You are on page 1of 35

By:-

Deepika Gupta
MBA(fm)
 Introduction
 Industry overview of kids wear market
 Market size and growth of kids wear market in
India
 Categories of kids wear market
 Success factor

1)fashion innovations
2)brand building
3)visual merchandising
4)pricing
 Growth drivers
 Major players in kids wear market
 Major players
1)Lilliput
2)Zapp
3)Gini and Jony
4) Catmoss
 Swot Analysis
1)Strength
2)Weakness
3)Opportunities
4)Threats
 Conclusion
 Kids fashion is a diminutive
version of adults wear. They like
to have their own choice of
clothing. This is enhancing the
kids wear market.
 Double income and one or two
kids are the supporting factors to
the growth of the kids wear
market.
 Global market for kids wear segment
during 2006 was USD163.92 billion, a
mere 3.6% of the total textile and clothing
industry and grew by 3.6% over 2005
 Indian textile and clothing industry during
2006 is estimated to be about
INR1,511billion ( USD 38 billion) , which
includes apparel of men, women and kids .
Kids wear segment constitutes INR 226.66
billion (USD 5.7 billion) , about 15% of
total textile and apparel market.
 Indian kids wear market has grown at a
rate of 11.60% in the last 5 years.
 The market is expected to reach
INR347.67 billion (USD 8.7billion at
current exchange rates) by 2010, at a
growth rate of around 12%.
 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.
 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.
 Indian market is now moving towards an international
look in terms of children’s apparel. International brands
including Barbie, Mother care, Benetton Kids, Pepe, Lee
Kids,
Tommy Hilfiger, and Adams Kids have also entered the
Indian market
 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, Planet Kids, Gini & Jony, ZAPP, Lilliput, and
Weekender Kids is estimated to be around Rs 1,000
crore. They positively assert that branded market for kids
is growing at 15% per annum.
 Cotton plays a major role in the clothing of children.
Approximately, 86% of the kids wear are of cotton. .
 According to the India Apparel
Report, 2008 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 country’s
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 .
 Industry players further predict that the market is set to
grow by 12% annually and reach its peak by 2010.
 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)

 Children’s wear is mainly on a seasonal basis. Highest


sales figures are usually recorded during the months of
August – September.
 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.
1) FASHION INNOVATIONS:
 Use of cartoon characters in kid’s
garments:
 Apparel manufacturers are cashing on the
popularity of cartoon characters.
 Mickey Mouse, Powerpuff girls,
Spiderman, Superman etc. have all found
their way into the kids wear market and are
currently selling like hot cakes in the
market.
 Coordinated Accessories:
 In the current trend, leather bags, caps,
key chains, and hair bands are
considered as ‘requirement’ with the
dress.
 Especially in case of branded apparels,
garments coordinated with proper
accessories sell well in the market, than
individual apparels.
2) 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 convince them to make the buying decision. Brands
approach to market their product is focusing on unique
colors, silhouettes and prints just as for adults .
3)VISUAL MERCHANDISING
Now kids come 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.
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.
4)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.
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.
1) Demography:
 Generally stores that offer a wide range of selection
at discounts and low prices attract more customers.
 As kids grow quickly, and are less attentive in
keeping their clothes safe, parents consider kids
apparel as functional and disposable as well.
2) Untapped market potential:
 With a promising future for kids apparels, the market has
attracted international brands into India.
 Representing Indian brands abroad, higher profit
margins, and opportunities are assumed to be the reasons
behind their success.
 India has a vast potential for export of kids apparel to
foreign markets like US and EU.
3) Media Proliferation:
 A brand; positioning itself in the market, depends on the
level of differentiation it is able to establish.
 With the effective publicity of mediums like TV
channels, video games, 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.
 With the emergence of many TV channels, promotional
strategies of companies have become more intense.
1)LILLIPUT:
 Lilliput Kids wear Ltd. was incorporated in 1991
by the dynamic visionary Sanjeev Narula to
export world class kids wear.
 With the opening of its first retail store in April
2003, it has rapidly grown and is now one of the
largest Kids wear groups in India.
 In India, Lilliput has 250 stores.
 Lilliput has its presence in Kingdom of Egypt, Saudi
Arabia, UAE, Shanghai, China ,Nepal and they had a
turnover of Rs 415 crores in 09-10.
 Throughout the range of their products, the quality is
maintained at a consistent level to ensure optimum care
for their sensitive customers.
2)ZAPP
 Zapp! presents an exciting range of apparel,
accessories and lifestyle products for kids between
the age group of 4 to 14 years.
 Zapp! has established itself as a leading player in the
kids wear segment today.
 . Zapp! retails through 20 exclusive stores, is
available across Shoppers Stop, Lifestyle, Pantaloon
and Central and the top 120 multibrand kids wear
stores in the country.
 Baby Zapp! consolidates the offering as a
specialized category targeted at the 0 to 3 infant
segment with great care on safety and comfort
 Its the only kids wear brand to retail in Bangalore
and Hyderabad International Airports
 The Zapp! stores offer both fun while shopping and
the best product available in terms of choice, design
and quality.
 Here comfort in clothing is given top priority and there
are also accessories like blankets, range of caps, socks
and irreversible nightwear.
 Prices range from Rs.249-Rs.1500.
3)GINI AND JONNY
 The Company was incorporated in 1994 as a
ready-made kids wear
manufacturing company and has grown over
the years to become one of India’s leading premium
lifestyle kids wear companies.
 The Gini & Jony brand markets its dress materials under
three names GJ Jeans UnLtd., Gini & Jony Freedom
wear and Palmtree. The fashion franchise has been
offering its service for the past 25 years
 The kids wear franchise concentrates in manufacturing
dresses for children between the age group of two and
sixteen .
 Gini & Jony ltd stretches its arms to reach the customers
with more than 110 outlets in the form of: Gini & Jony
Exclusive Stores and Freedom Fashion stores.
 The range of daywear for kids is casual and stylish and
is made available in a very competitive price range
between Rs. 175/- up to Rs.795/-.  
4)CATMOSS
 Catmoss has in a short span of time, since its inception,
has dominated the exciting and fast growing organized
kids wear industry in India.
 This has become a leading brand in kids wear catering to
the age group of 0-14 years
 The brand will widen its product range and strengthen its
retail space to almost double, by the end of FY 2012”.
 Catmoss Retail, a kids wear retail chain, has decided to
open 150 new stores by the end of 2012. This would
include retail kids wear stores in Punjab. With this move,
the total number of Catmoss kids wear stores would be
320 across the country.
Strengths
 Good quality

 better and long term relationships with middle class


customers
 heavy discount

 high brand recognisation

 focus on customer delightment

Weakness
 weak in larger segment of market

 establishment of necessary infrastructure in it sector


 doesn't cater to niche class customers.

Opportunities
 untapped market both rural and urban and also in
geographical region.
 increase product offering by launching new product and
widen the product line.
 scale up volume by expanding distribution.

Threats
 increasing competition
Average budget for kids apparel
The average annual expenditure on kids wear is
approximately Rs. 3, 857.
 Parents crave that their children should be dressed even in
a better way then them.
 Kids are highly self conscious and can be easily affected
by peer pressure, at a very young age and thus can be very
demanding.
 This analysis also shows that price of the clothes is a
major deciding factor in the purchase of the apparel along
with the design and fabric used. Thus, it is important for
the company to focus on these areas to increase their sales.
 
 
REFERENCES
 www.fibre2fashion
 www.babyshopmagazine.com

 http://economictimes.indiatimes.com

 http://retailia.blogspot.com

You might also like