What is your take on current denim market in India. According to you, what are the factors propelling growth in this segment?
Unperturbed by the fashion dynamics, denim has emerged as a versatile garment and a wardrobe staple. Primary reasons being it is easy to maintain, durable, adds to the fashion quotient with ease, can be worn for various occasions .Workplaces have also started embracing denims. The category is well received across age groups.
Kindly highlight the current footprint of Spykar Lifestyle Pvt. Ltd. Going forward, what are the plans to scale up the distribution?
We are now present in over 700 SIS (shop in shops) and 700 multi brand outlets across 350 cities Pan-India. We aim to have our SIS and MBO spread in 500 towns. We have 250 Spykar standalone stores which are spread over 130-140 towns all across India. We hope to spread it to 200 cities in the near future. We plan to add 30-40 exclusive brand stores every year. Likewise we are strengthening our presence on e-commerce platforms.
What are the plans to increase your product portfolio? Also shed light on your best selling price points?
We are getting into the denim athleisure space. Women’s wear will also contribute in a noticeable way in the coming years. We have stepped into the footwear segment as well. All our price points are well received – it all depends on what the customer is looking for.
What are your strategies to counter competition from market leaders such as Levi's?
As a brand Spykar is deeply integrated in the fashion denim space. Also, there is no peer in the market who is providing premium quality and trendy products at a similar price point. Our national presence across all sales formats strengthens the reach too. Spykar is a homegrown brand, so from day one we have created fits, trends and designs keeping the Indian consumer in mind. Our forte is fashion denims. This gave us a very clear differentiation as far as the market is concerned.
What are the major challenges in your retail category?
We are serving a tough and demanding customer; the youth. They are the biggest consumers of the brand and the denim category. We have managed to keep them in the grip through a great product and fit story over the last 26 years and are now working on the brand to make it more appetising and resonate even better with their philosophies. However, they are an experimental lot and it is challenging to keep them hooked onto a brand. Living upto the needs of the fickle consumers is a challenge. Also, the deep discounting culture and the growing real estate expense is something the business has to deal with. Influx of international brands adds to more in the battle ground.
Though denim as a category is a poster boy of cool fashion, there are other categories innovations like Athleisure which are emerging. Another challenge is the co-existence of offline and online formats. To serve the consumer better we need both the channels to serve at its full potential.
At last, kindly highlight your growth plans?
Last fiscal year(2018-19) we closed at 550 crores of retail sales. This year we are aiming to finish at 700 crores and expect a similar growth trajectory for the next 2-3 years. This would be a function of increasing sales touch points and the product line.