Promod To Expand Its Retail Footprint In India; To Retail Via E-commerce
By 2025, Nadine Caux, Managing Director, Promod plans to open more than 100 retail doors in India and launch e-commerce with Rs 100 million
India is among Promod’s top five markets with a huge potential for growth. By 2025, the French fashion brand is ready to expand in more than 100 retail doors across India and launch e-commerce with Rs 100 million.
As part of its retail expansion plan, Nadine Caux, Managing Director, Promod informed that the brand is soon to open new stores and venture into an exclusive e-commerce brand website. The website will allow customers to order international styles and collect it in stores or vice versa. “Consumer satisfaction through this omnichannel route will attract more loyalty. As a fashion brand we have the vision to dress every woman, hence, we want our brand to be present across major cities as well as tier 2 & 3 cities in India,” said Caux.
The women’s wear market in India contributes 38 per cent of the total apparel industry. It is estimated to be worth Rs 1,11,467 crore ($17.5 billion in 2016) and is expected to grow at a CAGR of 9.9 per cent to reach Rs 2,86,456 crore ($44 billion in 2026). This includes the Indian and the western wear markets. Promod holds a key majority in the current market and is paving its way to being the top five markets globally.
Highlighting the top fashion trends for 2018, Caux said, “Women want more style that reflects their cool, casual and easy feminine spirit. Trends like floral embroidery with embellishments on tops and denim; the play of light fabrics in print dresses and tops will rule the summer months,” she said.
Promod’s design team is working on fashion trends and draws inspiration from daily lives and activities. “Our India team shares style feedback from all its regions which culminates in a specific range for India. For eg., the denim fits are customised to Indian body type and for India, Promod has launched six styles,” she said.
As per the revenue projected, Caux is confident to grow at a very rapid pace over the next 10 years in all the channels with 1000 cr + by end of the 10th year. Talking about the future of fashion, Caux said, “Denim is a high growth category in women’s wear and is expected to grow by a promising rate of 17.5 per cent for the next 10 years to become a market of Rs 10,209 crore from Rs 2,035 crore currently. Initially, the denim brands focussed primarily on men, but with the change in the demand and preferences, the brands have started catering to women consumers.” Women’s t-shirts and tops categories are also growing fast owing to the generic inclination for western wear categories. The women tops and shirts market is valued at Rs 2,236 crore and is expected to grow at a CAGR of 14 per cent to reach Rs 8,291 crore by 2026. The women’s t-shirts market of Rs 933 crore is growing in tandem with the growth of other casual wear categories and is expected to grow at a CAGR of 17 per cent to reach Rs 4,484 crore by 2026.
So how big is e-commerce for Promod? She responds, “We initially started with Myntra and the online response from Myntra has been very encouraging in year one. We are looking at offering around 2000+ styles in the coming year and looking at doubling our turnover. Also, we see tremendous growth in online shopping in the coming years, and will launch the portal to leverage this opportunity.”