Export of branded goods fetched about Rs 60 crore during 2002- 2003. The Madura garments brands Peter England, Allen Solly, Van Heusen and Louis Phillippe contributed between Rs 80 crore and Rs 100 crore to its total revenue. During the next two or three years the company wanted to increase their Planet Fashion outlets to 64 and Trouser Town outlets to about 20 (BS, Sep 6, 2002).
Owning the Park Avenue and Parx Brands, the high profile RGI major Raymond is quite aggressive with acquisitions. To complement its product offering it acquired the Chennai based Colour Plus, which gave it a presence in the super premium category as also an outfit in Portugal that would give it access to European and other markets such as Sri Lanka, Bangladesh, Nepal, etc. To address the growing market for women’s wear the (Rs 1000 crore turnover) the company has launched a line under a brand name for which it has roped in the services of designers such as Ritu Beri and Rohit Bal. The company has a dominant position in the domestic worsted suiting fabric market. To capture action in the denim market, the company has merged its subsidiary Raymond Calitri Denim with itself and is also in the process of doubling its denim capacity from the current 10 million metres.
Bombay Dyeing, mean while has picked up a 51 per cent stake in the sports wear company, Proline India in 2002 to strengthen its presence I RGI. Bombay dyeing has 540 exclusive showrooms while Proline has 30 exclusive outlets. Both partners aim to take the turnover to about Rs 100 crore with brands such as Vivaldi Proline and Fila. The 132 year old company with a turnover of nearly Rs 1000 crore is looking for a foreign partner as well to take it to greater heights ( BS, Jab 16, 2003)
Zodiac Clothing Ltd.: (Rs 110 crore turnover company), has 78 exclusive shops in the country, but bulk of its sales come from the 20,000 odd multi brand outlets. It has decided to merge its subsidiary Mayfair Ltd. with itself with a view to have a firm grip over the domestic market. The company began its operations in India in early 1960s, exporting garments to Europe and it forayed into the domestic market in the 1980s (focus areas: shirts and ties). To gain some foot hold in the retailing industry the company has increased its stake in Shopper’s Stop to 2.11 per cent during 2001-02 . Its entry into the casuals market with the zoo brand was not highly successful . The takeover of (year 2001) Metropolitan Trading Company in the UK should help it achieve better volumes on the export front in the days ahead.
Indus – League Clothing Ltd (Rs 80 crore turnover company) – which owns the Indigo Nation Brand – has roped in the services of cricketer Anil Kumble to convey its brand image being owned by a young successful urban male’s choice. It has also come out with a women’s wear line Scullers brand to be sold in all its 60 showrooms (to be increased to 100 by Dec 2003) throughout India. It has also joined hands with Reliance Industries in order to promote the Reliance – Indigo Nation brand through RIL’s 40 old Vimal outlets across the country.
Readymade: some facts-
1) Market penetration of all companies in readymades is only 20 per cent mainly in the mid- price segment.
2) Market size of shirts in mid-price segment is about 30 million and the premium segment about 6 million.
3) Market size of trousers in mid-price segment is about 12 million pieces and 3 million in the premium.
4) The penetration level in the suit market is just 5 per cent, Indians mostly go for Terri wool suits
Source: Strategic Management