COVER STORY
Hot-selling products in Indian Retail Market
Trouser: Growing annually at around 30 – 35 per cent and expected to maintain a growth rate of CAGR 8 per cent from here on till 2023, trouser is considered as one of the fastest growing segments. Market in this product category was estimated to be at US $ 3.40 billion in 2013, which is expected to touch US $ 7.4 billion in 2023.
Denim: Standing at mere US $ 2.8 billion in 2016, the youth-driven Indian denim market is expected to grow at Compound Annual Growth Rate( CAGR) of 9.7 per cent to touch US $ 10.82 billion by 2026. Of the total market, men’ s denim segment accounts for 84 per cent of the market while the women’ s denim segment and kids’ denim segment comprise 10 per cent and 6 per cent, respectively.
Shirt: Shirts account for 12 per cent of the total market in which men’ s shirts hold a percentage share of 94 per cent while women’ s shirts makes up for the remaining 6 per cent. In 2017, the domestic shirt market was estimated at US $ 5.83 billion, which is expected to touch US $ 10.1 billion by 2027, growing at a CAGR of 6 per cent.
Knitwear: Of late, Indian fashion retail is witnessing a huge demand for knit products with the knitwear market expected to grow at a promising rate of 9 per cent over the next decade. Category-wise, men’ s section accounts for 40 per cent of the total knitwear market, followed by women’ s section with market share of 34 per cent while boys’ and girls’ sections attribute for 18 and 8 per cent, respectively.
T-Shirt: The current size of the T-shirt market in India is estimated to be US $ 3.38 billion, which is expected to touch US $ 9.03 billion by 2027. The size of the T-shirt market in India is estimated to grow at a promising CAGR of 10 per cent over the next decade. The T-shirt market of India comprises of Polo T-shirts, Knit T-shirts, Henley T-shirts, Knit Tops, etc.
Jackets & Sweater / Winterwear: Initially a necessitybased market, rising lifestyle habits is giving a boost to winterwear, which in 2016 stood at US $ 2.45 billion and is expected to touch a whopping US $ 4.23 billion by 2026, growing at compound annual growth rate( CAGR) of 6 per cent.
Innerwear / Intimatewear: Categorised into men’ s and women’ s, innerwear is a key segment of the Indian knitwear market that is expected to grow at a CAGR of 10 per cent in the next 10 years. The current market size of the innerwear market is worth US $ 4.07 billion, which is estimated to touch US $ 10.82 billion by 2027.
Athleisure / Activewear: From 2015 to 2016, the Indian sportswear market grew by 22 per cent, outpacing the segment ' s global increase of 7 per cent. By 2020, it is expected to grow at an additional 12 per cent CAGR with sales expected to reach US $ 8 billion. The huge demand of leggings, pyjama sets, jeggings, exercise pants, sports bra, etc., is propelling the growth of athleisure / activewear market.
Being Human, etc., are also quite successful in the domestic market. And there are hundreds of small brands too which are becoming popular. The major Indian companies that account for a large chunk of Indian retail are – Future Group, Arvind Brands, Reliance Retail, Shoppers Stop, Trent, V2Retail, V-Mart and Tristar Retail.
Arvind Lifestyle Brands is home to many international brands like Gap, The Children’ s Place, IZOD, Ed Hardy, Aéropostale, Gant, Hanes, Arrow, Flying Machine, Cherokee, US Polo, Elle, Excalibur, Nautica, Calvin Klein, Sephora, Unlimited, Geoffery Beene and Ruggers. In the meanwhile, Provogue( India) Limited, a public listed company is a menswear fashion brand of contemporary clothing available through more than 350 doors across 73 cities pan-India. Reliance Retail operates some 419 stores across India for top foreign brands including Marks & Spencer, Vision Express, Quiksilver, Diesel, and others.
On the other hand, the mass market has two major players – V-Mart and V2 Retail. V-Mart Retail primarily operates in Tier-2 and Tier-3 cities and across northern, western and eastern parts of India. The company currently operates 109 stores across 91 cities and offers fashion garments at down-to-earth prices, targeting over four-fold jump in revenue to touch Rs. 2,500 crore( US $ 391.71 million) by 2020 with smaller towns expected to be its key growth drivers. V2 Retail Ltd. is one of the fastest growing retail groups in India selling apparel and non-apparel products. Currently, V2 Retail Ltd. is managing over 5.56 lakh sq. ft. space with a turnover of Rs.
559.4 crore( US $ 93.2 million) in FY’ 18 growing 19 per cent over FY’ 17.
Today, Tristar Retail Private Limited is recognised as one of the leading players in retail running branded stores across India. The company has established association with leading brands in India like Reebok, Levi’ s, John Players and Levis Signature with 150 individual branded stores and presence across 47 cities and 9 states. Another retailer to watch out for is Trent that owns and manages a number of retail chains in India. The company runs lifestyle chain Westside, one of India’ s largest and fastest growing chains of lifestyle retail stores. It has 73 stores across India, which offer clothes, footwear and accessories for men, women and children. Fashion Yatra represents the stores that bring quality fashion at low prices to value-conscious customers in towns across India.
Shoppers Stop Ltd.( SSL) is India’ s prominent retail group and a pioneer in the organised retail industry in India with 74 stores in 33 cities. Shoppers Stop offers a wide assortment of national and international brands across categories such as fashion apparel, accessories, cosmetics, perfumes, home and kitchenware. With a strong business model, the company is well equipped for a stable growth trajectory. In FY 2014 – 15, Shoppers Stop Ltd. achieved a gross retail turnover of Rs. 34.05 billion( US $ 544 million).
As India’ s leading retailer, Future Retail Ltd. serves customers in 95 cities across the country through around 10 million sq. ft. of retail space. Under Future Fashion, the company owns a portfolio of 24 leading brands. Future Lifestyle
16 Apparel Online Bangladesh | October 2018 | www. apparelresources. com