13 November 2023, Mumbai

As per the latest ETRetail report l

Aditya Birla Fashion and Retail Ltd. (ABFRL) incurred a net loss of ₹200 crore in the second quarter of 2023, ending on September 30, attributed to sluggish consumer demand.
It's important to note that financial results can be influenced by a variety of factors, including economic conditions, consumer behavior, industry trends, and management decisions.

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As a historic British multinational retailer founded in London in 1884, Marks & Spencer (M&S) has become synonymous with quality and durability over decades in its core segments of clothing, beauty products, home furnishings, and food products. Having forayed into India in 2008 in a joint venture with Reliance Retail, the company has been on a growth trajectory.

With over a 100 stores in the country, M&S plans to continue opening new stores and ramp up existing ones in India, this at a time when its closing numerous outlets back home in the UK. M&S India is now on a roll with plans to open one store a month in India. The USP of these stores will be strengthening the home segment which includes kitchen, bathroom, bedding, and home accessories along with lingerie and bodycare and cosmetics segments that sell well in India.

As per Mumbai-based business data analysts company Tofler, M&S India has been on a growth spurt with operating revenue rising 53 per cent from Rs 1087.7 crore in 2022 from just Rs 710.6 crore in 2021. Profits have been rapidly growing with a net profit of Rs 278.5 crore in 2022 compared to a net loss of Rs 72.4 crore, during the same period in 2021. A lot of this can be attributed to the 60 per cent advertisement spend increase in online and offline channels to make it a household name in India.

Lingerie, winterwear and home products sell well

M&S India has around 6,000 styles in their versatile product portfolio which includes summer and winter wear, accessories and footwear, lingerie and home products et al. Lingerie and winter wear have always been the best-sellers for M&S globally and account for a large part of its India revenue as well.

As Ritesh Mishra, MD, Marks & Spencer India explains a quarter of their business is lingerie. To begin with they were not too optimistic about the category. As of now, M&S launches one innovative product every month, under this category. Sleepwear is a strong sub-category of lingerie. There ‘Stay New’ is a technology allows T-shirts and other clothing items to remain fresh, even after 18-20 cycles of washes. This increases the value of the product as it enhances its longevity.

Large stores, brand recall boosts footfall
The urban millennials in metros and Tier I cities have always been aware about M&S as a brand, thus not many changes have been made in design and style in the product range to heighten brand recall. Around 60 per cent stores are spread in metros and Tier-I cities in high-profile real estate spots and Tier-II cities account for the remaining 40 per cent.
Store sizes range from 15,000-20,000 sq. ft. to showcase the vast portfolio. The brand’s and 100th store that opened in Mumbai is a proof of it growing popularity. While physical stores account for three-quarters of sales, online sales across various websites account for the remaining quarter of sales. Many online medium are third-party partners who understand the customer base across India and focus on digital channels is rapidly growing. Positioning the brand in the mid-to-premium segment, M&S India is the second-largest international operation in terms of revenue for M&S outside the UK.

07 November 2023, Mumbai

Les Petits, the luxury kids' fashion brand, unveils an exquisite Diwali collection, blending opulence with celebratory vibes.

The in-house brand, Rang, showcases skilled craftsmanship through options like fascinating embroidery, sequins, placket kurtas, and butterfly-style lehengas, allowing kids to revel in the grandeur.
Outlines

With an eye on changing weather, the collection features captivating hues—parrot peach, pista green, lilac—and eclectic prints like patola, paisley, and batik. Rich fabrics such as Chanderi Silk & Velvet, Neo Prines, Satin, Cotton, Silk, and Chiffon elevate sartorial elegance.
President Swati Saraf invites parents to explore a gamut of collections balancing aesthetics and functionality. The focus on comfort ensures dresses are woven in breathable, lightweight materials, letting kids enjoy the festivities without hindrance.

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23 November 2023, Mumbai

Reebok, the well-known footwear and apparel brand, has opened its flagship store in Kammanahalli, Bengaluru. The opening was led by OP Jaisha, accomplished field athlete and Olympian.

This cutting-edge store features an extensive and carefully curated collection that includes a wide range of footwear, clothing, and accessories, catering specifically to the diverse requirements of fitness enthusiasts.

Outlines

As an integral part of the Authentic Brands Group (ABG), Reebok collaborates closely with Aditya Birla Fashion and Retail (ABFRL) in India.

With a strategic vision to expand its retail footprint, the brand has ambitious plans to open new stores throughout the country, solidifying its strong presence in the Indian market.

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16 November 2023, Mumbai

Raymond Ltd reported a nearly stagnant net profit at Rs 161.16 crore for Q2 ending September 2023, compared to Rs 161.95 crore in the same period last year.
However, the diversified group showcased resilience with a 3.92% growth in revenue from operations, reaching Rs 2,253.40 crore. Total expenses for the Singhania family-led firm increased by 7.12% to Rs 2,093.41 crore during the quarter.

Details
Emphasizing sustained growth, Raymond highlighted the second quarter as its ninth consecutive period of record performance in revenue and EBITDA.
Despite a delayed festive season, the company achieved a 6% rise in revenue to Rs 2,321 crore, boasting a robust EBITDA margin of 16.5%.
Notably, the branded apparel segment saw an 18% surge with the opening of 63 stores, and the real estate sector exhibited strength, recording over Rs 650 crore in total booking value for Q2FY24.

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08 November 2023, Mumbai

The global economic slowdown, rising inflation, and unviable pricing strategies in the post-Covid years have lowered the sales expectations of most apparel manufacturers in the ongoing Diwali festive and up-coming wedding season.

A recent survey of 166 apparel manufacturers by the Clothing Manufacturing Association of India (CMAI) revealed almost 78 percent are expecting a slump of around 25 percent in apparel and accessories sales. Only 22 per cent have a better late than never expectation of the market picking up closer to Diwali and during the extended wedding season that lies ahead.

With people more keen to shop in malls and physical stores for a more relaxing shopping experience, 60 percent of garment manufacturers feel the offline channel will do better as compared to 40 percent of online retailers, who are also looking forward to a lucrative festive season. 

As Rahul Mehta, Chief mentor of CMAI says, despite some positive sentiments, overall there is widespread sense of pessimism among CMAI members. This aligns with the broader slowdown experienced in the domestic garment sector during the last 4 to 5 months.

Kids wear and smaller towns are the biggest growth drivers

However, not all manufacturers are as pessimistic, with around 16 percent respondents saying lower pricing might help sales numbers grow and another 12 percent feeling the vast festive portfolio will also be a crowd-puller.

With more parents investing in ethnic wear for the festive season as compared to the rest of the year, nearly 49 percent respondents feel kid’s wear will be the biggest sales growth driver. This will be followed by 36 per cent of women's wear as well as 12 percent men’s wear performing better than the rest of the year

While the metros always experience a festive season spike, this year most big brands are also increasing their focus on Tier II and III consumer cohorts, as they are more focused on aspirational lifestyles fuelled by more disposable incomes.

Another interesting study by CyberMedia Research (CMR) has found consumers in Tier II cities spend around 16 per cent of their income on online shopping with 62 per cent doing online shopping which outperforms the metros.

Online trying hard to compete with offline retail

E-commerce firms such as Amazon, Flipkart, Meesho, and Myntra are also targeting millions of shoppers across India for their biggest festival season sales. While Amazon launched its month-long flagship festive sale, the Great Indian Festival (GIF) in early October, Flipkart hosted its annual flagship sale event called, 'The Big Billion Days' in mid-October. Along with core fashion categories, customers showed a high inclination towards other categories such as jewelry, beauty and personal care, watches and wearables, luggage, home, and sports footwear.

However, continued store expansion of various brands in Tier II and III cities will also help growth this fiscal year in the medium term. Luxury brands such as Bath & Body Works have launched exclusive festive collections just in time for gifting and are anticipating greater growth in the smaller cities of Udaipur, Ranchi, Kozhikode, Kanpur, Udipi, and Mangalore.

A quick perspective

Women’s ethnic wear brand Biba is also targeting the unique preferences of each region's regional market with region-specific festivities such as Pujo in the East, Dussehra in the South, and Diwali celebrated nationwide, along with including influencers across all age groups, including children, to showcase their collections.

The festive season may lack some luster this year, but it will still be enough to keep the Indian apparel industry going for the next fiscal year.

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14 November 2023, Mumbai

GRAMS28, the emerging menswear accessories brand, is set to unveil its inaugural brick-and-mortar pop-up store in Soho, London, starting October 25, 2023.
Prospective customers can immerse themselves in the tactile luxury of GRAMS28's products and explore the brand's creative ethos firsthand at the new storefront.
Founder and principal designer, Benjamin Chan, expressed his gratitude for the support and envisioned the store as a space where patrons not only see but also feel and experience the essence of GRAMS28.
GRAMS28, driven by a commitment to intentional design, originated with the mission to redefine the synergy between aesthetics, function, and quality in the realm of luxury goods.

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