Bengaluru, emerging as India’s fashion & fashion tech capital

27 January 2025, Mumbai

Bengaluru's transformation into the epicenter of fashion and fashion tech in India is undeniable. This shift is due to a combination of factors, including a thriving tech ecosystem, a large pool of skilled talent, the presence of major e-commerce players, and a growing consumer market. The recent relocation of H&M's India headquarters from Delhi-NCR to Bengaluru further solidifies this trend.

H&M's headquarter shift

H&M's decision to move its headquarters to Bengaluru is a strategic one, aimed at tapping into the city's strengths. Bengaluru boasts of a robust e-commerce and fashion tech ecosystem, crucial for H&M's growth in the Indian market. What’s more, the presence of major e-commerce platforms like Myntra, Ajio, Flipkart, and Meesho provides H&M with a strong online presence and access to a vast customer base.

The city is a also magnet for young professionals, offering a diverse and skilled workforce that is essential for the fashion industry's growth. This talent pool includes designers, marketers, data analysts, and tech professionals who can contribute to the success of fashion businesses. Perhaps this is the reason why major fashion retailers have major based in the metro.

For example, Myntra, a Walmart-owned company is headquartered in Bengaluru. It has leveraged the city's tech talent and vibrant fashion scene to become a dominant player in the Indian e-commerce market. It has successfully integrated technology into its operations, offering features like virtual try-ons and personalized recommendations. Similarly, Reliance's Ajio, another major e-commerce platform based in Bengaluru, has quickly gained popularity with its wide range of fashion products and focus on fast fashion. Its data-driven approach to understanding consumer preferences has allowed it to cater to the evolving demands of the Indian market.

Bengaluru's advantages

Several factors contribute to Bengaluru's emergence as a fashion hub.

Vibrant consumer market: Bengaluru has a large and fashion-forward consumer base, with a high disposable income and a willingness to experiment with new trends. This makes it an attractive market for both established and emerging fashion brands.

Retailing and distribution centre: The city's well-developed infrastructure, including its extensive network of malls, retail outlets, and distribution centers, facilitates the efficient movement of goods and services. This makes it easier for fashion businesses to reach their target audience. For example, areas like Commercial Street, Brigade Road, and MG Road are known for their diverse retail offerings, attracting shoppers from all over the city.

Bengaluru's strong tech ecosystem enables fashion companies to gather and analyze data on consumer preferences, trends, and buying behavior. This data-driven approach helps them make informed decisions about product development, marketing, and inventory management. A study by Bain & Company found Indian consumers are increasingly relying on online channels for fashion purchases, with Bengaluru leading the way in online fashion adoption.

Bengaluru's unique blend of a tech-savvy population, a thriving e-commerce landscape, a strong consumer market, and efficient retailing and distribution channels positions it the ideal location for fashion and fashion tech companies. H&M's relocation is a testament to Bengaluru's growing prominence in the Indian fashion industry. As more companies follow suit, Bengaluru is poised to become the undisputed fashion capital of India.

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