Interview with Sudhanshu Agarwal

Sudhanshu Agarwal
Sudhanshu Agarwal
Director
Citykart
Citykart

We focus on trendy fashion that is versatile, durable, and budget-friendly
Citykart is one of India’s largest family fashion retail chains, offering trendy and affordable fashion across tier 2, 3, and 4 cities. Established in 2015 by Citykart Retail Ventures Pvt Ltd, the brand provides clothing for men, women, and kids, along with footwear, accessories, home furnishings, toys, and general merchandise. With a strong presence in the North and North-east India, Citykart has expanded rapidly, now operating 127 stores across 89 cities.
Committed to delivering quality fashion at reliable prices, Citykart has built a loyal customer base of over 1.25 crore shoppers. The brand prides itself on innovation, employee training, and social responsibility while offering a seamless shopping experience across 8 lakh sq. ft. of retail space. As one of the fastest-growing apparel retail chains, Citykart continues to set trends while making fashion accessible to India’s aspirational shoppers. Speaking to Fibre2Fashion, Director Sudhanshu Agarwal shares insights on Citykart’s journey, its expansion plans, strategies for staying competitive in the retail market, and the brand’s commitment to affordability, quality, and sustainability.

How have changing consumer preferences and buying behaviours in tier 2 and tier 3 cities influenced the retail industry in recent years?

Over the last few years, we have noticed that consumers in tier 2 and 3 cities are becoming more fashion-forward, seeking out the latest trends while still prioritising affordability and practicality. The growing influence of social media has played a significant role in shaping their fashion choices. They are now more aware of national and global trends, demanding better quality and a wider range of options. Retailers must adapt by offering an array of trendy yet affordable options that cater to these evolving preferences.

What was the core vision behind Citykart’s inception, and how has the brand evolved since its launch?

Citykart was founded with the vision of bringing affordable, stylish, and high-quality fashion to smaller towns and cities across India. Since our inception, we have focused on creating a retail experience that bridges the gap between metropolitan and regional fashion trends. Initially starting with a handful of stores, Citykart now has 127 stores and continues to grow rapidly. Over time, our offering has evolved to include a wide variety of winter wear, and casual fashion, western and ethnic wear—all designed to cater to the diverse tastes and preferences of customers in tier 2, 3, and 4 cities.

What distinguishes Citykart from its competitors in the retail fashion market?

Citykart’s unique positioning is rooted in our deep understanding of the tier 2, 3, and 4 customers. Unlike many competitors that focus on larger cities, Citykart has consistently maintained a customer-first approach, ensuring that our products, pricing, and store formats resonate with the needs of regional customers. Our wide assortment of products that combine traditional and contemporary styles, our attention to quality, and our unbeatable affordability set us apart. Additionally, our commitment to community engagement and creating local employment further strengthens our bond with our customers.

What specific insights about this demographic have shaped Citykart’s offerings?

The demographic in tier 2, 3, and 4 cities has a unique set of needs and desires. While they are style-conscious, they also value practicality and affordability. We noticed that shoppers in these areas prefer value-for-money products that cater to both their functional needs and their aspirations for style. Our offerings are tailored with this in mind — we focus on trendy fashion that is versatile, durable, and budget-friendly. Local preferences also guide our seasonal and festive collections, ensuring that our products align with cultural and regional nuances.

In a competitive retail landscape, what steps does Citykart take to ensure its products stand out in terms of quality, variety, and affordability?

At Citykart, we prioritise a strong commitment to delivering value. We focus on sourcing high-quality fabrics and offering a wide range of products that blend the latest trends with timeless styles. To ensure affordability, we strategically manage our supply chain and operational costs, passing on the benefits to our customers. We also work closely with local designers and manufacturers to introduce exclusive collections, further setting us apart from competitors. Regular customer feedback helps us adapt our range to suit their evolving tastes.

What challenges have you encountered in scaling up to 127 stores, and how have these been addressed?

Scaling up to 127 stores has come with its own set of challenges, including managing inventory, ensuring consistent product quality, and training staff to maintain high service standards. We have addressed these challenges by investing in advanced inventory management systems, ensuring our supply chain is robust and efficient. Additionally, we have partnered with technology companies to streamline operational processes and enhance in-store training programmes. Our focus on local community engagement helps us understand regional needs better, which has been key to successful store expansions.

What does the future look like for Citykart in terms of expansion, diversification, or innovation? Are there any upcoming projects or partnerships you can share?

The future for Citykart is promising. We are targeting 250+ retail outlets in the next five years, focusing on expanding our presence in tier 2 and 3 cities. 

You said, Citykart aims to achieve 250+ retail outlets in the next five years. What specific strategies and challenges do you anticipate in achieving this goal?

To achieve this goal, we will continue to expand our store network in untapped tier 2 and tier 3 cities, focusing on city fortification and tap neighbouring cities with high-potential locations that align with our target demographic. We will also invest in technology to improve operational efficiency and enhance customer experience. Key challenges include maintaining consistency in service quality across a larger number of stores. We plan to address this challenge through better training, stronger partnerships with logistics providers, and continuous market research.

With growing consumer awareness about sustainability, how is the retail industry adapting its supply chain and product offerings to meet these expectations?

Retailers are increasingly focusing on sustainability by sourcing products made from sustainable materials, reducing waste in packaging, and ensuring ethical sourcing practices. At Citykart, we are gradually shifting to eco-friendly shopping bags and partnering with sustainable fabric suppliers. As consumer awareness grows, we are committed to evolving our product offerings to align with these values, ensuring that sustainability is embedded in every part of our supply chain.

What role does sustainability play in Citykart’s operational and expansion strategies?

Sustainability is an essential aspect of our operational strategy. We are committed to reducing our environmental footprint by using eco-friendly packaging, sourcing sustainable materials, and reducing waste across our supply chain. As we expand, we are actively looking for partners who share our commitment to sustainability.

Can you share insights on Citykart’s approach to corporate social responsibility and its impact on communities?

Citykart believes in the power of community engagement. Our CSR initiatives focus on creating local employment opportunities, and encouraging environmental sustainability. We have created jobs in various localities, contributing to the economic upliftment of the communities we operate in. Our CSR programmes are closely tied to the well-being of the communities we serve, and we strive to make a positive impact in each city we expand into.

What role do emerging technologies, such as AI and machine learning, play in enhancing retail operations, from inventory management to customer experience?

AI and machine learning are transforming retail operations by enabling more accurate demand forecasting, optimising inventory management, and offering personalised shopping experiences. At Citykart, we leverage these technologies to analyse consumer data, predict trends, and ensure we always have the right products in stock at the right time. AI-driven customer insights allow us to offer tailored promotions, improving customer satisfaction and loyalty.

Seasonal and festive periods often see spikes in demand. How does the industry prepare to meet these demands while minimising risks like overstock or unsold inventory?

To manage seasonal demand, we focus on careful planning and data-driven insights. We use advanced forecasting models to predict demand during festive seasons, ensuring we have enough stock while avoiding overstocking. By implementing a just-in-time inventory system and offering exclusive promotions, we aim to minimise the risk of unsold inventory while ensuring that our stores are well-stocked with popular products.
Interviewer: Shilpi Panjabi
Published on: 19/03/2025

DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of Fibre2Fashion.com.