The dual effect

Sangam suitings have tied-up with Karan Johar and Varun Bahl to design collections for them while Virat Kohli is their new brand ambassador. Taking up a dual marketing strategy, they wish to create a niche for themselves. Ankur Gaurav talks to VK Sudani, Executive Director, Sangam India and delves into details.

Ankur Gaurav (AG): Karan Johar and Varun Bahl will be designing collections for you whereas you have got Virak Kohli on board as the face of the brand. What made you adopt this dual marketing strategy?

VK Sudani (VKS):  We make fabric. And if you have a good fabric and you gel it with a good designer, it lends great value to the fabric.  With the coming of Virat, the brand’s ethics and style get an uplift.  Overall these associations with Virat, Karan and Varun make our product a complete kitty for the customer.

AG: How much do you plan to invest in these marketing strategies?  How much revenue did the brand generate last year?

VKS: Our marketing budget depends on the kind of activities we do. We have been working on the marketing activities for the past one year. The budget actually depends on how a market is responding to the various activities done by us. But this time, it is around two per cent of the revenue. Revenue generated in the past fiscal year was Rs 1,400 crore.

AG: How do you plan to market your products? Any plans of opening your own stores?

VKS: We have a vast network of over 10,000 distributors where you can find Sangam products. Apart from that, we are planning to open Sangam stores. By the end of this fiscal, we will open 30 outlets. This will include both exclusive stores and multi brand outlets. Most of these stores will be franchised but a few will be company owned too.

AG: What will be the average size of these stores which you are planning to open?

VKS: It is not fixed yet. But we are looking at an average store size of 500 to 1000 sq. ft. The store will have different sections for ready to stitch fabrics, garments and denim.

AG: Which are the regions where you are planning to open these stores?

VKS:  These stores will be restricted to four states. A research study is going on and based on the results and suggestions, we will decide in which states we will open these stores.

AG: This is the time when export is giving a good yield, how much is the revenue generated from the exports? And to which all countries do you export your products?

VKS: The share of revenue generated by export is around 25 per cent.  We export the fabric to a total of 30 countries which include all American countries, European countries, Middle East, African and South-east Asian countries.