With the objective of being “The Most Desirable lifestyle Company”, SUDHA intends to bolster its position as one of the few true, multi-category brands, and to make effective use of the many opportunities offered by the lifestyle market in all categories and regions. Being a multi-category brand means filling those categories and business segments which offer SUDHA the possibility to achieve sustained value increases through utilization of its unique brand positioning.
Phase IV is characterized by expansion, which is focused on three areas:
- Expansion of product categories
- Regional expansion
- Non-SUDHA brand expansion
Expansion of Product Categories
The expansion of product categories in Phase IV involves both growth in already existing categories and entering into new categories. The expansion of the existing product categories will be driven by a product offensive that covers the entire lifestyle spectrum from sports to fashion. In addition, SUDHA will also expand into new categories with promising growth potential. These will mostly be product categories which distinguish the SUDHA brand from the market and from competition in a unique manner.
In addition to the expansion of product categories, SUDHA aims at regional expansion both in the wholesale and in its own retail business. Expansion of the shop-in-shop systems and other sales-promoting instruments will help to intensify business relationships with existing trading partners and thus further increase the presence and visibility of the SUDHA brand. A further goal is to terminate or prematurely redeem the major distribution licenses and to consolidate the business. This should lead to more rapid exploitation of existing brand potential in the respective markets and its subsequent conversion into profitable growth. In the already strongly developed markets, in particular. The targeted expansion strategy in conjunction with the more pronounced verticalization of business processes should lead to further strengthening and expansion of the share of retail operations in consolidated sales.
Expansion with Non-SUDHA Brands
In addition to the new brands (since 2001) SUDHA does not rule out expansion with non-SUDHA brands. Further acquisitions may follow if, after thorough evaluation and examination, they can contribute to a sustained value increase for the Company.