Ethnix by Raymond to boost retail footprint to 250 stores by 2024-25 -end
Ethnic wear brand, Ethnix by Raymond aims to boost its retail footprint to 250 stores across India by the end of the fiscal year 2024-25. Bidyut Bhanjdeo, Chief Business Officer, reveals, the brand plans to open over 130 new stores this fiscal year. These stores will be opened in Tier II and II cities housing over 85 per cent of ethnic wear consumers.
The expansion will be executed through asset-light franchise model although 20 per cent of the stores will be company-owned and operated and require significant capital expenditure. In the previous fiscal year, Ethnix by Raymond opened 56 stores, bringing its total to 114 as of March 31, 2024.
Bhanjdeo will invest primarily in key investment areas including marketing, expanding its footprint, enhancing technology, and team building. The brand plans to make disproportionate investments in marketing campaigns this year.
Ethnix by Raymond operates predominantly in the mass premium segment of the ethnic wear market. Despite its expansion plans, the company does not plan to enter the women’s category within the next three to four years. Instead, it aims to strengthen its presence in the men’s segment and deepen its reach into smaller markets.
The ethnic wear market is shifting from unorganised to organised sectors. Currently, about 65 per cent of the market is unorganised, but this is expected to decrease. By 2027, organised players are projected to capture 50 per cent of the total market share, though Ethnix's share remains in single digits.
While digital penetration in the ethnic wear segment is lower compared to offline sales, Ethnix maintains a strong omnichannel presence. The brand has built a substantial digital presence through collaborations with influencers, notes Bhanjdeo, adding that the primary business remains in physical stores, with digital efforts focused on brand building rather than direct sales.
On a long term basis, Ethnix by Raymond aims to operate 450 stores besides doubling its sales every 2-3 years. It aims to continue expanding and capturing a larger market share in the organised ethnic wear segment, concludes Bhanjdeo.
