Home / Knowledge / News / Apparel/Garments / Van Heusen eyes tier 2 & 3 markets
Van Heusen eyes tier 2 & 3 markets
25
Mar '11
Madura Fashion & Lifestyle, India's leading apparel manufacturer is aiming to raise its earnings through deeply penetrating the Rs. 600 billion garment market, and as such would now target smaller towns and extensively promote their premium brand Van Heusen there.

The company intends to launch a minimum of 40 exclusive outlets across the country, every year, majority of which would be located in the tier-2 and tier-3 cities.

Presently, the brand's 120 exclusive outlets, with a majority of them in the metros and mega cities, contribute around 40 percent of its overall sales turnover of Rs. 6.5 billion per annum.

Meanwhile, Madura Fashion, which is a subsidiary of the Aditya Birla Group, is optimistic that the launch of the new outlets would boost the brand's overall turnover to Rs. 8.5 billion per annum.

Some seven to eight cities contribute around 70 percent of the brand's total turnover, as the Group has till now, not paid much attention in exploring tier-2 and 3 markets.

However, the turnover from comparatively small cities like Jaipur, Patna, Lucknow and Trichur has remained to be so astonishing that, it has discarded all doubts regarding their growth potential in comparison with the metros.

The per square foot sales turnover in the tier-2 cities is on a par with that in the metros. Besides, the rentals in these small cities too are at least 50 percent lower than those in the metros. Thus, the retail business in these smaller towns has actually remained to be profitable.

The company by now has invested around Rs 350 million for launch of the new exclusive outlets, and would continue to invest around Rs. 40 to 50 million for launch of the new outlets under a franchise model, every year. In line with the same, the company proposes to launch new brand outlets in small cities like Patna, Jamshedpur, Guwahati, Durgapur and Ranchi in 2012.

Further, intending to upgrade itself into a complete lifestyle brand, Van Heusen, which was introduced in India in 1990, would now even vend non-apparels under its label.

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 19th Sep 2017

Karl Mayer expands service operations in Asia

Karl Mayer, a world leader in the production of warp knitting and...

Textiles | On 19th Sep 2017

Welspun bags Made in Green label by Oeko-Tex

Welspun, a leading home textiles manufacturer, has been awarded Made...

Courtesy: SGS

Textiles | On 19th Sep 2017

SGS expands testing facilities in Naucalpan, Mexico

SGS has expanded testing facilities in Naucalpan, Mexico, creating a...

Interviews View All

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Darshan Mehta
Infinium Polychem

We are spending double digit figures on R&D

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search