quick service restaurant business and also categorically state that we are neither planning nor desirous of pursuing setting up of any such processing plant.”
However, keeping in mind the huge potential of available real estate, the company has planned to make use of its available spaces that had earlier been reserved for ‘Delight.’ The same spokesperson said, “They have the properties and they will meaningfully use it and accommodate other formats,” said a top executive aware of the company’s plans. The Delight stores are around 200 sq ft each and they are evaluating all options.”