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FASHIONSCOPE

Goan designers shine at Textile India 2017 opening Goa shined at India Textiles 2017 opening in Gandhinagar, with designers ‘Schulen Fernandes for Wendell Rodricks. On April 18, 2017, Goan designer Rodricks scored a coup d’etat by opening the Ministry of Textiles’ ‘Weaves of India’ fashion show. The collection in Malkha cotton caught the eye of the Minister for Textiles, Smriti Irani and she insisted that the organizers have Schulen Fernandes for Wendell Rodricks to open the show in Delhi.

The grand opening of the Grand Textile India 2017 mega event on June 30 saw 23 countries participate at the major three day conference that will fuel Indian textile business to the world. Schulen Fernandes for Wendell Rodricks opened the fashion show that showcases the grandeur and legacy of Indian Textiles. Prime Minister Narendra Modi and Chief Minister of Goa Manohar Parrikar and other political luminaries.

The label showcased four ensembles inspired by the Kunbi sari and handwoven cotton. Making Goa proud, Goan designers Schulen Fernandes and Wendell Rodricks are happy and humbled that Goa enjoys the opening of an event of such national prestige.

Wendell Rodricks says Schulen has proved a worthy successor for his brand. Its creativity, maturity and ease to grasp a subject of national repute is incredible. In a few years at the helm of the Wendell Rodricks label, Schulen has elevated the brand to a level that is enviable.

49

BRAND WATCH Blackberrys launches casuals for youth

Blackberrys has launched a new collection for the Indian youth. The autumn/winter 2017 and spring/summer 2018 urban collections were launched at a partner connect program recently. The brand took five years to launch the casual wear category.

Blackberrys presented range of Urban,

their casual brand, that been in the market for 3 years. It was initially started as the line. Urban is young fashion, inspired by the vibe of New York. Designed for the well-travelled urban Indian consumer, the highlights of the casual range. Include pilot jackets with big pockets, cargo trousers, dropped trousers and knitted bombers.

The URBAN is designed with three focal points: application of surface treatments like innovation in textiles, its unique silhouettes and attention to fine details that add freshness to the whole range.

For 26 years homegrown men’s fashion brand Blackberrys has stood out with its fine designs and trendy collections. The brand over the years has established itself in metros and smaller cities alike. For the uber Indian men, Blackberrys has become the first choice, a must have in their wardrobe.

The fashion brand’s target audience is 25 to 35 year olds with a monthly income of Rs 50,000 and more. On offer are suits, shirts, jackets, khakis, trousers, formal trousers.

Fit has been the strength of the brand.

The brand is present in 100 cities split evenly between metros and Tier II cities.

It is in Delhi NCR, Chandigarh, Mumbai, Chennai and Hyderabad, with multiple stores in these cities. It is in MBOs and 200 plus EBOs. All these are company owned.

It is also in large formats like Shoppers Stop and Lifestyle and has a pan India presence.

Blackberrys is now looking at Tier III towns.

It is online and e-tailing gives it 10 to 15 per cent of the business.”

Clovia launches new beachwear collection for women

India’s fastest growing lingerie brand Clovia has launched a new collection of beach/ resort wear perfect for summer holidays.

The collection features an array of beach dresses, sarongs, kimono etc. in fun, flirty, comfy and flowy fits going with the theme.

Talking about the new range, Neha Kant, Founder, Clovia says the beachwear

industry in India is evolving and they see a great potential for growth in this segment.

The products are delicately crafted in cotton and crepe to ensure comfort in this hot summer. The collection is comfortable yet fashionable.

The collection includes designs from beach dresses in floral prints to high low cuts that are easy to move around in and are great for dates at the beach or beach events like a concert, tropical print kimonos and easy-towear sarongs. Besides, the collection also features few beach dresses with statement bell sleeves keeping up with the season’s trend. The fabrics are predominantly cotton and crepe which give a great drape/fall and are perfect for the weather.

The collection comprises fancy cover-up

50

Another area Max feels has promise is occasion wear. This includes yoga dresses, fitness dresses, casual wear and outdoor wear. Max is also witnessing an increase in western wear because of its growing acceptance in the family wardrobe and changing preferences of people. Presently, the men’s segment contributes 24 per cent to total sales while western wear is 20 per cent and ethnic wear around 18 per cent.

The company is aiming to double its turnover to Rs 5,000 crores in the next four years by expanding its sales network to 400 stores in 120 cities. As part of that, Max Fashion will invest around Rs 400 crores over the next four years to open new stores in Tier I and II cities. Max is part of the Dubai -based Landmark Group.

Puma showcases FENTY x PUMA collection in Mumbai

sarongs in floral print with easy-to-wear overlapping style giving it a distinctly bohemian feel. The collection includes two piece cover-ups; perfect for relaxing by the pool-side. It also features dresses crafted with materials that will keep you cool even in the brightest sunshine. Crafted from soft cotton and crepe, the cover-ups flaunt lightweight designs and decorative trim ensuring loose, fluid silhouette.

The price ranges between Rs 499 to Rs 1,099 as the collection is reflective of the research and understanding that Clovia has undertaken to develop products, in particular for the Indian women.”

Max focuses on children, occasionwear

Fashion brand Max is looking at children’s and occasion wear as one of the growth drivers for the coming years. Presently, the company has a turnover of Rs 2,400 crores and 23 per cent is contributed from the children’s segment, which is around Rs 500 crores. The company has recently relaunched a children’s festival to promote the segment and is taking it to a pan India level through TV campaigns.

Robyn Rihanna Fenty a Barbadian singer, who was sent home from high school on several occasions for breaking the strict dress code, bringing a rebellious edge to her dull khaki uniform with wild, brightly colored hairstyles and piercings galore. She used Fenty x Puma show in Paris earlier this year to rewrite the rule book on collegiate style, and staged the presentation in the elegant book-lined atrium of the RichelieuLouvois Library. Rihanna’s FENTYxPUMA collection, was showcased as sporty fashion, in an event hosted by Puma in Mumbai. Celebrity stylist and Fashion Director at Vogue, Anaita Shroff Adajania teamed pieces from the Fenty collection with garments and accessories by leading Indian designers and artists that added a fearless sexy Indian twist to it.

At the end, Puma announced its association with Disha Patania as the brand’s sport style and fitness expert. Disha an Indian film actress and model, talking about the association with the brand added, “Puma has that perfect blend of comfort and style, that one can go straight from gymwear to street style in minutes with Puma products.”

52 BRAND WATCH Woodland launches inner wear Woodland is ready with its inner wear and leisure wear collections The collection will comprise products like vests, briefs, trunks, inner T-shirts and shorts. The product line will be available at 600 EBOs and about 4000 multi-brand outlets.

The current size of the innerwear category in the country is pegged at over Rs 15,000 crores. Woodland is a footwear and apparel brand and offers an extensive line of footwear, performance apparel and outdoor gear.

Aiming at 15 to 20 per cent growth, it’s looking to cross Rs 1500 crores in turnover by the current fiscal. Last fiscal, the turnover was Rs 1,300 crores. Woodland will also open 40 to 50 company-owned exclusive stores in the current fiscal to deepen its footprint in the country. The company is also selling its products through e-commerce portals like Amazon and Flipkart. As much as 14 per cent of the total revenue comes from e-commerce web sites. On the export front, the company is keen to enter Canada

and South Africa. Woodland has offices in Hong Kong, Dubai and Moscow with a retail presence in over 50 countries. It has also recently tied up with a Chinese brand for selling the Woodland range of products at over 5,000 stores in China.”

The brand works with eight captive units. Its core is supply chain, and it brings products to the market fast. Campus Sutra considers back-end metrics like inventory turnover ratio, sell-through rate, and time-to-market as key to its business. Its sell-through rates are above 95 per cent. Lots of its products, including winter wear, get maximum sales from the northeast. On an average, it gets around 6000 orders a day and it broke even in the seventh month of operations.

Raymond Apparel to launch khadi ready to wear

Raymond will launch khadi ready to wear

by October this year.This will include khadi suits, shirts, western wear and sherwanis.

Raymond expects five per cent of its revenues to come from khadi products. Raymond’s design team has been working closely with khadi weavers across the country under the Khadi Village Industries Commission (KVIC).

Eventually, Raymond would be sourcing around 4, 00,000 meters of khadi from KVIC clusters. The company is expected to create three million man hours of employment for khadi weavers through its retail venture.

There are around 25 khadi weaving clusters under KVIC where the hand woven fabric is sold at a price range of anywhere between Rs 150 per meter and Rs 1000 per meter depending on variety. Raymond expects to do a business of Rs 70 crores from branded khadi this year. In the first phase, the roll out will be in the domestic market through Raymond’s exclusive outlets and then later through other stores including multi branded outlets. In the second phase, it intends to sell branded khadi internationally.

Raymond has in all 1080 stores across all formats including exclusive branded outlets and flagship stores across 400 towns. In addition the company has 49 overseas stores across Bahrain, Bangladesh, Pakistan, Sri Lanka, Nepal, Oman, Saudi Arabia and UAE.

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INDIA ENTRY

Global brands entering India, China to grow

favorable regulatory environment that has developed over the past few years as reasons for its ranking.”

Global retailers looking to enter Indian market

There is a change in the U.S. retail market.

Consumers are spending less on products and spending more on “experiences,” preferring vacations over wardrobes, to the point some malls are being recreated as community colleges or indoor parks. To take advantage of the growth potential in those areas of the globe brands are looking to develop markets like China and India.

From activewear to luxury brands, more and more major apparel players have entered or are readying to enter these markets.

U.S has a population of 321.4 million people. U.S. consumers are spending 65 percent of their discretionary dollars on things like vacations and sporting events, up from the low-40 percent range 60 years ago, In contrast, China has a population of 1.37 billion, while India counts 1.3 billion residents. China’s disposable personal income has grown at average annual rate of 11.5 percent; while India’s has seen a 7.5 percent increase, according to an analysis

by Deloitte University Press. The difference is staggering.

According to the Cotton Council International (CCI) and Cotton Incorporated’s global survey, “In China, 83 percent of consumers “love or somewhat like” shopping for clothes. China is such an interesting market for apparel brands, as Chinese are frequent clothing shoppers, with 68 percent shopping for apparel for themselves once a month or more,. But Chinese shoppers mostly prefer to buy their clothes online (79 percent).

The bulk of Chinese consumers say they buy clothes on sale, but other factors like quality are more important than price alone.

Just 8 percent say they’re willing to sacrifice quality to get a better price.

In India, even more consumers (91 percent), express that they “love or somewhat like” apparel shopping. 66 percent cite it as their favorite items to shop for, outstripping groceries and electronics (both 9 percent), cosmetics (8 percent), and fashion accessories (4 percent). However, just 25 percent shop for clothes for themselves once a month or more, and instead prefer to shop once every two-to-India is also very different from China in that its most popular shopping channels are independent stores A.T. Kearney points to India’s strong GDP growth, growing middle class, and a more

More than 50 global retailers are planning to enter India within the next six months.

Brands such as Korres, Migato, Evisu, Wallstreet English, Pasta Mania, Lush Addiction, Melting Pot and Monnalisa, many from the US and Singapore, are expected to open a total of 3000 stores.

These small and mid-sized brands are looking to cash in on the open retail policy and the huge gap in the market for branded products. Of the incoming brands, 18 are in the food and beverage space followed by 13 each in apparel and lifestyle products and education products. They have their eye mostly on smaller, untapped markets within the country.

As retailers struggle in their home markets, India could be the next bright spot for the industry, as it has allowed 100 per cent foreign ownership in business-to-business e-commerce businesses and for retailers that sell food products manufactured in India.

The efforts to boost cashless payments and reform indirect taxation with a nationwide goods and services tax are also expected to accelerate adoption of modern retail.

says Alvin In, MD, Kioda. Over the next five years, the company is planning to open 200300 concept stores in India, starting with New Delhi, Mumbai and Chennai. Globally, Kioda has over 40 outlets across 13 countries and retails products in nine categories health and beauty, seasonal products, handbags, textiles and knitwear, gifts and stationary, fashion accessories, digital appliances, and creative home.

Going forward, Kioda plans to source 1030 per cent of its products locally and will import the rest from Malaysia. Kioda retails products at a price range of $2-$50 across the world and plans to take its revenue up to $100 million in the next two years, up from the current $10 million.

Experts says the challenge for the brand will be the pricing and affordability of products as Kioda will be competing with young fashion brands like Forever 21 and H&M. The brand looks elegant and desirable that seems that the brand will have acceptability with the designs but pricing, value and the digital game will be critical factors in deciding its fate, says Rajat Wahi, Partner, Deloitte India.i, Partner, Deloitte India.”

Reliance Brands partners with Italy’s Valentino

The first retail wave happened a decade ago when bigger retailers and brands entered India. Earlier this month, India replaced China as the most promising retail market in the world.”

Malaysian retail chain Kioda plans to invest $10 million Malaysian fashion and lifestyle concept retail chain Kioda is planning to enter India, through a joint venture with franchise Solutions Company Franchise India Holdings. Starting September 2017, both companies will be investing about $10 million over the next three to four years and will begin operations in the national capital.

The company founded five years ago in association with a Korean designer and has been expanding in Asia. The stores are based on Korean concept and experience

Reliance Industries’ subsidiary Reliance Brands, which sells a raft of global labels, has signed a deal with Italian fashion house Valentino to launch and sell its products in India. To manage their product base and portfolios in India Reliance Brands has already signed deals with various other international brands.

Valentino is an Italy based brand, which is known for its grand dresses, wedding gowns and footwear. It is supposed to be reportedly

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INDIA ENTRY

in talks with a few companies in India to establish its presence, however, this is the first time we have heard about it clicking a deal. It has been in talks with DLF Luxury Retail and IDFS Tradings as well. Reliance Brands already has a few high-profile brands to retail in India, which include Brooks Brothers, ErmenegildoZegna and Bally.

Retail has the rights to distribute Saucony across different channels--be it Reliance’s own stores, other multi brand outlets or online or Saucony standalone outlets.

Over the past one year, a number of international luxury brands, including Coach, H Moser &Cie, Isaia, Kate Spade New York have started retailing in India. Also, a few more are expected to make their India debut in the coming months.”

Saucony, US brand enters India US sports shoe brand Saucony is coming to India in a partnership with Reliance Retail.

As Saucony’s India franchisee, Reliance

Reliance Retail is already testing the brand in some of its Reliance Footprint outlets.

The Reliance Footprint chain operates more than 200 footwear outlets in about 25 states.

The addition of Saucony to its offerings

is in line with Reliance Retail’s endeavor to bring industry leading brands, products and services across consumption baskets.

Saucony is a 120-year-old brand popular for racing shoes for track and field athletic events in its home market in the US. Its parent Wolverine World Wide is known for its brands including Caterpillar and Hush Puppies.

Reliance Retail added 371 stores across various store concepts during 2016-17. During the quarter, Reliance Retail added 63 stores across various store concepts. The company plans to add another 500 outlets across segments in 2017-18. Reliance Retail operates 3,616 stores across 702 cities with an area of over 13.5 million square feet.For the fourth quarter of financial year 2017 Reliance Retail saw a 65.6 per cent increase in profit before depreciation interest and taxes year-on-year.”

Spanish retailer looks at India

Spanish fashion retailer Grupo Cortefiel will launch brands like Springfield and Women’s Secret in Bangalore this year. Springfield, a casual wear brand, will be sold through a mix of large format flagship stores and exclusive brand outlets. Women’s Secret, an inner wear and sleep wear brand, will be sold mainly via exclusive brand outlets.

About 40 stores of these brands will open over the next five years. Springfield will compete with brands like Gap, Aeropostale, H&M, among others, catering to mid segment fashion and offering merchandise at similar or slightly lower price points.

Created in 1988 the brand targets clients between 18 to 35 years old, with a young, urban and casual style.

Grupo Cortefiel is one of Europe’s leading fashion retailers operating in the specialised chain segment. It is present in 90 countries with 2,178 points of sale and its turnover for 2015 was euro 1095 million. The fashion retailer comes to India via a tie-up with Tablez India, which is a unit of the AbuDhabi based LuLu Group.

International brands are planning to enter India partly because growth in global markets like the US and Europe is slowing.

For Pepe Jeans, India is the best performing market. Brands like Uniqlo and Ted-Baker also plan to be here.”

58 BRAND RETAIL Aditya Birla Fashion and Retail plans price cutting, focuses value

sell off a lot of their existing inventory before GST kicks in. With GST, the taxation structure and prices will change.

GST is encouraging sales by retailers because past stocks are already taxed on the basis of sales tax and VAT.

ABFR which had cut down on prices of its apparel range by around 5 per cent last year might consider a similar cut this year as it sharpens its focus on value fashion for rates ranging between Rs 500 to Rs 1,500.

In the value fashion space, the brands would remain open to any opportunities for corrections in the pricing.

Aditya Birla Fashion and Retail (ABFR), an identity that emerged after the consolidation of the branded apparel businesses of Aditya Birla Group comprising ABNL’s Madura Fashion division and ABNL’s subsidiaries Pantaloons Fashion and Retail (PFRL) and Madura Fashion & Lifestyle (MF&L), had emerged as one of the fastest growing segments with all large players rapidly expanding their footprints. International players in the premium and mid-premium segments too have adjusted price points for the Indian market.

The performance of the lifestyle brands helped ABFRL to swing to a profit of Rs 21.83 crores (stand- alone) in Q4FY17 from a net loss of Rs 108.97 crores in Q4FY16.

Sales for Q4 FY17 grew 13% y-o-y to Rs 1,625 crores while EBITDA grew 37 per cent y-o-y to Rs 131 crores.

Amazon will offer 50 to 80 per cent discount on three lakh units across 1,500 brands, apart from lots of goodies as gifts and cashbacks. The company is spending heavily on television, print and digital marketing for the event. Amazon is hopeful the event will bring in new consumers online. Around a third of customers are sad to try fashion first on Amazon.

Amazon has tied up with the biggest tech parks in the country and these will act as activation and promotion for the sale. This is seen as an opportunity for consumers to step out and experience fashion at physical outlets.

Fashion – including apparel, shoes, jewelry, watches, handbags and luggage – is the second biggest segment in online commerce after electronics. But it remains constrained by issues related to size, style and color. Hence the initiative to open temporary, physical outlets.”

Anita Dongre brands open in Allahabad

Around 190 of ABFR’s exclusive brand outlets stocking lifestyle brands, were shut in FY17 while 194 stores were opened; the total network currently has 1,759 stores.

This rationalization of EBOs has helped the company to improve EBITDA margins in the lifestyle business.

Two brands from the House of Anita Dongre have opened a store each in Allahabad, both the brands are for women. And is for western wear, Global Desi is for ethnic fusion wear. Both stores have opened with the summer collection 2017.

While the company calls it an end of season sale, it acknowledged that brands and sellers on the platform are also looking to

Her commitment to revive, sustain and empower Indian crafts and textiles led her to launch Grassroot, a sustainable and eco-conscious luxury prêt label. She lives her personal philosophy through conscious efforts as a fashion designer, introducing cruelty-free accessories, thereby representing fashion with a conscience.

Her high impact yet timeless occasion wear in contemporary styles combine the best of craftsmanship and wearable silhouettes.

The Anita Dongre woman is a modern urban girl who, while challenging convention, loves all things traditional, speaks her mind, is free spirited and adventurous.”

Baggit enters Sri Lankan with partner, plans EBOs in two years

Well known bag brand Baggit has forayed into the Sri Lankan market. Baggit is looking to be present in leading MBOs and large format stores and will also launch an EBOs across malls and high streets of Sri Lanka in next two years. The initial presence will be strengthened with a varied product portfolio of handbags, slings, women’s multi-utility pouches.

The brand will enter Sri Lankan market with partner, Royal Lanka Agencies, as its distributor. Royal Lanka has been in the retail and distribution business for more than a decade in Sri Lanka and has an indepth understanding of this category.

Amazon to open stores at tech parks

Amazon will open 12 temporary physical stores at tech parks in Bangalore, NCR and Mumbai to popularise its fashion sale event coming up this weekend.

tradition, her handcrafted bridal lehengas and handwoven heritage Banarasi creations are coveted by brides.

Anita Dongre has been at the forefront of fashion for over 20 years, having created one of the most successful fashion houses in India. Launched in 1995, the House of Anita Dongre comprises a portfolio of brands.

A metaphor for supreme craftsmanship, Anita Dongre’s designs showcase Indian aesthetics in a contemporary language.

Inspired by Rajasthan and India’s rich craft

Baggit sees the Sri Lankan market dynamics similar to Indian diaspora, when it comes to shopping and understanding consumer mindsets. Hence, it feels moving to this South Asian market will be a definite opportunity, which will help establish it

60 BRAND RETAIL in international markets and reach out to maximum number of customers. This will also be a new approach for Baggit to take business to greater heights.

expansion plan will cover both metros and Tier II cities.

Baggit is a bag and accessories brand from India founded in 1990. Currently Baggit retails in 90 Indian cities through 47 exclusive stores and also through a network of 1000 counters comprising large formats, multi brand outlets and other trade partners and expanding month-on-month.”

Be Mine, The Lingerie Shop launched

Veremente Enterprises, an initiative of Welspun Group, launched its first brand-Be Mine -recently .The brand and store founded by Radhika Goenka is an innovative amalgamation of international designs and Indian sensitivities. It is an all-in-one platform providing the ultimate solution in intimate wear. The brand promises to provide a comfortable fit with a unique fashionable trend.

Being Human is an apparel brand belonging to Mandhana Retail Ventures. Mandhana Retail has a global licensing arrangement with Being Human, a Salman Khan Foundation, to design, manufacture, retail and distribute textile products. Royalties from the clothing line support education and health care initiatives of the Salman Khan Foundation.

Mandhana sells Being Human clothing through exclusive stores, multi-brand outlets like Central and Shoppers Stop and online marketplaces like Myntra, Jabong and Flipkart. All combined, the company has 600 sales points, including international stores (125 in the Middle East and 75 in Europe).

marketplaces like Myntra, Jabong and Flipkart. All combined, the company has 600 sales points, including international stores (125 in the Middle East and 75 in Europe).

For Mandhana 20 per cent of revenue comes from exports and online marketplaces contribute eight per cent. It has been growing at a compounded annual growth rate of 65 per cent over the last three years.

Mandhana Retail has a global licensing arrangement with Being Human, a Salman Khan Foundation, to design, manufacture, retail and distribute textile products.

Royalties from the clothing line support education and health care initiatives of the Salman Khan Foundation.”

Biba opens store in Mumbai

Ethnic women’s wear brand Biba has opened a flagship store in Mumbai. This takes the total store count in Mumbai to 21 and in Maharashtra to 35. Biba launched its latest retail design concept last year and has launched video walls on its store facades lately.

For Mandhana 20 per cent of revenue comes from exports and online marketplaces contribute eight per cent. It has been growing at a compounded annual growth rate of 65 per cent over the last three years.”

Being Human moves to smaller towns Be Mine aims to be a brand, that makes a woman confident, comfortable and sexy where she can flaunt it. The products and services provided are bespoke products that enhances the lingerie shopping experience for women. The company aims to reach out to customers online and for the first time ever in India, via lingerie vending machines.

The products are crafted to inspire the chic and sexy in their 23 – 35 years, helping them pick the perfect lingerie for every occasion and every mood. The Lingerie Shop’s products will be available on their website and other e-commerce websites.

They will also be available through vending machines situated at major touch points in Mumbai.

Being Human adds to store tally

Being Human plans to add 80 more exclusive stores in three years. These stores will be in cities like Delhi, Kolkata, Bhubaneswar, Guwahati, and Bangalore. With these new stores, the brand is targeting a sales growth of 15 to 20 per cent. The upcoming stores will be sized between 1000 to 1500 sq ft and will require an investment around Rs 60 lakhs depending upon the size. The

Being Human is moving from metros to Tier II and III towns. But there will be no change in pricing. The reason for moving to Tier II and Tier III markets is that the spending power in such places is as good as that in metro markets and consumers are equally aspirational.

Being Human is a brand of clothing promoted by Salman Khan. Mandhana Retail Ventures holds the license for the brand.

The company has stepped up the royalties for the Being Human brand which it gives the Salman Khan Foundation from three per cent to 5.75 per cent for the next three years.

Mandhana sells Being Human clothing through exclusive stores, multi-brand outlets like Central and Shoppers Stop and online

Biba is aiming at a sales target of Rs 1000 crores by 2017-2018. The ethnic wear brand has been growing at a rate of 30 to 35 per cent CAGR in the last seven or eight years. It has a one per cent market share and hopes to make that five per cent in the next three or four years. Biba is expecting a lot of developments in the branded apparel section in the next four or five years and feels GST will accelerate it further.

Currently, Biba earns 15 to 17 per cent of its sales from online channels and from its own site. However, from its own site, the sales percentage is between four to five per cent.

The ethnic wear industry is around Rs 70,000 crores, although 70 per cent of the market is dominated by unorganized players. The industry is expected to grow at a CAGR of nine per cent till 2019.”

Blackberry to add open more EBOs for Urban

Leading fashion brand, Blackberrys is planning to scale up store count for its brand ‘Urban’. Men’s formal wear brand Blackberry from Gurgaon-based Mohan Clothing is looking to open 30-50 exclusive outlets for, Urban, by end of this fiscal.

Currently, Urban has two exclusive outlets in Pune and Jabalpur.

Speaking about their retail expansion plans Ramesh Kaushik, Head-Retail,

62 BRAND RETAIL and a net profit margin of seven to eight per cent in financial year ’17. The fashion brand aims at increasing sales to Rs 160 crores in the year ending March 2018 from Rs 100 crores in the previous year.

aiming to open this fiscal, of the targeted 30 new stores. It already has 140 stores spread across India. The brand will open its stores in metros and non-metros like Salem, Deoghar, and Kakinada etc.

Dollar targets 50 EBOs by 2020 Blackberrys says it is more consumercentric than city-centric. Top five metros and five non-metros are in the radar since a lot of consumer catchments are in these cities. Apart from exclusive brand stores, they also plan dedicated stores for Blackberrys and Urban. The company is focusing on large format stores and MBOs as well. Blackberrys recently did a large scale partners meet aiming to attract new investors and expand brand ‘Urban’ from merely being a wall in Blackberrys’ store to having its own exclusive showrooms.

The event was organized by Delhi-based Vibgyor Brand Services.

Blackberrys is a well known Indian formal and trendy wear brand that caters to men.

The brand has grown to define occasion wear and category market over the years.

Starting out as a garment company, Blackberrys has grown from a wholesale to retail over time, and now to a leading fashion company.”

Campus Sutra plans to open stores

Online apparel seller Campus Sutra sells T-shirts, sweatshirts, jackets, active wear and bags to a student-centric customer base. Campus Sutra is based in Bangalore and was launched in 2013. It is on Myntra, Jabong, Flipkart and Amazon and has its own website. Sales rose more than eight times in fiscal year 2015 and it has been growing at a handsome 150 per cent CAGR.

Dollar by the end of 2020 is eyeing for 50 EBOs across major cities in India which would be operated by a franchise model.

Dollar has achieved a market penetration of 88 per cent across India and is present in more than 80,000 MBOs. Dollar has some 850 distributors.

On brand perspectives and store design, Robin Mathew, Head-Brand Presentation, Indian Terrain says the brand follows certain ideology, which is American sportswear as its primary genre. This is a subtle mature brand for mature but young clientele. The company believes in hardcore retail spaces without taking away brand effectiveness through fixtures and props. The Chennaibased brand is looking to have stronger pan Indian footprint.

The company is diversifying its product range and will introduce more variants in sleep wear, lounge wear, active wear and sportswear.

Dollar’s revenue has grown by 9.15 per cent. This has been a satisfying year for Dollar with the brand making inroads into newer territories and also consolidating its position in the existing hosiery markets in India and abroad. The top line growth of the company is 15 to 20 per cent year on year.

Dollar is making efforts to improve EBITDA and PAT margins and aiming to achieve 15 per cent EBITA in three years.

The team’s aggressive marketing and advertising strategy is backed by superior product range, technology upgradation and capacity expansion.

E-commerce sales will be pushed up to the maximum percentage in the total turnover.

Moreover the super premium category will be the prime focus for Dollar in the coming days.

In the next phase of growth, Campus Sutra will enter the offline space through its own and franchise-owned stores. The company will launch at least three stores in Bangalore by September and plans to tie up with franchise partners in other cities.

These three stores will be company owned and will be set up with an investment of approximately Rs 1 crore on each store.

Campus Sutra will see the response to the stores in Bangalore and expand to other cities through the franchise model.

The company clocked sales of Rs 100 crores with 35 per cent EBITDA (earnings before interest, tax, depreciation and amortisation)

Dollar is the only hosiery and knitwear company in India having a fully integrated production unit which has a spinning capacity of 400 tons per month, knitting capacity of 300 tons per month, dyeing and bleaching capacity of 400 tons per month, elastic manufacturing capacity of 10,00,000 meters per month and a cutting capacity of 3,00,000 pieces a day.

Indian Terrain to add 30 more stores by end of this fiscal

Menswear brand Indian Terrain has already started working on 15 EBOs it is

The brand aims offers premium work wear and smart-casual clothing for men.

It also has a collection for boys between 4 to 16 years that carry interesting prints and patterns, with a few pieces inspired

by Indian Terrain’s menswear line. Indian Terrain today retails across the country through more than 800 multi brand outlets, more than 150 large format stores and over 100 EBOs and key e-commerce platforms as well.”

Lacoste to open more stores

Lacoste is planning to expand its retail footprint further in India. At present, the French lifestyle brand has an overall presence in 38 exclusive brand outlets and nine shop-in-shops. The brand also has a digital flagship store (online store) in India. It has one or two flagship boutiques in each of the key cities i.e. Delhi, Mumbai, Bangalore, Chennai, Kolkata, Hyderabad, Chandigarh and Pune. Delhi and Mumbai are the most important markets for the brand in India. It plans to open stores in Tier I and II cities.

64 BRAND RETAIL Lacoste is known for its polo T-shirts in a wide palette of colors. The product portfolio is apparel and accessories, leather goods, watches, sunglasses, perfumes, footwear and underwear.

Lacoste opened in 1933. It was the first company to manufacture the logoembroidered shirt. This was the first time that a brand name appeared on the outside of an article of clothing. This shirt revolutionized men’s sportswear and replaced the woven fabric, long-sleeved, starched classic shirt. Today, it continues to offer the same quality, comfort and solidity on which it built its name.

Max Fashion is owned by the Dubai-based Landmark Group and has been growing at a rate of 34 per cent year-on-year for the last ten years. Max Fashion sees growth coming primarily from children’s wear. In 2008-2009, the contribution of this segment was 16 per cent to Max’s overall business.

It grew to 23 per cent in 2016-2017.

Seeing such growth potential, Max now aims to achieve Rs 700 crores alone from this category.

Lacoste is present in international markets across 120 countries where two Lacoste products are sold every second. In India, one Lacoste product is sold every two minutes.”

Marie Claire has big plans for India

Marie Claire, the women fashion brand, is all set to open its first retail outlet through SIS formats at Orissa’s regional multibrand store chain “All That Jazz” at Bhubaneswar and Cuttack. Delhi-based Epic Brands, who also owns online women apparel brand Rare, is the licensee for Marie Claire in India. The brand, founded way back in 1982, is a unique example of a fashion magazine’s philosophy trickling into a fashion brand. It started as a retail brand in Japan and later followed in other countries too.

Max Fashion was launched in 2004 in India.

Globally, Max has over 350 stores across 16 countries.

Max is looking to double its turnover in the next four years. It is also planning to expand its value apparel retail format Easybuy.

The company is also evaluating omni channel retail and is currently piloting the endless aisle system by integrating its store inventory with warehouse inventory.

If a particular size of dress is not at a particular store at the time, and is available at inventory, it would be delivered at the customer’s house the next day.”

As per Amiteshwar Singh, Director, Epic Brands, fashion hasn’t really reached in those cities and there is an instant affinity for international brands the company is planning to extend the retail scaling in metros through exclusive brand outlets and SIS formats. The brand will soon open 2-3 EBOs in leading metro cities fashion hasn’t really reached in those cities and there is an instant affinity for international brands, while taking the store count to 30 in next 5 years while it plans to scale up its presence through approximately 300 SISs across the country.”

Max Fashion to add 60 stores

Max Fashion wants to have a store count of 250 by the end of the financial year 20172018. That means 60 more stores will be added. Each store will have an investment of Rs 5 crore. Out of this, two and a half crore is the capex.

Pepe Jeans to open 50 new stores across India in 2017

Pepe Jeans the global denim and casual wear brand will expand its presence in India by opening 50 more stores this year.

It is also looking to enter the innerwear segment where it is planning to launch men’s products and subsequently move into other categories. Kavindra Mishra, MD and CEO of Pepe Jeans India, says the company’s target is to open 50 stores in India, which will take the store count to 270 by end of 2017. The company also plans to launch a different company for innerwear through a joint venture.

Pepe Jeans has been in the process of stepping up its presence in the country by launching different product lines in the past few years. Last year, it entered the kids’ wear segment and hopes to manufacture up to a million pieces for category this year, he also says the marketing spend has gone up by 50 per cent.

The company has also been manufacturing and exporting for its global supply chain.

Pepe Jeans is piecing together its omnichannel strategy, which will roll out by March. Pepe Jeans India presently sells through 1,500 points of sale and about 5 per cent of sales comes through online channels. Mishra feels online is a great method for discovery and is not meant for discounting. People have abused discounting model. In the run up to GST, clothing brands are slashing prices to liquidate their existing stocks.

Talking about GST preparedness, Mishra says the company is about 95 per cent GST-ready, and has been working with compliant vendors only since the beginning of 2017.”

Reebok wants to open brand stores

Reebok wants to set up single brand retail stores in India. At present, Germany’s Adidas sells Adidas and Reebok sports shoes and clothes in India. As per the foreign direct investment policy, 100 per cent equity investment is allowed in single brand retail trading. FDI of up to 49 per cent is permitted under the automatic route but permission is required beyond that limit.

Foreign investment is allowed subject to certain conditions, which require products to be of a single brand only and to be sold under the same brand globally.

Further, in respect of proposals involving FDI beyond 51 per cent, it is mandatory to source 30 per cent of the value of goods purchased from India, preferably medium and small enterprises.

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66 BRAND RETAIL Reliance Retail to launch multi brand retail, PROJECT EVE

sq. ft, this massive four storey showroom has dedicated sections for all kinds of branded, designer, casual, ethnic and indowestern wear.

Shree Shivam began with a small store of 900 sq. ft. The chain also has stores in Durg, Bilaspur, Nagpur and Jabalpur.

Shree Shivam, which opened in 2004, is a brand of fashion apparel stores. It is home to more than 200 national and international brands as well as the finest wedding and festive collection of designer dresses.

In India, there remains a need among Indian businesses to understand the changing behavior of consumers towards shopping in these organized retail outlets.

Shree Shivam is a joint family venture with an aspiration to become the biggest family fashion store chain in India. With strong roots of culture, values and family bonding, Shree Shivam is setting an example of

There were just 3 shopping malls in India in 2001, at present there are malls in metropolitan cities and small towns. It has become important to have malls in both high end and lower end brands. If the satisfaction score needs to be high a great food court and ample parking space should be included in malls.

Malls are not only a shopping place but a place to rejuvenate, socialize and entertain.

In big retail stores you get everything under one roof from branded clothes, grocery, and electronics to foot wear.

Trent has chosen to be in just a few cities because it feels building a customer brand is easier if it is present in a small number of cities.

Trent Hypermarket is a 50:50 joint venture between Tata and British retailer Tesco.

Established in 1998 and part of the Tata group, Trent operates Westside, one of India’s largest and fastest growing retail chains; Star Bazaar, a hypermarket chain, and Landmark a family entertainment format store.”

Anita Dongre’s Grassroot store opens in the US

Anita Dongre’s sustainable luxury brand Grassroot has opened a store in New York City.

The culture of ‘Shopping Mall’ in Mumbai has been leading from quiet sometime.

Started in September 1999 the very first mall in Mumbai was Crossroads currently recognized as Sobo Central.

Today majority of malls are situated in the suburbs of Mumbai these new malls have a lot of offer such as fashion, food, entertainment and gaming zones, thus they determine the development of an area in the city.

already has two distribution centers which cater to the Mumbai-Pune and Bangalore stores.

Architect Shonan Trehan has designed the 1500 sq ft store. The space is bathed in natural light and accented by elements in rose gold, cork and recycled wood. togetherness by making family shopping a super-pleasant experience.

The chain, run by the Mantri family, has more than 80,000 loyal customers in three states of central India. Shree Shivam fashion apparel stores own space of nearly two lakh sq ft. This is a one-stop shopping destination for all the fashion needs of a family with the best-in-class products and ambience for customers.”

Trent to open 50 stores in Hyderabad

Trent plans to open 50 retail stores in Hyderabad in the next two or three years, apart from setting up a distribution centre.

The expansion is part of the 200 stores

The number of malls grew to 343 by 2007.

As per the data from Bangalore-based Asipac Consulting, number of malls in 2013 has doubled since 2008. As many as 26 malls are scheduled to become operational this year in what will be the highest supply of shopping space in more than five years in the country.

The southern cities of Hyderabad, Chennai and Bengaluru will see the largest chunk of the total of 10.86 million sq. ft of shopping space.

Eight new malls covering 2.6 million sq. ft will open in Hyderabad after a long lull, while five each will begin operations in Bengaluru (2 million sq. ft) and Chennai (2.5 million sq. ft), according to estimates by property advisory Cushman & Wakefield.”

Shree Shivam opens Raipur showroom

Shree Shivam has opened a showroom in Raipur. This is the biggest fashion apparel showroom of Raipur and caters to men and women. Built over 50,000

planned for Mumbai, Pune, Hyderabad and Bangalore.

The retailer currently has 45 stores across these cities under the name Star Market. A Star Market store entails an investment of Rs 3 crores to Rs 4 crores.

Most of these stores would be in the 8000 to 10,000 sq ft segment. This segment would be the growth driver for Trent since it requires lesser space and helps it stay in the city hotspots, closer to the customer.

The distribution center will cater to the Hyderabad market.

It will be spread over 70,000 sq ft and will entail an investment of Rs 25 crores. Trent

Every detail is special in this store from custom-made racks that give a nod to the humble shuttle (used to hand weave fabric) to dreamy wall panels of handwoven chanderi and khadi that tell the journey of the brand.

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68 BRAND RETAIL Every piece of fabric woven, block printed or embroidered is done by a group of artisans who give it the time and attention it deserves.

Grassroot is a brand by Anita Dongre. It was launched in India two years ago with the aim of promoting India’s rich textile legacy and ensuring the long tradition of craftsmanship is sustained.

The venture aims to keep the indigenous crafts of India alive by mobilising skills from the grassroot level to the shop floor. The brand marries Dongre’s urban aesthetic with local craftsmanship to create an ethical line of clothing.

It’s an eco-conscious, leather-free and vegan line offering handcrafted traditions from India. Anita Dongre Grassroot targets the global woman of today who seeks to align with brands that reflect fashion and ethics.

Grassroot currently has four stores in India and is also available online. Metakey Anita Dongre, Grassroot, Store Opening

As per Myntra, intergration with offline stores will be vital

He says the brand expands to Tier IIand-III towns, regional and omni-channel experiences will take the front seat. These would be enabled by technology, and not just ecommerce.

Talking about the CoD orders, he says it has come back to the pre-demonetisation level. While digitisation is the way forward, CoD is not going to go away anytime soon because the country is conditioned in a certain way. The company is building a lot of digital experience around payments.

However payments, despite being digital, is the most friction-full experience in ecommerce and a lot of innovation is happening to streamline payments.

Moreover sizes are standardised, as many brands do not adhere to them.

On the other hand personalisation is another area for a lot of investments. Instead of building generic experiences, hyper personalisation for each individual is will get more attention. The company wishes to give customers the same experience they get in a physical store.

fashion brand which recently made public its intention of starting online operations in India will also add more stores in existing cities such as Mumbai where it will add three more - Le Palazzo, South Mumbai and Seawoods Grand Central Navi Mumbai making a total of five store locations.

Delhi NCR will see the opening of its sixth location at Red Mall, Ghaziabad. It will add two new stores in Bengaluru at Vega Mall and Mantri Square, the city has two existing stores at VR Mall and 1MG Mall.

Janne Einola, Country Manager, H&M India says the brand is especially excited to expand its reach in India, a growing market for us that poses tremendous potential both in tier I and tier II cities and now online.

Max Fashion to focus on omni-channel retail

Talking about the integration and seamless delivery of its numerous experiences to its customers he says that leverage Oracle Service Cloud to integrate all customer interfacing channels.

Being the early adopters of Oracle Service Cloud and have been using it for four and a half years. Myntra has grown at about 6-8 per cent Y-o-Y over the last five years and today, the brand is the market leaders in the fashion ecommerce industry.

H&M signs ease for eight new store locations in India In a year which has seen both resurging interest of investors in Indian ecommerce and the imminent capitulation of one of its biggest player; it is going to be interesting to see how etailers balance the conflicting objectives of market expansion and chasing profitability.

As far as Max Fashion is concerned, its key focus is getting its omni-channel strategy right this year. Also, it’s increasing spends on digital advertising to 25 per cent.

Abhinav Yajurvedi, Senior VP, Myntra believes the ecommerce experience today is specifically built for the English-speaking crowd but the next set of users is not going to come from this set.

Therefore, these experiences need to change dramatically and over the next four to five years, the focus will be on building local experiences.

Myntra, particularly, is focussed in that direction but there is a long way before local experiences can be integrated on the platform.

Myntra currently has 20 million active users but this is just the start. His belief is that in the next four to five years the brand will reach 700-750 million users.

Since stocks can be liquidated before the end of December 2017, Max Fashion sees no reason to rush and has no specific liquidation plan as yet. Instead the retailer will become moreaggressive for clearance before the given deadline.

The thinking is, marketing spends get impacted when there is change in the environment therefore, there isn’t going to be a major hit with GST. Hennes & Mauritz (H&M) India has signed lease for eight new store locations, to open in the second half of 2017, taking the total number of stores to 24 within two years of operations in India.

With an accumulated space of more than 160,000 sq. ft, these stores will be launched in new cities and in currently operational stores cities.

Some of these leases have been signed in new cities such as Coimbatore at Prozone Mall, in Indore at TI Next and in Amritsar at Mall of Amritsar. The Swedish fast

Many in the industry see GST as a game-charger. They feels GST will give a level platform for both organised and unorganised players. In India, 70 per cent of the apparel sector is still unorganised.

With GST, the focus will now shift to business expansion and investments will give a lot of positive signals in the near future. All the ancillary industries will also thereby witness growth.

70

GST UPDATE

GST for textile sector, in line with the prevailing rates – ICRA The Goods & Services Tax (GST) Council announced rates for the textile and other pending categories on June 3, 2017, moving one step closer to the proposed implementation of the new tax regime with effect from July 1, 2017. While rates for most commodities were announced on May 19, 2017, the announcement for the textile sector came with a lag owing to the complexities involved in the textile value chain, given the multiple layers and considerations as well as its far-reaching implications on the country’s output and employment.

excise duty, this captures the impact of other multiple levies such as Value Added Tax (VAT), Central Sales Tax (CST) and Entry Tax/ Octroi. Considering that the GST rates announced for these textile categories are more or less in line with the existing effective tax rates, ICRA does not envisage any impact on these product categories.

However, the rates announced are expected to be positive for wool/silk-based textiles which will be taxed at a lower rate of 5 per cent vis-à-vis their prevailing tax incidence of ~8-10 per cent.

Some of the industry characteristics which add to the complexity include: regionally spread-out textile value chain and variations in state-level taxes and subsidy regimes; variation in taxation rates for fibres viz. natural vis-à-vis man-made; large interactions between organised and unorganised segments, which are subject to different taxes and rebates/subsidies; and variations in tax incidence and exemptions across segments in the value chain. Overall, the rates announced for the textile sector are comparable to the current effective tax rates for most categories and more or less in line with the industry expectations, except for manmade fibres and yarns, where the industry participants were hoping for a movement towards a fibre-neutral regime.

(SSIs), which operate under the composite scheme for taxation. As a result, ITC is not available for the downstream sectors.

Existing Tax Structure: Low effective taxation at present Given the importance of the textile industry in terms of employment generation and contribution to foreign currency earnings, the Indian textile industry has been supported through low taxation, capital and interest subsidies and refund of taxes paid on inputs through the duty drawback scheme for exporters. Further, most of the players across the value chain operate on the optional route and pay zero excise duty provided they don’t claim the Input Tax Credit (ITC), thereby resulting in the incidence of lower duty. Some of the key reasons for players opting for the optional route include: non-availability of ITC for cotton-based companies, given no excise on cotton: Domestic spinning industry is largely cottonbased which is not subject to excise, and hence ITC on raw materials is not available; non-availability of ITC for downstream companies, given low tax incidence for fabric manufacturers: The weaving industry is dominated by the small scale industries

Impact likely to be neutral As per ICRA’s estimates, the effective tax incidence on cotton and MMF/blended textiles (up to fabric stage) under the existing tax regime is in the range of 5-7 per cent and 11-14 per cent respectively. Besides

With the exception of man-made fibres, the GST rates for all input categories viz. cotton, silk, jute, wool as well as other natural fibres have been kept in the Nil/ lowest tax slab of 5 per cent up to the fabric-making stage. In the downstream segment of end-product manufacturing, multiple rates have been introduced varying across product categories as well as across price-points. Further, the rates announced for the MMF based products follow an inverted duty structure wherein the raw materials have been subjected to taxation at higher rates.

The fabric manufacturers, which operate under the composition scheme of taxation for which ITC is not available, will face challenges as the apparel manufactures will prefer to deal with GST-compliant fabric suppliers to avail of the ITC. This will hence incentivise the fabric manufactures to operate under the purview of GST. Further, with the GST applied on cotton yarn as well, the incentive for fabric manufacturers to not avail of the ITC will also fall since doing so would reduce the fabric manufacturers’ competitiveness.

Though the impact is unlikely to be substantial up to the fabric stage, differential rates for the apparels based on pricing points is likely to create some impact on the apparel - manufacturers. While the impact is likely to be positive for apparels priced at less than Rs1,000/ piece in terms of reduced tax liability, the impact is likely to be marginally negative to negative for costlier apparels priced at more than Rs1,000 per piece.

72

GST UPDATE

Slated impact of GST on retail and consumers W

ith the GST implementation date coming closer, traders and businesses seem to be divided in their views. While economists are touting it as one of the most conducive moves, consumers are awaiting clarity as to how it’s going to impact them.

Amid the chaos, FM Arun Jaitley has eased concerns by confirming that the new tax rates are kept at the current levels to eliminate any inflationary impact.

discounting from last year to get ahead of the competition. Capillary Technologies’ internal study on the impact of GST on EOSS revealed a projected sales surge of 2-3 per cent for most non-premium brands including hypermarkets where 80-90 per cent sales come from products worth less than Rs1,000 while a proportional sales drop is expected for premium-brands where only 1-2 per cent sales come from such products.

The textile and apparel sector is a key contributor in Indian economy. Its contribution to the country’s GDP and exports is 6 per cent and 13 per cent respectively. The new GST structure will replace the existing indirect taxes with a fixed tax structure for each product category, which will vary from 5 per cent to 28 per cent. For instance, apparels costing less than Rs1,000 will bear a tax of 5 per cent, while a 12 per cent tax will be levied on the ones costing above Rs 1,000. The textile manufacturing industry, which is at the bottom of the value chain, is welcoming the 5 per cent GST rate, while the retailers are divided on the final price of products. It is believed that this move will benefit non-premium brands, which

Impact on consumers It might be true that the GST will bring long-term benefits for consumers. Now, the customers won’t have to pay taxes-ontaxes which will bring down the price for most of the commodities and enhance product availability. According to IMF, GST has the potential to raise India’s mediumterm gross domestic product (GDP) growth to over 8 per cent and create a single national market for enhancing the efficiency of the movement of goods and services. Besides improving the ease of doing business, GST will also propel the job hiring by about 11 per cent across the sectors (according to a study by Team Lease).

generate 80-90 per cent of the sales from products worth less than Rs1,000. But the premium brands might take a hit.

End-of-season (EOSS) sales Though EOSS typically starts during the end of June every year, this year, most of the brands and even marketplaces such as Flipkart have already started the sale with full-fledged marketing to get ride of their existing summer stock in order and make place for the next season on their shelves. Most retailers have increased the

74

GST NEWS

CMAI welcomes GST structure, sets up helpdesk

The Clothing Manufacturers Association of India (CMAI) has welcomed the Goods and Services Tax rates for textiles and clothing.

CMAI feels bringing the entire value chain of textiles under the GST regime will do away the fractured tax chain that exists in the current tax regime. Application of tax to the entire value chain in a fair and neutral manner will help this sector to comply with the tax laws of the country.

blanket manufacturing units in the country as these units will find it difficult to compete with cheap imported mink blankets after the GST rollout.

The company which sells apparel under its lifestyle brand fbb expects certain products below Rs 1,000 to cost less as GST has been pegged at five per cent lower than the existing rate. The company’s suppliers have agreed to participate to allow a smooth transition.

They cannot compete with mink blankets imported from China as these would be cheaper by at least 13 per cent due to decreased duties on imported blankets from July 1. Jalandhar-based Shital Fibers is a mink blanket manufacturing unit that contributes around 70 per cent to India’s mink blanket exports. The company produces nearly 45,000 blankets a day.

Availability of input tax credits under the GST regime will provide a boost to investment and job creation in the sector, which is the second largest employer after agriculture with a direct employment of over five crore and indirect employment of over six crore people.

The textile industry employs nearly six crore workers. Under the GST regime, not only the mink blanket industry will suffer huge losses but the textile, yarn and fiber industries, too, will incur losses. Most blanket manufacturers in Panipat have now shifted to making quilt.

CMAI has welcomed the decision to have two slabs of GST on garments. With input tax credits and local levies being merged with GST, essential garments having a selling price up to Rs1000 will save on the total applicable taxes, making the essential garments even more affordable.

Though there would be a small increase in tax incidence on garments of a selling price above Rs1000, after accounting for all the input tax credits, indications are that manufacturers would absorb the same and there would be no change in customer selling prices.

Future Retail will pass on benefits

CMAI is currently working with all stakeholders of the textile value chain to identify challenges that may need specific rules as the industry gets ready to adopt GST. CMAI has also setup a Helpdesk of GST experts.

Blanket imports may soar after GST

India’s blanket making units face a bleak future following the decision to cut the levy of import duty and GST from 29 per cent to 16 per cent on all imported blankets and fabrics. These units produce nearly 1.5 lakh mink blankets every day, out of which 15 per cent are exported to North America, Europe, Russia and Australia.

It is feared the decision to decrease customs duty and other taxes under the GST regime will shut down over 50 large scale mink

600 stores at one go. As and when there are more companies which are willing to take advantage of GST, the logistics arm would be quite capable of working with many more such companies.

Consumers will save on their regular basket of products due to lower rates after the implementation of the Goods and Services Tax (GST).Future Retail wants to push for volume growth as it expects to pass on the entire benefit of lower rates to consumers.

Transition to the new indirect tax regime from July 1 will not increase working capital requirements and the losses that the company may incur will be compensated for by its suppliers. GST allows credit for taxes paid and Future Retail expects its vendors to compensate the company for losses on transition stock.

Future Retail is India’s largest retail chain. Future Group, which also runs Future Supply Chain, has been GSTready since 2012. The company’s logistics arm is capable of distributing to 400 or

Gap feels GST will help

Gap welcomes GST as a growth stimulant.

Presently there is an import duty levied on global products which the brand hopes will be reduced with the new GST rates.

American apparel and accessories brand Gap is in India in a franchise partnership with Arvind Brands. Gap has a manufacturing unit in India. With the local manufacturing unit, Arvind also plans to rework on Gap’s pricing in India. Gap’s relatively higher pricing has proved to be a dampener for the brand in the country.

Presently Gap has eleven stores in India.

The plan is to open three or four stores by next year end, putting an investment of Rs 8 crores on each store. The brand has recently formed an exclusive partnership with Amazon to widen the reach of Gap merchandise in places where it is not physically present. Apart from the US, where a store size is 8,000 to 9,000 sq ft or above, Gap usually operates stores in the 5,000 to 6,000 sq ft category in other markets.

Arvind Lifestyle Brands and Arvind Retail run JVs and franchisees of top global brands including Gant, Gap, Ed Hardy, Sephora, The Children’s Place, Aeropostale, among others. Arvind Brands achieved a Rs 2900 crore topline last financial year and grew at a rate of 26 per cent.

GST: Challenges in input tax credit

GST will enable a seamless flow of credit to happen. However there are certain challenges which arise in terms of the input tax credit because of the way the entire supply chain is structured.

Today there are service providers in the manufacturing chain who are job workers, processors, knitters etc. In the past there was zero tax on the services that they provided and now a tax of 18 per cent has been proposed.

76

GST NEWS decentralised sector. From processing of fabrics to embroidery, GST rate on making charges have been fixed at 5 per cent,”” said Srinarain Aggarwal, chairman, Synthetic and Rayon Textiles Exports Promotion Council (SRTEPC).

The industry would like the rate of tax to be payable on job workers, knitters and processors to come down from 18 per cent to five per cent. So the benefits that are due to come due to lowering of the tax rate at five per cent can be passed on to the end consumer and the amount of input tax credit that would be left behind actually reduces back to the original level.

There are two aspects to it. One is a state forward savings which comes in because of any reduction that has happened in the effective tax rate. Two, there is a significant amount of opportunity to optimise and bring in efficiency in the supply chain which could lead to a reduction in the cost.”

Thanking government for the announcement of reduction of GST rate for job workers to 5% per cent, Rahul Mehta, president, CMAI, says “We had represented to the government raising possible issues and the negative impact of high duty on job working. This would help job workers survive and compete with those with captive manufacturing facilities,” said.

GST - Decentralised textile sector to suffer greatly

The recent levies of taxes under new GST regime had brought big benefits to the composite textile units as compared to the independent textile manufacturing units.

Manufacturers who are getting their goods manufactured on job basis are the worst sufferers.

The high level of 18 per cent tax on job working and merchant services would have offered inverted duty structure resulting into a negative impact on the business, since many inputs were kept under various tax slabs. The textiles and apparel industries in India are largely dependent upon the work with over two-thirds of the volume manufactured as job working activity.

The move of the GST Council will help many job workers generate self-employment.

Since captive plants attracted 5 per cent, it was only job work which was kept under 18 per cent slab. So, job workers needed to be aligned with captive manufacturers. Hence, the GST rate cut on job workers is a big relief for the entire textiles industry,”” said Siddharth Rajgopal, Executive Director, The Cotton Textiles Export Promotion Council (Texprocil).

These are very good steps by the government, good for the highly

GST favors organised retailers

The Goods and Service Tax is expected to favor organised retailers, edging out unorganised players.

Also, with the current tax regime, retailers have been paying service tax on most of their operating costs. Rentals paid, which constitute about 10 to 15 per cent of the total operating cost of a retailer, attract a service tax and have no input credit for the same.

However, with GST, the retailer will be able to set off the rental cost against the input tax credit available for other goods and services.

With GST being a consumption based tax regime, the retail industry would now come under the sharp focus of various states.

GST cut to 5%: Relief for textiles, apparel job workers

The government has revised and announced a major relief by sharply allowing to cut down GST rate at 5 per cent from 18 per cent announced earlier, for the work provided by job workers in textile and apparel industry, enabling job workers full input credit.

weaving, processing should be exempted from the preview of GST. If at all this is not possible then these services should not be taxed at a rate more than the rate of output that is 5%. Small weaving units and merchant manufacturers are catering largely to the clothing needs of the poor and economically weaker section of the country.”

The council in its meeting cleared the pending rules, including transition provisions and returns, while all the states agreed to a July 1 roll out of GST.”

They have to pay GST @18%on yarn or 5%in case of cotton , 18%on job weaving charges and also 18% on job processing charges whereas composite units are not required to pay any GST at these stages.

No textile manufacturer is entitled for any refund. Means GST paid on all inputs are higher since their conversion cost is very less than payable on fabrics then no refund will be allowed. This would lead to cost escalation and make their fabrics costlier than composite units. This is for sure under the current tax regime job manufacturers who are not owning their industries will be left with no alternative other than to close their operations.

A composite manufacturer will have to pay tax only at fiber stage and then finally on fabrics against which duty paid on fiber will be set of. As against this merchant manufacturer will have to pay tax at yarn stage, weaving stage and processing stage and this altogether is more than the GST payable on fabrics. This is against the basic principal of GST that full input credit is not allowed since it results into refund.

Strong representation is being contemplated to be made to the finance ministry/GST council to save this section of manufacturers from this anomaly. This is possible only if the textile services like

GST may make imports cheaper

Synthetic fabric manufacturers feel that with the new GST rates, the cost of imported fabric will become much lower than the domestically manufactured variant.

The industry fears that cheaper imports will hit their production. Under the GST structure, an 18 per cent tax on domestically manufactured synthetic fiber and yarn has been imposed, making imported fabric cheaper than domestically manufactured fabric.

As per the new tax structure, synthetic fabric can be imported at a basic rate of customs duty, which is 7.5 per cent plus the five per cent GST rate. In the current regime, synthetic fabric is being imported at a compounded duty of approximately 26.75 per cent, which includes a 7.5 customs duty, 12.5 per cent countervailing duty and four per cent special additional duty.

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GST NEWS

Synthetic fabric manufacturers say they are already reeling under the pressure of cheaper imports, mainly from China and that Chinese manufacturers, who enjoy

roughly 22 different subsidies from the government, produce the fabric much cheaper.

The GST rates for the entire value chain, after considering the input tax credit, will make synthetic fabric costlier by five or six per cent. Though service tax has been lowered to five per cent, made-ups and garments have not been mentioned in the list and this will further escalate price of garments.

GST unfair, say Jharkhand traders

Imported garments will be cheaper

imposing any tax on garments would be similar to imposing a tax on shrouds.

pay a four per cent special additional duty (SAD) without any duty protection, which after considering cess, works out to over five per cent.

Garment traders in Jharkhand may close shop for a day in protest against the five per cent Goods and Services Tax (GST). They say it is extremely difficult for a trader doing his garment business in almost no space and sometimes at almost no profit to install a set-up for GST compliance. The systems, training and education and so many other things associated with it would only force traders to exit the business if GST is imposed on garments. The Jharkhand Wholesale Garment Traders Association has strongly opposed the five per cent GST on garments saying that garments are a basic need of the poorest of the poor and

GST would benefit the industry in terms of lower logistic costs, low lead times, make pan-India selling easier by removal of forms needed, reduce administrative hassles by creating a single tax window, reduce costs by allowing taxes in all expenses to be adjusted etc.

However there a few oversights and anomalies which need to be corrected.

Textiles is a very fragmented and unorganised industry. Mostly manufacturers just do a single process and hence a lot of job working is involved. Pre GST it was recognised as a manufacturing activity and exempt from service tax. However such exemption is missing in the current GST exemptions for services.

Even though GST provides input credits to the textile industry, imports are likely to remain five or six per cent cheaper than locally made apparel. Apparel imports are subject to a countervailing duty (CVD) of six per cent on cotton and 12.5 per cent on polyester, which importers receive as a central value-added tax credit. The CVD is optional at a flat two per cent if the importer does not claim a set-off against input costs.

A 40 per cent abatement has been provided on this optional flat duty, which works out to 0.8 per cent. Thus the total applicable tax is 1.2 per cent for importers who do not claim the set-off. This apart, importers

SAD was levied as protection for domestic players. With GST, this duty protection will be removed and imported garments will be five or six per cent cheaper.

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COVER STORY

DOTTED JEANS

All about quality and exclusivity We look forward to expanding Dotted Jeans across India Dotted Jeans was established in 1997 as a men’s jeans company by Vikas Khandelwal. Since then it has embarked on an ambitious program to modernise and upgrade its infrastructure, and services to increase its efficiency, reliability and competitiveness.

A highly skilled and enthusiastic workforce strives for nothing short of excellence in production quality and services. Vikas Khandelwal, Owner, Dotted Jeans, shares with Team DFU the transformative journey of denim and what’s in store for consumers in coming years…

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t what rate is the denim fabric industry growing? How has demand varied over the last 2-3 years?

Denim fabric industry is increasing rapidly and there are many different fabrics available and with different feel and look.

In the last two years, demand has also been increasing at a fast speed and with it, competition is also increasing.

Share your journey so far.

We established in 1996. During this decade, there was a sharp increase in

Set up in 1996

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Offers exclusive line of jeans and denim and cotton pants for men

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Caters to age group of 16 – 60 years

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Expanded in global terrains such as Dubai, Sri Lanka, Australia

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Brand USP is quality of fabric stitch, wash and its exclusivities

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Uses high quality accessories to make exclusive products

COVER STORY “Our product-portfolio incorporates an exclusive line of jeans and denim and cotton pants for men. Our USP lies in quality of fabric, stitch, wash and exclusivities.

It gives an international feel our product co-ordinates well with accessories. We use high quality accessories like YKK zips, sapphire thread and other imported accessories.”

“Changes motivate us to work better and be active.

So, we continue creating and innovating and we bring in changes in our technology every day, we do have something new to learn about.” denim manufacturing capacity in India. This decade is characterised by an increase in spending power of Indian consumers and rapid growth of retail. Our company’s sales and production is growing every consecutive year.

Our manufacturing unit Vikas Selection is proprietorship firm formed in 1997. And under our company banner, we then successfully launched our in-house exclusive jeans brand ‘Dotted Jeans’. Initially, we were into New Delhi’s Karol Bagh, later we switched to readymade garments because Karol Bagh was a flourishing market, so we started producing our own jeans and denims. Our aim is to be available at all A+ shops across India and also in major global markets. Over the years, we have undergone an evolution to bring to life compelling trends and styles catering to every fashion needs for men.

What is your USP?

Our product - portfolio incorporates an exclusive line of jeans and denim and cotton pants for men. Our USP lies in quality of fabric, stitch, wash and exclusivities. It gives an international feel our product co-ordinates well with accessories. We use high quality accessories like YKK zips, sapphire thread and other imported accessories.

What are your new collections for in the forthcoming season?

Dotted Jeans has worked on high fashion denims with a little difference in overall fit.

The brand has used a lot of concepts in accessorising and will improve it further.

What are the challenges the denim fabric industry faces today?

The challenge is rapidly changing technology to make a large variety of differentiated and fashion denims which include ring denims.

How do you see competition?

We are not here to compete with any other business house. Though competition and rivalry always exist in business but there is a way out, we do not compete with any other for we have no competitors and no competition. We are our own competitor.

Our product is a creation, ‘so uncommon’ and in demand internationally in markets like Dubai, Sri Lanka, Australia, etc.

As far as our product quality goes, our pricing is economical. The cost ranges from Rs 1,200 to Rs 1,999.

What are the effects of marketing change?

Change motivates us to work better and be active. So, we continue creating and innovating and we bring in changes in our technology everyday. We have something new to learn. In this regard, trade fairs are great business models and this is where we come across many visitors, agent’s distributors - all under one roof.

Our retail presence is strong and we have long term business relations with some of the best retailers in India, like: The Chennai Silks, The Unik Bazaar, The M Bazaar, RGS Fashions, V2 Mart, etc. In order to enhance growth, we are organising events and participating in different exhibitions and fairs to improve brand visibility. We are

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also advertising on social media and other platforms like.

What are your plans for product or category expansion?

We had seen increased demand for dobby and knitted fabric. Our designers are continuously working on different concepts for improving accessorising in jeans as well as giving it a new and enhanced look.

What are your future plans?

We are eager to cater to 16 to 60 year olds and look forward to expanding our brand Dotted Jeans business across India.

“We are not here to compete with any other business house.

Though competition and rivalry always exist in business but there is a way out, we do not compete with any other for we have no competitors and no competition. We are our own competitor. Our product is a creation, ‘so uncommon’ and in demand internationally in markets like Dubai, Sri Lanka, Australia, etc. As far as our product quality goes, our pricing is economical.”

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SPECIAL STORY

STORI

Our success is attributed to price the goods right’ Born out of a desire to create a renowned garment company catering to international styles, Stori Fashions continues to build on strong values with superior quality products and styles at affordable prices. From its inception in 1998, the customer is at the heart of Stori’s unique business model. Manoj Bhaiya, MD, Stori, speaks to Team DFU about the growing men’s appearles business in india and how it will transform from here on. Excerpts…

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hat is the size of shirts market in India and at what pace its growing?

Stori Fashion was launched in 1998 The end Consumer is the heart of Stori’s unique business model

In 2017, the domestic shirt market was estimated to be worth Rs 40,824 crores and is expected to grow at a compound annual growth rate of 8 per cent to reach Rs 52,000 crores by 2020.

Targets the one who understands Fashion, aspire international style and quality at Affordable prices

How complex is the shirts category? How is each segment positioned?

Red Flame the casual men’s wear brand and Dagerrfly for Men’s Denim are the two other brands

Shirts can be broadly classified into: formals and casuals and then subcategorise to semi formal and semi casual. It is a complex to

Stori caters to the classic formal men’s wear; superior fabric at the most competitive price is the USP

Stori Fashions have introduced two new categories in Redflame this season. Casual Blazers in Cotton and 100% Linen priced between 1599 to 2890 and 100% Cotton T-shirts at a starting range of Rs 399

SPECIAL STORY today continues to build upon these strong values with superior quality products and styles with the support of our entire team, which includes design, production and sales.

The customer is at the heart of Stori’s unique business model. We have an expanding commercial network, which make us one of the most preferred brands in the market. The target audience is anyone who understands fashion, one who wants international style, and quality at affordable prices.

What is your present product portfolio and MRPs?

define or explain the difference between a formal shirt and a semiformal shirt. Formal shirts generally encompass a crisp and rigid look, while semiformal is slightly more relaxed and sometimes referred to as ‘cocktail,’ ‘Sunday best,’ or ‘festive’ dress. A smart casual is neat, yet casual attire, close to the term business casual.

Explain the difference between formal and casual; semi-formal and semi-casual shirts segment?

The shirts market is evolving constantly in the last few years. Formal shirts used to dominate in the 90s but the scenario has changed. The global trend of casuals has influenced Indian market as well in the last few years. Our market has witnessed higher sales growth in the semi casual segment as compared to formal. Semi-formals have also gained popularity with a combination of casual and classic look the industry conveniently calls it smart casuals.

What is the share of each category?

Where do you see more growth?

Today, casual and semi casual shirts contribute 70 per cent to total shirts business.

This will continue for some more time and one cannot foresee any major change in coming years. Casualisation will prevail in the shirts market in the near future. Value brands will grow rapidly in all categories as consumer awareness about brands has increased substantially and demand of value for money have also increased.

Growing urbanisation and corporate culture will further catalyse growth.

Tell us about Stori’s evolution? Who is your target audience?

Stori Fashion started in 1998, with the dream and desire as envisioned by me to create a renowned garment company in India that caters to international styles. Stori Fashions

Stori caters to classic formal men’s wear; superior fabric at the most competitive price is our USP. Stori contributes 40 per cent to our total sales. Red Flame shares the largest pie of our sales with 60 per cent in casual men’s wear segment with huge number of style collection with quality fabric, which are pocket friendly. Dagerrfly is the finest denim for men, we launched it two seasons back, and is growing at an astonishing speed; we expect sales of around Rs 25

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cores in the next financial year. Our brand philosophy is to give exclusive products with signature styles at great value. Stori and Redflame MRPs start at Rs 795 and Dagerrfly starts at Rs 1,299.

Tell us about the new collections for the forthcoming season?

Modern with a universal essence and local connect, a combination of classic and current, colourful, fun, easy, confident and triumphant but accessible is going to be the essence of our latest collection. With the world becoming more and more borderless, consumers are aware of diverse products and brands. The customer expects more from a brand each time, he expects clothes not only to dress but to be stylish, at a great price. Red-cast browns continue to be important to menswear market, nicely paired with saturated shades of earthen colours. Masculine mid tones to frosty pastels, active-inspired bights and a refreshing batch of urbane neutrals are in trend.

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SPECIAL STORY

This season, we have introduced two new categories: an amazing line of casual blazers in cotton and linen priced Rs 1,590 to Rs 2,890, which has become the hot favourite of the season’s bookings; T-shirts in 100 per cent cotton starting at Rs 399.

Are you witnessing any major changes in demand for your product category?

Our expertise in sourcing, process oriented manufacturing, branding strategy, etc, allows us to provide cost effective and high quality garment to the customer.

We have a strong commitment to our end consumers and retailers and our strong network of distributors plays a vital role in the success of our brands. We are witnessing increasing demand of our existing categories and are excited about the colossal response and acceptance we have received in our new categories; casual blazers and T-shirts.

What are your products and category expansion plans?

Apart from new categories - blazers and T-shirts - we are also introducing a range of products to compliment a complete men’s wardrobe. A wide line of accessories are in product development stage and will be launched soon.

Success will lie with brands that can drive customer loyalty by responding to the demand of new discerning consumer and we never let them down. We believe in the 5Cs: competitive prices, change, choice, convenience, and customer service.

Tell us about your retail presence?

We are expanding our distribution network and planning to add 500 to 1,000 MBOs in the coming two years. We have just launched our retail plan this year and are planning to open 10 EBOs by the end of financial year 2017-18.

The new addition to our marketing strategy is online presence. Recently, we went online with over 350 styles and the response was overwhelming and inspiring. Currently, our MBO business contributes 95 per cent of our annual turnover.

What are your expansion plans?

We are looking at expansion of our distribution network by adding new retailers and increasing the volume of business in existing ones. The new categories will also play a vital role in catalysing our business expansion plans.

More and more new retailers will get associated with us and I am confident our brands will be indispensable for any men’s retailer in the country.

“Stori caters to classic formal men’s wear; superior fabric at the most competitive price is our USP. Stori contributes 40 per cent to our total sales. Red Flame shares the largest pie of our sales with 60 per cent in casual men’s wear segment with huge number of style collection with quality fabric, which are pocket friendly. Dagerrfly is the finest denim for men, we launched it two seasons back, and is growing at an astonishing speed; we expect sales of around Rs 25 cores in the next financial year. Our brand philosophy is to give exclusive products with signature styles at great value.”

“The shirts market is evolving constantly in the last few years.

Formal shirts used to dominate in the 90s but the scenario has changed. The global trend of casuals has influenced Indian market as well in the last few years. Our market has witnessed higher sales growth in the semi casual segment as compared to formal. Semi-formals have also gained popularity with a combination of casual and classic look the industry conveniently calls it smart casuals.”

“This season, we have introduced two new categories: an amazing line of casual blazers in cotton and linen priced Rs 1,590 to Rs 2,890, which has become the hot favourite of the season’s bookings; T-shirts in 100 per cent cotton starting at Rs 399.”

What is your current turnover and what are your growth projections for next 2-3 years?

Our success is attributed to price the goods right, occupy the right spaces, use appropriate marketing and brand building and hire the right people. As we continue to enforce in our success attributes, we are ambitiously aiming for Rs 500 crores turnover in the next three years. It is a fast paced world with a market inundated by competition and innovation. There is no shortcut to attaining brand loyalty but to stick to your principles, focus on competencies and constant innovation. Chances are even if the competition copies you, consumers will recognise you as the pioneer.

What are your expectations from the forthcoming season in terms of bookings and sales?

The season’s bookings were extraordinary and this is irrespective of regions. We had better retail penetration in Tier III & IV cities while keeping the momentum in Tier I & II. I would like to thank Indian consumers who value quality. We can see signs that luxury consumers gravitate towards quality that represents authentic value. This vibrant shift will have a lasting impact.

MORE SWAG FOR YOUR SWING!

92 IF EXCLUSIVE

Arrow - Emphasizes on green fashion for upcoming A/W collection least possible price. They also have time to pick and choose. And with the arrival of many international brands, decade-old domestic brands now face competition and are going through considerable change in their approach and merchandise. “These brands online presence is an outcome of globalization,” he says.

Ashutosh Murarka Design Head “Metros have always given us great business as they are the major hub for all corporate setups”

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he women’s formalwear market in India is estimated Rs 250 to 300 crores, points out Ashutosh Murarka, Design Head, Arrow “And we are comfortably placed in the top two positions in women’s formal wear segment.” He points out the size of the market is relatively low primarily due to two reasons: skewed ratio of working women to working men which is rapidly changing worldwide; and the strong competition from ethnic wear categories including saris and salwar-kameez.

Power dressing among working women The ratio of women in the workforce has significantly increased in the IT industry and corporate world, and a large number of them are adopting business dressing concepts.

This, feels Murarka, will boost demand for women’s formals across India. “In women’s formal segment, brand loyalty and brand recognition are the key business strategies adopted by leading players.”

However, Indian consumers are not brand loyal. They look for the best product at

Murarka opines, “Demand for innovation and sustainability is growing everyday. By far, small brands are becoming more popular in a price driven market whereas the metros are still captured by premium brands.”

And he sees a great future for business, “With retail stores merging their physical and online stores in different ways sales are improving. Faster mobile penetration is boosting the number of Indian internet users. M-commerce is phenomenally impacting business. With so many players both branded and unbranded in the market the task for us is to pull customers to stores the most attractive way. More importantly, we must keep innovating with products, so that customers realise they are missing something in their wardrobe and only we can fill that space,” he observes.

Tier II and III cities the real growth story He says “Metros have always given us great business as they are the major hub for all corporate setups. But growth in Tier II and III cities has increased phenomenally in the last few. The opening of educational Institutions in Tier II cities has led to a boost in buying potential there.”

Sustainable fashion the new mantra This season, the brand is introducing colour blocked knits, bomber shirts, asymmetric hems, and cropped blazers. High neck dresses will be a big trend this season from the brand. “Innovation and styling are an important part of fashion, with today’s customer becoming more aware of their surroundings, they also want to contribute towards the environment and that’s why our team is continuously working towards sustainable fashion, with use of recyclable fabrics, multipurpose garments and many more ideas,” he observes.

The brand has developed a wide range of styles using bi-stretch fabrics. As always Arrow has a stronger trouser line following the introduction of their new superflex treggings, shape shift trousers. Multipurpose

detachable lined jackets, reversible garments and fleece lined jackets will also be a big hit this season. The prominent colour palette will be: midnight wine, carmine pink, celadon green and garnet rose pink.

Bi-stretch fabrics fit better, more breathable Arrow has emphasised on green fashion by using recycled polyester bamboo Lycra fabrics and designing reversible multipurpose jackets. They have used a lot of bi-stretch fabrics in their latest A/W collection which fits better and is more breathable. The dominant fabrics are: polyester and blends of viscose this season; however, suede will grow stronger this winter. By the end of this year, they are hoping to grow by 15 to 20 per cent.

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Gold Queen Fashionistas will love the A/W collection for its appeal’ Rajan Dhiman Director “Fusion wear is an amalgamation of Indian and Western style and is changing the fashion taste of Indian women. It is seen as fashionable and bold, yet not too Western. This matches the sensibilities of India women. Earlier, the product range was limited to kurtis and now one can see a lot of new silhouettes like from fluid dress, cold shoulder, culottes, shrugs and jackets.

It has become a niche market and aggressively growing market.” omen’s brand incepted in 1986, Gold Queen by Jain Amar Clothing was launched to create fashion in a modern retail environment for Indian women. They offer kurtas, suit sets, salwars and churidars, shrugs, leggings and jeggings, knitwear, dresses, drapes, plazzo and culottes. The brand is known for contemporary fashion.

Their designers are inspired from the latest global fashion trends and forecasts which are transformed into silhouettes and styles acceptable to the modern Indian woman.

Fashion with functionality has been the brand’s USP and aims at providing ideal clothes to complete a women’s wardrobe.

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A/W inspirations: Western look in ethnic feel Rajan Dhiman, Director, Gold Queen explains, “The brand is looking at providing a modern style statement twist to traditional crafts. The A/W range is inspired by Western trends, and gives a western looks, yet showcases an ethnic feel. Bold

colours, contrasting graphic, art patterns are central to Gold Queen’s style.

Fashionistas will love this collection for its appeal. The range features plenty of irregular kurtas, embroidered detailed maxi dresses, monochrome geometric prints with colorful floral, flora and fauna patterns and bird prints.”

Gold Queen’s range keeps a consistent emphasis on their trademark unique, eyecatching designs, whilst paying attention to detail. The designs are vibrant yet consistent in their sharp edge and very comfortable. “We have worked on specific modules for styling which all different from one another in the terms of colors, prints and patterns, silhouettes, cuts, embroidery details etc, such as tribal art, bird prints, color blocking, time piece, mixed mono and building prints.

We have a lot of new cuts this season like A - line kurtas, ankle length kurtas, irregular hems, princess panel dresses and kurtis, high low bottom kurtas, hip covering tunics, long georgette shrugs, cold shoulder and off shoulder.”

For the upcoming season the brand will have a lot of earthy colors such as warm beige, muted mustard, pumpkin, soft-warm brown, rusty red, brick red and orange red; we have also used some vibrant and wintery colors like, navy, black, white, grey, egg plant, lime green and maroons with peach.

Meanwhile the brand is looking accessories like are pom-pom, tassels, laces, ladder trims laces, leather patches, embroidered patches, strings and beaded tassels, fringes, zippers, twill tapes and piping.

New product additions Gold Queen has experimented with new fabric such like poly crepe, satin, jacquard, cotton, georgette, chiffon, net fabrics, moss crepe, French crepe and khadi silk for A/W. Also, in line are new additions to its collection like slip dress with floor length shrug, crop top and skirt, crop and plazzo sets with long A-line jacket, maxi dress with shrug, matching tunic and plazzo with short sleeveless jacket.

“Fusion wear is an amalgamation of Indian and Western style and is changing the fashion taste of Indian women. It is seen as fashionable and bold, yet not too Western.

This matches the sensibilities of India women. Earlier, the product range was limited to kurtis and now one can see a lot of new silhouettes like from fluid dress, cold shoulder, culottes, shrugs and jackets. It has become a niche market and aggressively growing market,” he observes.

The brand is targeting a growth rate of around 55 to 60 per cent and projecting a fivefold increase in current business volume It is currently not online but looking at this option for near future.

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IF EXCLUSIVE

HARD CURRENCY

Hard Currency sees non-metros lucrative for business Unita Chandan, Creative Director ”We are presently two brands in our portfolio: Hard Currency and 10 Pounds.

With the launch of 10 Pounds we also introduced semiformal cotton trousers. While brand 10 Pounds offers denim for kids and jeans for women, Hard Currency deals exclusively in men’s jeans and cotton trousers,”

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aresh Chandan launched Hard Currency in 1995 offering jeans only for the men’s segment. ”We are presently two brands in our portfolio: Hard Currency and 10 Pounds. With the launch of 10 Pounds we also introduced semi-formal cotton trousers.

While brand 10 Pounds offers denim for kids and jeans for women, Hard Currency deals exclusively in men’s jeans and cotton trousers,” says Unita Chandran, Creative Director Hard Currency.

Non metros more promising The fabrics used are: cotton, twill, dobby, water repellent and oil resistant fabrics and for denims it is knit denim and dobbies. “We have our own production unit with a capacity of about 600 shirts a day,” discloses Chandan “And most of the production work is done in-house but a part of it — which deals with men’s jeans, kids cotton trousers and women’s jeans — is outsourced.”

Shares her insight she say, “All flourishing brands are barely present in the metros as they target Tier II and III cities. There is too

much competition between brands in the metros as against non-metros.

There is a rise in income levels in the non-metros, this coupled with the fact that consumers are largely becoming more conscious and are well informed is changing market dynamics and making this segment more lucrative.”

Online platform has challenging in many parameters.

The brand handles its retailing through direct distribution to agencies and also caters to more than 450 MBOs. They are yet to step into the EBO and LFS segment. The brand though is not present online as they see too many challenges in that format.

Both Hard Currency and 10 Pounds have a huge basket of colourful denims and trousers for men, women and kids. The collection includes denims in all shades, besides regular blues.

Over dyed colours like khaki, camel and grey have seen much experimentation and are doing extremely well. In the brands cotton trouser section, basic colours popular in the market have been used. Most of the brand’s denim collection is manufactured in knit and dobby denim.

Chandan is positive about GST as, brands within the Rs 999 price range need not worry.

However, as for GST’s impact, she prefers to wait and watch as it is too early to comment.

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Technology to help Raymond be a game changer the digital game plan to steer the growth wave.

Tech at the rescue to win customers Behl says, it’s all about customer convenience these days. There used to be a time when the store would open at 11 am and the customers would walk into the store anytime between 11 am – 9 pm. Today, customers are accessing a billion stores at their convenience. For instance, almost 50 per cent of the apparel purchase at Raymond’s happens from 11 pm – 1 am in the night. Another big shift is a shift towards enhanced customer experience. For the new age customer, it’s all about getting a product at his demand, at his price point, delivered at his doorstep.

Sanjay Behl CEO “Raymond wants to be able to identify every customer who comes into their store physically or virtually from any part of the world. ”

aymond, the world’s largest producer of worsted suiting fabric (a fine smooth yarn spun from combed long-staple wool) largely used in suits, has adopted technology at its core to stay ahead of the race. Sanjay Behl, CEO, Raymond, known as the turnaround agent for the brand, has strategically crafted

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The company has created three milestones for digital journey. The first horizon is about digital enablement of the entire organisation and its value chain. The company is doing micro-segmenting, digital archetype, profiling customers, trying to reach them in a more focussed way. It’s largely about campaign management and marketing.

The second horizon is continuing to take shape. Besides Raymond, it has three other brands – Park Avenue, Parx, and ColorPlus.

All four brands put together, the company has consolidated all its customers and collapsed the separate individual loyalties and combined them. The company has a CRM of 4.5 million customers running today.

If the pace continues, then in two years, Raymond should have a 10 million customer base which can then walk into any store seamlessly – physical or virtual and get a

much larger gratification. The company’s ability to engage with them will improve dramatically, remarks Behl. The company aims to create a single window of the customer and the supply chain. Raymond wants to be able to identify every customer who comes into their store physically or virtually from any part of the world. This is the premise on which they are trying to build the entire ecosystem, shares Behl.

Future perfect Going forward, Raymond stores will be infused with customer-relevant technology.

The company is currently experimenting at a few stores in Bengaluru where customers can use virtual trial screens and do away with the physical trial rooms. They have invested in 3D scanners for their portal where at the comfort of their house, customers can click pictures and Raymond people will have the ability to precisely map their body on the basis of that picture and deliver the ‘Made to Measure’ garment to them. This service was recently launched for Mumbai customers. Customers can even book an appointment and the tailor visits their house, takes their measurements and stitches the suit. Customers can then order from online.

There is a garment tracker or the Garment Positioning System so the customer can track delivery.

Raymond currently has 16 manufacturing locations. It is going to set up 2 million units per annum capacity plant in Ethiopia, at a total investment of $100 million. The plant in Ethiopia will employ 10,000 people. In all, it will employ 30,000 people across 17 manufacturing locations. The company is also planning to deploy robotics on the shop floors in China & France. According to Behl, agility is what will set apart a company from the rest and that’s what Raymond intends to achieve in the near future.

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Peter England keeps its positioning as a strong men’s wear brand reminisces how they positioned it as international quality at honest to goodness prices: The honest shirt. In its first couple of years, according to Madura Fashion & Lifestyle, it sold 10 lakh shirts. The brand name was deliberately chosen as one that was easy to pronounce and recognisable.

Kedar Apshankar Deputy CEO “Peter England has launched a range of luggage. After getting initial defeat, the brand went back to the drawing board, and recrafted its proposition from travel to mobility.” eter England was launched in 1997 at a time when most Indian men wore tailored shirts with the ratio of tailored to readymade being 4:1. Part of the launch team, Vishak Kumar, CEO, Madura Fashion & Lifestyle,

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Kedar Apshankar, Deputy CEO, ABOF and previously COO of Peter England points out, it was probably the only brand to understand the power of distribution. Most brands are present in 50, 80 or 100 towns at best.

Just because they could understand Indian language and the opportunity that existed, they could reach out to 500 towns. Hyperlocalisation really helped the company gain an edge and be in close connect with consumers. Today, Peter England has festive lines devoted to different parts of the country like Onam for Kerala and Durga Puja for West Bengal, and a system that quickly registers shortfalls and replenishes supply. Another factor that has helped the brand emerge strong is that even after a lot of money was spent closely tying the brand to shirts, it quickly course corrected to include other office wear and then smart casuals and even wedding suits. Today, it is present across multiple categories including denims and even a slightly more premium range called Peter England Elite.

Apart from expanding range, it rapidly expanded its exclusive store network. It

enhanced its presence from mom and pop stores to malls, targeting millennials.

Completing two decades in India, Kumar claims Peter England is unambiguously the largest clothing brand in India by volume.

The company’s ambition is to have one in two Indian men associated with Peter England.

New product categories Peter England has launched a range of luggage. After getting initial defeat, the brand went back to the drawing board, and recrafted its proposition from travel to mobility. In its second decade, Peter England is moving towards a more purpose driven platform. Eco-friendly jeans and encouraging local artistans - it has shirts inspired by Madhubani paintings - are becoming increasingly important according to Manish Singhai, Brand Head – Peter England, Madura Fashion & Lifestyle. The company also plans to take Peter England to South East Asian markets.

According to Jagdish Acharya, Founder, Cut The Crap, while being a VFM brand worked at a time of relatively few consumer choices, the entire concept of VFM has changed in an era of online discounting.

Acharya feels the biggest challenge the brand faces is in creating fashion and excitement.

Being a trustworthy brand was good in the old days but is hygiene now. He believes the brand needs to become more contemporary before it contemplates moving into other categories. They need to recraft their statement rather than just relying on age-old statement.

23 - Pg - Good Wear Ad Wednesday, June 04, 2014 12:12:40 PM

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Numero Uno to enhance customer experience to gain traction

Narinder Singh Chairman and MD Talking bullishly about online sales, Singh says their focus is customers should be willing to buy at MRP and not just on discount.

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fter facing tough times in 2016-17, Numero Uno is investing in various areas including store enhancement and renovation to attract customers and provide them with an enhanced experience.

Demonetisation was one of the reasons for a setback. As Narinder Singh, Chairman and MD, Numero Uno Clothing points out, it came at a time when the autumn/winter season sales for north India had just begun, and that completely took the air out of the bag. The government’s move reduced the brand’s revenue target by 15 per cent. The revenue target for FY16-17 stood at Rs 325 crores and the company is eyeing a 20 per cent (approximately Rs 389 crores) increase in this figure for FY18.

Now, the situation is almost be back to normal as customers have returned and are not only looking for discounts but also experience and quality. Singh feels customer’s confidence is back, as long as nothing new happens which will impact them

financially and they are unable to control it.

Talking about GST and its impact, Singh says nothing is clear under which bracket apparels will fall and how it will impact the company in terms of pricing. But he certainly feels it will have a positive impact.

Expansion in non-metros Currently, the apparel brand has 210 stores across the country and 50 per cent are in Tier I and II cities. They plan to add 30 more stores within the next financial year. Numero Uno plans to consolidate its presence in the West, South and Northeast regions, after establishing its presence in North India.

Establishing the brand in new markets and exporting is one of the priorities for Numero Uno this year. Talks are on with different partners to enter UAE, New Zealand and Australian markets.

Omnichannel growth the way forward Currently, Numero Uno’s 15 per cent sales come from online trade. The brand has differentiated its product offerings between online and offline platforms, so even if online players offer a discount, it will be on a particular product which is not available offline but still sells under the same brand.

A special line of products has been created for online retail to not compete with online discount offerings, in turn not impacting their offline business. Talking bullishly about online sales, Singh says their focus is customers should be willing to buy at MRP and not just on discount. The company also plans to double online sales by 30 per cent in 2017-18.

IPO and more…

Sing says, Numero Uno was ready to raise an IPO for $10 million in 2015. The plan didn’t work out. Market experts suggested the brand will not be able to get the exact market value and it should wait for few more years. Currently, it has no plans for an IPO for at least three years. Singh’s another core focus is to introduce a special denim shoe line. The brand will treat denim jeans and shoes at par. In the last two years, the brand has not seen decent growth in their shoe segment but this time it has caught the consumer’s attention.

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32/33 SHREEJI INDUSTRIAL ESTATE, SUBHASH ROAD, JOGESHWARI (EAST), MUMBAI - 400 060, INDIA. TEL: +91 22 6570 2818, 26867999 email : info@stridetshirt.com, website : www.stridetshirt.com

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Duke experimenting on light weight sweaters for upcoming season kids’ apparel in India. Their greater level of comfort, superior feel, affordability and fashionableness makes t-shirts an attractive apparel category across consumer segments. The t-shirts have graduated from being a uniform category to becoming a multipurpose, multiuse, all-occasion apparel category across the India and even globe.

According to Jain, the increasing brand awareness among the Indian youth will drive the penetration of t-shirt brands into smaller cities and rural India, thus increasing the share of various brands within the t-shirt market.

Kuntal Raj Jain Director “Our expansion plans are 100 per cent in many categories such as active wear, thermal wear, winter wear and also in online business”

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ver the past few years, India has rapidly caught up with the wider global fitness trend. Driven by the country’s growing wealth, changing lifestyles, and rising urbanisation, an increasing number of Indian consumers is becoming more health conscious and as a result, adding new health and wellness routines to their hectic lifestyles. Active wear serves the purpose of an active life mixed with a casual social life. They can be used for exercising and then transitioning into a casual wear.

These clothes have more flexibility and have more style along with comfort. Talking about the innovation in this category, Kuntal Raj Jain, Director, Duke, informs, “Light weight sweaters, quilted interlocks & fancy jacquards are new innovations for the forthcoming season. Functionality & fashion both equally contribute to the product. In fact, they complement each other. This year, we would be preceding European Winter Fashion.”

T-shirt market in India The t-shirts category is one of the top highgrowth categories in men’s, women’s and

T-shirt category growth potential Consumers’ wardrobes, in India and across the world, are undergoing a distinct shift – from formal clothing to a greater preference for trendy and casual attire. This trend towards casualisation has provided a boost to the t-shirt market. The t-shirt market will continue to remain fragmented in the short run, it is expected to register higher growth in coming years in apparel market. The ability to deliver quality t-shirts in trendy designs at reasonable prices will be a crucial success factor for players in the Indian t-shirts market, remarks Jain.

Innovations in t-shirt category In addition to cotton t-shirts, the Indian fashion market is also witnessing huge demand for polyester-cotton blended t-shirts, polo t-shirts, highlights Jain. In the years to come, the demand for organic cotton-based t-shirts, and those made from recycled products, etc., is expected to pick

up in select Indian cities. Such products are already in demand in many western countries.

Category expansion plans Talking about the expansion plans, Jain says, “Our expansion plans are 100 per cent in many categories such as active wear, thermal wear, winter wear and also in online business, we are expecting high growth in coming years. We are very much focusing on accessorisation too. We are expanding ourselves into different segments, mainly in footwear and also in e-commerce business where we are expecting high growth in coming years. We are looking for extension/ expansion in new markets and diversification in ladies & kids wear.” Duke continues to make products that are value for money and has created loyal customers who will settle for nothing else. The expansion will create a centralised, multi-product engine for wholesale and retail distribution, supporting Duke’s long-term business growth in India.

Strategy ahead With more and more demand of active wear in today’s world, this category will be growing in very high rate in coming years. “We are expecting good response and targeting 30 per cent growth from the forthcoming season. Also, the current feedback from customers is good with respect to product, quality and style. Our current turnover is 280 crores (approx.) and we are aiming 500 crores in coming years,” explains Jain.

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Callino We believe in fashion which any one can wear He points out innovation is all about fashion and they are offering a wide range across all categories. The colour palette is dark shades and new colours. “We are offering all fashion fabrics including cotton, TR, TRW, knitted, indigo fabrics and latest prints.”

Singhal point out, “We as a brand are not in a favour of offering frequent, or aggressive

Ashok Singhal CMD “We are offering all fashion fabrics including cotton, TR, TRW, knitted, indigo fabrics and latest prints.” allino the men’s wear brand is coming up with a collection inspired from European fashion for the upcoming season.

It is introducing latest fashion and cuts this Autumn/Winter season. Special attraction from the brand is their suits and blazers range and a new range of check fabrics.

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Men’s wear the brand’s forte Ashok Singhal CMD Callino elaborates, “We launched our brand in February 2014. The major reason of commencing operations in a men’s wear was because of our 25 years’ experience in similar industry and so men’s wear is where our interest and forte lies. Further, based of textile manufacturing we have a strong base in fabric sourcing . We have a premiere men’s collection with formal and semiformal shirts.”

Talking about the brand’s style statement he says, “We believe in fashion which any one can wear. Our target customers are between 25 to 45 years. Our collection is inspired by European fashion and we are going to introduce a casual collection this season which is more focussed on youth.”

discounts but keeping the market scenario in mind, we have to offer some decent discounts to our loyal customers for their repetition in fresh sales. The trend of discounting is changing in terms of presentation to customers, but there is always a limit to discount, one can only go till a certain level.”

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J-Class is the new addition to Bigboss’ collection for upcoming season Besides cotton, this season single jersey cotton, spandex and cotton-Lycra are popular fabrics for men’s innerwear. Abstract and geometrical designs are the most liked among men’s innerwear. All bright and pastel colours are “expected to sell like hot cakes, during the coming season,” he feels.

In fabrics, in future, Dollar will see more use of satin, polyester and water absorbent material in the innerwear segment.

Vinod Kumar Gupta MD and CEO “We have a strong presence across all the popular online retail stores.”

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oday’s fashion conscious consumer seeks big brand names that also deliver higher comfort levels. The trend towards western outfit has enhanced demand for occasion-based innerwear and correspondingly provide opportunities in this segment. Innerwear being one of the most unorganized sectors in India is not just competitive, but also price sensitive and volatile in terms of supply of raw materials.

Competing with international brands will be a challenge for a big brand like Dollar Industries.

Strong brand positioning a plus Talking about the brand strategy Vinod Kumar Gupta, MD and CEO says, “We have a strong presence across all the popular online retail stores. Whatever discount they offer on our products we support them as discounting trends are changing, consistent brand positioning shall help us get more traction in our segment.”

In terms of business, last year’s Q3 was good despite demonetization, “However, this year shall be progressive as the impact of GST will be good for players like us, besides garments below Rs 1,000 will attract a mere 5 per cent GST and we will pass on the benefit to our customers to help make our products more value for money,” he points out.

Timeless, classic look for upcoming season J-Class is the new addition to Bigboss’ collection for the upcoming season. It is manufactured using premium Egyptian cotton and designed to give a timeless classis look which makes it an all time favorite. The brand has used stretch fabric engineered for superior fit and added super soft comfort. The colour pallete for the season in J-class briefs is five colours red, navy blue, charcoal mélange, sky blue and black. However, J-Class vests will be available only in white.

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Breakbounce Designs that help reconnect with nature asymmetrical features and mysterious mask elements hide an inner depth and mystery of the design theme.”

Founder “There are long-line T-shirts with boxy fits, bold and enlarged text prints, vintage washed T-shirts with prints”

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reakbounce Streetwear is passionate about creating designs bring about a positive psychological effect on the wearer and help them reconnect with nature while providing comfort, encompassing the concept of look good, feel one with nature.

The garments are comfortable, and makes one feel masculine and relaxed.

Breakbounce Streetwear’s A/W17 collection has an old school vintage vibe meshed with edgy street style. It is inspired by three distinct design inspirations: City Crawler, Urban Fringe and Mish Mash.

Edgy street style in A/W 17 collections The City Crawler range consists of T-shirts, polo’s, sweatshirts, shirts, shackets, shorts and trousers in fabric such as grindle, loop knits, flannel, French terry, etc. As Sanjeev Mukhija, Founder says, “Breakbounce’s target group is in different locations throughout a city like a sports bar, at a brunch, bowling on a hot date, in a club and or on the street. Pop details, spliced text,

The collection is in abstract branding prints, oversized branding prints, text prints (branding), spliced text, all over prints, silicon prints, non-PVC prints, 3D HD prints and embroidery. The washes and treatments are CPD, stonewashed, acid wash, over dyed, dip dye and lava dye.

The Urban Fringe range has T-shirts, sweatshirts, shirts, shackets, joggers, shorts and trousers and blends everyday city look with the serenity of nature. The designs are floral and bird prints, cameo prints, abstract texture prints and laser prints.

The fabric is textural set in dark sober background which bring to mind a wardrobe selection created to provide an outdoor inspired look to help one reconnect with nature and feel the calmness of natural surrounding while giving high comfort in the kind of fabric such as indigo jersey, RFD loop knits, double cloth fabric, etc. The washes and treatment are indigo/vintage/heavy acid washes, CPD, burn out and over dyed.

Mish Mash range is all about old world charm. This vintage-inspired collection offers T-shirts, polos, sweatshirts, shirts, shackets, joggers, shorts and trousers. It has an old school touch with washed looks, retro denim styles, subtle badges, vintage seams, classic corduroy etc, designed to add a feeling of nostalgia and retro mood.

The fabrics are: injected jersey, RFDs, open loop knits and more. It has vintage washes, CPD, heavy stonewash, heavy acid wash,

PP sprays and over dyed.

Talking about innovations for the festive season, he notes, “There are long-line T-shirts with boxy fits, bold and enlarged text prints, vintage washed T-shirts with prints.

Quilted and ombre shackets are also new in this season. Military inspired shirts are part of the urban fringe range. Vintage knitted denim washed out shirts. The color palette for the entire A/W17 collection is earthy, muted dark shades and autumnal colors coupled with splashes of indigos.”

Future Trends Mukhija believes future trends in the category will see camouflage running across multiple categories with different variations.

Applique badges will be seen across garments. Placement prints on hands and sleeves will be seen across all categories.

Long line silhouettes will rule future trends.

Fabrics for the season are textured and cotton blends, corduroy, indigo, bold text prints, bird prints, abstract prints all in earthy, muted dark tones and indigos colour palette.

Mukhija is optimistic about healthy sales turnover in the upcoming season, “We are expecting a Y-O-Y growth of 40 per cent.

A/W17 will be a huge contributor to this.”

Unhappy with the discounting trend he says, “We are aggressively staying away from discounts by offering honest prices to consumers.”

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V-Mart - In F/W season, we are targeting minimum 20 to 25% growth over last year growth over last year.”

Lalit Agarwal CMD

As for opportunities and challenges in the branded segment, Agarwal opines, “Emerging opportunities generate from the aspirational growth among youth and young families in Tier II, III cities. These consumers approach to life is different. They do not want to lead a frugal life like their parents, rather the young consumer wants to spend more and earn more. This is an emerging opportunity forus. Of course, there are many challenges like growing competition from other domestic brands, regional level competitors, even online competition.” He also sees EOSS as an opportunity to clear old stocks, “We give as much value as we can to our customers through attractive deals on existing stocks as well as by offering great deals on our products.”

“We are in the most desirable category as far as Indian consumers are concerned as we primarily operate in Tier II, III cities the so called ‘hinterland’ of India”

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his festive season, V-Mart is focusing embroidery, detailing, glitters and bright colors in their apparel collection.

In keeping with their brand statement ‘Priceless Fashion’, V-Mart promotes practical and affordable fashion by focusing on latest fashion trends at pocket friendly prices. Trendy fashion trends such as layering, solid garments with metallic embellishments, AOPs with floral and digital interpretations are part of their collections.

The brand is focused on fabric detailing and innovation and uses imported fabrics and 3D surface ornamentation, accessories and digital print detailing etc.

Focus on Tier II, III cities Lalit Agarwal, CMD, V-Mart Retail says, “We are in the most desirable category as far as Indian consumers are concerned as we primarily operate in Tier II, III cities the so called ‘hinterland’ of India. We can experience and satisfy the aspiration of middle class who desire a better lifestyle and are motivated by TV, movies and the internet. In future, this market is expected to grow by 15 per cent.”

The key fabrics used for this season

are blended and fancy fabrics with 3D structures and jacquards and tweed; PU and largely suede fabrics for winter. All over prints for both women’s and men’s wear, shiny and glitter textures for the festive season are a part of the collection.

As for the color palette, black dominate this season along with red, fuchsia, off-white and navy blue, feels Agarwal. However, the trending colors for the season are: peach, mustard and rust.

Bullish on sales post GST Agarwal believes this festive season would be much better for business compared to previous year. Reason: two major initiatives taken by the government viz. demonetisation and GST. “These two moves should boost the economy and consumers would have more money in their pocket.

There is lot of spending even on infrastructure and industrial growth in small towns and villages. Monsoon also seems to be better than normal as most of our consumers are dependent on farm income. This would give a boost to overall festive business. In the coming festive/winter season, we are targeting minimum of 20 to 25 per cent

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Flipkart betting big on private fashion label – Divastri Rishi Vasudev Head-Fashion, Director “To maintain quality, Flipkart claims, each fabric has been defined to have certain standards in terms of weight per meter, composition, yarn count/density, and ensure that they are shrink-proof with zero-colour loss.”

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s per a recent research by Boston Consulting Group (BCG) and Facebook, Indian online market for fashion is estimated to be worth $12-14 billion by 2020 from the current $4 billion. To cash in on the burgeoning potential, Flipkart is set to launch its private label ‘Divastri’ that includes 1,500 styles focussed exclusively on women’s ethnic wear, including saris, lehenga cholis, and dress materials. This is part of ‘Flipkart Smartbuy’, an umbrella brand that was launched in December 2016, to sell in about 50 categories, including consumer electronics and home category.

Rishi Vasudev, Head-Fashion, Flipkart, says all Divastri products will be under ‘Flipkart Assured’ scheme – which means they have gone through six steps of quality check.

Flipkart’s initial focus, is on establishing the private label’s positioning in terms of quality, design, and pricing, which in turn will lead to sales and revenue.

Taking on competition Looking at the market size, US-based Amazon and Gurgaon-based ShopClues are also putting in extra efforts to build this category — although hardly two per cent of fashion retail in India is currently online.

Unbranded fashion will remain the largest chunk in online market. E-commerce has managed to organise this unorganised fashion, although they may not inspire customer loyalty with its quality in the way major brands do.

This is where private label will give an upper hand to Flipkart, with absolute control over quality and pricing. Women’s ethnic wear has a few renowned brands, and Flipkart is focussed on this category. To maintain quality, Flipkart claims, each fabric has been defined to have certain standards in terms of weight per meter, composition, yarn count/ density, and ensure that they are shrinkproof with zero-colour loss. According to Rishi, these products in line with what customers buy on Flipkart – decided based on the data they have collected.

Private label advantages Currently, Flipkart has selected 20 sellers for Divastri, based on performance history, design capabilities, quality standards, manufacturing and sourcing capabilities.

It plans to increase the number with time.

Flipkart provides the design, branding and labels and sellers manufacture them following the set standards of quality. They

then get approval for quality from third-party global agencies, and are able to list it. Rishi claims since women’s ethnic wear is a long tail category, there is no conflict of interest with other sellers who sell unbranded items.

Divastri is not particularly of lower ASP (average selling price) but value for money.

He says, MRPs will be much lower than other brands and these prices have been optimised for cost cutting in the supply chain as well.

No omnichannel plans for brand While Myntra launched its first offline store for its private label in Bengaluru recently, Flipkart Fashion has no such plans. Divastri’s styles will keep growing.

This is a strong online model. If we were doing something, which touches only 1,000 customers, we will do open box delivery, or ‘Try and Buy’ Rishi informs. Since Flipkart is targeting millions of customers, the scale has to be high. Moreover, to bring exclusivity to their offering for a sustained footfall on their sites, Flipkart hosts brands exclusive to them and exclusive product lines from certain brands. It has tied up with 15 brands (including Chemistry, Provogue, Arrow, and Flying Machine) for men’s footwear – a market which has very few players.

According to the Facebook-BCG report, fashion is a high-margin, high repeat purchase rate category. Also, fashion is the first category that most people buy online, with nearly 30 per cent of new shoppers likely to start buying online with apparel and footwear. It states that by 2020, more orders will come from women customers, from tier II and III towns, and a very high share of business will be on women’s ethnic wear. Flipkart seems to be gearing up for lead position if Divastri is executed well.

BOTTOM WEAR FOR BOYS Trade Enquiries -

Mr. Sanjay- 9810190821 / 011-65576310 Customer Care - Mr. Suresh- 9312242871 Corporate Office - 25896366 / 25896377 Email ID - shinyjeans@gmail.com

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FBB charting a self sufficient omni-channel strategy Rajesh Seth COO, FBB “FBB’s business is equally spread across India. East and South are the two biggest zones at this point of time in terms of absolute number of stores” ith over 288 stores including 54 standalones spread across all metros, mini metros and Tier-II cities, Fashion at Big Bazaar (FBB) has become a household name today owing to its affordable priced quality products.

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Launched in 2008, FBB targets the youth looking for trendy yet comfortable clothing.

Speaking about their plans to reach a wider customer base, Rajesh Seth, COO, FBB, said recently that FBB’s business is equally spread across India. East and South are the two biggest zones at this point of time in terms of absolute number of stores.

However, they are expanding in North and West in a big way.

Staying away from e-commerce When the entire retail sector is making headway in e-commerce, FBB is not yet a part of that race. Sharing their plans, Seth says FBB is going to be accessible to customers who know the brand and probably don’t have a store in a certain city and can’t reach them.

The company has just launched fbbonline. in which is a part of their omni-channel strategy. In the next couple of months, they are going to develop this platform more. Seth feels e-commerce is a different business altogether. FBB will not be available on any of the e-commerce websites because the brand at this point wants to drive customers

to its stores and own website rather than anyone else’s website because the brand doesn’t need that kind of support and is selfsufficient.

Future plans FBB is pledging Rs 225 to 230 crores in marketing this year. This would be by far one of the highest spends done by any retailer in the country. It’s not so much about spending money and more about being relevant as a brand and establishing it by doing the right things.

The company will explore new properties, new ideas and continue to reach out to new set of customers and hopefully have a strong recall for the brand, Seth shared.

Talking about the Group’s investment pledge over the years, Future Group’s CEO Kishore Biyani had recently said the group is targeting Rs 10,000 crore sales from fashion. Talking about their share of growth in this huge target, Seth said Future Group as a whole has a

significant share in fashion retail with Brand Factory, which is value discounted format; Central, which has all the brands under one roof; and then there is FBB, which has a different target audience. Each format has its own USP and the company is sure of achieving this target in stipulated timeframe.

As fashion is going to be a big focus for the group going ahead, they have integrated a lot of resources to continue growth in this business.

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Growing expanse of digital wave in global fashion T

echnology is transforming each and every industry very fast and fashion industry too is not far behind. In digital era, information spreads like fire and before we see celebrities adorning global brands, consumers are ready to adorn them or their copies. In a highly transparent and competitive scenario, how can brands compete and advance is a question that needs to be answered by global giants.

Accessibility is the key When information is available at the click of a mouse, how can companies create a unique proposition needs to be pondered over. In response to this, J Crew met consumers’ need for instant connection by making high quality suits accessible. In its Ludlow shop, customers can design and purchase custom suits, complete with tailoring and monogramming.

For ages, ‘LV’ from Louis Vuitton used to be a status symbol worldwide. In order to offer customers something new and bring back brand identity, for Spring/ Summer 2016, Louis Vuitton brought in a new face for the line – Lightning, a heroic character from Final Fantasy, which was quite out-of-the-box. On the surface having a fictional heroine from a virtual world take the place of a human muse seems like a peculiar stretch for a historic fashion house; however, long before the brand boiled down to a monogram, it stood for pushing the boundaries of reality and dreams. Nicolas Ghesquière, the creative director of Louis Vuitton, highlighted Lightning is the perfect avatar for a global, heroic woman and for a world where social networks and communications are now seamlessly woven into our life.

Lightning heralds a new era of expression.

This example reflects that even the most renowned luxury brands are investing in attributes that encourage relevance versus aspiration.

The growing world of bloggers and vloggers, a seat to a Mercedes-Benz Fashion Week show now only requires a social media account, and cell service or WiFi. The intent has now shifted to making the experience as accessible and interactive as possible to drive same-day, virtual sales.

Luxury designers Rebecca Minkoff and her brother/co-founder, Uri Minkoff are unlocking the velvet ropes even further via augmented reality. With a purchased virtual reality headset, consumers around the globe were given a 360-degree live experience at Rebecca Minkoff’s 2016 Fall runway show.

The founders also partnered with a startup, Zeekit to offer their consumers a virtual fitting room to try on the latest runway styles.

Omnichannel is here to stay Instead of being bogged by the emergence and growing acceptance of online as the preferred mode of shopping, companies need to evolve a cross-channel integration strategy to connect and engage consumers with a brand. There is a growing emergence of experiential retail spaces, which means

that brands need to focus less on selling and deliver a highly-interactive, memorable experience to build brand loyalty.

In light of this, Bonobos, the men’s e-commerce apparel company, has opened brick-and-mortar guide stores where one can’t buy anything, but can just check outfits while hanging out and drinking beer.

Consumers are then assisted by a Bonobos guide to order their selected items online, which are then home delivered. Today, the renewed purpose for a physical retail space is to craft a multi-sensory, service-first brand experience a customer can take home.

In short, companies need to create a new standard in brand building in response to the demands of the modern consumer.

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Fashion takes feminism to customers D

rapers looks at the rise of feminist marketing as why fashion retailers are embracing empowering campaigns. What follows is one of the most recognizable marketing campaigns of recent years: a triumphant minute and a half of women running, boxing, dancing and sweating.

Sport England’s “This Girl Can”, created to get more women exercising, soared to viral success when it first appeared on TV screens in January 2015. It turned away from stereotypically “perfect” images by showing women of all shapes and abilities, marking a sea change in the way brands talk to their female consumers. Campaign manager for This Girl Can, stresses that the advert became such a success because it was based on real insight from its target audience.

Fashion retailers have been quick to unveil their own campaigns focusing on female empowerment. Swedish giant H&M sought to “redefine femininity” with its autumn 17 campaign, showcasing a diverse group of women to an updated version of Tom Jones’ She’s a Lady.

Another successful example of a brand backing up an empowering campaign with social responsibility comes from Italian clothing brand Benetton, long famed for its advertising campaigns. It sought to challenge male attitudes towards women in India, its largest international market, with the “United

By Half” campaign for March’s International Women’s Day. The brand also worked with partners in the region on projects to support female factory workers in India.

Benetton India managing director chief executive officer Sundeep Chugh explains that women in India receive less than half the years of education of men and have the half their share of gross national income. Even India’s metro has been wracked by issues of women’s safety and sexual assault. Unless the issue of women’s equality enters popular debate, the situation in India will remain far from ideal.

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Gender fluid concept clothing catching up in a small way T

racing roots, India has a history of men, mostly from royal families, adorning colours, mirrors and gathers, while drapes like shawls, anarkalis, lungis, kurtas, salwars and churidars have been a long-standing part of India’s unisex fashion grammar. Even contemporary schools these days have the same uniform for both boys and girls. This reflects a country’s forward-thinking towards fashion. Globally, gender neutral clothing got acceptance when the founders of two path-breaking French haute couture houses, Coco Chanel and Yves Saint Laurent, gave women trousers and tuxedos in the early and mid- 20th century. More recently, American hip hop artiste Young Thug wore a dress for his album cover, while British footballer David Beckham was spotted in nail paint and a sarong.

Well known designer Rajesh Pratap Singh says as women found independence and emancipation once again in India, wearing men’s clothing is considered stylish in most urban areas but it doesn’t hold true for most parts of the country. Modern silhouettes for the local landscape increasingly tend to be sleeker, deconstructed or fluid, shaped according to will, body type and occasion.

From anarkalis to dhoti pants, from cholis to shirt-blouses, there has been a wide shift in styles, and increased the functional element of formal wear. Designer Payal Khandwala, known for anti-fit style couture, says it (gender-fluid dressing) will be a parallel

Unisex clothing, a new way of life Unisex clothing creates ambiguity towards age, shape and size, naturally defying the restrictions imposed, stereotypes perpetuated and social comment invited by accentuating and fitted garments. While many designers have locally mastered the anti-fit trend with élan, there have been attempts, such as the ‘Ungendered’ clothing line released online last year by Zara, that received flak for its unimaginative designs.

Unisex outfits shouldn’t be drab, shapeless or colourless—rather, they should be a celebration of clothing that is chic while being free of conservative parameters.

movement. The bright side is that it makes us question the male gaze we have taken for granted and re-examine our preoccupation with ‘pretty’ and ‘hyper-sexualised’ clothing for women.

Delhi-designer Ujjawal Dubey, Founder label ‘Antar-Agni’, believes India is set for change.

Sumiran Kabir Sharma echoes the same sentiments whose new label ‘Anaam’ is aimed at dissolving all stereotypes. Sharma works as a silhouette generation artist, not focussing on the physical and the biological part of the human body that defines gender.

According to him, going genderless is not a passing phase, it is definitely the future of fashion. Kolkata-based designer Kallol Datta, who started out making (and wearing) gender-neutral clothing, is now moving towards sexless clothing, where there is no acknowledgement of gender. For Kallol, lines are blurred when it comes to shapes.

Globally a number of designers now offer unisex lines, and stores like Selfridges in London stock an ‘Agender Fashion Without Definition’ collection across three storeys, suggesting that the trend is more than that— it’s a new way of life. Fashion should cater seamlessly to one’s individuality, without leaning towards homogeneity. Khandwala observes, at its core, what one wears must be a democratic decision that comes from a place of honesty and self-evaluation. The impetus cannot be external and certainly not because it is a fashion movement.

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Are foreign e-commerce players a threat to domestic companies?

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he destructive pricing tactics of foreign players to capture market share has been hampering India’s e-commerce market dynamics lately. This is making, domestic firms or start-ups unable to compete. So far, $18 billion in FDI has gone into Indian Internet firms. Investors believe that the long-term figure will likely be under $30 billion as against a potential of over $80 billion. This difference of $50 billion is what India will forgo in terms of FDI/FII if Indian Internet firms fail to combat the deep pockets of global firms. According to Shankar Vaddadyi, Founder and Director, i-Lend, the sector is getting squeezed and losing ground to online counterparts who are funding losses through VC funds.

Concerns over the impending future Recently, a number of industry leaders and investors in Indian internet ecommerce argued global Internet commerce firms are more focussed on destroying homegrown Internet firms rather than expanding the market. At a recent conclave, Sachin Bansal, Executive Chairman, Flipkart, said there needs to be a fair playing field. Then only, Indian companies will have significant advantages.

Tarun Davda, MD, Matrix Partners, said in a recent article that he is not against global competition, and Indian start-ups are not afraid of competing against them. It is the practice of predatory pricing and capital dumping that is the real issue. None of the

global giants want fair competition. They see India as a large market they want to own for decades and so are indulging in capital dumping with the hope that eventually local start-ups will run out of capital to compete and they can run a monopoly business in India.

E-commerce companies and global investors believe that a completely unregulated market and a regulatory regime that does not recognise the peculiarities of new Internet-based e-commerce sector would be disastrous for Indian enterprises.

Vani Kola, Founder & MD, Kalaari Capital, feels unregulated markets can be anti-

competitive, because it gives some players undue advantage. Take the case of Amazon, Uber and OLX. They have access to unlimited finance from their successful business for many years in other geographies and can use that to stifle competition in India by providing products and services that are economically unviable even to them in the long term.

Indian regulations Questioning the applicability of Indian rules & regulations, Vaddadyi says he did not visualise the Indian government regulating in favour of domestic players exclusively in eitherretail, e-commerce or any other sector. The problem the government faces is numerous operating complexities businesses come up with, and it is always playing catch-up there. In a way, it is the absence of regulation that allows companies to innovate and re-invent businesses, having allowed the sector reach a certain scale it becomes imperative to establish operating guidelines.

However, Partha Neog, CEO, employee privilege platform Vantage Circle, feels while foreign players have an advantage because of their unlimited finances, it does not mean unfair advantage. Naukri, for example, fought successfully with Monster in the last decade.

If they have money they will use it to their advantage and that is what these foreign companies are doing. On the other hand, it is the homegrown companies’ local knowledge and ingenuity that differentiates them.

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IF EXCLUSIVE

Plagiarism impacting the dynamics of highend fashion, say designers

ike any other industry, fashion industry is also prone to widespread plagiarism.

In the name of affordable fashion, clothing industry has witnessed a rampant growth in replicas of the high-end designer wear.

What fuelled the debate on plagiarism in the fashion industry further was designer Rohit Bal’s online post, accusing a designer, ‘SM’, of copying his velvet embroidered bandhgala jacket. In a Facebook post, the designer lashed out at the person.

“I am compiling a list of many more such designs with images. There are lots of bigger fish that need to be exposed. All of us, with the FDCI, need to try and curb this outright plagiarism. Legally, there’s not much we can do since I have tried. The process is long and cumbersome. The only solution is a press exposé or some sort of social media campaign. I am gathering as much information on this as I possibly can. This is one isolated example. We need a larger, stronger representation of such examples of these parasitical plagiarists.”

For ace designer, Anita Dongre, plagiarism is a by-product of the fashion industry.

However, she also points out that a true fashionista will know how to spot what’s authentic. During an interview, she said a good designer would never feel the need to replicate designs as the audience is extremely aware in this digital world. There is no shortcut to innovation and success, and this has stayed constant through the years. While plagiarism is greatly diluting fashion, true connoisseurs of fashion will know how to differentiate.

Dongre enjoys working with artisans.

She says this is a partnership of mutual respect. There is a skill and expertise that

they have always brought to the bridal and couture looks, and with brand ‘Grassroot’ that expertise is carried to everyday looks.

Talking about the fashion evolutionary journey, she highlighted fashion in the past was more inclusive and rested in the hands of a select few. These days it’s become highly competitive, hence the need to experiment and innovate in order to stand out from the rest.

Numerous budding designers are being launched each year and only the best shine. It’s all about constant innovation and staying true to your aesthetics and design philosophy, and for her, change is the only constant.

Many cases in the past Among those who took the legal route are Ritu Kumar, Suneet Varma and Reynu Taandon. Kumar won a copyright infringement lawsuit against Kolkatabased designer Nina Talukdar, who she had accused of stealing her sketches and designs. Designer Suneet Varma had accused fellow designer Aki Narula of stealing a dress from his Fall 2003 collection for the movie Bunty Aur Babli.

Kumar said fighting the issue legally is a tedious process, which goes on for years. Till the time, the government takes strict action on violations of Copyright law, nothing can be really done. In Paris, there is a strong and immediate penalty on any kind of plagiarism, unlike in India. Today, copying a popular designer’s work is the easiest way to earn money and popularity.

Keeping in mind these complaints, the FDCI has now invited a lawyer specialising in IPR as a special invitee to its board of directors. Sunil Sethi, FDCI president, has emphasised strict action needs to be taken against plagiarism, and to help members solve copyright issues, they have invited lawyer Safir Anand as a special invitee to the board of directors because when such problems arise, there are no legal expertise to find a solution. Having a specialist on board will help members with legal action required in such cases.

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IF EXCLUSIVE

India’s retail market to be worth $1 trillion by 2020, IBEF report T

riggered by urbanisation, attitudinal shifts and higher disposable income, India’s retail market is expected to double from $600 billion in 2015 to $1 trillion by 2020, says a report from IBEF. The tremendous growth of e-commerce also plays an integral role in the high scale development of the retail sector; by 2020, ecommerce will be a $700 billion market (B2B) with 530 million shoppers by 2025, coming at par with offline stores within a span of five years.

Omnichannel the way forward Omni-channel retailing is a strong value proposition and gradually, all e-retail players and brands will swiftly adopt multiple channels to provide a suave and seamless consumer experience.

Omni-channel retailing will enhance sales and amplify reach among target audience. Moreover, this will enable shoppers to procure things online and exchange them at the offline and vice versa, leading to an augmented customer experience.

The past decade witnessed an increase in consumer spending, entry of key e-retail players, faster Internet speeds on reliable telecom networks, expanded reach and increased adoption of online services as well as a greater need for convenience. As a result, traditional brick and mortar models are witnessing a decline in sales, whereas e-commerce is booming with sales expected to reach $120 billion by 2020 from $30 billion in 2016. Clearly, the industry has become a veritable behemoth. Online customers are attracted to superior value propositions such as broader assortment, greater discounts and increased convenience. Hence, the future of e-retail will be ruled by instant gratification and path breaking innovations.

Logistics has always been one of the most challenging aspects of online retailing and with multi-fold rise in online business and logistics is expected to evolve and become the most sought after services in the years to come.

Continued innovation The forthcoming years will witness newer technologies and innovations continuing to revolutionise consumer shopping experience and churn more online sales.

To survive in the hyper-competitive marketplace, technological innovations will be crucial. Brands and retailers are striving to go beyond the norms and create a distinct identity for themselves, by constantly deploying newer ideas and innovations

to amplify user interface and experience.

Powered by technological innovations listed below, e-retail is already on the brink of a major transformation: Artificial Intelligence is currently the buzzword, empowering brands and marketers with valuable customer intelligence. These insights not only improve, but also help anticipate futuristic consumer needs and make decisions for them. e-retailers can leverage Virtual Reality to provide a transformational, virtual shopping experience, with a touch and feel concept, while doing away with the brick & motor concept. Brands can create personalised customer experiences; bolster customer experience and eliminate the pain points effectively. Chatbots have been touted as the future of customer service; these next gen platforms can serve e-retailers with cost-effective benefits and aid in tasks automations. Chatbots powered by artificial intelligence, are designed to perform specific tasks where users can interact with via a chat interface.

Mobile wallets As Internet’s reach continues to grow with brands and consumers gaining digital prominence in the dynamic space, 55 per cent of online sales will be driven by cashless transaction by 2020. Mobile wallet share will double to reach 15 per cent from current 8 per cent.

E-commerce is expanding steadily and empowering various e-retailers to adopt innovative models to cater to the modern age consumer. In a nutshell, backed by favourable demographics, rising incomes, entry of foreign players and the unprecedented rise of smartphones, the long-term outlook of the industry looks promising with players constantly innovating to enhance consumers’ shopping experience.

BRAND STORY

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Catmini

Curve

‘The collection is positioned as a daily casual wear line for girls that gives comfort yet showcases innocence and playfulness.’

The brand produces a variety of designs in its in-house design studio, in innovative styles and colours.

- Amit Samaria, Spokesperson

- Dilip Gandhi

The Brand

The Brand

Established in 1986, Catmini Is a girl’s kids’ wear brand from the house of Darshan Dresses, a family run business. Mira Samaria, Marketing and Communications Manager says they have established a stronghold pan Indian. The USP of the brand is they deliver latest trends at international quality standards and tempting price points.

Their prices start from Rs 149 and to up Rs 1,599. Catmini’s target age group are girls 1 to 15 year olds.

T-shirt brand Curve is manufactured by Curve Garments. Their USP is fabric quality and the thread used in manufacturing the Tees.

They produce a variety of designs in their in-house design studio, in innovative styles and colours. Mercerised fabrics are used to improve strength, quality and enhance the appearance.

The Collection

The products are priced from Rs 499 up to Rs 1,400 and is targeted at people 18 to the 60 years old. Cruve is currently marketed through distributors all over India.

Their collection is positioned as a daily casual wear line for girls that gives comfort yet showcases innocence and playfulness. Their range include tops, singlets, T-shirts, kurtis, day dresses, gowns, jeans, skirts, shorts, joggers, culottes etc They use imported and Indian cotton and polyster based knitted fabrics.

The brand was earlier sold through fashion and lifestyle portal Jabong, however, it was discontinued later due to various issues.

The brand still continues to be sold online through other portals and receives a good response.

Retail Spread The brand is sold through pan Indian retailers corporate and non corporate players such as EBOs and MBOs. They currently deal with more than 1,500 retailers pan India and are looking to be associated with two reputed LFS. Samaria feels different channels have their advantages and disadvantages and work differently from one another, however, they are exploring new horizons in North and East India as they see a lot of potential there.

Within corporate sector they are negotiating with LFS like Central and Reliance to display Catmini within their kid’s section.

While the parent company DDPL is associated with a lot of portals for manufacturing requirements, they see a huge potential in offline markets which are yet to unfold.

The brand is present in 10 states. This fiscal they are looking at 50 growth in sales and brand equity.

Gandhi does not see global brands as a threat to growth as they have developed their own market. He is confident of overall business environment improving in in the country in future.

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BRAND STORY

Dominus

Eagle Bird

The brand strategy is to ensure presence in various B2B trade shows from Kerala to Kolkata. Dominus expects to clock in 20 to 30 per cent growth this fiscal.

Jain has no issues with the GST regime and is positive about business environment in the country.

He foresees growth in all states particularly in metros.

- Sanjiv Punjabi, Partner

- Harsh Jain, Partner

The Brand

The Brand

The brand started operations in 2015. The going has been good so far and the brand is retailed through hypermarkets in the mid segment pan India. Its present in 15 states. The boys range starts from Rs 99 while their men’s range starts from Rs199 and goes up to Rs 400. Dominus a capacity of making 30,000 to 50,000 pieces per month has their own cutting unit. Rest of the work is outsourced. They bank on economies of scale whereby they are able to sell at reasonable prices. They are currently sold through D-Mart, Hypercity, VMart and Vishal Mega Mart, among MBO’s and LFS like Chermas and Chennai Silks. They outsource online sales through Bluebox, Shopclues, Paytm etc

Eagle Bird launched in 2015 started off making casual shirts and casual short length kurtas. Their casual shirts are priced Rs 999 to Rs 1,399 and kurtas are from Rs 1,099 to Rs 1,399. They have their own manufacturing unit where they produce 7,000 to 8,000 pieces per month and are looking at upgrading production by around 20 to 30 per cent. Eagle Bird is retailed through 225 to 450 MBO’s, largely in Maharashtra and Goa and are looking for distributors to spread out. They are planning to expand business in North and South India – specifically Andhra and Tamil Nadu.

Their brand strategy is to ensure presence in various B2B trade shows from Kerala to Kolkata. Dominus expects to clock in 20 to 30 per cent growth this fiscal. Punjabi sees growth in Tier II and III cities and feels GST will provide 100 per cent set off.

The Collection Dominus garments are printed through digital and other types of printing. Their portfolio includes men’s and boy’s casual shirts in a wide range of fabrics like denim, cottons, yarn dyed checks, slub, fila fil, oxford, prints, blended fabrics etc. Punjabi sees denim in different washes and discharge prints in denim as a fashion changer for the coming season and is of the opinion that the market needs reasonable priced garments which are up market and fashionable.

Jain has no issues with the GST regime and is positive about business environment in the country. He foresees growth in all states particularly in metros. They manufacture casual shirts and casual short length kurtas in plain fabric. Casual shirts are in denim prints.

The fabric used are 100 per cent cotton.

BRAND STORY

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Gulab Garments

John Major

Gulab Garments is focused only on kids. They have a huge collection of coat suits, jacket suits, sherwanis, indowestern wear, dhoti kurta suits etc.

The brand is present in nearly a thousand MBOs besides their own EBOs. Expansion post GST is on the cards.

- Md Jakir, Partner

- Sunil Rangwani, Proprietor

The Brand

The Brand

Gulab Garments was launched in 2006 by the eldest brother of the family Jakir Hussain. The brand is dedicated to the kids’ wear and has a huge range. Their garments are made with the best fabrics, mostly imported. Other than regular cotton and linen the brand uses Rolex, PR, Lining material , imported fusing material, silk, velvet and accessories like buttons etc.

Launched in 1991, John Major has been dealing in only men’s casual shirts and T-shirts, however, they occasionally manufacture party and designer wear shirts as per demand during the festive and marriage season. Their casual shirts are in denim, plain cotton, cotton checks, printed denim and indigo prints. Their T-shirts are generally made of flat knitted 100 per cent cotton. Shirts are manufactured in their own unit and as and when demand increases — during festive and marriage season — stitching is outsourced. Raw material is procured only from Mumbai and Ahmedabad. The target age group is 18 to 50 years as the brand is largely focused on the youth but it open to all age groups and has a price bandwidth of Rs 400 to Rs 1,400.

These are procured from dealers in and around Mumbai, Surat and Ahmedabad and other places of repute, like silk is procured from Benaras, velvet from Amritsar. Imported lining and fabrics come from China, Korea and Taiwan. The brand owns 12 units, each engaged in a certain type of production with a capacity of about 6,000 pieces per month.

Retail Network The brand is present in the retail platforms through more than 300 MBO’s but it has to yet open EBOs and enter LFS. They are more into direct distribution which they generally operate through agents appointed in every state.

Though their strong hold is in Maharashtra, they have a pan India presence in states like West Bengal, Jharkhand, Bihar, Andhra Pradesh, Telengana, Kerala and Tamil Nadu. They are not present online but are preparing to venture on that platform.

There are washing effects. We have denim shirts too. Our bottom wear is mainly cotton. These too have washes. We use regular colors like dark, light and bright. The wholesale price is Rs 250 to Rs 450. We cater to the mid range. We make 8000 pieces a month.

During festive seasons we hike the production. We use the best of fabrics. We use cotton and denim fabrics. We make extensive use of prints and embroidery.”

Retail Network The brand is present in nearly a thousand MBO’s besides their own EBOs. They are planning EBO expansion post GST. They brand is also sold online through Snapdeal and Flipkart.

The Collection

The Collection

Gulab Garments is focused only on kids. They have a huge collection of coat suits, jacket suits, sherwanis, indowestern wear, dhoti kurta suits etc. They do Indian ethnic and western dresses. This winter collection consists of all classic coloursblue, black brown, red, yellow and white.

This season, John Major is coming out with a collection of colourful shirts in an extensive colour palette. Besides basic colours including blue, yellow and red, they are looking at a blend of florescent shades.

In linen, they have used pastel colours and darker shades as winter is approaching.

GST GST has had little impact on the brand. They are netural about it as they are still not clear about its implementation.

For the brand business is the same in metros and non metros equally as fashion has moved in everywhere and is in great demand.

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BRAND STORY

Nizhoni

Par Excellence

The collection for the forthcoming season is full of bright and dark shades including orange, yellow, green and blue.

The brand showcases a huge range of products in nearly all solid and pastel colours. Darker shades are in demand during winter.

- Jitendra Jain, Partner

- Nilesh Jani, Proprietor

The Brand

The Brand

Nizhoni was launched in 2009 to cater only to men. It was started with the aim of manufacturing all types of men’s wear. The brand produces shirts, trousers, blazers, party and formal wear. They have two brands for men’s wear: Nizhoni which deals in men’s wear made from linen; Lewis Marker deals in cotton products. The products are manufactured in house through own production units. One unit caters to each type of garment. The brand is present in almost 500 MBO’s and 20 EBO’s.

Par Excellence was established in 1996 and deals only in formal shirts. After a smooth sailing of seven years another brand call PXL was launched. Both brands deal in different categories. While Par Excellence deals in formal shirts, PXL deals in semi casuals. Par Excellence products are more of checks and bolds while PXL is more into prints and all kind of prints such as digital, geometrical, flowery etc. The brands have a common production unit with a capacity of 700 shirts a day for both the brand put together. The brand is present in retail format through more than 350 MBO’s. They are looking at retail an expansion both offline and online. The brand targets 25 to 50 year olds. The price varies between Rs 599 to Rs 1500.

The Collection The collection consists of a wide range of colours for winter darker shades are in. The collection consists of digital prints with exclusive designs like flowery prints, geometrical prints and digital parallel prints. 100 per cent linen is used for these products and the fabric are procured from Mumbai and Kolkata.

The brand has improvised the cuts and introduced a new range. The collection for the forthcoming season are bright and dark shades including orange, yellow, green and blue. Since the product is based on pure linen the price varies between Rs 2,000 and Rs 5,000.

The Collection The brand showcases a huge range of product in nearly all solid and pastel colours, a combination of dark and light. Darker shades are in demand during winter. While formal shirts are in cotton and ployester semi casuals are 100 per cent cotton and linen. Cotton is imported from the UAE. The raw material is procured from Bangalore and Mumbai.

BRAND STORY

133

Positive Energy

Ripples

This season they have a collection of capris, tights, T-shirts, boxers and track pants in usual subtle colours like light blue, black, light grey, red, green and steel etc.

The brand’s Dubai office targets the entire Middle East and Africa. Ripples online presence is only on India Mart where sales are average and they are talking with other web portals.

- Jagdish Patel, Proprietor

- Mihir Gada, MD

The Brand

The Brand

Positive Energy came into existence in 2006 and has only been dealing in sportswear for men, women and children. It has a huge range of sportswear from boxers to shorts, capris to T-shirts for women, tights, track suits etc.

Brand Ripples started operations in 1993 and manufactures everything in men’s bottom wear, including men’s denims, formals and cotton trousers ranging from Rs 950 to Rs 1,700 and is targeted at the mid segment. Their fabrics are sourced from reputed mills, including: Arvind, Century and Vardhman. Besides Mumbai they also have an office in Dubai.

The brand directly distributes to 350 plus stores and is not present on any retail platform or online but is working on it.

The brand has two manufacturing units with a capacity of 1,000 pieces per day — this include all products. The target is 5 to15 year olds.

Manufacturing takes place at their own plant where denims and cotton trousers production averages 8,000 to 10,000 pieces per month and 500 a day.

The Collection

Retail Network

This season they have a collection of capris, tights, T-shirts, boxers and track pants in usual subtle colours like light blue, black, light grey, red, green and steel etc. These colours have been prominent with sportswear and are often used regularly.

Currently present in Maharashtra, Gujarat, Hyderabad and Goa they are looking at spreading out. Their Dubai office targets the entire Middle East and Africa.

Ripples online presence is only on IndiaMART where sales are average and they are talking with other web portals.

Gada foresees growth of 25 to 28 per cent this fiscal.

The fabric used for men’s denims/ formals and cotton trousers are cotton, denim and terrycot for formals in basic colours and pastel shades.

Their designs are created inhouse and some of it is done by freelancers.

The raw material for the production is mainly hosiery and Lycra. The raw material is procured more from Southern regions like Andhra Pradesh, Tamil Nadu, Telengana and Karnataka.

Accessories are procured from Mumbai.

The price tags do not see a huge variation and is between Rs 600 to Rs700.

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BRAND STORY

Solus Plus

Squash

The collection consists of men’s casual shirt and children’s fancy shirts in different colours and a wide range of fabrics. Prints of different designs have been used, including digital and flowery ones.

Squash offers a range of trousers in denim and cotton in different colours. New colours have been introduced in denim section like camel yellow, vintage blue, coffee and pista green.

- David Patel, Proprietor

- Viral, Partner

The Brand

The Brand

Solus Plus commenced operations in 1999 manufacturing men’s casual shirts and children’s fancy shirts in linen, cotton and denim which are only sold wholesale. The targeted age group is 20 to 40 year in all cities across India. The brand‘s USP is they manufacture shaded mix and match products and their designing is done totally inhouse. There is a range offered in shirts from casual shirts to children’s wear. They have their own production unit and none of their work is outsourced. They are not present on any retail or online platform but generate business through direct distribution and bookings. They are looking to expand business to new territories including West Bengal, Uttar Pradesh, Andhra and Kerala and beyond India to Dhaka and Sri Lanka.

Two friends established Squash in 2010. They deal exclusively in men’s trousers. They make trousers in denim and cotton. This season, the brand’s key focus is on fits and they are offering a range of slim, comfort and skinny fits. The brand has its own production unit with a capacity of nearly 1,500 trousers a day. Squash has a presence through 50+ MBO’s mostly in Southern India. Presently they are looking at gaining a foothold in Maharashtra. At present Squash is into direct distribution with retailers and has no online presence.

The Collection The collection consists of men’s casual shirt and children’s fancy shirts in different colours and a wide range of fabrics. Prints of different designs have been used, including digital and flowery ones.

The fabrics used for children’s range are mostly pure cotton linen and denim. The colour pallet varied, further different shades have been used to make the product vibrant and catchy. The price bandwidth varies between Rs 300 Rs 650.

The Collection Squash offers a range of trousers in denim and cotton in different colours. New colours have been introduced in denim section like camel yellow, vintage blue, coffee and pista green. In cotton, they have used darker tones as winter is approaching so the colours will be dark and warm like dark brown, black and dark green. However, beige and off-white are in huge demand. The fabric is more denim in different washes and fancy Lycra, denim mixed with Lycra and cotton mixed with Lycra. These fabrics are imported and procured in Mumbai and fabric mills in and around Maharashtra. The brand targets 18 to 30 year olds. The price points are between Rs 895 to Rs1,895.

BRAND STORY

135

Structure N Cargo

Sydney Club Designer Shirts

The brand brings in collection of warm and colourful shirts. Cotton, denim and linen shirts are in demand during winter. The colour palette is dark and warm.

The collection has a splash of different hues both bright and pastel. The colours are more in maroon, navy blue, peach, orange, pista green and tomato red among others.

- Vishal Dubana, Partner

- Deepak Gala, Partner

The Brand

The Brand

The brand came into existence in 1999, a teamwork of three brothers who brought Structure N Cargo into existence. The brand is aimed at 18 to 40 years, deals only in casual shirts. The urge to work on shirts was largely due to the demand for shirts. The brand makes changes in its shirt styles, fit, cut, cuffs or collar every three months.

The shirts are manufactured in their own unit which has a capacity of producing nearly 2000 shirts a day. The brand is not present on any retail or online format as they are into direct distribution to nearly 500 retailers.

Sydney Club Designer Shirts was launched in 2003 and since then has been dealing in men’s casual and party wear. The brand specialises in simple white and designer shirts. They have created a niche with this product that encompasses a huge range from funky to sober and is targeted at all age groups. They also have a range in new innovative prints such as rubber and foil. The brand is not overtly interested in selling on any retail platform as they deal directly as distributers and depend more on bookings every season. A part of manufacturing is outsourced and most of the production is done in their self owned unit.

The Collections The brand brings in collection of warm and colourful shirts. Cotton, denim and linen shirts are in demand during winter. The colour palette is dark and warm. Dark shades of brown, green, blue and maroon have been used in the collection. Coffee and dark orange seems are in demand. The fabrics used are mainly mill made cotton, denim and linen sourced from Mumbai and Ahmedabad. The price points varies between Rs 900 to Rs 1,100.

The Collection The collection has a splash of different hues both bright and pastel.

The colours are more in maroon, navy blue, peach, orange, pista green and tomato red among others. The fabric used is pure cotton, semi linen and pure linen. The raw material is procured from Mumbai and Ahmadabad. Cotton is also imported from Turkey. The price varies between Rs 895 to Rs1,395. Though the brand is open to all age groups it attracts more sales in the age group 18 to 70 years.

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BRAND STORY

Taiga Kids

Texas Jeans

They brand keeps coming up with new offerings from time to time on trends in the domestic and international market. The raw material is generally procured locally and a part from Ludhiana.

The brand has worked more on dark shades for like olives, gray, blue. People prefer casual clothes and so these colours have been used as they are more in trend.

- Manu Chawla, Proprietor

- Tanuj Tulsiyani, Proprietor

The Brand

The Brand

A sought after brand in the kids’ segment, Tiaga Kids was launched in 1999 with the motive of catering to boys. Manu Chawla says it is a joy to design and create for boys. Taiga deals especially in T-shirt track pants, sweat shirts, jackets etc. They have their own design team and production unit. They update themselves from time to time on trends in the domestic and international market.

The raw material is generally procured locally and a part from Ludhiana. The fabric for jackets is exported from China. Other than cotton and hosiery, mélange is in demand. So a range mad of milange has been showcased.

Retail Network The brand has a pan India presence as they are present in almost 70 per cent of states like Uttar Pradesh, Delhi, Assam, Kerala, Maharashtra, Manipur, Nagaland and Karnataka. Their retail presence is in nearly 300 MBO’s and a few LFS’s. They are not present in online. The brand sees MBO’s as the best format for kids’ segment. In the time to come the brand wants to open EBOs. The brand is more popular in non metros as demand is higher there.

Chawla feels the entry of bigger and international brands has created a competition and they need to work on strategies to counter them.

The brand is looking to a good winter season.

Though GST can slacken the market a little but on the whole trade seems to have accepted it and a few have appreciated it.

Chawla expects nearly 15 per cent growth this year.

Texas Jeans was established in 2001. In 2001 Tulsiyani switched to manufacturing of denim, trousers, shorts and shirts along with suiting and shirting. They cater to all ages and offer a huge variety. Cotton, linen and denim is mostly used for manufacturing and the raw materials is procured from Mumbai. Quality being their USP, they never compromise on uality. They want to reach out to the masses hence, maintain quality at affordable prices. The brand has its own manufacturing unit but jobs like stitching and washing are sourced.

Retail Network The brand is present in about 800 MBO’s and 4 EBO’s. They also have a company owned store in Kolhapur which has made a mark already.

The Collections The coming season they have worked more on dark shades for like olives, gray, blue. People prefer casual clothes and so these colours have been used as they are more in trend. Beige and cream are colours are always in demand because of the simple tones and hence are always present.

BRAND STORY

137

Urban Friends

Urban Race

The brand has introduced new colours which are bright and eye catching. Different shades of metallic colours such as English green, yellow and blue have been used.

This season Urban Race has a bouquet colours that are vibrant, bright and eye catching. Most colours are regular.

- Narayan Ravariya, Proprietor

- Manish Kapoor, Proprietor

The Brand

The Brand

The brand was established in 2008 by Narayan Ravariya, following his passion to create something new in shirts. The brand deals in shirts in different styles and fits. Many different type of shirts they make comprise casual, designer and denim shirts. A lot of attention is dedicated to designing and styling to create something new.

Urban Race was launched in 2014 by Manish Kapoor. The brand deals exclusively in casual shirts. The brand is focused on increasing demand with good quality and competitive prices, rather than on increasing production. The fabrics that are generally used are more denim, denim dobby, indigo checks, linen, satin and 100 per cent cotton. The shirts are manufactured in their own units with a production capacity of about 20,000 shirts per month.

The brand is not keen on being present on any retail or online platform as they are into direct distribution. Narayan believes GST will be beneficial in the long term. The brand has its own production unit and everything from cutting to finished product is done there.

The Collection This winter is all colours and they have introduced new colours which are bright and eye catching. Different shades of metallic colours such as English green, yellow and blue have been used. The raw material is procured mostly from Mumbai and part of the cotton is imported from Turkey. The brand offers affordable prices between Rs 800 to Rs 900.

Retail Network When it comes to retail presence, the brand is already present in states like Maharashtra, Uttar Pradesh and Orissa, Haryana, Uttranchal, M.P., Chhattisgarh and is planning further expansion.

The presence is through 400 MBOs via direct distribution in India.

The shirts are manufactured in in-house facilities, with a production capacity of about 20,000 shirts per month.

The Collection This season Urban Race has a bouquet colours that are vibrant, bright and eye catching. Most colours are regular. A lot of bright colours have been used for festive and dark colours for winter. The bright colours are red, blue, green, yellow etc, and dark colours like black, brown, gray, fawn and blue. The product is more customer oriented as there is great emphasis on quality and is also available at affordable prices. The price is from Rs 999 to Rs 1,419.

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Vinita Fabrics

Yellow Duck

The firm has a wide range of colours including fawn, khaki and brown. The price points vary between Rs100 to 200 per meter.

The brand’s USP lies in cuts, fabrics, stitching and designs etc. The immense difference between their line of clothing and other brands in the similar segment is what makes Yellow Duck stand out.

- Arvind Proprietor

- Rohan Dedhia, Proprietor

The Brand

The Brand

The brand was launched in 1984 and deals in suiting. They are a major supplier to garment manufacturers in Mumbai and Maharashtra and are bulk suppliers with a strong client list comprising of who’s who in trade.

Started off 12 years ago, the brand manufactures infant frocks under the brand Yellow Duck. Manufacturing is done in their own unit where they make 600 pieces per day and average between 17,000 to 18,000 pieces per month.

They also make bulk garments for manufacturers. The fabric is procured directly from looms from Tarapur and Umbergaon in Maharashtra.

Their USP, is the immense difference between their line of clothing and other brands in the similar segment such as the cut, fabric, stitching, designs etc. Printing is done digitally. In fact, they were the pioneers in digital printing in 2012.

As the brand is into bulk selling of fabric, they are not present in retail or online segment, however, they do cater to retail stores if the order is for purchase of material in bulk.

On GST, Arvind has a neutral stance and does not expect a great deal of change. They have a wide range of colours including fawn, khaki and brown. The price points vary between Rs100 to 200 per meter.

Retail Network The brand has a presence in all states but majorly in UP, Punjab, Assam and Kerala and cities like Mumbai and Delhi. Dedhia sees growth in metros. The brand is retailed through MBO’s and LFS. Yellow Duck has a presence only on one online portal FirstCry, the largest online shop for new mothers and baby products – where they got a good response.

They are looking at growing the business by joining more online portals. They expect a growth of 35 to 40 per cent this financial year.

He is euphoric about GST.

The Collection Yellow Duck’s clothing has been made with polyester, satin etc in all colours depending on the season. Its largely pastel in summer and dark colours in winter. All their designs are done inhouse.

Their MRP range from Rs 350 to Rs 1,300 and is targeted at young parents.

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139

Dare Fashion

Bevee

The brand has a huge collection of trousers in denim and cotton. The colours are dark shades such as coffee, deep blues, greens and browns for winters.

The brand is hopeful of achieving 15 to 20 per cent growth rate. It targets the younger age group from 20 to 40 years.

- Parish Dedham, Director

- Sanjay Sehshah, Proprietor

The Brand

The Brand

Dare Jeans was launched in 1995 and started off as a small unit dealing in trousers. As years rolled on, it grew into a private limited company. The going has been good so far. The brand offers denim and cotton trousers of different ranges. The trousers are produced at their own unit and most of the work is done in-house. They are into direct distribution to retailers and agencies. They are also present on retail format and cater to nearly 1,500 to 2,000 MBO’s. They have a presence online through Amazon and Flipkart. The brand is aimed at 25 to 35 year olds though it is open to all age groups. The price points are between Rs 999 to Rs 1.799.

Bevee caters to men with bottoms like three fourths, cargo pants, shorts and joggers in both wovens and knits. The brand targets the younger age group from 20 to 40 years and the price point is between Rs 999 to Rs 2099. “We mostly use fine yarn fabric,” says Sehshah.

“Other than this we use lycra cotton, dobby denim, prints, yarn dyed fabrics and self print fabric.”

The Collection The brand has a huge collection of trousers in denim and cotton.

The colours are dark shades such as coffee, deep blues, greens and browns for winters. However, beige and off-white are also in demand. The fabrics are from the best mills like Raymond for denim and Vardhman for cotton. They have a pan India presence, but are more prominent in Maharashtra, Punjab, Delhi, Haryana, Kolkata, Ranchi and Chennai.

The four manufacturing units have a production capacity of about 2500 to 3000 garments depending on the style of the garments. The company is hopeful of achieving a 15 to 20 per cent growth. “From designing to production everything is executed in house. The journey so far has been very smooth with the support of dealers, retailers, friends and well wishers.”

The Collection Bevee has been experimenting in high fashion garments and has just launched a new product, Roadies. This incorporates youth culture and has been designed for the youth. The product will be available in the market by the end of August.

The product will be marketed pan India through channel distributors.

The color palette for the season is earthy and has basic colors like red, green, navy blue and black. “We use lightweight fabrics for the comfort of the consumer.”

Retail Network The brand is present in the retail platform through nearly 1200 MBOs and has a pan-India presence through 17 state distributors.

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BRAND STORY

True Tittos

C&SC

The entire product basket is vibrant and full with colors comprising bright, pastel and earthen shades.

The range showcased is full of colors from blue, black, carbon black, light blue to gray, green, olive and brown.

- Vivek Aggarwal, Director

- Indra, Owner

The Brand

The Brand

True Tittos does men’s premium casual shirts, blazers and sweatshirts and cotton kurtas. “We are also into bulk corporate supplies through FOB system which includes sourcing various trendy fabrics, designing, trimming and making of finished products,” says Aggarwal. “Currently we are supplying to five to six brands under this system.”

C&SC was launched in 1999 and does men’s denim. The age group is between 20 and 40 years. The denim used to manufacture the product is imported from China and also sourced from Raymond and Arvind. The brand also uses lycra, hosiery in different colors. Washes used for the denim are cloud, PMT, China toucher and patches. The production capacity is about 20,000 pieces a month. The complete manufacturing is done in house and work is not outsourced. C&SC is in some 300 MBOs across India. “We target the age group between 20 to 40 years and are looking forward to a 20 per cent growth by the end of this year,” says Indra. “At some point we are planning denim for women.”

Style Trends “The entire product basket is vibrant and full with colors comprising bright, pastel and earthen shades,” says Aggarwal. Regular shirts have yarn dyed checks, 100 per cent printed cotton, printed poplin, cambric, satin and cotton satin fabrics. There is a premium range of shirts too using linen and cotton. There are linen shirts too. Blazers have been made using imported fabrics largely like spandex, premium velvet, printed and embossed fabric, and other finer fabrics. Blazers have prints, solids, structures, dobbies and checks. Sweatshirts are available in multiple designs and fits with hooded zippers and round neck. Colors are earthen and bright. Fabrics are 80 per cent cotton and 20 per cent polyester and three-thread fleece. Cotton kurtas have bright and pastel colors.

Retail Network Currently, the brand has 500 plus dealers in Punjab, Haryana, Delhi, UP, Bihar, Assam, Tamil Nadu and Andaman Nicobar. “We are present in Gujarat and Maharashtra too. Every year we include new markets and try to find out good associations. We are looking for some good associations in MP, West Bengal, Kerala and Rajasthan.”

GST GST will help the sector but not before the business environment disturbed by these reforms comes back to normal, he says. “We are happy with GST. The market will certainly get organized with it. It will help not only manufacturers but consumers.”

New Collection The collection this season has a very niche and imported look. The range showcased is full of colors from blue, black, carbon black, light blue to gray, green, olive and brown. All the colors have been used to give the brightest look.

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141

Lil Tomatoes

Lobaanya

The brand is present in about 50 large formats all over India and also has more than 250 dealers.

The brand expects a 100 per cent growth with Lobaanya and a 55 per cent growth with FGW.

- Sanjay Goel, Proprietor

- Manish, Partner

The Brand

The Brand

Lil Tomatoes came into existence in 1995. It caters to boys aged between 2 to 16 years with T-shirts, capris, denims, blazers, jackets and sweat shirts. Fabrics like knitted cotton, lycra, jerseys, fleece and fancy fabrics are used in manufacturing the garments. The raw material is procured mostly from Mumbai, Ludhiana, Delhi and China.

There are two brands, Lobaanya and FWG. Lobaanya, launched in 2015, deals in premium women’s tops, tunics, layered kurtis and gowns. It uses fabrics in rayon, cotton, digital and hand printed premium fabrics. A small range of crepes is also used. FWG is more into tops, tunics, dresses, gowns and denims and uses fabrics like rayon, crepe and georgette.

The brand owns two manufacturing units with a production capacity of about 40,000 pieces a month. T-shirts are Rs 300 to Rs 600, denim is Rs 700 to Rs 1200, capris Rs 400 to Rs 600 and sweat shirts between Rs 500 to Rs 800.

“My extreme love for children gave me the brand name as I find little children cute as small red tomatoes,” says Goel. “My motive was basically classic clothing for children. Our USP is the quality and economical pricing.” The brand wants to reach out to the masses.

The Collection The brand welcomes the festive season with aspirational designs with bright yellow and maroon. So far as styling is concerned the brand focuses on AOP graphics, cut and sew, high density prints for essential wear and for blazers and Nehru jackets.

Retail network The brand is present in about 50 large formats all over India and also has more than 250 dealers. The brand is also present online with portals like Amazon, Jabong, Myntra etc.

The price points varies between Rs 1599 to Rs 3999 for Lobaanya and Rs 799 to Rs 1999 for FGW. Manufacturing is in house and only stitching is outsourced. The capacity is about 2,00,000 pieces annually. “We expect a 100 per cent growth with Lobaanya and a 55 per cent growth with FGW,” says Manish.

The Collection Since both brands cater to women, a huge range is offered this season. The collection has multi layered kurtis, gowns tops etc.

Colors for the ethnic range are dull on hazy prints with a mix and match of different fabrics and blends.

Retail Network The brands have their own selling points in large format with Reliance Trends and Central. They are planning to open about four or five MBOs.

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BRAND STORY

Galaxy

Shahi Poshak

This season the collection is much brighter with new fabric variations. Cotton fabrics with prints have been introduced.

The brand has been in the market for more than two decades and has set benchmarks in the trade.

- Harsh Hingorani, Director

- Pankaj Murabia, Owner

The Brand

The Brand

In the 80s, the brand was into shirts. It then moved into boys’ and men’s ethnic wear with short kurtas, mid length kurtas, Modi jackets, pathani suits, kurta sets, dhoti sets and indo western suits. Fabrics prominently used are khadi, handloom, silk, Bhagalpuri cotton and imported fabrics. The USP of the brand is the price and style variations, in prints, embroidery and colors. The brand has four manufacturing units with a production capacity of 5000 pieces a month. Embroidery, printing and washing are outsourced as job work.

Shahi Poshak is into men’s ethnic wear like kurtas, pajamas, sherwanis etc. Fabrics like silk and brocade are used. The silk range has a huge variation with difference in the yarn etc.

The Collection This season the collection is much brighter with new fabric variations.

Cotton fabrics with prints and combo sets for evening wear are used.

Bright colors like yellow, green, orange and purple have been used.

Retail Network The brand is present in more than 100 MBOs all over India. “We are into direct distribution through agents and distribution channels,” says Hingorani. “We do indirect exports to Sri Lanka, Australia, Malaysia and Singapore.”

The raw material is procured from all over India and especially from Benaras and Bangalore. “The brand has been in the market for more than two decades and has set benchmarks in the trade.

We target the youth as they are the most fashionable,” says Murabia.

“The collection is very colorful and many shades have been used.

The entire production is in house. There is no outsourcing of work.”

The brand has three production units with a capacity of more than 4000 to 5000 pieces a day. But for sherwanis it is 30 to 40 pieces a day.

Retail Network The brand has a retail presence through 200 MBOs all over India.

BRAND STORY

143

Vinzino

Leeman

Vinzino’s products on offer are highly appreciated by clients for their unique features like durability, softness and light weight etc.

Leeman deals only in formal shirts for men, while Leeboys does formal shirts for boys in the 0 to 16 years’

- Mr. Ajay Bind, Proprietor

- Ashok Chetwani, Partner

The Brand

The Brand

The brand Vinzino is aimed at ‘perfect dressing for Indians’. The brand has given a new shape and sensibility to Indian wear. The entire range is designed using the best grade raw materials and sophisticated technology. Established in the year 2009, in Mumbai, under the guidance of Ajay Bind, Proprietor, the brand has been able to meet all client requirements perfectly.

Leeman started off its journey in 1992. Later on it was supported by two more brands ‘Leeboys’ and ‘Sorento’. All three brands are dealing in different types of shirts. Leeman deals only in formal shirts for men, while Leeboys does formal shirts for boys in the 0 to 16 years’ age group. Sorrento is purely about 100 per cent cotton shirts. The Leeboys kids’ shirts are made using 100 per cent polyester cotton.

The raw material is procured from different places in Maharashtra.

The USP of these shirts are their quality, price and finish.

The manufactured product range is designed as per set industry standards norms that meet the product requirements of clients.

Vinzino’s products on offer are highly appreciated by clients for their unique features like durability, softness, tear resistance, light weight, colour fastness, cost effectiveness, smooth texture, high strength, and long lasting sheen. Further they offer products in various sizes, patterns and dimensions as per variegated requirements of clients.

Vinzino’s products are available in the most reasonable price range.

The organisation is supported by a large infrastructure that is divided in to various units such as manufacturing, quality testing, sales and marketing, warehouse and packing. Moreover the infrastructure consists of designing set-up and inspection equipment etc. Established infrastructural facility ensures that they are capable of manufacturing and supplying an outstanding range of flawless products. On a regular basis they can make required changes in their infrastructure to match with the latest developments in the market. Further, they have recruited a team of skilled professionals on the basis of their qualifications, expertise and knowledge in their working domain.

Collection Vinzino offers a perfect choice of numerous stylish, trendy designer mix and match options for all seasons. Amit Creations, is recognised as one of the prominent manufacturer and supplier of a qualitative assortment of party wear dresses, pathani dresses, children’s wear, fancy suit dresses and trendy dress for couple, etc. The highlights of their products are hand work embellishments that started with antique zardozi, crystal and sequins which were teamed cleverly with fabrics and textures.

The inimitable take on 3D embroideries and volume play have created a signature look that is hard to place, but is reminiscent of something futuristic.

The shirts are manufactured in in-house production facilities. Some part of the work is sourced too. The brand is planning to increase production from 200 shirts a day to 250 to 300 shirts a day. The brands are not restricted to any specific age group. The wholesale price is between Rs 650 to Rs 950. “In recent years, growth opportunities have increased more in small cities. Metros have been captured by big brands. There is always more demand in small cities as pricing and affordability matter a lot over there. Being a mid segment brand, we are hopeful for a growth rate between 30 to 40 per cent,” says Chetwani.

Retail Network The brand is more into direct distribution through agents and agencies.

It is available through 90 stores in Mumbai and 120 stores all over Maharashtra. It is present in Goa also with 27 stores. The brand has expanded its reach to Hyderabad, and the whole of Maharashtra. It intends to expand in the Southern region.

The Collection In winter the shades are the darker tones. More of maroon, wine, deep navy, rust, red and dark colour checks have been used for winter collection.

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Growing importance of Tier II & III cities lure top brands O

n the back of saturated metros and larger cities, leading retail brands are moving towards regional markets or small towns to gain maximum expanse. The retail king, Kishore Biyani, Group CEO, Future Group, believes in the market potential of each and every city and town they are present in. There are several cities in India which are still untouched by retail companies, but have the potential to drive the growth.

Things are changing gradually. Large and small retailers are heading to non-metros on the back of purchasing power of these cities.

As Manohar Samuel, President, marketing at Aditya Birla Cellulose, says that cities such as Jaipur and Surat have great potential.

The company has seen rapid growth in almost 90 per cent of the top 50 cities in the last four seasons. Aditya Birla is focusing more on specific areas through large multibrand outlets (MBOs) and standalone super stores and are targeting 50 cities in the next few years.

Mohit Bhayana, retail head, Marks & Spencer, sees commonality between the customers in Tier-I, II cities. Currently, 22 of 57 M&S stores are located across 17 TierII markets. According to him, the continued growth in the sector along with increase in disposable income and changing attitudes towards international fashion presents an

of these high potential towns in the next couple of years.

opportunity to reach customers across TierII, III markets in India. At present, Tier-II/III cities contribute 44 per cent of M&S’s online business through Myntra and Amazon.

Growing brand consciousness boosts business Rising awareness and higher disposable income have emerged as the major reasons for consumers becoming brand conscious in small cities. Low retail rental is another factor attracting majority of retailers to small towns. Going by the tremendous possibilities, Woodland plans to set up 50 more stores this year, the majority of which will be in non-metros and Tier II, III cities. One similar lines, Raymond is bullish about opening outlets in Tier IV, V markets apart from expanding presence in the already established regions. The company plans to capture another 300

Emergence of exclusive stores Breaking away from distributor/dealer model, brands are planning to go solo in small towns by opening exclusive stores. Multi-brand retail chain Lifestyle International has already set up stores in cities such as Nagpur and Jaipur and recently Visakhapatnam and Nashik. The company invests around Rs 10 crore to set up a new store. Going one step ahead, Shoppers Stop is training its staff in both English and vernacular languages to attract more customers.

Offbeat retail chains such as Chumbak are also gaining as much traction as big brands lately. To give you an example, Chumbak’s offline presence grew to large format stores in Tier-I cities and the brand opened its stores in new wave cities such as Kochi, Chandigarh and Jaipur. The contribution has been growing significantly from quarter to quarter from these stores. Currently, new wave cities’ contribution towards Chumbak’s online retail is 30 per cent. Going by such a growth potential, it would be interesting to see how these non-metro cities will surpass the metros in terms of growth.

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Premium international brands need India specific strategy to succeed A

fter H&M, which has shrunk the size of its upcoming stores nationwide, Massimo Dutti, another premium apparel offering from Inditex, which also owns Zara, is planning to cut down the store size, especially for India.

Massimo Dutti, which generally operates 8,000 to 10,000 sq ft stores globally, has opened less than 5,000 sq ft. store in Select Citywalk, Delhi last year. For their Mumbai store, they have finalised a space in the same range only. They are scouting for more space in India but all in the range of 5,000-6,000 sq ft, which is much less in comparison to their international outlets.

because the Indian body type is different.

The brands have not tried to come up with an effective marketing campaign, which will establish them and attract consumers to leave already present rival brands and buy their products. For example, Gap, which is a rival of Levi’s in the country, failed miserably to attract Levis’s consumers into its own fold.

are already doing good business, will not leave. The unplanned and sporadic mall development in the country has led us to this situation.

Actually, shrinking of store size is not typical to Massimo Dutti, as H&M, Gap et al have taken this route lately. H&M, which used to have sprawling outlets of minimum 25,000 sq ft, have cut down store size to 15,000 sq ft. Gap, the American apparel retailer, came up with outlets minimum 15,000 sq ft when they started their journey almost three years back. But now they have shrunk and come down to 5,000 sq ft. Globally, Gap stores are sized between 10,000 and 15,000 sq ft.

Zara, another brand from Inditex, is perhaps the only one which has maintained big size stores and is planning to continue with those only. But Zara is expanding its presence in the country at a much slower rate.

The logic behind shrinking store sizes is two-fold. First, the retail real estate in India is becoming costlier day by day. There is always a space crunch in big malls and all premium international brands only want to occupy space in those malls, which has less than 5 per cent vacancy. At the present, there are a handful of premium malls in the country and they can’t accommodate new clients anymore as old players, who

Secondly, when international brands started their India journey they may have misinterpreted the demography and kept price points as per international standards.

Apart from Zara, which was the first to enter the market and therefore, can invest a good amount of time in spending pattern of Indian consumers, all other brands have to lower their price points in order to keep up to profit expectation. For example, H&M, Forever21, Gap, every brand has to slash down the price of frontline products, once the primary honeymoon period with the consumers is over. Especially, H&M and Gap had a good start but later when it came to alluring the price sensitive Indian consumers, both brands had lowered their price at least 15 per cent.

Ultimately, it all comes down to achieving a healthy rent to revenue ratio. Premium brands, which will only be associated in a high-end mall, often acquire the space after a long negotiation with mall developers. High rent and long waiting time also adversely affects their profit margin.

These brands have to understand that India is a different ball game altogether and have to play accordingly. On the one hand, their price points should be compatible for price-sensitive Indian consumers, and they should not invest in sprawling outlets so that the per sq ft sales can match the expectation and third, proper marketing strategy and ad campaigns are needed to attract new consumers, rather than depending on the frequent abroad visitors and their word of mouth about the brand.

Brands have to spend time understanding consumer behaviour, prices, product, fitting and fusion wear. While some uniformity needs to be maintained, they cannot replicate patterns and tastes in a new market

It’s a good sign that they have already understood the store size part of the game, now the one who will understand the other pre-requisites to be successful in this competitive market quickly will be in the game profitably.

Hackman Enterprises : e-mail : gurbindersinghvedi@gmail.com For Trade Enquiry : 9654760447

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IF INSIGHT

‘Menaissance’, a new trend in apparel industry I

f you think shopping is woman’s forte, and it’s the girl gang who flip through online shopping portals and order products, then think again. Indian men shop online more than women and convert 75 per cent better, with about 21 per cent higher average order value. Also, they tend to take the final call on high ticket items, especially in categories like apparels, smartphone et al.

As per data from various online portals, which operates in India, Indian men today are shopping almost as much as women online. According to the #FlipTrends2016 study, 69 per cent of the online shoppers are male and that men clearly dominate the online retail space. Calling it a trend that has advanced steadily over the last few years, Western fashion intelligentsia has gone so far as to say men are now shopping like women. As recent survey from Boutique @ Ogilvy, a fashion public-relations firm, done on 1,232 men aged 18 years found men spent on an average $85 per month compared to woman’s $75.

The picture is similar in India. For example, Koovs, which markets Western street styles and limited edition designer pieces, says men contribute 40 per cent of their sales, spending almost as much time per ‘session’ (6.5 minutes) as women (7 minutes).

Spending almost equal money, they average Rs 2,000 a month, says Jabong, also claiming a 40 per cent male customer base. Men buy higher value, but fewer units compared to women, who are still led by discounts (and return products more often than men). But both sexes average out at checkout. Myntra, on the other hand, says it has more men than women checking out.60:40. But in Tier II and Tier III cities, men are getting increasingly fashion forward. With an eye on developing their male clientele, Myntra recently introduced a

Plus Size store which accounts for 13 per cent of men’s apparel sales. They have even come up with something special for men, a ‘Mantastic Day sale!’ It has registered great response and the portal is planning a successful next edition too.

In India, where internet retail for apparel and footwear has grown by 193per cent over store-based retail which shrunk by 2.9 per cent over the last two years (Euromonitor International), online retailers are naturally thrilled with the crossover. They’re calling it the Menaissance -men’s awakening to fashion and style. Popular Indian menswear designer Raghavendra Rathore says it’s the abundance of options that’s allowing the modern Indian male to express himself.

According to him, Indian men have always been fashion-inclined, but their style options were limited earlier between workwear and festive wear. Now there were few more avenues to explore and with more options, they have also learnt to experiment, just like women.

This paradigm shift in menswear is noticed not only online but retailers too are noticing a same trend. Euromonitor International’s 2016 research on the apparel and footwear market in India says retail of menswear has grown from Rs 1,163 billion in sales in 2014 to Rs 1,499 billion in 2016, a 29 per cent rise, against a 24.7 per cent sales hike for women in the same period. It is the growth of the menswear market that led to the seismic

brand shift for the landmark department store, Akbarallys wasn’t afraid to change its 118-year-old personality (the store dates back to 1897) to rebrand itself as a multibrand men’s store. Today, the 10,000sqft store offers Indian and international brands, their own range of bespoke clothing, even an in-house barbershop.

Experts say, menswear is bound to outstrip women’s wear since working men outnumber women, and get paid more. But that was never evident before. Today, ace designers like Manish Malhotra have come up with his menswear line. So the glamorous world of the ramp is seeing a steadily growing interest in menswear.

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Branded women’s wear set to overtake menswear in India ccording to a report by financial services firm Avendus Capital, women’s branded apparel market is set to overtake men’s apparel segment in size by 2025 growing from Rs 99,300 crore in 2015 to Rs 2.77 trillion in 2025, making nearly 40 per cent of the market then.

A

The report also confirms that the growth in branded apparel for women is coming from increasing artificial obsolescence. This has rapidly changed how women identify brands and maintain loyalty with them, the report said. “Brand association is more with design language today (and) style and design are the top considerations,” the report said, citing data from RedSeer Market research and consulting firm AT Kearney, which showed that most consumers counted style and design as their top or second consideration while shopping for clothes.

Abha Agarwal, director at Avendus Capital says that to create a brand, you need to have a clear positioning. One needs to focus on the designs if you want to grow beyond Rs40-50 crores in size also brands will have to carefully calibrate their throughput and their inventories to control costs, says Agarwal.

Avendus’s report estimates that as brands focus on more complex designs to cater to a demand for rapidly changing trends, 70-80 per cent of garment costs will come from the design choices a brand makes.

This will also mean more inventory piled up as trends change nearly 20 per cent unsold every season and more discount sales to get rid of it.

Online (e-commerce) has become easier channel for smaller brands to grow, but anyone who wants to grow beyond a Rs40-50 crore size will have to focus on EBO (exclusive brand outlet),” she stated.

EBOs are a network of physical stores that exclusively sell one brand. These are relatively more expensive than multi-brand outlets where more than one brand is sold and concepts such as shop-in-shops (space dedicated to one brand) can help reduce rental cost.

According to Agarwal brands need to be focused on strong design and setting up EBOs if they are looking for long-term growth. All major private equity deals in the apparel space in India in 2015 and 2016 involved companies with high design complexity in their products, the report said.

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Retail space to witness biggest surge in 2017 I

f recent research reports are to go by, then around 26 malls are slated to become operational in 2017, making it the highest number ever in the last 5 years in the country.

The Southern region is expected to capture the highest retail space, with Hyderabad, Chennai and Bengaluru combined grabbing the total of 10.86 million sqft of shopping space. As per reports from Cushman & Wakefield, eight new malls covering 2.6 million sqft will open in Hyderabad, while five each will begin operations in Bengaluru (2 million sqft) and Chennai (2.5 million sqft).

There has been a renewed interest of investors in retail real estate as demand outgrew fresh supply and the e-commerce euphoria seems to be fading. That momentum is expected to help growth this year, even as residential sales and launches remain subdued. According to Anshul Jain, MD, India, Cushman & Wakefield, money has started to flow back into the retail sector, aided by factors like relaxation of FDI regulations. Shopping malls are a complex asset class and developers who made the first set of malls faltered with the design and operations. Today, there is significantly better understanding of retail malls by developers and investors.

Growing in size As far as the retail space is concerned, the L&T Seawoods mall in Navi Mumbai and Virtuous Retail mall in Chennai are the largest among the ones slated to be opened

this year. In 2016, Blackstone Group LP agreed to buy 1 million sqft of retail space in L&T Realty Ltd’s Seawoods project in Navi Mumbai for Rs1,450 crores. Xander Group Inc.’s retail development arm Virtuous Retail is building the 1 million sqft mall in Chennai. While the demand is very strong, supply continues to be a constraint. It will take another 3-5 years for more supply to come in across cities.

Strong investor interest is evident as profitable exit routes exist in good quality shopping malls, believes Pankaj Renjhen, MD – retail services, JLL India.

Expanding horizons There are sizable number of players who are on an expansion mode, such as Mumbaibased K. Raheja Corp. and Phoenix Mills Ltd, Delhi-based DLF Ltd and Bengaluru’s Prestige Estates Projects Ltd. Prestige Estates, for instance, has two malls lined up for opening this year—a 3.65 lakh sqft mall in Mysore and a 6.5 lakh sqft one in Bengaluru.

Why India?

According to a recent JLL India report, there remains a clear divergence in India as high quality shopping centres with experienced landlords continue to outperform and attract retailers, such as Scotch & Soda, which made its debut in the country in Q12017.

Other global retailers such as H&M, Gap and Marks & Spencer are on an expansion spree. Zara opened its largest store (51,300 sqft) in a heritage building in Mumbai, highlighting retailers’ increasing flexibility to explore high street options. A lack of available quality mall space and supply, along with strong footfall in prominent high street areas is drawing brands to these locations.

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Asia Pacific to be next luxury hub

Despite its slower overall economic growth, the market’s size and the continued evolution of retail still make China one of the most attractive markets for retail investment.”

India among one of the top five consumer markets in Asia

According to BMI Research, a Fitch group company, India is among the top five consumer markets in Asia offering retailers the strongest consumer spending growth of an average of 6.1 per cent over the next five years. The other four countries are China, Sri Lanka, Vietnam and Indonesia.

Between 2016 and 2024, the global luxury apparel market is expected to expand at a CAGR of 13.2 per cent. Big brands such as Louis Vuitton, Prada, and Versace are expanding to developing economies, which has not only improved their geographical reach but also won them a newer consumer base.

The global luxury apparel market is segmented into leather, cotton, denim, silk, and others. Cotton dominates the global market. The preference for cotton is due to its convenience in hot and humid weather in regions such as Asia Pacific and the Middle East and Africa. High cotton production in India and China has also made Asia Pacific a frontrunner in the global market.

Leather is preferred due to its durability and ability to adapt to myriad designs that characterize high fashion. The expensive nature of leather also makes it fit for luxury brands. Silk is also gaining significant momentum due to its smooth texture, softness, and the elegance it bestows on the overall design. The remarkable production of silk in India and China has also once again lent an impetus to the luxury apparel market of the Asia Pacific.

Presently Europe has a strong footing in the global market due to the presence of several luxury brands and houses that have been in the business for several decades.

However, Asia Pacific is expected to have a strong demand for luxury apparel over the coming years.”

Casual wear growing faster than formals

Makers of formal wear such as Arrow, Van Heusen, Raymond and Park Avenue are now moving into the casual wear segment.

At present, formal wear accounts for 63 per cent of the men’s wear market. This segment is expected to grow at ten per cent annually but casual wear is expected to grow at 20 per cent a year.

The growth in casual wear is expected to be driven by higher internet penetration in Tier II and III. Arrow is launching Arrow Youth, a sports range. CKY, the premium brand of Calvin Klein which is mainly into formals, has got into fusion wear comprising both casual and formal wear.

Corporates are easing dress codes to allow employees to wear formal casuals like cotton chinos, semi-formal shirts. This is partly in deference to employees’ preferences for wearing lighter clothes in hot weather.

Aditya Birla Group’s Madura Garments too is focusing on casual wear across most of its brands including Louis Philippe and Van Heusen. The demand for casual footwear is also on the rise. Earlier the ratio of formals to casuals was 60:40 but this has now changing fast”

India ahead of China in retail index

India has surpassed China to secure the top position among 30 developing countries on ease of doing business. The 2017 Global Retail Development Index (GRDI), now in its 16th edition, ranks the top 30 developing countries for retail investment worldwide and analyses 25 macroeconomic and retail-specific variables.

India’s rapidly expanding economy, easing of foreign direct investment rules and a consumption boom are the key drivers for India’s top ranking in the GRDI. India’s retail sector has been growing at an annual rate of 20 per cent. Total sales surpassed the trillion dollar mark last year and the sector is expected to double in size by 2020. In the past year, 100 per cent foreign ownership has been allowed in B2B e-commerce businesses and for retailers that sell food products.

India’s retail sector has also benefited from the rapid growth in e-commerce. It is projected to grow 30 per cent annually and reach 48 billion dollars by 2020. India’s effort to boost cashless payments and reform indirect taxation with a nationwide goods and services tax are also expected to accelerate adoption of formal retail.

As per the report, the real consumer spending growth in 2017 will be 6.2 per cent. The factors responsible for increase in consumer spending in India include increase in access to consumer credit, lower inflation and favourable regulatory environment for foreign owned retailers.

These factors will continue to boost India’s consumer sectors in the coming years.

India’s thriving e-commerce segment is expected to grow at double-digit rates in the forecast period up to 2021.

The report has observed that due to the limitations of activities for overseas retailers, e-commerce has been dominating. Bricksand-mortar retailers have also began to foray into the e-commerce segment supported by the high mobile penetration in the country.

On the other hand, the report also stated that Amazon announced USD 500 mn investment to roll-out and fuel online retailing in India and due to the high mobile penetration in the country Bricksand-mortar retailers are entering the e/mcommerce segment.

Indian garment makers face dynamic market Changing consumer preferences in garments in India have put apparel manufacturers in a spin. With fashions changing fast, especially the availability of imported apparel brands, the shelf life of designs has reduced, posing a challenge to the domestic garment industry.

Foreign brands in the market are upgrading consumer preferences. The demand for garments has been growing, especially with digitisation, social networking sites and apps ensuring that people want to look their best. Earlier, there were only two order

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bookings – in summer and winter. Today it happens every quarter with the launch of new designs.

The growth rate in menswear brands is at 7 to 10 per cent, while women’s and kidswear constitutes 15 to 20 per cent. The Indian apparel and textile industry is the second largest after agriculture.

International retail giants like Walmart and Ikea are also considering Pune. Ikea plans to acquire land parcels to execute an entry into Pune in 2018-19, and Walmart is considering a suitable location to activate its stores. Both these retail giants will focus primarily on the brick-and-mortar model but use e-commerce to supplement sales in the city.

the more than 7,000 new apparel products that appear online every day, nearly half are aimed at women, while only 1,750 are geared toward men, with the rest children’s, babies’ and footwear. More than half of all online women’s apparel purchases are items that have just hit the market in the previous three months, compared with 38.8 per cent of spending on the newest men’s items.

Rising significance of shopping mall culture in urban India

Apparel manufacturers are facing an increase in inventory and a need for focused planning. The Indian retail industry has emerged as one of the most dynamic and fast-paced industries due to the entry of several new players. It accounts for over ten per cent of the country’s gross domestic product and around eight per cent of employment. India is the world’s fifth largest global destination in the retail space.

There has been a significant change in the way women dress, moving from traditional Indian wear to western or fusion wear, a trend that is especially popular in larger cities such as Delhi, Mumbai and Bangalore.”

Pune sees retail boom Pune’s retail market is receiving considerable investment attention from global retail players. Many international brands that preferred to be present only in the bigger metros have recognized the potential of Pune as a model city to expand their footprint and study consumers’ behavior patterns.

Pune has seen a visible growth in the luxury retail segment in certain catchment areas.

The Pavilion on SB Road and Westend Mall in Aundh, which account for 4.5 lakh sq. ft. and four lakh sq. ft. respectively, plan to up their game with major international brands like H&M, Zara, Gant, Kenneth Cole, Brooks Brother , MAC Cosmetics and Superdry.

Many global retailers are expanding their retail footprint in Pune to display their exclusive collections with multiple stores.

Some of the leading international and domestic players in Pune who are dictating quality organized retail spaces dynamic in upcoming retail establishments are H&M, Marks & Spencer, Decathlon, MAX etc.

In India, there remains a need among Indian businesses to understand the changing behavior of consumers towards shopping in these organized retail outlets.

The culture of ‘Shopping Mall’ in Mumbai has been leading from quiet sometime.

Started in September 1999 the very first mall in Mumbai was Crossroads currently recognized as Sobo Central. Today majority of malls are situated in the suburbs of Mumbai these new malls have a lot of offer such as fashion, food, entertainment and gaming zones, thus they determine the development of an area in the city.

There were just 3 shopping malls in India in 2001, at present there are malls in metropolitan cities and small towns. It has become important to have malls in both high end and lower end brands. If the satisfaction score needs to be high a great food court and ample parking space should be included in malls. Malls are not only a shopping place but a place to rejuvenate, socialize and entertain. In big retail stores you get everything under one roof from branded clothes, grocery, and electronics to foot wear.

There are other gender-based shopping differences. Women tend to shop seasonally while men buy shirts and underwear all year long. Women, meanwhile, look for dresses in the spring and sweaters in the fall.

Women’s apparel sees much more turnover in response to a quicker fashion cycle than other categories of clothing. Moreover, women’s clothes purchased online span a wide range of items of clothing than men’s or children’s apparel and women’s clothes are sold in the same ratio at the high and low end.

Online apparel consumers at all levels are keen on finding deals. There has been a 4.3 per cent year-over-year price deflation in online apparel sales compared to relatively flat apparel inflation in stores.”

India to outpace China in B2C markets

The number of malls grew to 343 by 2007.

As per the data from Bangalore-based Asipac Consulting, number of malls in 2013 has doubled since 2008. As many as 26 malls are scheduled to become operational this year in what will be the highest supply of shopping space in more than five years in the country.

The southern cities of Hyderabad, Chennai and Bengaluru will see the largest chunk of the total of 10.86 million sq. ft of shopping space. Eight new malls covering 2.6 million sq. ft will open in Hyderabad after a long lull, while five each will begin operations in Bengaluru (2 million sq. ft) and Chennai (2.5 million sq. ft), according to estimates by property advisory Cushman & Wakefield.”

Women shop seasonally, men perennially The speed of fashion retail these days is boosting apparel sales, especially among women’s clothing purchased online. Of

By 2020, India is expected to be the growth leader among Asia-Pacific’s top B2C markets, outpacing China. In both countries, much of the future growth is projected to stem from rural areas where online shopper penetration is rising more rapidly than in the top tier cities. B2C (business-to-customer) e-commerce is the exchange of goods or services over the internet between online stores and individual customers.

Asia-Pacific is the world’s largest B2C e-commerce market. By 2021 Asia-Pacific will account for nearly half of global B2C e-commerce sales of products and digital content. Between 2016 and 2021, the region’s online sales are projected to maintain strong double-digit growth rates and reach new heights in terms of the e-commerce share of retail.

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Nations in southeast Asia are also experiencing strong growth in B2C e-commerce sales which are projected to remain in double digits, including even Singapore, already the most advanced of the Asean countries pack. Further, other advanced markets, including Australia, Japan and South Korea, are also projected to grow more moderately due to the already high rates of online shopping penetration.

M-commerce is the strongest trend in both advanced and emerging economies across the Asia-Pacific. In many of them, the mobile share of B2C e-commerce sales has already topped one-third, and in some has approached 50 per cent.”

International brands eye Pune as a potential market JLL India one of the real estate consultancy firm in a statement mentioned that Pune’s retail market is receiving considerable investment attention from global retail players, many international brands, which preferred to be present only in the bigger Indian cities, are recognising the potential of Pune as a model city to expand their footprint and study consumers behaviour patterns.

Malls and retail outlets in Hyderabad and in other metros across the country need to constantly innovate and create to remain relevant to consumers. Post the e-commerce boom of 2014, malls have to constantly design strategies to keep drawing in the growing urban population.

Today the pace of change has accelerated to such an extent that malls, hypermarkets and supermarkets need to constantly innovate in order to remain relevant.

So every mall across the country today is focusing on bringing new experiences to customers. Entertainment, food and beverages have been identified as two categories that draw crowds to malls, apart from shopping. So malls are trying to stock better brands and there is also an added focus on engaging customers through innovative marketing activities and events.

While the vacancy rates in malls, for the first quarter of 2017, stood highest at Delhi-NCR at 20.6 per cent and Pune at 14.1 per cent, retail outlets in Hyderabad seem to have fared better with a vacancy rate of 8.9 percent. India has around 650 malls with hardly 10 per cent of them running profitable operations. The struggles have prompted several developers to jettison plans for future mall development. So in 2016 only 1.5 million sq ft was added.”

NIFT gets global ranking

The Pavilion on S.B Road and Westend Mall in Aundh, those account for of 4.5 lakh sq. ft. and 4 lakh sq. ft. respectively, plan to have major international brands like H&M, Zara, Gant, Kenneth Cole, Brooks Brother , MAC Cosmetics and Superdry . Walmart and Ikea are also exploring Pune, Ikea plans to acquire land parcels to execute entry into Pune in 2018-19, and Walmart is considering a suitable location to activate its stores. Pune’s retail real estate market has started seeing a better quality malls with the introduction of retail reforms like Retail REIT and GST.

Malls innovate to stay relevant to compete with Ecom

National Institute of Fashion Technology, New Delhi, is number 19 in CEO World magazine’s list of the best fashion schools in the world for 2017. Parsons School of Design, US, has grabbed the first position and Royal Academy of Fine Arts, Antwerp, follows second. London College of Fashion, University of the Arts has taken the third position, while the Fashion Institute of Technology, New York, is ranked fourth on the list. Royal College of Art, London is ranked tenth.

The list comprising 110 fashion schools from around the world was formulated by CEO World based on six performance indicators. These include academic experience, placement rate, admission eligibility, specialisation, recruiter feedback and global reputation. Data collected from over 20,000 recruiters, 32,000 industry professionals and more than 30,000 students has been compiled to formulate the list.

NIFT New Delhi was set up in1986 and has emerged as the premier institute of design management and technology. It has produced a number of alumni over the years

like Rohit Bal, Ritu Beri and Manish Arora.

People from varying backgrounds come together and create a diverse yet collective environment. A variety of teaching and learning techniques are employed to impart knowledge and skills to students.”

Online apparel sales remained flat last fiscal

According to RedSeer Consulting. Online fashion and apparel sales remained flat last fiscal even as online horizontal marketplaces spent conservatively on marketing and advertising. Offline players posted an overall growth of 10-11 per cent, while offline retailers saw more than 20 per cent growth in business thus offline players gain lost ground in the fashion category.

Mrigank Gutgutia, engagement manager at RedSeer stated that Amazon has marginally grown in the segment owing to continued spends to promote the category it has Amazon India continued to be the leading advertiser across offline channels and the horizontal players have lost out in the fashion segment as the marketing and advertising budgets were trimmed in 2016. He further stated that the focus on high Gross Merchandise Value (GMV) categories, has led to the fashion category’s share of the GMV of ecommerce industry remaining flattish at 20-22 per cent.

According to Vasanth Kumar, executive director at Lifestyle International Max Retail Division organised retail in fashion has traditionally grown at 20 per cent year-onyear, though in FY 2017, this applied across premium and value categories compared to 2016, premium segments were under pressure. There is a limited growth for online due to the effect of demonetisation on cash-on-delivery orders. Though demonetisation had set back the business till February, the customer acquisition costs have gone down to one-third since last year this will make the apparel industry to grow.

Lights out at Indian malls The Indian mall story began the 1990s with Spencer Plaza in Chennai, Ansal Plaza in Delhi and Crossroads in Mumbai.

From these two malls to 720 malls (till the second quarter of 2016) Indian malls have registered exponential growth.

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However the vacancy ratio in retail malls is also increasing at a staggering pace. The country-level mall vacancy is a staggering 17 per cent. However, if we go city wise the picture is not that disappointing. Mumbai has a vacancy ratio of three per cent, Bangalore four per cent and Delhi- NCR five per cent. Further, the capital value of superior quality malls is much higher than that of residential properties. Still, many malls in India are shutting down. One reason is the unattractive ambience. Malls should have an attractive ambience like appropriate lighting, attractive décor, and soothing and peppy music. Mall owners should earmark sufficient space in the mall where unique attractions can be built to attract footfalls. The space utilised for attractions do not result in rental income, but they result in footfalls, which then leads to business for tenants housed in the mall.

Events bring in footfalls, which will result in business for tenants of the mall. Sadly, mall owners look upon organising events as an expense, which is best avoided. Result: shoppers too avoid such malls.”

Retail rents relatively stable Retail rents for the most expensive locations in shopping centers remained relatively stable in the first quarter of ’17. Of the 18 featured markets, almost all markets – including most sub-markets of Indian cities – recorded flat rents. A marginal appreciation of 0.5 per cent to 1.5 per cent quarter-onquarter was recorded in select sub-markets of Delhi-NCR and Mumbai.

Going forward, single-brand retailers (mainly fast fashion) and F&B operators

are expected to be the primary drivers of demand in the country’s retail markets.

Another trend over recent years in India has been the changing preference of several retailers towards the revenue-sharing model instead of the older fixed-rent model.

Revenue-sharing models typically followed by malls place different retailer categories in different brackets, for e.g. 12 to 25 per cent for F&B tenants; nine to 18 per cent for vanilla spaces; seven to nine per cent for anchor tenants; 3.5 to 4.5 per cent for hypermarkets and 3 to 3.5 per cent for electronics’ retailers.

The dichotomy seen in Indian retail rents continued in the first quarter of ’17, with high quality shopping centers continuing to outperform their average counterparts. The former also continue to attract foreign retailers.

Scotch & Soda, a leading Dutch brand, made its debut in India in the first quarter of ’17 with a store each in Delhi and Mumbai.

Yoga and Fitness apparel gains ground Indian customers are becoming more fitness oriented and adopting yoga in their daily lives. There has been a remarkable traction in products ranging from yoga mats to athleisure wear.

Yoga products under the sports category have seen a growth of over 225 per cent year on year. Urban cities have dominated this category with a 40 per cent demand; the top four cities being Mumbai, Delhi, Bangalore and Hyderabad. The other 60 per cent comes from Tier I, II and III cities.

Yoga mats lead this category.

The introduction of an International Yoga Day and the fitness wave among millennial have made active wear more mainstream.

With running, cycling and yoga becoming part of individual lifestyles, and corporates pushing fitness, active wear is fast replacing casual attire.

Active wear has become a new segment of casual or even professional wear, which is slowly eating into the share of regular T-shirts. For every four T-shirts bought, the third or fourth is a sporty or a yoga T-shirt. In bottom wear, yoga pants are eating into the share of formal trousers, khakis or denims.

Denim players are coming with yoga pantslike variations in denims. While active wear is at a 30 per cent premium compared to its casual counterparts, the category is witnessing a compounded annual growth rate of 25 per cent

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Messe Frankfurt holds 3 strong fairs this September in Paris Apparel Sourcing

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his is the number one platform in Europe for sourcing. It offers a range of products from international manufacturers like China, Bangladesh, Hong Kong, India, Taiwan and Pakistan. On display will be knits, dresses and blouses, bespoke tailoring, casual wear, sportswear, outerwear, corporate wear, accessories etc. for men, women and children.

Apparel Sourcing continues healthy growth and has already registered 25 per cent more exhibitors, a double-digit increase for each show. There will be a series of lectures about the latest developments in the sector, news from exhibitors and catwalk shows.

Avantex

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he show in September 2017 will focus on innovative fabrics. Avantex will build on activities that are crucial in developing new technologies in the textiles, clothing and accessories sectors.

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With over thirty exhibitors, the event is expanding to offer a vast range of textiles, which are becoming ever more technical and innovative and are showcased against a backdrop designed by the show’s artistic directors.

China, as always, will be represented by a major contingent. Jiangyin, a Chinese city, will be represented by some ten exhibitors.

Jiangyin ranks among the main bases for China’s textile industry and is the largest manufacturing center in the world for woolens (especially worsted and fleece knits). Jiangyin is counted among the 100 top industry clusters in China.

The trade show will attest to the diversity of research and development. Some amazing technical materials are likely to be seized on by the fashion sector.

Myanmar will be exhibiting for the first time.

Chiefly known for its range of casual wear, Myanmar will be showcasing far more technical products, one of the drivers for growth in the country.

t features international manufacturers specialising in fabrics, trimmings and accessories. Over 100 exhibitors will be coming to Texworld to attend the show for the very first time.

South Korea, Thailand, Pakistan and India will again offer pavilions with more than 20 exhibitors, sometimes with their own trends and research.

There will be a new segment, Texworld Denim. It will assemble 80 textile and clothing exhibitors who are experts in denim. Planned around a concept for stands that are easier to view and are variable in size, this new segment will have a new trends forum and a social village enlivened by a diverse program of meetings and presentations.

Vietnam will return with a pavilion housing ten stands. Turkey will have an increased presence, in particular with fresh solutions for children’s organic knitwear. The Chinese made-to-measure workshop will showcase from workshop to shop and from tradition to excellence.

Major Indian scarf manufacturers will exhibit shawls and scarves.

Peru is awaited with great interest. This is a country with a wealth of textile tradition going back 5000 years. It will present ready-to-wear collections for men, women and children and accessories made from one of the finest natural resources of the country: alpaca.

Texworld

A series of lectures about the latest developments in the sector, news from exhibitors, catwalk shows and the trends forum go to make up a varied and imaginative program.

Textile collections from Taiwan and an increased presence from component manufacturers, Korean and Chinese, will be fundamental at Avantex.

Avantex will have a wall of images to highlight the activities taking place there and will aim to demonstrate the links between technology and clothing through a series of presentations and round tables moderated by experts on the inherent issues in the market and which make up the exhibition: materials and components, clothing and accessories, prototype studio, smart retail.

THE ACCESSORIES SHOWCASE PARIS SEPT. 18 – 21, 2017

Monday to Thursday Paris Le Bourget , France Free entry online www.shawlsandscarves.fr.messefrankfurt.com

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Intertextile Shanghai Apparel Fabrics, new layout planned The 2017 autumn edition of Intertextile Shanghai Apparel Fabrics is all set to exceed last year’s sourcing options, 80 per cent of the available exhibition space has already been booked. The event will take place in China from October 11-13.

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his year the hall layout will make it easier to navigate around the fairground. All international exhibitors will be located on level 2 including in the International Halls (5.2 & 6.2), Beyond Denim (hall 7.2) and Accessories Vision (hall 4.2) – the latter two shared with domestic exhibitors.

The International Halls will host overseas exhibitors covering a diverse selection of quality products from around the globe, and include various Salon Europe featuring Italy’s Milano Unica Pavilion, France Pavilion, Germany Pavilion and numerous exhibitors from Belgium, Switzerland, Turkey, the UK and elsewhere, which will gather an impressive range of premium European-made fabrics and accessories.

Asian Pavilions from Hong Kong, India, Japan, Korea, Taiwan and Thailand will expand the sourcing options on offer.

In the meantime accessories and one of the two women wear fabric halls on level 2 all domestic exhibitors can be found on level 1, which will be further categorised by product end-use.

Intertextile Shanghai Apparel Fabrics is a comprehensive platform to showcase your supreme apparel fabrics and accessories.

There are lots of business chances to meet potential customer, explore new market opportunities, learn about next season’s trends, and add value to your business.

It is currently one of the biggest and most comprehensive apparel fabric and accessories exhibitions in the world, says Wendy Wen, senior general manager of Messe Frankfurt.

Intertextiles will reveal the autumn/winter 2018-19 international trends through exhibitors’ products and its marginal programme will contain Intertextile Directions Trend Forum envisioned by top trend forecasters from France, Italy, Japan and the US. Various opportunities will explain the upcoming trends in different consumer

markets. Industry topics, seminars and panel discussions will also be held by worldwide industry associations and leading experts. Exhibitors can present their latest products and innovations through this events valuable platform. InnotexSpace, which is a display zone, will be set up for innovative textile applications and technologies. China International Fabrics Design & Fabrics Creation Competition, will be held to recognise the design talents and innovators in the local market.

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S/S HK Fashion Week highlights Athleisure, Sportswear, Urban Essentials The Hong Kong Fashion Week for Spring/Summer will embark its 24th edition from 1013 July 2017 at the Hong Kong Convention and Exhibition Centre. The four-day fair is expected to receive some 1,100 exhibitors from across the globe, presenting an array of spring/summer clothing, garment, designer collections, fashion and clothing accessories, fabrics and related professional services. The concept of informality in dressing is adopted feverishly by fast fashion retailers, sports retailers, and even luxury retailers.

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he concept of informality in dressing is adopted feverishly by fast fashion retailers, sports retailers, and even luxury retailers. The trend to seeking a casual alternative to dressing is becoming more acceptable, amongst others, “athleisure”, which is defined as “casual clothing meant to be worn for both exercising and for general use” has become so popular that it has carved out a niche in the clothing industry.

Morgan Stanley’s 2015 report estimates that the sportswear industry will represent $83 billion in sales by 2020, or more than 30% growth. The Chinese mainland in particular, attributes the projected growth in the sportswear market to its booming middle class whom are now more aware of maintaining a healthy lifestyle.

The Hong Kong Fashion Weeks will be adding new elements, such as, following the Fall/Winter edition held last January, the two new zones- Fashionable Sportswear and Urban Essentials will again take centre stage at the Spring/Summer edition to encompass sportswear and casualwear respectively. The Thai female fashionable sportswear retailer, Wakingbee offers all kinds of sportswear for yoga, fitness and running as well as leisurewear. The fair is zoned to provide maximum exposure for different sectors of the industry such as high fashion and brand labels, as well as Fabrics and Yarn, Clothing Accessories and Menswear, Bags, Footwear, Gloves, and many more all at a glance.

Fashion parades will be arranged for exhibitors to present their latest collection to buyers to provide more promotional channels.

While the fair promises to be the region’s premier sourcing and marketing platform,

it is also a golden opportunity for information exchange within the industry. Renowned international trend forecasters, will be invited to unveil the latest trends ahead.

Co-organised with Hong Kong Research Institute of Textiles and Apparel (HKRITA) will also be organised. Also, during the fair a networking reception will be arranged.

Established in 1966, the Hong Kong Trade Development Council (HKTDC) is the international marketing arm for Hong Kong-based traders, manufacturers and services providers. The company promotes and organises international exhibitions, conferences and business missions for doing business with China and through out Asia.

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Junior’s Fashion Week ready to showcase the best kids’ brands Big names from India’s children fashion industry are ready to showcase their collections on the runway at the oncoming of Junior’s Fashion Week (JFW) to be held in Chennai, on July, 8 and 9, 2017. In previous editions brands like USPA Kids, Scullers, Biba, Max Fashions, Manyavar were amongst the many who showcased their collections at the JFW.

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platform for kids’ brands. The next edition of JFW, aims to continue working with brands dedicated to children’s fashion and lifestyle. These are not just apparel brands but also into shoes, accessories and furniture couture. JFW undertakes all aspects trending in junior’s world, so as to bring forth a statement which holds the summary of the season’s best trends through its platform.

JFW is a cauldron of creativity and innovations for industry’s heavyweights, providing customized solutions and alliances for established brands seeking to utilize JFW as an essential marketing platform.

Brand storytelling, promotional activities and media associations are a few highlights that enhance the uniqueness of the JFW.

In fact, Junior’s Fashion Week is positioning itself as a showcase for budding talent, which is a unique initiative that aims at seeking out the pool of emerging brands in children’s fashion segment to give them a professional platform to showcase their collection. It is an opportunity for manufacturers and brands who wish to make it big in the children fashion and lifestyle segment through guided and bespoke brand services.

Kids’ wear, as in adult clothing, favours both value and designer, providing a cutting edge to players. The ‘mini me ’syndrome and increasing purchasing power of parents makes it necessary for brands to give them a firsthand experience of their collection to ensure visibility and loyalty.

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Symphony of Weaves grabs attention at Textile India 2017 Positioned as the first ever global B2B textiles event in India, Textiles India 2017 inaugurated by PM Narendra Modi in Ahmedabad yesterday is on from June 30-to July 2, 2017. The show, aimed to showcase the strength of the value chain in India, brings to the fore the PM’s inspiring vision ‘From Farm to Fibre, Fibre to Factory, Factory to Fashion, Fashion to Foreign Exports’. It lays immense thrust on innovations in craft and design.

Describing India as a bright spot in the global economy, Prime Minister Narendra Modi urged global investors to invest in its textile industry and said the domestic market for apparel and lifestyle products will reach $160 billion by 2025.

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laimed to be the largest curated presentation of Indian textiles on the runway, the event unfolded the story of growth and development of Indian textiles sector and its transformation to become a global power. Giving it a unique touch, IMG Reliance Industries, curated and produced ‘Symphony of Weaves’, a unique fashion presentation celebrating the story of Indian textiles in the form of exquisite innovations in craft and design. The Symphony of Weaves fashion show was also attended by Union minister of textiles Smriti Irani, Ajay Tamta, minister of state for textiles, and industry commissioner of Gujarat Mamta Verma.

Inspired by the seven key notes of music that make up ‘Sargam’, the show celebrated textiles of India and showcased the entire spectrum through seven key segments covering cottons, silks, wools, embroidery, hand-dyed and hand printed, modern/ industrial and futuristic sustainable textiles of India.

Attracting global investors Describing India as a bright spot in the global economy, Prime Minister Modi urged global investors to invest in its textile industry and said the domestic market for apparel and lifestyle products will reach $160 billion by 2025. “India has emerged as one of the most attractive global investment destinations. This has been made possible by a series of sustained policy initiatives.”

Modi said “Ours is a nation of aspirational youth who wish to spend on textiles, apparel and handcrafted lifestyle products. The domestic market for apparel and lifestyle products, currently estimated at $85 billion, is expected to reach $160 billion by 2025.

This growth will be driven by the rising middle class.” He said based on the ‘Make-in-India’ initiative, the organised textile industry was being infused with the mantras of ‘skill, scale, speed’ and ‘zero-defect, zero-effect’ for scaling up employment, production and exports. “There is also a high global demand

for textiles and apparel manufactured in our country. India is the world’s second largest exporter of textiles, commanding a global share of around 5 percent. Indian textiles, including traditional handloom and handicraft products, are exported to more than a hundred countries.”

“Each state should appoint nodal officers dedicated to a few well-known products who would facilitate producers and traders across the value chain. The intervention should start from production to export of garments.

It should meet the specific requirement of domestic as well as export markets.” He called for an action plan to study and map the requirements of people in large global markets and monitor new trends in fashion and textiles in these areas on a real-time basis.

Celebrating Indian artisans’ Leading Indian designers joined hands with master-craftsmen to showcase their work in heritage handlooms, handicrafts as well as modern and futuristic textiles. The textile panorama spans across regions and states of Northeast India, Gujarat, Maharashtra, Jharkhand, Karnataka, Andhra Pradesh, Telangana, Assam and many more. The fashion show featured the designs from a combination of 31 established and emerging designers and master craftsmen/weavers from across different textile traditions, languages and states of India.

The embroidery category was presented by eminent designers such as Anamika Khanna, Anita Dongre, Manish Malhotra, Ritu Kumar, Rohit Bal, Sabyasachi, Tarun Tahiliani among others. Young gen next label Poochki collaborated with Master craftsman Berulal Chippa from Rajasthan to showcase Bagru handicraft and Vineet Rahul collaborated with Mohammed Yusuf Khatri from Bagh, Madhya Pradesh to showcase Bagh handicrafts in high end fashion. Gaurav Gupta and Pankaj & Nidhi presented modern textiles and in the final segment Abraham & Thakore, Amit Aggarwal, Hemang Agrawal and Manish Arora presented modern and futuristic textiles that included man-made fibres, metal yarns and sustainable recycled fabrics.

The story of the evolution of cottons in India was showcased by designers such as Anavila Misra, mastercraftsmen Chaman Siju from Kutch and Richana Khumanthem from Manipur as well as Wendell Rodricks for Goa Kunbi Cotton Handlooms. The rich legacy of Indian silk included Banarasi Silks

by Sanjay Garg, Meghalaya Ryndia Silk by Daniel Syiem and Tussar handlooms from Jharkhand by Shruti Sancheti. Rahul Misra and Rajesh Pratap Singh among others showcased the story of evolution of Wool.

Designers’ take A strong artisans and designers’ partnership is paving newer avenues of growth for textile growth in India. Anita Dongre says it’s for the first time that such a large initiative is done by the textile industry that everyone has come together to showcase what they got or are known for. Our textile industry is very versatile and no other country has this versatile textile industry like ours, so it’s good to see so many foreign buyers coming under one roof.

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Textile India 2017 brought forth India textile advantage The just concluded Textile Conclave 2017 at Gandhinagar attracted several industry heavyweights discussing the next level. Topics ranging from cotton production, colours, trade to retail, etc, were discussed on Day 2 of the event. During a roundtable conference, ‘Market Linkages with Retail Chains’, R Vishwanathan, Marketing Consultant, Former Indian Ambassador, highlighted how India is emerging as a favourable destination for Latin America as they want to reduce their dependency on China for imports and are looking to diversifying their markets. With increasing opportunities, Indian producers have started exporting handcrafts garments to the EU, US and other nations through Amazon. Amazon has eliminated middlemen, which has led to the growth of Indian producers to a large extent.

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tatistics indicate Indian textile exports to Latin America in the last fiscal were higher than India’s exports to a lot of other countries such as Canada, Russia and Central Asia. Indian exports to Mexico were $3.5 bn last year, more than to Thailand ($3.1 billion), Russia ($1.9 billion) and Egypt ($2 billion). India is third largest supplier of textiles to Latin American nations and fourth largest for readymade garments.

highlighted the importance of using biotech, better irrigation and mechanisation in textile industry. The panelists discussed that cotton consumption in India has increased from 2641 per cent and total world consumption is 24.57 per cent. India is the largest cottonproducing country and the second largest consuming country. Cotton and cotton textile account for one third foreign exchange revenue for India.

Enhanced cotton crop production In the last 16 years, the area under cotton production doubled. Gujarat has the highest production in India, following Andhra Pradesh and Haryana. India’s export of raw cotton has increased in significant years, while import has decreased. Panel discussion on ‘Trends in India Cotton’ highlighted that despite producing the finest quality of cotton in the world, India has to sell cotton in discounted price because of certain contamination. Only about 2.5 per cent of cotton is tested as compared to the other countries. Siddhartha Rajagopal, ED, Texprocil discussed that cotton industries should understand the requirements and pay attention towards the finishing levels.

Another panel discussion ‘King Cotton – Regaining the edge in Global Market’

Attracting investors During an investors’ meet, Union Minister of Textiles Smriti Irani said that she is looking forward to participation from the world in promoting textile industry in India and announced that it is the golden era for development of textile industry. At least 65 MoUs were signed at the fair. The MoUs, related to exchange of information and documentation, commercialisation of handloom and silk products, skill development, supply of cotton and trade promotion with international partners, and R&D, were signed between various international and domestic organisations.

Emphasising that India’s textile industry has the potential to double its growth rate, textile giants stressed on strategic branding and style positioning in the industry. Eric Duchamp, Worldwide CEO, Peclers Paris, stated that India’s textile industry has the potential to double its current rate of growth.

There is a need for India to focus on strategic branding and style positioning in the textile industry.

Ajoy Sarkar, from the Fashion Institute of Technology, New Jersey, said India’s legacy fibers, like jute and silk, could be improved upon through the use of technology. Branding is nothing but quality assurance and that a

brand is all about functionality. Hence, it is important that availability, accessibility and assurance of quality are made priorities and worked upon, said Gaurav Mahajan, President (Apparel), Raymond Group.

At a session on future of tribal weaves in India, speakers harped on the unique nature of tribal weaves and how they were different from many traditional weaves found in other regions. Mukti Gogoi, Commissioner and Secretary, Textile, Sericulture Department, Assam, informed that tribals are extremely good weavers but due to their relative isolation, they don’t produce traditional designs. Rajeev Sethi, Founder, the Asian Heritage Foundation, said tribal weavers were facing stiff competition from cheaplymade fibres, which were replacing their rich fibres. However, he feels that Intellectual Property Rights can help creators of these weaves. Madhura Dutta, Executive Director, All India Artisan and Crafts Workers Welfare Association (AIACA), said there was a mismatch of expectations between buyers and retailers regarding products and hence it was a must to educate buyers.

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We have a lot of innovations and opportunities to offer

Manikant Jain Director “Atam Labels, has been one of the leading label manufacturers and supliers of garment accessories since last three decades. It has been servicing the apparel and retail industry with its innovative and cost-effective solutions.”

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tam Labels is not only a design-oriented company, it is a production-oriented company. The company concentrates on middle-segment apparel manufacturers, and this segment works very well for them in terms of development and production.

Atam is one of the oldest companies in the garment accessories category. It’s into woven labels, buttons, and paper tags.

Metal accessories.

The group works with leading Indian garment brands. Pan- Indian brand Atam has some dealers and self offices in different cites of India and now working with over 200 brands directly.

Atam is a one-stop solution for all garment Branding solutions.

The company is constantly increasing it’s capacity, developing new techniques, and new concepts. Sourcing of concepts, presentations and R&D is forte of Mr. Mani. Our latest innovation is coming in imitation leather labels with printing and embossing.

We have a lot of innovations and opportunities to offer. We are increasing our strength in Export market very soon.

Middle-segment brands are growing in sales, because there is not much competition in that sector for them. For apparel products above the price range of Rs. 2000, there is a lot of competition with international brands.

Atam Labels is not only a design-oriented company but it’s a production-oriented company. The company concentrates on

middle-segment apparel manufacturers, and this segment works very well for them. All the company wants is volume of business and good returns and payments in time. So, it is focusing on those brands where it can find these things. The company develops technology by keeping these domestic brands in mind.

Since middle-segment brands face no competitive scenario, they experience growth, allowing them to increase their volume. Additionally, they make prompt payments. So, they offer distinct advantages.

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Aditya Birla Fashion and Retail hits new high

The Aditya Birla Fashion and Retail (ABFRL) stock hit a new 52-week high last week. The stock has gained 17 per cent in the last two-and-a-half months as the company demonstrated better profitability in its premium brands business and laid down a growth trajectory for the value fashion business Pantaloons.

GST is expected to help strengthen companies in the formal sector such as ABFRL. Net of input tax credit, the proposed tax rate works out to be lower than the existing tax rate. The low rate will aid the value fashion business segment, Pantaloons.

large accumulation of debt. Now, it faces a mismatch in timing of cash inflows and outflows, creating severe financial stress.

against last Ramzan. Another product whose business has seen a welcome boost in the Old City is attar (perfume).”

The company, in its 2015-16 annual report, listed factors such as demand slump, investment calls going wrong and fluctuations in foreign exchange as key reasons for its poor performance.

Harmful to skin, fake labels seized in Bangalore

Its investments in retail, both in India and the UK, did not pan out as expected.

While it closed operations in India, the UK business is still burning cash. The diversification into real estate, although intrinsically value creating, failed to give any asset appreciation and essentially locked up large capital.

Alok is a fully integrated textile company with a dominant presence in the cotton and polyester segments. The company is engaged in manufacturing of textile, including mending and packing activities, leather and other apparel products.

Apparel, jewelry sales fall in Hyderabad this ramzan

The company is trying to improve Pantaloons’ market position through greater reach, competitive pricing and better product cycles. It reduced prices last fiscal.

As the strategy drives volume, ABFRL aims to improve profitability at Pantaloons. To recap, Pantaloons performance in the past quarter was impacted by store closures and prolonged end-of-the-season sales.

But as business stabilizes and new stores add to sales, Pantaloons is expected to see improvement in profitability this fiscal. Pantaloons is a turnaround story and expected to sustain its robust run and gradual margin improvement. While these expectations are driving up the stock, an improvement in profitability (both at Pantaloons and ABFRL) will be crucial for the sustainability of the stock’s outperformance.”

Alok Industries faces insolvency action

Fake labels or cheap imitations may seem a tempting deal but wearing such a garment can be dangerous to health. A racket has been unearthed in Bangalore. Clothes are purchased in bulk from Tirupur and other places. Chemicals and dyes are used to give the garments a fresh and unwrinkled appearance before being passed off as products of well-known brands.

Garments were seized with tags of Louis Philippe, Allen Solly, Puma, Nike, U.S. Polo and other famous clothing brands. It’s suspected that these chemicals can harm the wearer of the garment. For one the chemicals used for enhancing the texture and color of garments can cause dermatitis.

These chemicals can cause infections and allergy and can lead to complications in some cases.

Most of these fake products are sold in rural areas. Even the actual manufacturers find it very hard to differentiate between the original and fake products. There is a huge market in India for fake copies of luxury brands selling everything from clothes, shoes, watches, accessories, phones and other electronics.

Garment traders in Hyderabad say sales are down by 50 per cent this Ramzan. They say sales have decreased by 50 per cent this time against Ramzan last year. The streets don’t hum with activity the way they used to. Many shopkeepers across the areas of Madina, Pathergatti, Gulzar Houz and Charminar in Old City speculate that the stark fall in the sale of certain products is an after-effect of demonetisation and most of the ATMs in this part of the city lying dry has also impacted customer footfall.

Bangalore is turning into a hub for counterfeits as the demand for goods, especially high-end footwear, clothing and accessories, is high. In some cases, the fakes are brought in from other states but a number of manufacturing units that specialize in copies have also opened up in the city.”

India’s inflation rate drops

Some also say that the date of reopening of schools has also impacted consumer demand, stating that the compulsion to pay skyrocketing school fees for their kids has dug a hole in parents’ pockets.

Lenders to Alok Industries will start corporate insolvency proceedings against the textile firm. The textile company reported a consolidated loss of Rs 3,071 crores on an income of Rs 8,919 crores in 2016-17. It had booked a loss of Rs 4,367 crores on revenue of Rs 12,929 crores in 2015-16. The company created large capacities through debt funding to cater to global demand, but with the slowdown in international markets, it was hit badly. This capacity creation was accompanied by a

The dresses which are trending this Ramzan, according to shopkeepers, are tail-cut salwar-suits, an exquisitely cut-out velvety dress with heavy embroidery and veil gown. Frock gowns and salwar-suits made out of cotton silk have also gained popularity this Ramzan.

Sales of junk jewelry have fallen by half.

Shops that sell the glittering baubles wear a deserted look. However skull caps and burqas have seen an improvement in sales

India’s annual rate of inflation dropped to 2.17 per cent for May 2017 over May 2016. The index for manufacturing of apparel declined by 0.4 per cent in May 2017 from April 2017 due to lower price of leather garments, including jackets and shirts. The monthly wholesale price index for manufacturing of apparel declined by

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0.4 per cent in May 2017 from April 2017 due to lower price of leather garments, including jackets and shirts. The index for all commodities for May 2017 declined by 0.4 per cent from the previous month.

The index for manufactured products for May 2017 rose by 0.4 per cent from the previous month. The index for the textiles sub-group increased by 0.3 per cent from the previous month due to higher price of cotton yarn and manufacture of other textiles, texturised and twisted yarn and manufacture of made-up textile articles.

However, the price of synthetic yarn and manufacture of knitted and crocheted fabrics and manufacture of cordage, rope, twine and netting declined.

The index for primary articles declined by 1.5 per cent from the previous month. The index for fuel and power also declined by 2.1 per cent from the previous month due to lower prices of LPG, bitumen, electricity, naptha, ATF, petrol and HSD. However, the price of petroleum coke, lignite and kerosene moved up.”

Luxury fake brand goods seized in New Delhi

Retail outlets may be selling fakes of luxury brands such as Gucci, Louis Vuitton and Prada. A syndicate importing counterfeit goods of international brands from China has been busted. These goods were being sold in retail outlets of the high-end brands in Delhi as originals. And it’s possible some of them might have also reached such outlets in Mumbai. A consignment contained nearly 3300 women’s handbags with names of international brands such as Gucci, Louis Vuitton, Chanel, Michael Kors, Prada, Burberry and Versace, and 4,500 pairs of men’s shoes with names such as Prada, Adidas, Tom Ford, Balmain Paris and Gianfranco Ferre.

The containers also had gaming accessories like joysticks branded as Sony, Microsoft Xbox and Nintendo. Though the items had the logos and stickers of reputed brands on them, they were first copies of the original ones. The quality and finish of these products is so good it is very difficult for consumers to differentiate between the fakes and the original goods. Brand owners have been informed about the counterfeit goods.

However there are consumers who are happy to get knock-off designer items for knock-down prices. They who are aware there may be issues about quality and copyright - but don’t actually mind.”

Malls found to violate safety rules

Nearly 80 per cent of shopping malls in Gurgaon are ill-equipped to handle emergencies like earthquake or fires. This is what a report of the department of town and country planning says.

Nearly 25 out of 30 malls have encroached upon open space and basement area, compromising on the safety and security of visitors. They include big names like Ambience, Raheja and ILD that have

encroached up to 1.10 lakh square feet of area. These malls carry out commercial activities near entry and exit points, escalators, basements and common areas/ circulation areas as against the norms and approved plans, which may lead to serious mishaps in case of emergencies.

Visitors face risks due to encroachments.

Many shops, kiosks, coffee shops, restaurants, offices and cosmetic items shops exist in the basement and common area and even in front of the firefighting equipment and the exit area. This is in violation of approved building plans and makes these areas as high risk zones in case of an emergency.

As per rules, common areas should be vacant and escalators, lifts and exit points should be clearly visible for smooth movement of people in case of an emergency. But in most malls access to these areas is obstructed due to unauthorised shops and kiosks.”

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Retail grows at 14 per cent

The retail industry in India is expected to grow at a rate of 12 to 14 per cent over the next four years. The growth will be on the back of more demand with higher incomes, job creations and improved standard of living. Other factors include higher discretionary spends and higher participation of producers/retailers in the organised retail market, discounted and promotional pricing, increased number of products and more private labels.

Easy credit availability, increased use of plastic money, increased discretionary spending, growing female working population have also contributed to the growth. Factors like favorable demographics, rapid urbanisation, rising income levels and per capita expenditure also contribute.

The retail industry in India constitutes over ten per cent of the country’s GDP with around eight per cent of employment and is valued at 672 billion dollars at present.

Currently, India’s organised retail market is valued at about 60 billion dollars, which is only about nine per cent of the sector, whereas the unorganised retail market accounts for the rest.

India has occupied a remarkable position in global retail rankings; the country has high market potential, low economic risk, and moderate political risk. India’s net retail sales are quite significant among emerging and developed nations; the country is ranked third after China and Brazil.”

Vardhaman expects cotton prices to fall, revises earnings estimate

Vardhaman Textiles has cut its earnings per share estimate. There are two reasons for this. One is that it expects international cotton prices to fall up to eight per cent. Second is the uncertainty with regards to GST. Since the area under cultivation next year is expected to be much higher, and the overall crop seems to be better compared

to this year, there is an expectation of higher inventory and so a drop in prices.

The company feels that going by all the input credits available on the services and other things, there may not be any adverse impact on the cotton yarn side.

Vardhaman makes almost all types of yarn, barring a few synthetic yarns like 100 per cent polyester. Otherwise it is a pioneer in cotton, cotton blended, cellulosic.

Vardhaman has 1.1 million spindles and it makes 6, 00,000 tons of yarn a day. Of the total capacity one-third goes for captive consumption. Another one-third goes for the Indian market. And one-third goes for exports. The company uses innovative fiber blends and it has special products to cater to customers’ needs. Today 50 per cent of its production is of value added yarns for India. For the third quarter of financial year 2017 Vardhaman Textiles’ consolidated revenue for the quarter saw a 0.3 per cent year on year decline.”

V-Bazaar wins retailer award

V-Bazaar has won regional retailer of the year award 2017. V-Bazaar one of the largest family fashion retail store chain in North India, bagged the Best Retailer award conferred by Indian Retail and e-Retail organised by Franchise India for their contribution in the Indian retail industry.

The parameters on which V-Bazaar won this coveted title are presence in various untapped cities, product quality, targeting aspirational young class of the society, and above all by winning customers’ trust.

V-Bazaar, based in New Delhi, is a fashion and apparel retailer. V- Bazaar is a complete family fashion store which brings trendy and fashionable merchandise to every category of people, in reasonable prices by eliminating the middleman between manufacturers and customers.

It is eyeing a Rs 500 crore revenue in the next three years and plans to add up to 45 new stores in Tier II and III cities. The company will invest between Rs 75 crores to Rs 90 crores to open 40 to 45 new stores in Tier II and III cities of Bihar, Jharkhand, Uttar Pradesh, Gujarat, Rajasthan and Uttarakhand.

At present, V-Bazaar is operating 14 stores in Uttar Pradesh and Bihar and had a revenue of Rs 44.8 crores in the financial year 2016-17.Currently 40 per cent of the company’s revenue comes from men’s

apparel, 25 per cent from women’s apparel, 23 per cent from children’s apparel and 12 per cent from general merchandise.”

Welspun’s Spin Tales grows 25 per cent y-o-y

Welspun’s new initiative, in smart textiles, is in home décor that features augmented reality-infused duvet covers and rugs for kids. Called Spin Tales, it has launched in Toys “R” Us in the US and on Amazon.

It has also recently launched in Lifestyle stores in India, and will be followed by Hamleys and QBC in the US. Welspun already has licenses for Minions, FC Barcelona, Wimbledon and Royal Ascot.

Welspun clocked Rs 125 crores in revenues in FY17 in this division, registering a growth rate of 25% y-o-y. With the target for FY18 set at Rs 250 crores, e-commerce too will play a key role for the company, not only in India but globally as well. To this end, it has got on board e-commerce directors in the US and the UK. However, getting into the discounts’ game is not something Welspun wants to focus on. As a result, the brand has not only partnered with big e-commerce players but specialised platforms like Pepperfry in India and Wayfair in the US as well. It also intends to get into the QR codes play going ahead.

Welspun a Mumbai-based home textiles company, wants to be a two billion dollar, debt-free company by 2020. The US continues to be a key market for Welspun.

Currently, the US contributes around 65 per cent to its business, with 25 per cent to 30 per cent coming in from the rest of the world, and five per cent from India.

Recently Welspun has set up Wel-Track, which traces cotton from its source to the point-of-sale, the company is bringing in traceability to the fore with plans to chart the brick-and-mortar route ahead.

Duke wins MSME award The Micro, Small and Medium Enterprises (MSME) award has been given to Duke for outstanding quality in readymade garments.

Duke is active in categories like active wear, thermal wear, winter wear and accessories.

Light weight sweaters, quilted interlocks and fancy jacquards are new innovations for the forthcoming season.

Duke has launched footwear for men.

These shoes are easy to wear as well as stylish and combine the look of a professional dress with the comfort and informality of casual wear. The sole

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BUSINESS NEWS having a difficult time. Most top of the line players - Shoppers Stop, Trent and Arvind have struggled to grow profits in the last three years. In the three months to March, Shoppers Stop reported a same store sales growth of just 3.1 per cent year-on-year. In fact, financial year’17 turned to be a tepid affair for the retailer. It reported an increase in net sales of just 3.4 per cent.

provides optimum traction on all types of surfaces while the techno lining wraps feet in comfort and offers enhanced foot motion.

The target audience is today’s youth who is looking for a trendy and stylish range that is sync with international designs, fashions and quality. The footwear collection channels the excitement and iconic style of California. The brand has a marketing network comprising over 4000 multi brand outlets and over 360 exclusive stores across major cities in India. Moreover the products are also exclusively placed at big chain stores like Central, Reliance Trends, Reliance Market, Arvind Retail, Brand Factory, Spencers. It is expecting high growth in the e-com business in coming years. Duke basically targets rural markets and unexplored rural areas.”

Future Group to grow fashion business to Rs 12,000 cr

Future Group, which runs retail stores across the country under various formats, plans to grow its fashion business to Rs 12,000 crores in the current fiscal. Revenue from the fashion business is targeted to touch Rs 12,000 crores in the current financial year. Out of which Rs 3500 crores will come from the revenues of Central, a lifestyle departmental store owned by the group”, says CEO of Future Group Kishore Biyani.

Opening its first Central departmental store in the metropolis, Biyani says that another 15 such outlets will be opened across the country by the end of this financial year, thus taking the total to 50.Future Group was also planning a second Central store at the famous Metro cinema building, now closed, located in the heart of the city at Esplanade.

He further adds that because the building had been accorded the heritage status, the facade would remain unchanged. The group had also collaborated with the West Bengal government to open `Biswa Bangla’ outlets at all Central stores across the country. An outlet of Biswa Bangla had already been opened in the first Central store here.The group also operates fashion stores across formats like FBB and Brand Factory.”

FY 2017 a tepid affair for top retailers With online shopping becoming increasingly popular, brick and mortar retailers are

Future Lifestyle and Fashion posted a nine per cent rise in net sales. Trent-which runs Westside and Star Bazaar-saw net sales fall 26.4 per cent. With top lines under pressure, retailers have found it hard to cover the high costs on rents, employees, inventory costs and other expenses. Gross margins have been under pressure. Ebitda margins too were under stress. Ebitda margins of Shoppers Stop fell to 4.1 per cent in 201617 from 4.5 per cent in 2015-16. High inventory costs have plagued retailers, in the three months to March, partly due to high stocks post demonetisation. While sales at Future Lifestyle and Fashion rose 16.11 per cent year-on-year in the March quarter, inventory costs increased 17.1 per cent year-on-year.”

H&M strikes a chord with Indians, turns profitable in just six months

H&M’s latest annual report states its India unit posted Rs 445 crores in sales for the year ending November 2016.

Zara reported sales of Rs 842 crores for the year ended March 2016. Home grown company Fabindia remains the biggest lifestyle brand, with sales of Rs 918 crores for the fiscal ended March 2016 and old brand Marks & Spencer had sales worth Rs 700-800 crores compared to other brands.

At present, Zara is the biggest international apparel brand in India. However, it has now been overshadowed by H&M, whose performance was the best the retail market has seen within the apparel space. The Swedish brand had 12 operational stores during November 2016, the financial year it follows. H&M stocks fast fashion designed in-house and teams up with designers to

create one time collections. It also keeps a large inventory of basic, everyday items sourced from places including India and Bangladesh that carry a lower price tag than most of its rivals a move that had prompted Zara to slash prices by 10-15 per cent for some of its merchandise last year.

H&M turned profitable in its first six months of India operations and posted Rs 194 crores in sales from four stores opened between October and March 2016.

According to a India Business of Fashion 2017 report the brand will open 50 stores with an investment of Rs 700 crores by 2020. The Indian retail market was worth $641 billion in 2016 and is expected to reach $1.6 trillion by 2026. Ecommerce companies could have added to their sales as well considering that apparel accounts for nearly 25-35 per cent of overall sales for the likes of Amazon, Flipkart and Snapdeal.

As per Franchise India, more than 50 midrange global retailers are planning to enter India within the next six months.”

Raymond to invest Rs 1,400 cr in its greenfield project in Amravati

To expand its cotton textile manufacturing footprint, Raymond plans to invest Rs 1,400 crores in a phased manner in its greenfield project at Amravati. The plant, when completed by this year-end, will employ 8,000 workers and produce linen, cotton shirting, denim and garmenting.

Raymond’s chairman and MD Gautam Hari Singhania says the project is in line with the strategy to expand cotton textile manufacturing footprint by creating worldclass linen, cotton shirting, denim and garmenting at the newly created textile park which is likely to be custom-built.

Over the next two years, the company plans to put up 300 Raymond shops and 200 other format shops under Park Avenue in tier-IV and tier-V cities. It currently has 1,100 shops in 450 cities. The company recently announced plans to manufacture from Ethiopia as the country has preferred access to certain developed markets.

Singhania says they are targeting export revenue of Rs 250 crores per annum from Ethiopia and will be using brand strength in India and tap neighboring markets in West Asia, Nepal, Sri Lanka and Bangladesh.

Though Raymond will make suits for leading global brands and retailers such as JC Penny, Express, Calvin Klein and UK brand suit supply from Ethiopia, it has no plans to launch its own brand in the US and Europe.

The company has committed 2.70 lakh man-hours to create fashion with Khadi.

It recently launched a branded ‘Khadi by Raymond’ in Mumbai.

INDUSTRY BYTES

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