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International brands expand further in to kids wear segment

01
Jul '10
As kids turn choosy about their apparels and accessories, global brands such as Benetton kids, Zara, Hamleys, the Versace of kids and the like, get pushed towards aggressive promotion of their brands and have to also widen their product portfolio. Currently, the kid's segment is the most rapidly growing segment of the Indian luxury market.

As of today, the kids-wear section accounts for merely 5 percent of the total luxury market, which is expected to be more than $15 billion. But industry sources are of the opinion that, the segment is on a rapid upward pathway and more profitable in today's time.

By attaining, higher- profits as against adult's garment and accessory section, the luxury and premium kids-wear sections are definitely on the upward trend. Reliance Retail's tie up with London-based acclaimed toy store, Hamlays, so as to establish a special category chain such as clothing, toys and sports gear for kids, is the most recent example, informs a Bangalore-based retail research company.

Zara's Palladium outlet in Mumbai is the second in the nation, after New Delhi. Zara is a fashion line for kids and is owned by a Spanish firm, Inditex SA. However, the future expansion plans for Zara are dependent on the response it will receive for the newly launched stores in India.

Today, if one goes to observe the market trend, he or she will see that many international brands have not only set foot in the Indian market, but are also widening and expanding their presence, by means for franchise model or standalone stores.

Burberry Kids and Nautica Kids from US, have already introduced their collectibles in India, whereas, UK-based, Adams, a children's fashion brand, is soon going to commence operations via the franchisee model.

Kid's specific store, with respect to sports wear for children has also been launched by brands like Reebok and Nike. For instance, Reebok's store for juniors is a one-stop shop concept for children's garments, accessories, shoes and sports-based equipments, specially for kids in the age group of 4 – 14 years.

Other brands who are making their presence felt in the country are Chicco, from Italy, which had launched its flagship store in one of Delhi's mall. It has in its expansion pipeline, eight more exclusive stores in major cities and also to build the biggest distribution network across India.
With an upper price limit of Rs 20,000, Chicco is in to baby nursing goods such as shoes, beauty care goods, apparels, toys and travel systems.

However, along with the international brands, Indian companies are also targeting the kids wear segment, such as Kidology, which is the nation's foremost designer wear for children and was introduced in Delhi. It has plans to expand in to Bangalore, Mumbai, and Chennai.

Fibre2Fashion News Desk - India


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