Download
1 / 27
270 likes | 274 Vues
This report provides insights into the Indian apparel and accessories market, including key numbers and trends. It covers topics such as the increasing share of modern retail and e-commerce, specialty retailers, international brands, value for money, consumer behavior, casualization, fashion influencers, and the impact of millennials. The report also explores the growth of the women's apparel market and the opportunities in accessories. Additionally, it discusses the growing trend of social responsibility and the different business models driving e-commerce in India.
E N D
Indian Fashion Market : Key Numbers & Trends April 12, 2017 IFF, Mumbai
Apparel & Accessories Market in India ~11% Source –Industry Sources, Technopak Analysis 1USD = INR 64
Increasing share of Modern Retail & E Commerce US$ Billion 2020 (P) 2016 US$ 96 Bn US$ 63 Bn Traditional Retail Modern Retail E Commerce
1. Specialty Retailers Will Play A Bigger Role Till ‘80s Future 90s - 2000s Business of Fashion Bollywood Occasion Ethnic Import Bollywood Occasion Ethnic Import Create • Weak modern retail destinations • Under penetration of brands -Nil- Because apparel was a need based consumption for the masses Brands Specialty Retailers Sell Specialty Retailers Brands Department Stores Department Stores
2. Increased Focus Of International Brands & Retailers • A significant number of international brands have forayed into India and are focusing on rapid expansion • International brands (more importantly retailers) will continue to consolidate and expand, thereby increasing share of organised apparel market Presence of Key International Brands in India I Initiation IIExperimentation IIIFocus & Expansion
3. Brand Aggregators Dot Aspirational Fashion Space Aditya Birla Brands Reliance Brands Genesis Brands Arvind Brands v • Leverage benefits across :- • Advantage of Retail Challenges • Multi- Channel Retail • Low Customer Acquisition Cost and Loyalty
4. Value for Money Rules • Shift from ‘value plus’ to ‘trade downs’ • Look at more affordability across various income levels and different price segments • Focus on basics and ’security’
5. Indian Consumer Flirts With Brands &Retail Outlets • A woman’s wardrobe can comprise: • International brands • Domestic brands • Flea market • High street shops • Neighborhood boutiques
5. Women Display Heterogeneous Behaviour Across Products • Indian woman’s versatile behaviour based on her varied tastes is seen across product categories ranging from food, apparel & grocery, to personal care. Buys wide variety of brands Buys across price points &formats
6. Indians Skew Towards Having A Brand for Every Occasion COLLEGE AFTER COLLEGE/PARTY ETHNIC WEAR OFFICE WEAR
7. Casualization Drive Fuelling Growth for Men’s Segment • Indian men’s fashion quotient is lower than those of men in western countries, however their fashion sense is now evolving. They too are becoming aspirational and adopting latest fashion trends. This has given rise to ‘Casualization’ A Man’s Typical Wardrobe 30-40 years ago.. …and now 5 The men’s casual wear segment is projected to double over the next 5 years.
7. Casualization Among Women Is Fuelling Fusion Wear, Which Is Growing Further As Propelled By Desire For Comfort While percolation of ethnic wear is still the biggest differentiator between women fashion in India and elsewhere… Daily wear Bridal wear Occasion wear …The ethnic market is growing slower now, and casualization is fuelling ‘fusion wear’ of ethnic & western clothing especially in urban India. Fusion wear could have a limited timeline interest as women’s desire to wear western wear is increasing. Long kurti with jeans Ethnic skirt with western top Short kurti with jeans Kurti with Leggings
8. Fashion Influencers Are Heterogeneous (Unlike In West) Langford Town Bangalore 20 0 0 20 Pitampura N. Delhi Family Structure Upbringing Festivals & Social Events Ethnic background
9. Millennials Shall Dramatically Impact Indian Fashion • ~ 50+ mn Metro Millennials / ~ 400 mn in India • Completely synced • Confident & Individualistic • Increasing comfort with Shared or ‘Gig’ economy
10. Women’s Apparel Market To Be At Par With Men’s In 2024 • Womenswear is predicted to attain a share of 39% of the total apparel market in 2024, which is also equivalent to the predicted market share of Menswear in 2024 Market Share of Apparel Segments 2024 (P) 2014 % CAGR (2014-2024) 9.2% 10.4% 10.7%
11. Accessories will see higher growth momentum • Accessories to see the fastest growth across the entire fashion product range, both for men and women • Both revenue and margin driver • Opportunity for private labels and brand extensions
12. Social Responsibility Is In Trend “It is increasingly more expected to give back to the society and help those in need”
12. Social Responsibility Examples Nike’s Reuse-A-Shoe Scheme Levi’s Re-commerce Recycled Wool Coat Carbon Neutral Bra Sustainable Suit
13. Different Business Models Are Driving E-commerce • In developing markets, low penetration of organized B&M players created a space for E-commerce led businesses that are now expanding the multi-channel play
Online Fashion market is creating a buzz with the entry of large corporate and exit of players due to funding crunch Single Category Single Category Present 2014 Koovs Koovs Zovi Freecultr Voonik Yepme Myntra Myntra Acquired by Flipkart Curated/ Customer focus Curated/ Customer focus Marketplace Marketplace Jabong Jabong Limeroad Limeroad Aditya Birla W Biba Reliance Snapdeal Snapdeal Arvind Tata Flipkart Flipkart Amazon Amazon Shoppers Stop Yepme Multi Category Multi Category Source: Secondary Sources, Technopak analysis
14. Technology to Play a Bigger Role • Artificial Intelligence and Bots gaining momentum in consumer facing industries • IBM Watson, Amazon Alexa among others the early movers into AI • 3D printing represents a new approach to manufacturing which tightly integrates design, simulation and digital fabrication to create complex & customized products 3D Printed Dress By Bradley Rothenberg, New York Fashion Week
Learning From Indian Fashion Market (1/2) • Speciality retailers will play an increasingly important role as compared to brands and departmental stores • Apparel market has evolved from being a ‘need-based’ to a ‘lifestyle-based’ market • Value for money rules • Consumers today display heterogonous behaviour across products • The ethnic market is growing slower, and casualization is fuelling ‘fusion wear’ of ethnic & western clothing especially in urban India • This ‘fusion wear’ is perceived as more comfortable and trendy • Millennials (18 – 35) are the most important segment of the Indian apparel (& accessories) market at this time
Learning From Indian Fashion Market (2/2) • In ~next 10 years, size of women’s apparel market will be at par with men’s apparel market • Accessories will witness the highest growth • Social responsibility is a new trend which appeals to consumers • Online fashion market buzzing, with old and new formats coming together • Technology will play an important role
