The apparel retail industry in Indiahas undergone a huge change. Rapid
growth and urbanization have led to a new class of consumers with more money to
spend and a growing passion for fashion. In India’s high-growth, fast-changing
retail market, there are new growth opportunities for foreign and domestic
players.
Retail Industry Trends show that apparel sales are about
to reach an estimated twenty five billion this year, having grown 10 percent
over the past 5 years.This growth rate is expected to continue. In India,
apparel is the second largest retail category behind footwear and groceries. It
represents 10 percent of the total market.
As the lifestyles of urban consumers have evolved, their clothing needs
have broadened for varied occasions. For men, clothing choices came in three
basic categories: home-wear, work clothes and special occasion wear. With more
socializing opportunities, men are buying more sophisticated combinations of
outfits: party wear, sportswearand clothes for hanging out at the mall. Indians
are more inclined to buy apparel for a specific purpose. Family celebrations
and weddings continue to eat up an enormous share of Indian consumer’s clothing
budgets.
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| Retail Management in India |
Historically, the men’s apparel market in India has been significantly
larger than the women’s apparel market. Now, women are more willing to dress
differently when they venture beyond the house to shop or visit a school or
office.
Indian consumers are embracing the idea of fashion as a means of
self-expression and not as a functional purchase. Television, movies,
advertising and the Internet providethe Indian consumer with new ideas about
style. Traditional clothing remains central to the way consumers dress, and the
quality and craftsmanship of classic Indian clothing have drawn the world’s
leading designers, style magazines, and fashion blogs.
As they prosper, Indian consumers will naturally continue to spend more
of what they earn on what they wear. Consumers worldwide typically spend an
average of 5-6 percent of total income on apparel, but the figure is
significantly higher in emerging markets.
Today, apparel is one of India’s most attractive business segments due
to its high margins. Apparel Retail Industry in India relies
heavily on sales promotions and special events. Apparel shoppers spend more
than othersdriven not only by income, but also by lifestyle. Consumers in the
north tend to spend more than in other regions due to cooler climates and
different approaches to social occasions.
FDD
aims in promoting excellence in Retailing as students learn various aspects on Retail Management in India.