ALLEN SOLLY ENTERING THE INDIAN WOMENS WESTERN WEAR MARKET

CONTENTS
Case facts Branded garments market in India Current situation Socio-cultural changes SWOT analysis Product development strategy Retailing strategy Promotional strategy Market Segments men and women Brand loyalty concerns Future of Allen Solly brand

CASE FACTS

Madura Garments started as a subsidiary of Madura Coats Ltd. and has been taken over by Aditya Birla Group in December 1999

Madura Garments have launched many top

international brands in mens category in India from

1988 viz. Peter England, Allen Solly, Louis Philippe, Van Heusen, etc.

Allen Solly Womens Wear: Introduced in India in September 2002

CASE FACTS

Total market of womens wear in 2001-02 is Rs.161 bn. of

which readymade womens wear market is of Rs.126 bn.

The current branded market of readymade women's wear is Rs. 31 bn with a growing rate of 15-20% per annum.

Womens western wear had a market of Rs. 6 bn with projected growth of 25% in the future.

Company invested a total of Rs.100mn for the project.

Targeted segment is upper middle and upper class working women.

BRANDED GARMENTS MARKET IN INDIA

The section was primarily dominated by men's clothing There was not a reasonable market for women's branded clothes in India, reasons:

The society was conservative

There were very few working women

Women only wore western outfits before marriage and after marriage they wore saree.

CURRENT SITUATION: BRANDED READYMADE APPARELS FOR WOMEN

Need of the day:

Requirement of work friendly garments Working women were already purchasing mens trousers Western wear were already available in Indian market which were not suitable to Indian women

The brands: - Scullers Woman by Indus League, Be by

Raymonds & Allen Solly by Madura Garments.

SOCIO-CULTURAL CHANGES

Westernization.
The growing economy. Women become career oriented. Women shifted towards branded clothes.

SWOT ANALYSIS
STRENGTH:

Well Known Brand

Established Distribution Channel High turnover with good export revenues

Design Studio

WEAKNESSES

Large investments in inventories Lack of past experience

SWOT ANALYSIS
OPPORTUNITIES

Increasing disposable incomes of the people Brand conscious customers Projected growth in the segment 25%

Research and new product development

THREATS

Existing competition from organized sector

Predominance of unorganized sector New entrants in the segment.

PRODUCT DEVELOPMENT STRATEGY

o

IMRB survey inputs:

o o

More comfortable design for day to day travelling.

Design as per needs and body proportions, specifically categorized as comfort, straight, trim and regular.

Hired UK based designer Stephen King for design development.

Higher waist size for trousers up to 38 inches.

New range of woven and knitted tops and jackets by use of different fabric material for different season purpose.
Range of bright and pastel shades of clothing.

RETAILING STRATEGY

Extension of the mens brand to womens wear.

Six exclusive outlets in metros by October 2002 (one each in Chennai, Mumbai, Hyderabad and Kolkata and two in Bangalore) Showrooms with exclusive designs, that offered unique and pleasant shopping experience through arrangement of garments and contemporary looks. Positioning through leading retail showrooms across the country. Strengthening its retailing network.

PROMOTIONAL STRATEGY
o

Aggressive campaigning - Nationwide launch

Fashion show to display the entire range. Advertising : Outdoor advertising through bill boards, hoardings at prime locations.

Print media : Leading magazines and other

publications read by women from the target segment.

Mailers with punch line- Everybody is perfect; you have just got to dress it right.

INDIA MALE AND FEMALE MARKET SEGMENTS

Influenced by traditionally defined roles Mens market more developed Women traditionally wore saris and ethnic wear Increase in number of working women Need for work-friendly attire Salwar suits became more popular Increasing westernization especially in urban areas Media influence Cultural changes sweeping the country

BRAND LOYALTY CONCERNS

Allen Solly is a 9 year old, well known and established brand.

Positive market feedback about mens wear sales.

Market study revealed that men liked the move of brand

extension.

Advertisement(commercial) influenced the consumer behavior.

THE FUTURE OF ALLEN SOLLY'S BRAND

EQUITY

Maduras move could erode Allen Sollys brand equity but only for mens wear as some % of men may shift to a pure mens brand. Brand extension is backed by strong market research and analysis . More focus on comfort & styling with wide variety and range of products, marketed through aggressive campaigning. More exclusive outlets/ showrooms. Allen Sollys brand equity would definitely increase.