Description
introduction
major players
Indian Footwear Industry
---A Retail Perspective
Group Members
Name
Pranali Chandarana Pooja Khandelwal Mandeep Mago Prasad Shetty Ashutosh Khanna Ishan Gupta Manish ha!ur
Roll No.
118 111 83 120
Industry Overview
? he Indian "ootwear retail #ar!et is e$pe%ted to grow at a CAG& o" o'er 20( "or the period spanning "ro# 2008 to 2011)
? *ootwear is e$pe%ted to %o#prise a+out ,0( o" the total leather e$ports +y 2011 "ro# o'er 38( in 200,-0.)
?
he #ajor produ%tion %enters are Chennai/ &anipet/ A#+ur in a#il 0adu/ Agra and 1elhi)
? 2y produ%ts/ the Indian "ootwear #ar!et is do#inated +y %asual "ootwear #ar!et that #a!es up "or nearly two-third o" the total "ootwear retail #ar!et)
?
he Indian "ootwear #ar!et s%ores o'er other "ootwear #ar!ets as it gi'es +ene"its li!e low %ost o" produ%tion/ a+undant raw #aterial/ and has huge %onsu#ption #ar!et)
Industry Overview
? he esti#ated annual produ%tion %apa%ity o" 3eather Shoe 4ppers is 112 #illion pairs
? 56India7s e$port o" *ootwear Co#ponents tou%hed 4S8 229):9 #illion in 1999-2000/ holding a share o" 1;( in India7s total e$port o" leather and leather produ%ts) 0early .;( o" the total e$port o" "ootwear %o#ponents is "ro# the Southern &egion/ "ollowed +y the 0orthern &egion/ with a share o" 13()
? 56 he #ajor #ar!ets "or Indian "ootwear %o#ponents are the 4)K)/ Ger#any/ Italy/ the 4SA/ *ran%e/ and Portugal) 0early 83( o" India <s e$port o" "ootwear %o#ponents is to the a+o'e %ountries)
? India is o"ten re"erred to as the sleeping giant in "ootwear ter#s) It has an installed %apa%ity o" 1/800 #illion pairs/ se%ond only to China)
Organized Sector vs. Unorganized Sector
? he Indian "ootwear #ar!et is esti#ated to +e worth &s)13/.;0 Crore and %onstitutes just a+out one per%ent o" Indian retail) he ladies "ootwear seg#ent still re#ains the #ost untapped as nearly 80-90 per%ent pur%hases happen in the Indian Footwear Mar et unorgani=ed #ar!et
,2)20( 3.)80(
?
>rganised Mar!et 4norganised Mar!et
Source: Indian Retail Report !""#$!""%
&ctual '(ports ) *arget o+ t,e -eat,er Industry In India
.roduct !""/$"0 !""0$"# A%tual A$port .2,)8; !""#$"% A%tual A$port .8
00 8:.)80 91,3 !""%$1" !"1"$11 ?In Million A%tual A$port 4S8@ 3eather ,88)0;
Footwear
Gar#ents 3eather Goods Saddlery B Carness *otal
1!1!.!2
308)98 ,90),, 81)8; !%#1.0%
1%/0.##
3;8);3 .33)3: 10,, 3#%!.!/
!2%0./"
3.2)8. .98),9 12.)8; 4/#!."1
34!#.#3
38.).8 8.0)0, 1;
.0 2/#%.10
42!/."2
:03)30 9:8)0: 18.)19 /%#".!1
Mar!et Share in the *ootwear Industry
5olume S,are o+ .roducts Segments in Footwear 5olume S,are in Footwear
Source:6http://indiaretailing.com/news.asp?id=1611&topic=3
Major Players in Shoe Mar!et
Adidas 'Ds 0i!e
.arameters 6rand Owners "ounder Adol" EAdiE 1assler &ee+o!/ aylor Made gol" %o#pany and &o%!port Adiprene/ orsion/ Ground Control Syste# ?GCS@/ Cli#a%ool EI#possi+le is nothingI Adidas produ%ts are generally %heaper than 0i!e produ%ts Goddess o" Fi%tory 4#+ro/ Curley/ Con'erse and Cole Caan Goo# Air/ 0IKAi1/ Ha""le Sole/ Ma$ Air/ Independent Podular Suspension ?IPS@ EJust do it)K 0i!e see#s to ha'e the upper hand in
*ec,nologies
Motto .ricing
? In%orporated as 2ata Shoe Co#pany Pri'ate 3i#ited in 1931/ the %o#pany was set up initially as a s#all operation in Konnagar ?near Cal%utta@ in 1932
? 2ata India is the largest %o#pany "or the 2ata Shoe >rgani=ation in ter#s o" sales pairs and the se%ond largest in ter#s o" re'enues
? 2ata India 3i#ited is the largest "ootwear retailer in India)
? 2ata India has #ore than 12;0 stores a%ross the Country
? Corporate o""i%eL Gurgaon ? CA>L Mr. *,omas G 6ata
LI#pro'ing Mar!et Share
25 20 15 10
Overall Market Share
17.6
15.4
15.2
15
15
In Organised Retail
5 0 0
6.7
6.5
6.8
7.2
7.6
2006 2007 2008 2009E 2010E 6ata today76 Ser'es61 million customers per day8 A#ploys #ore than64"9""" people6 >perates62""" retail stores6 Manages a8retail presence in over 2" countries6 &uns64" production +acilities across !/ countries
6
Mar!eting Strategy o"
? 2ata is rein'enting itsel" and has introdu%ed the %on%ept o" +lags,ip stores to pro'ide %o#plete and uniMue shopping e$perien%e at par with their stores a+road) ? International trends/ rela$ed a#+ien%e/ great produ%ts/ and %ourteous sta"" at the new-loo! *lagship store are all a part o" 2ata7s new #ar!eting strategy) ? &eposition +rand :6ata: - Cigh +rand re%all "or %onsu#er lead to higher "oot"alls and +etter %on'ersions ? arget new #ar!et ?ladies and !ids@ - *illing the #issing :;( pie o" "ootwear #ar!et ? I#pro'ing shoe line - 3aun%hing international +rands/ "o%us on style will attra%t new young %usto#er %lass
Major retail outlet o"
? IndiaNs "irst e$%lusi'e Cush Puppies outlet at Cydera+ad ? 10/000 sM "t Mega Store at Fadodara
? 2ata India li#ited 2ehra#pur
Overview
Mar et segment low to medium priced +ootwear +or t,e common person across t,e globe 6ata runs semi$autonomous companies targeted at t,e low to medium end o+ t,e scale. 6ata clusters countries geograp,ically into groups; t,e e(patriate would build regional specialization ) training activities would be more relevant on a regional basis +or similar counties 6ata +ollows a multi domestic strategy. It stands +or low
-ocal Strategy
Mar eting &pproac,
International strategy
Produ%t >""erings
2u++legu##ers is the leading %hildrenNs "ootwear +rand "or the 0 to 9 olds that assure the healthy growth o" a %hildNs "oot) Power e#+odies di'ersity with ranges in running/ training/ %ourt/+as!et+all/ "oot+all and >utdoor that %o#+ines "un%tion Marie Claire shoes are "or wo#en with an a%ti'e with %reati'ity li"estyle who see! %onte#porary #odern styles) he Hein+renner line is #ade up o" leather shoes and +oots/ low/ #id and high %ut Its %hara%teristi%s su%h as dou+le stit%hing/ #assage insole/ late$ "oa# insole/ so"t te$tile are used to e#phasi=e the +rand i#age +oth "or %o#"ort and style)
Produ%t >""erings
DR.SCHOLL he ri++ed sur"a%e o" the insole gently #assag your "eet while wal!ing) his +oosts the %ir%ula And !eeps you a%ti'e all the day) he so"t sole a+sor+s all the sho%!s while wal!ing) NORTH STAR ItNs a %asual yet "ashiona+le street-style shoes that %aters to the young at heart)
Hush Puppies e#erged worldNs "irst %asual shoe It is so"t/ +reatha+le and 'ery %o#"orta+le shoe) Known "or te%hnology)
<OM.&NI'S *&RG'*ING *=' <ONSUM'RS 6&S'> ON IN<OM' .'R &NNUM
RI<= <-&SS .UM&9 NI@' &>I>&S &<*ION9 -I6'R*?9 NI@'9 &>I>&S 6&*&9 &<*ION9 -I6'R*?9 NI@'9 &>I>&S9 R'-&AO 6&*&9 &<*ION9 R'-&AO U..'R MI>>-' <-&SS -OB'R MI>>-' <-&SS
-OB'R IN<OM' GROU.
Challenges in the Indian *ootwear se%tor
?3ow Muality o" shoes O threat o" shi"t in produ%tion to other areas or %ountries where wages le'els are low i" the Muality is #aintained at sa#e le'el ? Most %o#panies wor! on su+%ontra%t +asis O design/ %o#ponent sele%tion and #ethods o" produ%tion are gi'en +y the +uyers and do not pro'ide their own "ashion %olle%tions/ howe'er %o#panies are a+le to #a!e prototypes +ased on ideas pro'ided +y the +uyer ?Strong reMuire#ent to in%rease Muality as well as Muantity ?A'aila+ility o" right raw #aterial ?"inished leather@ at right ti#e ?4nder de'eloped designs "or "ootwear %o#ponents se%tor ?Meeting #anpower reMuire#ent under the state o" a""airs o" rapid industriali=ation
>pportunities in the Indian *ootwear Industry
? A+undant s%ope to supply "inished leather to #ultinationals setting up shop in India ? Growing "ashion %ons%iousness glo+ally
? 4se o" in"or#ation te%hnology and de%ision support so"tware to help eli#inate the length o" the produ%tion %y%le "or di""erent produ%ts
? Produ%t di'ersi"i%ation - here is lot o" s%ope "or di'ersi"i%ation into other produ%ts/ na#ely/ leather gar#ents/ goods et%
? Growing international and do#esti% #ar!ets
? Ai# to present the %usto#er with new designs/ in"rastru%ture/ %ountry B %o#pany pro"iles
? A$hi+it strengths in #anu"a%turing/ "or e$a#ple/ strengths in %lassi% shoe #anu"a%turing/ hand %ra"ting et%
He+liography
• httpLDDwww)i"%o#a)orgD
doc_680015321.pptx
introduction
major players
Indian Footwear Industry
---A Retail Perspective
Group Members
Name
Pranali Chandarana Pooja Khandelwal Mandeep Mago Prasad Shetty Ashutosh Khanna Ishan Gupta Manish ha!ur
Roll No.
118 111 83 120
Industry Overview
? he Indian "ootwear retail #ar!et is e$pe%ted to grow at a CAG& o" o'er 20( "or the period spanning "ro# 2008 to 2011)
? *ootwear is e$pe%ted to %o#prise a+out ,0( o" the total leather e$ports +y 2011 "ro# o'er 38( in 200,-0.)
?
he #ajor produ%tion %enters are Chennai/ &anipet/ A#+ur in a#il 0adu/ Agra and 1elhi)
? 2y produ%ts/ the Indian "ootwear #ar!et is do#inated +y %asual "ootwear #ar!et that #a!es up "or nearly two-third o" the total "ootwear retail #ar!et)
?
he Indian "ootwear #ar!et s%ores o'er other "ootwear #ar!ets as it gi'es +ene"its li!e low %ost o" produ%tion/ a+undant raw #aterial/ and has huge %onsu#ption #ar!et)
Industry Overview
? he esti#ated annual produ%tion %apa%ity o" 3eather Shoe 4ppers is 112 #illion pairs
? 56India7s e$port o" *ootwear Co#ponents tou%hed 4S8 229):9 #illion in 1999-2000/ holding a share o" 1;( in India7s total e$port o" leather and leather produ%ts) 0early .;( o" the total e$port o" "ootwear %o#ponents is "ro# the Southern &egion/ "ollowed +y the 0orthern &egion/ with a share o" 13()
? 56 he #ajor #ar!ets "or Indian "ootwear %o#ponents are the 4)K)/ Ger#any/ Italy/ the 4SA/ *ran%e/ and Portugal) 0early 83( o" India <s e$port o" "ootwear %o#ponents is to the a+o'e %ountries)
? India is o"ten re"erred to as the sleeping giant in "ootwear ter#s) It has an installed %apa%ity o" 1/800 #illion pairs/ se%ond only to China)
Organized Sector vs. Unorganized Sector
? he Indian "ootwear #ar!et is esti#ated to +e worth &s)13/.;0 Crore and %onstitutes just a+out one per%ent o" Indian retail) he ladies "ootwear seg#ent still re#ains the #ost untapped as nearly 80-90 per%ent pur%hases happen in the Indian Footwear Mar et unorgani=ed #ar!et
,2)20( 3.)80(
?
>rganised Mar!et 4norganised Mar!et
Source: Indian Retail Report !""#$!""%
&ctual '(ports ) *arget o+ t,e -eat,er Industry In India
.roduct !""/$"0 !""0$"# A%tual A$port .2,)8; !""#$"% A%tual A$port .8
00 8:.)80 91,3 !""%$1" !"1"$11 ?In Million A%tual A$port 4S8@ 3eather ,88)0;Footwear
Gar#ents 3eather Goods Saddlery B Carness *otal
1!1!.!2
308)98 ,90),, 81)8; !%#1.0%
1%/0.##
3;8);3 .33)3: 10
,, 3#%!.!/!2%0./"
3.2)8. .98),9 12.)8; 4/#!."1
34!#.#3
38.).8 8.0)0, 1;
.0 2/#%.1042!/."2
:03)30 9:8)0: 18.)19 /%#".!1
Mar!et Share in the *ootwear Industry
5olume S,are o+ .roducts Segments in Footwear 5olume S,are in Footwear
Source:6http://indiaretailing.com/news.asp?id=1611&topic=3
Major Players in Shoe Mar!et
Adidas 'Ds 0i!e
.arameters 6rand Owners "ounder Adol" EAdiE 1assler &ee+o!/ aylor Made gol" %o#pany and &o%!port Adiprene/ orsion/ Ground Control Syste# ?GCS@/ Cli#a%ool EI#possi+le is nothingI Adidas produ%ts are generally %heaper than 0i!e produ%ts Goddess o" Fi%tory 4#+ro/ Curley/ Con'erse and Cole Caan Goo# Air/ 0IKAi1/ Ha""le Sole/ Ma$ Air/ Independent Podular Suspension ?IPS@ EJust do it)K 0i!e see#s to ha'e the upper hand in
*ec,nologies
Motto .ricing
? In%orporated as 2ata Shoe Co#pany Pri'ate 3i#ited in 1931/ the %o#pany was set up initially as a s#all operation in Konnagar ?near Cal%utta@ in 1932
? 2ata India is the largest %o#pany "or the 2ata Shoe >rgani=ation in ter#s o" sales pairs and the se%ond largest in ter#s o" re'enues
? 2ata India 3i#ited is the largest "ootwear retailer in India)
? 2ata India has #ore than 12;0 stores a%ross the Country
? Corporate o""i%eL Gurgaon ? CA>L Mr. *,omas G 6ata
LI#pro'ing Mar!et Share
25 20 15 10
Overall Market Share
17.6
15.4
15.2
15
15
In Organised Retail
5 0 0
6.7
6.5
6.8
7.2
7.6
2006 2007 2008 2009E 2010E 6ata today76 Ser'es61 million customers per day8 A#ploys #ore than64"9""" people6 >perates62""" retail stores6 Manages a8retail presence in over 2" countries6 &uns64" production +acilities across !/ countries
6
Mar!eting Strategy o"
? 2ata is rein'enting itsel" and has introdu%ed the %on%ept o" +lags,ip stores to pro'ide %o#plete and uniMue shopping e$perien%e at par with their stores a+road) ? International trends/ rela$ed a#+ien%e/ great produ%ts/ and %ourteous sta"" at the new-loo! *lagship store are all a part o" 2ata7s new #ar!eting strategy) ? &eposition +rand :6ata: - Cigh +rand re%all "or %onsu#er lead to higher "oot"alls and +etter %on'ersions ? arget new #ar!et ?ladies and !ids@ - *illing the #issing :;( pie o" "ootwear #ar!et ? I#pro'ing shoe line - 3aun%hing international +rands/ "o%us on style will attra%t new young %usto#er %lass
Major retail outlet o"
? IndiaNs "irst e$%lusi'e Cush Puppies outlet at Cydera+ad ? 10/000 sM "t Mega Store at Fadodara
? 2ata India li#ited 2ehra#pur
Overview
Mar et segment low to medium priced +ootwear +or t,e common person across t,e globe 6ata runs semi$autonomous companies targeted at t,e low to medium end o+ t,e scale. 6ata clusters countries geograp,ically into groups; t,e e(patriate would build regional specialization ) training activities would be more relevant on a regional basis +or similar counties 6ata +ollows a multi domestic strategy. It stands +or low
-ocal Strategy
Mar eting &pproac,
International strategy
Produ%t >""erings
2u++legu##ers is the leading %hildrenNs "ootwear +rand "or the 0 to 9 olds that assure the healthy growth o" a %hildNs "oot) Power e#+odies di'ersity with ranges in running/ training/ %ourt/+as!et+all/ "oot+all and >utdoor that %o#+ines "un%tion Marie Claire shoes are "or wo#en with an a%ti'e with %reati'ity li"estyle who see! %onte#porary #odern styles) he Hein+renner line is #ade up o" leather shoes and +oots/ low/ #id and high %ut Its %hara%teristi%s su%h as dou+le stit%hing/ #assage insole/ late$ "oa# insole/ so"t te$tile are used to e#phasi=e the +rand i#age +oth "or %o#"ort and style)
Produ%t >""erings
DR.SCHOLL he ri++ed sur"a%e o" the insole gently #assag your "eet while wal!ing) his +oosts the %ir%ula And !eeps you a%ti'e all the day) he so"t sole a+sor+s all the sho%!s while wal!ing) NORTH STAR ItNs a %asual yet "ashiona+le street-style shoes that %aters to the young at heart)
Hush Puppies e#erged worldNs "irst %asual shoe It is so"t/ +reatha+le and 'ery %o#"orta+le shoe) Known "or te%hnology)
<OM.&NI'S *&RG'*ING *=' <ONSUM'RS 6&S'> ON IN<OM' .'R &NNUM
RI<= <-&SS .UM&9 NI@' &>I>&S &<*ION9 -I6'R*?9 NI@'9 &>I>&S 6&*&9 &<*ION9 -I6'R*?9 NI@'9 &>I>&S9 R'-&AO 6&*&9 &<*ION9 R'-&AO U..'R MI>>-' <-&SS -OB'R MI>>-' <-&SS
-OB'R IN<OM' GROU.
Challenges in the Indian *ootwear se%tor
?3ow Muality o" shoes O threat o" shi"t in produ%tion to other areas or %ountries where wages le'els are low i" the Muality is #aintained at sa#e le'el ? Most %o#panies wor! on su+%ontra%t +asis O design/ %o#ponent sele%tion and #ethods o" produ%tion are gi'en +y the +uyers and do not pro'ide their own "ashion %olle%tions/ howe'er %o#panies are a+le to #a!e prototypes +ased on ideas pro'ided +y the +uyer ?Strong reMuire#ent to in%rease Muality as well as Muantity ?A'aila+ility o" right raw #aterial ?"inished leather@ at right ti#e ?4nder de'eloped designs "or "ootwear %o#ponents se%tor ?Meeting #anpower reMuire#ent under the state o" a""airs o" rapid industriali=ation
>pportunities in the Indian *ootwear Industry
? A+undant s%ope to supply "inished leather to #ultinationals setting up shop in India ? Growing "ashion %ons%iousness glo+ally
? 4se o" in"or#ation te%hnology and de%ision support so"tware to help eli#inate the length o" the produ%tion %y%le "or di""erent produ%ts
? Produ%t di'ersi"i%ation - here is lot o" s%ope "or di'ersi"i%ation into other produ%ts/ na#ely/ leather gar#ents/ goods et%
? Growing international and do#esti% #ar!ets
? Ai# to present the %usto#er with new designs/ in"rastru%ture/ %ountry B %o#pany pro"iles
? A$hi+it strengths in #anu"a%turing/ "or e$a#ple/ strengths in %lassi% shoe #anu"a%turing/ hand %ra"ting et%
He+liography
• httpLDDwww)i"%o#a)orgD
doc_680015321.pptx