MERCHANDISE SURVEY ON INDIAN KIDSWEAR INDUSTRY

BY: NIKHIL GUPTA

Contents
Preface Executive summary 3 Introduction 4 Indian kids wear market 4 Market size & growth 4 Characteristics of kids wear market 5

Growth drivers

Demography 6 Untapped market potential 6

Media Proliferation 6 Major Players -Indian kids wear market Gini & Jony 8 Lilliput Zapp Weekender 13 Lil Tomatoes Ruff Kids -International kids wear brands in India

10 12

15 17

Walt Disney 19 Barbie 21

United colors of Benetton 23 Success factors Fashion innovation 25 Coordinated accessories 25 Brand building 26

Visual merchandizing 26
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Pricing 26 Conclusion 27 Bibliography 28

Executive Summary

Market for kids apparel is the fastest growing industry in India. Manufacturers are coming up with fancy materials targeting kids who are more interested in the upcoming fashion trends. Childrens garments are available in various forms and designs. Kids apparel market is more unorganized than any other segment of apparels. The market is a proposition of the good, bad and the ugly. A huge volume of kids apparel in India is being dominated by local and unorganized players. This gives an excellent opportunity for the organized players to lay a strong foundation in this segment. Indian market is now moving towards an international look in terms of childrens apparel. Cotton plays a major role in the clothing of children. Approximately, 86% of the kids wear are of cotton. Branded kids apparel market is in its nascent stage in India with a handful of national and international brands. Industry analyst estimate that market size of branded kids wear in India including brands like Ruff Kids, Ruff Baby, Gini & Jony, ZAPP, Lil Tomatoes, and Weekender Kids is around Rs 1,000 crore. They positively assert that branded market for kids is growing at 15% per annum. International brands including Barbie, Mothercare, Benetton Kids, Pepe, Lee Kids, Tommy Hilfiger, and Adams Kids have also entered the Indian market.

Introduction
Scanning through the streets of any town or city, one can see a mind boggling array of kids apparels-Spaghetti tops, Crystal studded denims, Italian cuts, Capris, and exclusive party wears. Kids fashion is a diminutive version of adults wear. They have all the clothing as like that of adults, and even much more. Children of today are much more intelligent than their previous generation. They like to have their own choice of clothing. This metamorphosis of children; becoming independent buyers is enhancing the kids wear market. Double income, increase in the amount of disposable income, and one or two kids are the supporting factors to the growth of the kids wear market. Global kids wear market during 2006 was estimated to be around US$ 163.92 billion, which was a small contribution of 3.6% of the total clothing industry. Kids wear segment of the Asia-Pacific region is 35.1% of the global market, and is considered by industry analysts as one of the fastest growing segment, due to increase in child population, supported by many other factors.

Indian Kids wear Market

Good times for the Indian kids apparel market are in the offing. The evolution in the buying behavior of children, and their influence over their parents results in a big difference in purchase decisions. Media exposures and promotions also cause a significant influence in the market. Evolving dynamics in this market have made it necessary for the manufacturers and retailers to evolve their business strategies in order to sustain themselves in the market. Many manufacturers come up with their own brands, while some others enter into business through joint ventures. Todays kids are more fashion conscious, and are ready to experiment with clothing. Increase in the amount of disposable income, and retail blitz has brought a sea change in the Indian kids apparel market. With kids wear being considered as a part of the lifestyle segment and a strong emphasis is being placed on brands, this segment proves to be a potential business.

Market size and Growth

According to the India Apparel Report, 2008 (Images Year Book, Vol IV), the size of kids wear market is estimated to be at Rs. 30, 510 crore. Industry experts predict that the market will further grow to reach Rs. 45, 000 crore by 2013, with branded apparels contributing to a major share. The volume of market share of kids apparels in the total apparel market is at 24.9%, as against a 15% share in 2005. Urban kids apparel market comprises about 60% of the total kids wear market. A research states that more than 30% of the countrys population is below 15 years of age. The density of population makes kids wear to be one of the fastest growing segments in the Indian market scenario. Branded kids wear are well established in I tier cities, and are now experiencing a good growth in II & III tier cities as well. Wanting the best outfit for their children, parents are seeking a variety of garments offered by new brands, and are shopping in exclusive outlets dedicated for childrens apparel. Industry
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players further predict that the market is set to grow by 12% annually and reach its peak by 2010.

Characteristics of Kids wear Market

The market for kids wear is classified as follows: Infants (0 - 6 months) Toddlers (7 months - 2 years) Kids (3 - 8 Years) Pre-teens (9 - 12 Years) Childrens wear is mainly on a seasonal basis. Highest sales figures are usually recorded during the months of August September. The average annual expenditure on kids wear is approximately Rs. 3, 857. For childrens wear, cotton is the most preferred material due to its non-allergic, comfortable, and easy caring virtues. But with the advent of more and more fads emerging in the market, this fibre faces competition with other synthetic ones, which are preferred for its washability, and non-creasing abilities.

Growth Drivers

Children always keep growing. So, the possibility of this market being strong even in tough times is evident, as there is always a demand for kids apparel.
GR OW TH D R IV E R S

DEMOGRAPHY

UNTAPPED M ARKET POTENTIAL

MEDIA PROLIFERATION

Demography A survey states that, the maximum sales in childrens wear market comes from smaller towns. Patiala, Bhatinda, Coimbatore, Phagwara, and Sonepat are a few to name. Branded kids wears are well established in tier I cities and are now emerging into the II tier and III tier cities as well. In I tier cities, boutiques are emerging to be a popular trend. Consumers expect these retailers to have a cutting-edge of garments, and exclusive collection of clothes. Generally stores that offer a wide range of selection at discounts and low prices attract more traffic. As kids grow quickly, and are less attentive in keeping their clothes safe, parents consider kids apparel as functional and disposable as well. In case of infant, and toddler wears, general merchandise, and supermarkets dominate the sales. Specialty stores are successful in this segment as they are focused on a particular section in the apparel segment. Few retailers dominate the kids apparel market in any one particular area.

Untapped market potential With a promising future for kids apparels, the market has attracted international brands into India. Global brands like Mothercare, Mona Lisa, Benetton, Espirit, Bossini, and Kans have entered the Indian kids apparel market. While international brands eye Indian kids wear market, domestic brands like Lilliput, Lil Tomatoes, Gini & Jony and Catmoss are gearing up to have a share in the global market. Representing Indian brands abroad, higher profit margins, and succulent opportunities are assumed to be the reasons behind their foreign march. India has a vast potential for export of kids apparel to foreign markets like US and EU. Brands like Lilliput are e exploring opportunities for joint venture options to tap the childrens apparel market in China. Indian players spot lucrative manufacturing capabilities in China, supported by strong purchasing power. Hence, Indian business units are planning to acquire manufacturing units in China to gain production scale for its operations in the dragon nation. Media Proliferation A brand; positioning itself in the market, depends on the level of differentiation it is able to establish. The manufacturer must also ascertain a sizable amount of promotional budget to gain eyeballs. There are no boundaries for the scope of merchandising activities for kids wear. With the effective publicity of mediums like TV channels, video games, blockbuster of superheroes, and peer influence, children are aware of the latest fashion in apparels, and other accessories. Generally parents like to dress their children like themselves. They further seek to buy brands they are already aware of, and have confidence in. Popular brands like Gap, Diesel, and many others plan to extend into this segment. With the emergence of many TV channels, promotional strategies of companies have become more intense. Innovative promotions which encourage the kids involvement, finds more acceptance.

Major Players

Kids apparel brands are creating a niche by themselves by changing the face of Indian kids wear in India. These brands dominate the kids wear market in India and have earned consumer confidence, trust and loyalty towards the brand, thus earning laurels from its consumers.

MAJOR PLAYERS IN THE INDIAN KIDS WEAR MARKET

GINY & JONY LILLIPUT

ZAPP

LIL TOMATOES WEEKENDER RUFF KIDS

Indian kids wear brands Gini & Jony

Gini & Jony strongly believes in empowering people so that they can produce their life's work in creating world-class products, day in and day out. A flat organization structure and seamless interaction between every one of our 2100 employees and departments ensure that the company is focused on delivering the very best on time; every time. Their products define the future fashion statements of kids and young adults. They cater to needs of both boys and girls in the age group from 6 months to 14 years. They have a wide range of products; T-shirts, shirts, jackets, trousers, cargos and jeans for boys; Capris, dungarees, skirts, co-ordinate tops, Jamaicans, jeans and pants for girls, and a complete range of garments for infants. The brand also sells a range of accessories like footwear, eyewear, belts and other co-ordinates. While the design team is busy creating the next wave in style, their production team is fully focused on quality and timely deliveries. They source raw material from fashion centers around the world so that everything thing they create is on par with the best. They have some of the most advanced manufacturing plants in the country; capable of high quality, high volume manufacturing. And that's why, they manufacture around 1,50,000 pieces per month. A business that started out by supplying kids wear to Mumbai's up-market store is now defining the trends in kids fashion across the globe. Their tryst with destiny started in 1994, when they opened a shop in shop in Shoppers Stop.
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They moved on by opening their first exclusive outlet in 1995 in Hyderabad, 54 franchisees, 116 shop-in-shops, 32 factory outlets and more than 600 multibrand outlets in India and they believed that their journey had just started. The brand is available at all the leading premium departmental stores like Shoppers' Stop, Piramyd, Lifestyle, Ebony, Pantaloons, etc, at all their locations throughout the country. The brand is available in all the up-market stores at all the metros and mini-metros.

Classroom Supplies Rain Wear Supplies Shoes and Socks Geometric Box School Shoes Leather Colour Box Canvas Umbrellas Rain Coats

Writing Instruments Foot Wear Sports Shoes Craft Set Socks Regular Wind Sheaters

Uniform Additions School Bag Tiffin Box

Home Furnishings Bed Sheets Pillow Covers Blankets Towels

Sports Supplies Sports Uniform Accessories Sporting Equipment

Lilliput Water Bottle

Lilliput enjoys an enviable reputation in the kids wear market of India with a Caps prominent market share. Since its Night Wear it has grown by leaps and inception, encouraged by this overwhelming response, it has drawn an ambitious plan to open 400 stores by the year 2010-2011. Lilliput needed a definite solution which could allow the company to manage their growing retail business more professionally and seamlessly. It wanted to
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institutionalize an end to end integrated solution which would increase stability, resilience and speed. Lilliput was started with the objective of manufacturing world class kids wear. Today, it has a growing presence in both domestic and international market. The brand Lilliput enjoys an enviable reputation in the kids wear market of India. Lilliput continues to work towards its mission of - Growing to become an international brand in lieu of emerging as an exclusive fashion destination for kids. Lilliput Kids wear Limited was founded by Sanjeev Narula a first generation entrepreneur in 1991. The company originally manufactured and exported world class Women & children wear. Today, Lilliput has a strong presence in both domestic and international markets in kids wear. Lilliput entered domestic retail with the launch of the 1st Lilliput store in Delhi in August 2002. Since then there has been no looking back for Lilliput. The number of brand outlets has rapidly grown and currently stands at 165 exclusive brand outlets, over 105 large format multi brand outlets like Shoppers Stop, Lifestyle, Pantaloons, Reliance Trends, Pyramids and more than 450 point of sales. The company has its presence in Bahrain and China and will expand by opening 50 stores in the Middle East and 100 stores in China by 2010-11. Its vision is based on strong partnerships and rewarding associations with Private equity fund INDIVISION, a financial arm of Future group. This reflects the companys commitments towards growth and expansion. Lilliput has a large set up of 8 manufacturing units in New Delhi and National Capital Region (NCR) with 5,000 state-of-art machines producing 10,00,000 units per month. The company has over 5000 employees working in over 70 cities across India. Lilliput exports to some of the worlds best retailers, fastest growing & largest childrens wear chains like Gap, Carters, Next, Mothercare, and The Children Place. The product range consists of casual wear (for infants, toddlers, boys and girls), footwear, innerwear, nightwear, party wear, accessories, and ethnic wear for children under the age of 12. Lilliput was recently awarded as the Reid and Taylor Retailer of the Year 2007 (Kids wear category) by Asia Retail Congress, Brand of the Year 2007 Award (Kids wear category) by Clothing Manufactures Association of India (CMAI) and the Pinnacle Award from Shoppers Stop for the Best Brand in the Kids Segment.

Zapp
While international players are entering into the Indian market and many others, waiting at the wings, seeking entry, domestic apparel brands are extending products for the kings. Raymonds, which offers exclusive menswear, launched its kids wear collection in the name Zapp. It is an integral section bringing fashion to the kids wears segment, and heating up the market, and providing attractive offers and services to charm the customers. Based on what the industry experts say, the apparel market for kids is growing at 15% per annum. Along with domestic brands, many international are also entering into the Indian market. These brands target to charm the kids as well as their parents. Much focus is placed on in-store arrangements, keeping pace with the interest of kids. Toon inspired merchandise and having special kids oriented promotions are a few to name. Their target customers are kids in the age group of 4 -12 years. Zapp also has a tie up with the Warner Brothers to treat the kids with Superman apparels.

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Weekender
Weekender, the Jagdish Hinduja-promoted apparel brand is a real survivor. The brand has beaten heavy odds in a highly competitive environment. Weekender began with a single basement outlet on Bangalores Residency Road in 1987. Weekender is looking for brisk growth in the next few years as the general trend points at dressing down to casuals than dressing up to formalwear. But, Weekender is not prepared to gamble on youth fashion alone. Its foray into Western kids wear, in 1992, entailed a substantial effort which is paying dividends now. Weekender Kids, targeted at the age group between 2-12 years, accounts for over 40 per cent of the overall umbrella brand sales. Last year, kids wear sold seven lakh pieces compared to the mother brands nearly eight lakh pieces in the youth segment. It is present across 26 cities through 46 retail points, while the mother brand is available at 50 outlets, indicating a distinct skew in spending towards kids wear in recent years. Weekender Kids will soon become a strategic profit centre under a separate CEO. With the kids wear market showing a 40 per cent growth, albeit on a smaller base, the time is perhaps right for the brand to steamroll a segment which it entered too early. Moreover, a differentiated focus is imperative to push Weekender kids in the emerging market as its merchandise and design pool are distinct from that of the youth segment. Traditionally, the domestic kids wear market thrived on pavement shops, while niche premium sales happened through small stand alone boutiques. Over 90 per cent of the sales still come from pavement outlets. The domestic kids wear market is somewhere in the first phase. But, the transition to branded kids wear is gaining speed and we may see a sizeable shift in the next couple of years. There are other shifts in consumer behaviour and spending patterns. Parents today want to give their children what they themselves missed in their childhood. The conservative unwillingness to spend on apparel kids wear for growing kids is past. Parents have started looking at durability and value in kids wear selection. There has been a major change in 11

consumer psyche and the movement to branded kids wear. Right now, Weekender is having the best Diwali sales in the past three years. Weekender Kids is poised for exponential growth over the next 18 months. It is planning to double their retail presence and strengthen their foray into small metros and semi-urban markets. Its expansion in the metros will be fuelled by entry into large-format retail chains and premium multi-brand stores, while growth in smaller urban townships will be through franchise showrooms. Weekender Kids is now accessible in all cities with above 10 lakh people, and the target is to take it to most centres with a population in excess of five lakh. Mothers in smaller urban centres - who are not fully cosmopolitan, but comfortable with English are picking up Western kids wear for their children. Weekender Kids is backing this retail growth with the introduction of an accessories range - bags, caps, belts, shoes, socks and scarves - and by further extending its expertise in the kids wear domain. It has a team of 25 people who travel around the world to pick the latest trends in kids wears merchandise and design. With the apparel market maturing, it is necessary to possess specialist knowledge on emerging segments. The lack of such expertise is often the stumbling block in the way of emerging apparel categories like kids wear. The grasp over domain knowledge will also help Weekender to sustain itself against the onslaught of other brands in the kids wear business. The Weekender Kids advertisements are primarily targeted at parents, especially mothers, who are the decision-makers in the kids wear market. It shares the two main attributes of its mother brand - style and comfort which are sensible and trendy. Their communication is not just about media noise. The overall strategy for the entire Weekender brand dictates a significant role for ground promotions targeted at schools, colleges or other youth hangouts. Weekender also intends to experiment with cross branding deals with other likeminded brands.

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Lil Tomatoes
Born in December 1995, Li'l Tomatoes, a brand of Gunno Group of Industries Pvt. Ltd., is crafted for attitude, for kids between 1 to 14 years. The Li'l Tomatoes label reflects a lifestyle that is contemporary and decidedly urban. Their line is individualistic, performance oriented and focus is on multipurpose clothing. The foundation of Li'l Tomatoes lies in technology, simplistic design, seasonless colour and fabric with strong emphasis on comfort and easy care, that is, fashion at its best for the new breed of the 21st century kid. They specialise in an impressive range of seasonal options for little boys and girls aged 1 to 14 years with an added range of accessories and toys. Every kid, at certain age, begins to develop personal taste in regards to colours and styles - influenced by what they see or what their role models wear. Understanding their psychology has helped the brand create some of the most unique lines of clothing in terms of fabric design and style. Keeping their high activity level in mind, Gunno fashion Pvt. Ltd., with years of valuable experience in manufacturing both fabric and garments for children, are currently producing some of the most impressive range of comfortable wear, and with their wide range of clothes, is all set to dress little princes and divas of the 21st century. The lines consist of tops, t-shirts, shirts, frocks, denim bottoms, non-denim bottoms, shorts, skirts, capris, full sets such as night suits, dungarees, dresses, infant sets, accessories such as socks and caps. Equipped with most modern dyeing facilities, it further adds more versatility to the fabric with variety of finishes. Special finishes like Peach, antibacterial, fluffy, wrinkle free, cooler finish, insect repellant, perfume and many more are processed in this section. Fully fledged studio with expertise from countrys renowned designers culminates into a wide range of comfortable and internationally styled garments for children. The garment-making section materializes world-class range of designer garments for children.

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Ruff Kids
RUFF KIDS is one of the largest selling kids wear brand in India today and the success has been achieved in a very short span. This is a symbol of consumer confidence, trust & loyalty to the brand, thus making it a brand earning many laurels from its value consumers. Being the trend setters in kids wears segment, they create the latest international fashion trends providing the fashion conscious kids stylish clothing and co-ordinate accessories with ever changing styles & products.
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"RUFF KIDS" has always nurtured futuristic outlook by maintaining constant innovation, creation and stringent quality control measure, coupled by dynamic marketing approach providing complete customer satisfaction. D. S. Corporation is the flagship company of DEARSON group of companies engaged in manufacturing of garments since the last 25 years. The group started manufacturing party wear & formal co-ordinates way back in 1980. Managed by the Patca Brothers, its products have reached all parts of India & beyond. It was the first in this industry to recognize & satisfy the need of the hitherto neglected segment of kids wear from 1 to 16 years. Keeping pace with the changing requirements of the market, the group ventured in the field of casuals in 1995 under the Brand label of "RUFF KIDS" and has never looked back since. "RUFF KIDS" products are manufactured and marketed under the labels of "RUFF BABY" & "RUFF KIDS" to cater to the needs of children from 1-3 yrs & 4 -16 yrs age respectively. "RUFF KIDS" is the largest selling kids wear brand in India today and the success has been achieved in a very short span. This is a symbol of consumers confidence, trust & loyalty towards the excellence of the brand, thus making it a brand earning many laurels from its valued consumers. Their vision is To create an international market presence & expand their market share exponentially to embrace diversity and to cultivate strength, pride and passion as they grow. To align "RUFF KIDS" along with other international brands, so as to permeate the popular culture and become an icon of the generation. To create a striking image and fresh new products to gain momentum & worldwide recognition. "RUFF KIDS commitment to quality & creativity is evident through its products & designs. At their research, design & manufacturing facilities, everything is geared to user friendliness & reliability, from what they produce to how they go about producing it. The same exacting standard is applied to quality control. "RUFF KIDS" range of clothing comprises of trendy designer wear trousers, denims, Capris, shorts, shirts, t-shirts, jackets, etc. This range is complemented by a wide variety of accessories such as socks, undergarments, water bottles, caps, belts, wallets, tennis balls, etc. "RUFF KIDS" products are a result of painstaking efforts of a team of highly qualified designers. Mr. Naushad Patca, Director D. S. Corporation, assisted by Mr. Rizwan Patca heads the design as well as the procurement cell. Leading a team of able designers he personally keeps a vigil on the quality parameters. World-class innovativeness being the key word at "RUFF KIDS", leads to development of new designs season after season. Pioneers in the kids market, "RUFF KIDS" is always committed to provide international quality fashion garments & accessories for kids. The trendy innovative & durable collection is sure to fascinate kids of all ages. Extreme care is taken at the time of selection of fabrics to take into account the varied climatic condition. A majority of the fabrics are the result of the efforts of our design team resulting in unique designs rarely available elsewhere. Embellishments form a very important component of "RUFF KIDS" products. Proper selection of embellishments results in giving garments a very trendy look. 15

kids wear
Walt Disney

International brands in market

Walt Disney entered into an alliance with Indus Clothing Ltd (ICL) to manufacture and market `Disney Jeans' in India. ICL signed a licensing agreement with the Walt Disney Company for the venture and planned to invest Rs 21 crore in it. The investment was part of the company's plan to set up a greenfield facility in Uttaranchal where it would be producing one lakh pieces. Targeting the 4-14-year-olds, the range of apparel and fashion accessories including belts and bags was to be distributed through stand-alone shops in the metros and towns. ICL planned to start with 20 such outlets in the forthcoming year and increase the number to 50 by 2008. Mr. Harpartap Singh, Director, ICL said, "The kids wear market in India is almost 15 per cent of the total apparel market and lies completely untapped. We are looking at clothing for kids who are brand-conscious and are on the lookout for something exclusive for themselves." ICL hopes to create a niche for itself and have the first-mover advantages; it expects other international players to soon venture in. With the growth figures for the kids wear market set at 30-40 per cent in the coming years, Disney Jeans hopes to leverage the Disney brand consciousness among Indian children. Although the jeans will not carry any of the typical
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Disney character embellishments, the company feels that the brand itself will be the selling point of the apparel. Categorizing the apparel as `transitional wear', Mr. Singh said the range symbolizes Disney's new direction to associate the brand with style and quality as opposed to only cartoon characters. The move is in line with the global strategy of Disney Consumer Products, which has been entrusted with the task of launching the Disney brand across the world through various consumer products. Disney Consumer Products is currently focusing on the expanding Indian market, where the branded apparel and accessories market is estimated to cross $850 million by 10, from the $600 million sales totaled in 05. In a statement, Disney said that the apparel range will initially focus on kids denim jeans and later spread across to include head-to-toe apparels and accessories. India is an important market for Disney, which plans to create licensing relationships with key local partners, a vital part of its retail plans. Also, with international retailers expanding into the Asian market in the next five years, Disney Consumer also plans to build strong tie-ups with shopping majors such as Wal-mart, Carrefour, Tesco and Metro.

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Barbie
Cashing in on the fame of cartoons character and branded toys which children love to watch is the latest offering from Barbie, the anorexic doll that is almost every girl childs fancy. Barbie Clothing for Girls, a company that is in India since last year, is now set to open seven more exclusive Barbie outlets and to retail from over 100 multi brand outlets in various parts of the country. There is a demand for branded children's garments and we are tapping into it, says Shivanand Shetty, Chairman. The brand comes out with four collections in a year in India, in keeping with what it offers worldwide. The Barbie Doll is in reality 75 years old. It is sold in 145 countries. The target customers for Barbie Clothing for Girls are in the 2-12 year age group. In January 2004, Shetty signed a three year deal with Mattel Inc., to retail Barbie Clothing for Girls in India. With an initial investment of Rs 4 crore, the company is confident of over 10 per cent of profit margins. The Company has two Barbie girls outlets in Mumbai one at Inorbit Mall, Malad and at Nirmal Lifestyle, Mulund and another at Ansal Plaza in New Delhi. Besides, the clothes are sold through large retail chains such as Shoppers Stop, Pantaloons, etc and other multi-brand outlets. Every girl who plays with toys aspires for a Barbie doll in her kitty. Barbie Clothing for Girls is focusing on this inspirational dream and hopes to attract the Barbie-loving girls to buy their garments. Shetty set up the worlds first exclusive Barbie Clothing for Girls outlet at Inorbit Mall, Malad, Mumbai which stocks not the latest designs in girls clothing, but also the world famous Barbie dolls and other girls accessories. Mr. Shetty has two other Barbie outlets in the country and now plans to have seven more exclusive Barbie outlets, besides franchisee stores and around 100 multi-brand outlets selling Barbie clothes all over India to have a national presence. The total market for readymade clothes in India is around 80,000 crore, of which childrens clothing accounts for 15 per cent, amounting to 12,000 crore. Of this, the organised sector accounts for just half a per cent which is around 400 to 500 crore. Barbie Clothing for Girls hopes to garner 5 per cent of this market, which is approximately 25 crore.

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United Color of Benetton

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Today kids are very demanding when it comes to fashion. The Benetton winter season starts with ideas fit for a young audience but with an eye on the adult world both for her and for him. Fabrics borrowed from mum and dads wardrobe are used for jackets, coats and padded jackets; the tartan check of the classic kilt is the same used for puff-skirts or corduroy trousers; tricot sweaters lead us to the English college style with argyles, rugby stripes and contrasting details. Colours are bright, but not too bright, with the exception of parties or special occasions. Here chromatic fantasy has carte blanche. The kids wear section of Benetton is segmented intoKid & Young (6-12 years) Toddler (1-5 years) New Born (0-1 year) Mamma Not forgetting the typical characteristics of early childhood, the Benetton new born collection has fun taking inspiration from the adult wardrobe. For her, Benetton offers fun bon ton references with strings of pearls in jacquard patterns or romantic heart applications; and for him, ideas taken from the sports world, with baseball style t-shirts or crumpled jeans, as if after a rugby match with friends. Children who decide to wear Benetton can choose from lots of ideas purposely designed for them. Comfortable, cosy and resilient items will make them immediately recognizable. An entire collection is available in smaller sizes with padded jackets and coats, jeans and trousers with adjustable waistbands, sweatshirts with macro prints, and skirt & legging combinations for a touch of glamour. A fashion world in scale is dedicated to tomorrows grown-ups. The new UCB kids eyewear collection is characterised by dazzling combinations of warm tones of red, orange and pink, complimented by colder sparkling shades in white and light blue. Shapes are inspired by both the adult eyewear collection and the Benetton apparel lines. The UCB kids frames are light and comfortable, and the bright colors and decorative detail ensure this eyewear is both fun and practical for kids to wear. Products are available in specialized shops of selected countries.

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Success Factors
Craving for a niche, new entrants as well as existing players follow distinct strategies to market their brand. Marketing task lies in capturing the imagination of the children with fashionable patterns, and of the parents with quality apparels supplemented by reasonable prices. All these determine the success of the manufacturer in this segment.

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SUCCESS FACTORS

FASHION INNOVATION

BRAND BUILDING

PRICING

COORDINATES ACCESSORIES

VISUAL MERCHANDISING

Fashion Innovations The practice of dressing girls with a frock and boys with shorts are way beyond. New pattern of garments in par with the latest fad is being sought by parents. Fashion industry is boosting up the well dressed child trend with their new collections on the runways frequently. Kids apparel manufacturers make optimum utilization of latest trends in the fashion world to entice the kids and increase their sales. With wishes and demands getting added in the list of kids, manufacturers and retailers are making the most of it. Factions of domestic and international players are seen in the arena, with each of them wanting a slice in the pie. Apparel manufacturers are also cashing on the popularity of cartoon characters for quite a bit now. Coordinated Accessories This seasons style statement includes dressing up with accessories, where everything from dress, bag, and hair clip is color, and design coordinated. In the current trend, leather bags, umbrellas, caps, key chains, and hair bands are considered as required with an ensemble. Especially in case of branded apparels, garments coordinated with proper accessories sell well in the market, than individual apparels. The price ranges for such apparels are extravagant. Brand Building As apparel markets are growing in size rapidly, kids of today have a vast range of options to choose from. So, it becomes necessary for the manufacturers, and retailers to woo the offsprings and convince them to make the buying decision. Brands approach kids to market their product focusing on unique colors, silhouettes and prints just as for adults. Specialty shops are now an emerging trend for kids wear. Every brand tries to create a discrete brand identity through its merchandise and in-store arrangements. Raymonds brand Zapp has an exclusive kids loyalty programme. Reebok has a Made to Play campaign. They have specific sports wears like Cricket, Football, and Basketball collections. This is done keeping in mind that kids are more attracted towards playing. Peter England has set up a customized space for kids. 22

Visual Merchandising Trends have changed, and it is quite visible. Children, who were taken to parks and zoos before, are now coming along with their parents for buying their own clothes. So, the retailers who want to take a pie of the cherry should focus on attracting the attention of children along with their parents. They can thereby Capture the childs mind and the parents wallet. Kids exhibit considerable pester power while shopping for their clothes. Good store presentation and product merchandising is like a good book that has an attractive cover, and an interesting first chapter that would lure the viewer. Big departmental stores have segregated their apparel categories like infant wear, ethnic wear, casual wear and preteen wear etc. They store a wide assortment of apparels and distinguish them with each other. Some retailers and department stores have taken the lead in creating an in-store arrangement with play areas, and kids oriented promotions within the store. Ex: Back to School promotion by Lifestyle. Pricing Kids apparel market is a price sensitive segment. Higher input costs add to the prices of the apparels. With the increase in the purchasing power of parents, it is expected that they will sustain the business in the long run. As kids have the tendency to grow up very quickly, new offerings are required. This raises two concerns-one of range, and second of pricing. An effective combination of both determines the future of the brand. Deciding the price of the apparel mainly depends on defining the target group and identifying buyer behavior. The price of garments in I tier cities, and exclusive outlets will have a vast difference than that of the clothes sold in normal retail outlets and II & III tier cities.

Conclusion
Clothing signifies an individual state of mind and the wearers economic status. This is visible crystal clear in the kids wear market. Parents crave that their children should dress as well as themselves, and even in a better way. With new players entering the kids wear segment and heating up the market old players are pepping up their merchandize and providing attractive offers and services to charm the customers. Based on the analysis and interpretation this report draws the following conclusions: There is a high potential for childrens apparel in India both in terms of branding and specialty retailing. However, their success depends on the extent of their product differentiation and retailer experience. Branded apparel is in its nascent stage in India. Industry experts positively exert that branded market for kids wear is growing at 15% p.a. along with domestic brands, many international brands are also entering into the Indian market. Marketing of kids wear brands in India is still in the budding stage in India, as very few brands exist, and there is lack of brand orientation amongst customers. Majority of the kids apparel advertising is being targeted mainly on women. Manufacturers and retailers follow appealing marketing strategies to charm the kids as well as their parents. Much focus is placed on in store arrangements
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keeping pace with the interests of kids. Toon inspired merchandize and having special kids oriented promotions are a few to name. Media plays a major role in influencing the purchase decisions of kids. Effective publicity of mediums like TV channels, video games, blockbuster of superheroes help to boost the kids apparel market.

Bibliography

www.fibre2fashion.com www.scribd.com www.indiatimes.com www.indianapparel.com www.lilliputindia.com www.zappkids.com

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