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How do you see Apparel Retail industry growing in India? What is the mantra for making an apparel brand popular in the mass market keeping in mind the Indian consumer preferences and psyche?
Overall Indian Apparel and Clothing industry is expected to grow strongly at a rate of about 11% for the next 8 – 10 years. The current domestic textile and apparel market is worth about Rs. 2,200 bn and is expected to grow by 11% annually to reach over Rs. 6,500 bn by 2020.
To reach expected numbers we need to think beyond Factor Driven industry. Before 2005, the industry was largely Factor Driven (raw material availability, Labour availability, Government policy etc.), since 2005 it moved to be Efficiency Driven (vertical/virtual integration, manufacturing excellence, supply chain efficiency, diversity in product mix etc.), and now, 2012 onwards, it has to be Innovation Driven (Product, Design/Brand, Channels, Business Processes etc.).
For this, we need to re-invent the entire industry by collaboration across apparel value chain, focus/specialization by private players, building scale and thinking global and last but not the least, by investing in Innovation.
The Overall Take:
(Contd.)
How do you see Apparel Retail industry growing in India? What is the mantra for making an apparel brand popular in the mass market keeping in mind the Indian consumer preferences and psyche?
The Indian apparel market is a result of high complexities of a wide geographic spread and differences in consumer preferences across its varied cultural backgrounds. Moreover, the financial status and capabilities of Indians vary from extremely rich to extremely poor families, where the former can spend on anything they want and the latter are forced to go without a single meal for several days. Besides, some purchase decisions are made based on their status orientation or indulgence orientation. Furthermore, there are major cultural influences on the buying habits, which set in when the Indian consumers shop during their favorite festivals as a mark of good omen.
Apart from festivities, Indians really do not wear ethnic dresses and are more skewed towards western outfits these days. Fashions change every 5 – 6 months and so do the preferences. In terms of buying, we are more of what people would perceive about one’s personality type, rather than taking a strong purchase decision ourselves.
Previously, it was one shop for the family, and now everyone in the family has their own respective choices of shops. Apparels are usually bought from retailers who sell leading brands, after surveying the same at the best rate. The consumers usually look for the worth of the product and go for a deal where they get maximum value for what they pay. The buying habits are also changing from mom and pop stores to retail chains, fashion boutiques and finally online stores. We, at Federal Brands, have also launched our online store - www.livein.in in order to attract the growing number of online customers.
(Contd.)
How do you see Apparel Retail industry growing in India? What is the mantra for making an apparel brand popular in the mass market keeping in mind the Indian consumer preferences and psyche?
To become successful & popular in the Indian mass market there are certain fundamentals which any Brand needs to follow:
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Published on: 21/02/2012
DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of Fibre2Fashion.com.