Forbes India — November 17, 2017

executive and managing director at

DMart, recalls the struggle to get him

to stock apparel. Damani’s concern

was that it was slow moving and

out-of-fashion inventory would pile

up. “He was okay with earning less

but the overriding thought was that

the inventory had to be fresh and

clean. Like most of our difference of

opinions, we always took time and

adjusted to each other’s expectations,

and he allowed us to persist and

implement our thoughts and ideas

within the realm of his expectations.

Apparel as a reasonably sized and

focussed business started more than

five years after DMart started,” says

Noronha, who has worked closely

with Damani for over a decade now.

DMart paid suppliers well ahead

of the competition in exchange for

cash discounts. Instead of renting,

it decided to buy the stores, which

allowed it to keep costs in check

and get into a promising location

early. And for the most part, Damani

eschewed malls. The stores were

designed to optimise space (racks

went all the way to the ceiling) and
air conditioning was at a higher
temperature than competitors.
In short, every unit of cost was
carefully scrutinised. The accent
was on getting goods out fast and
the per square throughput of DMart
stands at `28,000 per square feet,
significantly higher than rivals.
Unlike the norm in the sector,
DMart initially expanded slowly
and focussed on getting the
model right. In its first decade to
2012, it set up 55 stores and has
since expanded to 151 stores.
At the same time, Damani nurtured
a young team of professionals led
by Noronha, a former modern trade
manager at Hindustan Unilever. After
nearly a decade-and-a-half in the
photogr business, Damani stepped back and

Aphs:

mexy

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Richest

10 0 Ind Ians

The

82 | forbes india december 29, 2017

kishore Biyani,

founder and chief

executive officer

of future group

There is enough space for all

retailers and the first to expand

is not necessarily the winner