Fashion Marketing and Retailing
Assignment /Project Title: Study an existing apparel brand in the market, its format, product profile, positioning, assortment strategy, store layout, marketing strategy vis a vis closest competitors.
Brand Chosen: Forever New.
ByArushi Jaiswal 10050221022
Indian Retail Sector Pune Retail Scenario Forever New Introduction Forever New in India STP Marketing Mix Forever New Pune Brand Portfolio Competitive Analysis SWOT Analysis Data Analysis and Interpretation Recommendations and Conclusion Growth Opportunities References and Bibliography
Indian Retail Sector
India is one of the most desirable retail destinations in the world. India’s twin growth engines of economic growth and demographic profile set it apart from other nations and present a compelling business case for global retailers looking to enter the market. PwC research indicates that India’s retail sector is worth US$ 350 billion and has a low organised retail penetration of 5 to 8%. Modern trade emerged during the 90s, primarily in the food and grocery sector, and is now growing at a Compound Annual Growth Rate (CAGR) of 15 to 20%. A large market potential for a range of categories is indicated by low ORP, increasing urbanisation, growing incomes, increasing consumer confidence, etc. India’s retail sector comprises organised and unorganised participants. Given the size of the country’s retail market, PwC research and other reports suggest that the 12 million mom-and-pop stores comprising India’s unorganised market can co-exist with modern trade players. Recognising the long-term growth potential of India’s retail market, some of the country’s largest conglomerates have allocated billions of dollars to launch large scale retail initiatives that span cash-and carry, food and grocery, books, music and leisure, gems and jewellery, footwear, apparel, accessories, etc. India-based retail incumbents are expanding their presence across a range of categories, experimenting with formats, launching private labels, strengthening supply chain systems and more. Global retailers are also assessing the Indian market with keen interest. They have recognised that the next wave of growth in terms of generating revenues, reaching new customers (including the large number of middle-class consumers) and harnessing research and development (R&D) and innovative skills. An aspiring middle-class of 300 million consumers, a large demand-driven population of 500 million young consumers and a relatively untapped rural population of 700 million people constitute the growth story. Besides, a strong GDP growth, rising consumer confidence, consumption-based behaviour, increasing incomes and a large pool of consumers have made India one of the world’s most attractive retail destinations.
Major demographic groups are driving purchases across categories:
Sources: PwC analysis Capgemini, Merrill Lynch Wealth Management
India’s Retail Fundamentals:
Market Size Compound Annual Growth Rate Unorganised Sector Organised Retail Penetration Retail Density Contribution to GDP US$ 350 Billion 15-20% 12 million mom and pop stores 5-8% 6% 14%
Indian economy displays resilience in the midst of global crisis.
10 8 6
4 2 0 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12
Source: Prime Minister’s Economic Advisory Council, Government of India
Demanding consumers: Indian consumers are demanding access to products and services that delight and excite them, are of good quality, and provide value for money. Increasing incomes: Strong GDP performance, capital market growth and the emergence of new industries are creating new millionaires and boosting income levels. This acts as an incentive for consumers to spend more on products. They are also experimenting with brands, trying new products, etc. Evolving consumption patterns: Traditionally, the focus of Indian consumers was on saving. However, positive...
References: and Bibliography
Winning in the Indian Retail Sector Indian Retail Report: Opening more Doors CBRE India Retail Market View 2011 http://www.forevernew.com.au/ http://www.canalwalk.co.za/shop.htm?shopMGID=35523 http://www.waterfront.co.za/shop/shopcontent/Pages/ForeverNew.aspx http://www.google.co.in/search?rlz=1C1LENP_enIN472IN472&sourceid=chrome&i e=UTF-8&q=globalhttp://www.zendesk.com/why-zendesk/customer/forever-new http://pune.mallsmarket.com/malls/koregaon-park-plaza-pune http://pune.mallsmarket.com/malls/town-centre-amanora-hadapsar
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