Guwahati, April 7: Denimwear companies are taking the exclusive brand outlet route to showcase greater variety across segments in the Northeast market.
Till about a decade back, companies had marketed their products only through multi-brand outlets in the region but trends have changed over the past few years and thanks to diversification, companies now have more designs and variety to showcase, which is feasible only through exclusive outlets.
Bhawarlal Alok Kumar, makers of Camaro, a local menswear brand, opened a flagship store in Guwahati last week — the company’s first exclusive outlet in the country.
“We have been operating through multi-brand outlets spread across the country since 1991. The reason why we have come up with an exclusive Camaro store now is that we have diversified across product lines and have over 650 designs to showcase. A multi-brand outlet offers space only for limited stocks,” R.K. Patawari, managing director, Bhawarlal Alok Kumar, told The Telegraph.
The company, which has an annual turnover of over Rs 70 crore, plans to set up four more flagship stores in the country this fiscal.
“The Guwahati outlet has been set up on a 500 square feet area with an investment of Rs 40 lakh. We plan to set up four more exclusive stores this fiscal,” Patawari said. The store showcases an array of designs in denims in the premium segment, apart from casual trousers, T-shirts and formal wear.
Bhawarlal is focusing on the premium segment, with an eye on catering to every age group. “We do not have a target group. As a matter of fact, our denims appeal to people from all age groups,” he added.
The company does not see any competition despite the presence of multinationals. “Our premium segment products are priced 33 per cent less than the multinational brands. So, we do not see any competition. As it is, we offer quality products at value-for-money prices and as many as 12 colour options across 150 designs in our denims,” Saumar J. Sharma, business head of the company, said.
The denimwear market in the country has grown substantially in the past decade and is currently estimated at $1.5 billion. The market is expected to touch $2.1 billion by 2015. Improved manufacturing units, growing urban population, greater acceptability of denim at the workplace and increasing disposable incom-es have led to the growth of the denim market in the country.
Denim brands have a potential in all segments of the market. International brands such as Levis, Pepe Jeans, Lee and Wrangler have seen steady growth over the years.
The Northeast is one of the fastest growing denim markets in eastern India. Guwahati itself has as many as six Levis exclusive outlets and four Killer Jeans outlets. Besides, a number of Lee, Wrangler and Benetton outlets have come up across the region in the past couple of years.
Pepe Jeans, too, went the exclusive store way three years back. “We saw potential in the Northeast more than six years ago, when we entered the market through a distributor who supplied to multi-brand outlets. As the market grew, we set up exclusive Pepe Jeans stores three years back,” Neha Shah, manager (marketing), Pepe Jeans India Pvt Ltd, told this correspondent.
Pepe now has six exclusive brand outlets in the Northeast, of which two are in Guwahati. “We have signed up a location in a mall coming up in Guwahati and are also planning to open exclusive stores in Dimapur, Imphal and Agartala this fiscal,” Shah said. “Now that our brand has been established in the Northeast market, our strategy will be to open more exclusive outlets in the region and promote our brand campaigns in the towns through hoardings.”
Pepe has also unveiled its Spring Summer ’13 Collection in its stores recently. “We have also realised that brand consciousness and loyalty are very high in the region’s market, which is primarily youth-oriented. Coloured denims for men also do well here, thanks to fashion consciousness among youth. So we have introduced a good mix of easy-going fashion styles along with our washed down denims,” Shah added.
