Indian Apparel Industry- an Overview

The apparel industry is one of India's largest foreign exchange earners, accounting for nearly
16% of the country's total exports. The 1996 Indian textile exports approximately amounted
to Rs.35,000 crores of which apparel occupied over Rs14,000 crores.

It has been estimated that India has approximately 30,000 readymade garment
manufacturing units and around three million people are working in the industry . Today not
only is the garment export business growing, enthusiasm in the minds of the foreign buyers
is also at a high.Today many leading fashion labels are being associated with Indian
products. India is increasingly being looked upon as a major supplier of high quality fashion
apparels and Indian apparels have come to be appreciated in major markets internationally.
The credit for this goes to our exporter community.

Consistant efforts towards extensive market coverage, improving technical capabilities and
putting together an attractive and wide merchandise line has paid rich dividends. But till
today, our clothing industry is dominated by sub-contractors and consists mainly of small
units of 50 to 60 machines. India's supply base is medium quality, relatively high fashion,
but small volume business.

Recent recession in Europe and the South Asian currency crisis have also contributed their
own bits to the decimating Indian exports. Though these are expected to fizzle out soon,
there is no reason for complacency on the part of Indian exporters or of the garment
industry. The industry will be soon faced with open competition shorn of quotas or tariffs.

Thus the need of the hour is to enlarge both manufacturing as well as the marketing base.
Inculcation of a spirit of innovation by way of research and development and tapping new
markets especially in South Africa, Central Africa, CIS, East European countries, Latin
America and Australia is also mandatory for export growth.

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 APPAREL &GARMENTS
Textile and apparel is a privileged exports sector in India contributing 30 % of total
exports. And it has valid reasons. A long history of fine textiles, easy availability of the
finest raw material, natural or manmade, classic weaving, manual or mechanized, labor
availability and flexible production capacity; India's textile industry is vertically
integrated from raw material to finished product, including fiber production, spinning,
knitting and weaving, and apparel manufacture.

Government of India through export promotion councils is promoting the industry

globally by holding fairs and exhibitions. Despite that, our study of the industry brought
forth another fact. Not all the companies can afford to be a part of such promotional
shows; not all the buyer organizations have a reach to them either. Further there are
industries as garment accessories and technology, which some time back did not figure
anywhere.

The apparel industries center around textiles, garment manufacturing, and

retailing. Fashion promotion is also an important aspect of the industries.

The apparel industries have been developing for many centuries.

Fashions as we know it, developed in Europe during the renaissance period in the
1500's. Textiles and clothing changed slowly until the industrial revolution, which
began in England in the 1700's

The industrial revolution caused a switch from handmade garments to mass-

produced ready-to-wear clothes. Three factors contributed to this change

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 Mechanized textile mills were able to make fabrics of better quality in less
time.
Sewing machines were invented
Techniques in mass distribution, advertising, and retail selling were
developed and refined.

The apparel industry today is big business. Millions of people worldwide are
employed in fashion related jobs. In the United States, apparel businesses make
up the countries largest industry.

The influence of the fashion industry pervades every other industry.

The Trade
The garment industry is called the Rag Trade
In the United States the rag trade started as small tailoring shops in New
York City. Immigrants settled there as skilled tailors and assistants before
the turn of the century. Now, New York is still the fashion leader in the
United States.

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 Couturiers create small shops at or near the fashion house, or in fashionable areas
of other cities. They feature accessories designed by the couturier, or a member of
the staff. It bears the designers label.

Franchises are arrangements in which the firm such as a couturier, provides

retailers with a famous name and merchandise. In return, the couturier receives a
certain amount of money. Franchise owners do not work for the couturier directly,
they have been granted the right to use the designers name and trademark to
market the goods.

Licensing: an arrangement whereby manufacturers are given exclusive rights to

produce and market goods that bear a famous name as a stamp of approval. In
return, the person or firm whose name is used receives a percentage of wholesale
sales. Licensing is usually where top designers make money. High fashion
creations often lead to losing money. Licensing keeps the designers name in
mainstream public, and become popular household names, people demand when
they shop.

The Ready to wear industry has become more important than couture. The ready-
to-wear show in New York twice a year in April and October attract large crowds,
and is very glamorous.

In Paris the ready to wear industry is called prt a porter, which are mass
produced designer fashions.

Unknown designers work under the big name designers of the fashion houses to
create the ready-to-wear lines.

Retailers are interested in purchasing ready-to-wear lines because they can offer
the lines in their stores.

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As a result of the industrial revolution, the scope of the apparel industries has:
Switched from individual, custom made garments to huge quantities of
mass-produced ready-to-wear clothing.

Logo: A symbol that represents a person, firm or organization. Logos and labels
used to be put on the inside of garments. Now they are often status symbols
placed on the outside of apparel. Some couturiers create their own lining with
their logos or names woven into the designs.

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 SALES PROMOTION

Promotions to sell particular fashions are conducted nationally by the manufacturer, and
locally by the retail store. The promotional activities are the advertising and
merchandising efforts to improve sales.

Price Markets: the apparel industry offers garments at all prices along a sliding
scale from high to low.

High priced apparel is sold to the class market that is made up of the
few people who buy high fashion clothing.
High priced market is only a tiny percentage of total sales of
garments.
High priced designers receive the most attention

Moderately priced apparel priced market has almost 1/3 of all clothing sales.
These are factory produced in relatively small numbers. They have dependable
brand names and are of good fabrics. They are sold in small specialty stores, or
better departments of large stores.
Most fashion designers work in this price market. Usually the
name of the manufacturer is on the label instead of the designer,
the designer is usually anonymous.

Low-priced apparel is sold to the mass market. The low price market is about 2/3
of all apparel sales. These garments are mass-produced in great volume in
common styles and colors.

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 FASHION LEADERS

In fashion cycles, high fashion is first introduced by the fashion leaders.

fashion leaders are men and women who have the credibility to start new
styles
Madonna
Jennifer Anniston
Ricky martin
David beckham
Every community has fashion leaders. They are the ones who are first to adopt
and display new styles within their special groups.
Fashion cycles in the 1900's in America have not been as distinct as in past
cultures. Our fast-paced society creates more changes and innovations in fashion.

There will be several basic styles in style at any one time, with more minor trends
in fashion taking place.

Fashion always reflects the political, economic forces in society

In hard economic times, the fashions reflect a serious, more conservative
image.
In better times, styles are more brighter and more adventurous. Clothing
looks perkier during good time

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 MAJOR PLAYERS IN INDIA

For over 80 years, Raymond is counted as one of the world's premier manufacturers of
worsted suiting fabric in fine grade wool, in the same league as the finest that Europe has
to offer.

Today, the Raymond product range includes pure wools, wool blended with exotic fibres
like camel hair, cashmere and angora and innovative blends of wool with polyester, linen
and silk. Offering suiting and trousering fabric for all occasions and needs.

Our domestic distribution is spread far and wide with more than 30,000 outlets that stock
and sell our wide range of fabrics.

Fine products, wide range, superb distribution and intelligent advertising support have
helped the company gain a dominant share of the market. No wonder, premium labels
from the world's fashion capitals prefer Raymond.

Manzoni is a luxury lifestyle brand offering the discerning customer a

super premium range of formal wear and sportswear including shirts, suits, trousers,
jackets, ties and leather accessories. Our exclusive designs provide customers the best in
contemporary international style & luxury. Each garment is crafted from the most exotic
cotton silk, linen and superfine wool, the best-in-the-world linings, interlinings and
threads sourced from around the globe.

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 Launched in 1986, Park Avenue is today, India's most admired
formalwear brand. It offers stylish and innovative wardrobe solutions to gentlemen for all
their dressing needs, be it Business, Evening, Leisure, Travel or Heritage Wear. Park
Avenue offers the latest designs, styling, colour and fashion trends. The brand has
received several awards. Recently, it had the honor of being the Most Admired Brand at
the Lycra Images Fashion Awards 2006, for the second consecutive year.

ColorPlus is one of India's premium and most respected casual

wear brands offering customers a range of shirts, trousers, knits and survival gear.
ColorPlus constantly innovates processes and technologies offering buyers new worlds of
comfort. Some of the technological innovations it is well known for; include thermo-
fused buttons, golf ball wash, soft jeans, wrinkle free technology, stain-free fabric, and
the cone dyed technique.

Parx is a 'premium casual lifestyle' brand bringing customers a range of

stylish semi-formal and casual clothes that reflects the easy, relaxed attitude of the
energetic 22-30 year old. Parx was launched in 1999 to cater to the smart and fashionable
clothing segment.

Be: offers fashion that captures the latest trends from across the globe. Be:
offers a wide range of apparel and accessories for both men and women from well known
Indian designers like Wendell Rodricks, Priyadarshini Rao, Anshu Arora Sen, Gauri and
Nainika, Krishna Mehta, Savio Jon, Shantanu & Nikhil, Vidhi Singhania, Rohit Bal,
Akbar Shahpurwalla across categories namely - Womens Western wear, Womens Ethnic

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wear, Lounge Wear and Club wear for both men & women.

The burgeoning children's wear market has now turned stylish with Zapp! -
our range of stylish and fashionable kidswear. The brand brings to 4-12 years a wide
range of clothes, accessories, bed and bath linen and more. The first Zapp! store has been
launched in Ahmedabad with ten more on their way for kids across the country.

Notting Hill reflects style and manifests originality of todays

fashion- conscious and discerning young professionals at an affordable price. The brand
collection features a spectrum of mens lifestyle products comprising of suits, shirts,
trousers, jeans, t-shirts and also accessories like ties, handkerchiefs and socks.

The Arvind Mills' Denim Division was established in 1987 and has since
grown into one of the world's largest denim producer. With a turnover of US$ 180
million, Arvind Denim has a capacity for producing 110 million metres per year. The
denim is exported to more than 70 countries all over the world, besides catering to the
Indian market.
Arvind has carved out an aggressive strategy to verticalize its current operations by
setting up world-scale garmenting facilities and offering a one-stop shop service, of
offering garment packages, to its international and domestic customers.
With the Indian economy poised for rapid growth, Arvind brands with its international
licenses of Lee, Wrangler, Arrow and Tommy Hilfiger and its own domestic brands of
Flying Machine, Newport, Excalibur and Ruf & Tuf, is setting its vision on becoming
the largest apparel brands company in India.

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major brands in indian market

Raymond
Numero-uno
Tycoon
Lacoste
Wills
Levis
John player
Louis Philippe
Van heusen
Peter england
Allen solly
Allen copper
Lee copper
Pepe jeans london
Koutons
Pri-knit

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 Cotton county
Rich look
Monte carlo
Duke
Black
New port
Wrangler
Flying machine
Lee
Arrow
Killer
Blue orange
Cool cottons
Cantabil
Century

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13
 RESEARCH METHODOLOGY

Area of Study ROHTAK, HARYANA

Sampling UNIT ROHTAK MARKET

Sampling ELEMENT People of ROHTAK using branded clothing
Sample Size 60
Sampling Method Convenience sampling
Instrument for Information Structured Questionnaire

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 OBJECTIVE

To find out the brand consciousness among the people.

To find out what exactly brands means for them.

To study buying behavior of public toward branded products.

To find out the major factors influencing the buying decision of

consumers.

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 LIMITATIONS

1. The sample size chosen was very small in context to total

population
2. People awareness about all the branded clothes is very low.
3. Some of the people were not interested to answer the questions
or talk even.
4. Lack of exact knowledge on the part of researcher was also one
of the limitation of the study.
5. Effort, time and money factors were another limitation factors
during the course of the project.
6. The questionnaire method has the limitation of providing the
limited information.

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 ANALYSIS OF DATA

Q1: What is your age?

Below 18 9
Between 18 to 25 35
Between 25 to 35 10
Above 35 6

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Q2: Employed or unemployed

Employed 25
unemployed 35

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Q3 : Male or female

Male 37
female 23

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Q4: How much you spend on branded clothing annually?

Less than5000 33
5000 to 10000 21
More than 10000 6

Most of the people spend less than Rs5000/- annually for

branded clothing

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Q5: Which one you generally prefer?

Readymade garments 42
Stitched garments 18

70% of people are preferred readymade garments only 30%

people are prefer stitched garments.

Q6 : Which type of clothing you prefer the most?

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Branded 37
Non branded 2
Reasonably priced 16
Any good quality 5

61% of people are like branded clothing & 26% of people are
like reasonable price clothing..

Q7: How do you define a brand?

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A high priced clothing 8
A product of popular company 38
Clothing marketed by mncs 7
clothing endorsed by popular 7

brand ambassador

63% of the people define brand as a product of popular company.

Q8: What separates brand from others?

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Good quality 33
Status attached to wearing a branded 12

product
Latest designs 14
Any other 1

According to 55% of people good quality separates brand from others.

23% of people said latest design separates separates brand from
others.

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Q9: What according to is an ideal brand?

High popularity + high price + high quality 30

High popularity + reasonable price + average 25

quality
Less popular + reasonable price + reasonable 5

quality
Less popular + high price + high quality 0

According to 50% of people ideal brand is "High popularity + High

price+ High quality.
According to 42% of people ideal brand is "High popularity +
reasonable price+ average quality.

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Q10:When do you shopping the most?

New year eve 5

Sales time 13
Festival time 11
Throughout year 31

51 % of people are like to shopping through out the year.

Only 21% of people are like to shopping in Sales time

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Q11: Where do you prefer to buying?

Factory outlets 13
Exclusive showrooms 14
Showrooms having all brands 24
No preference 9

40% of people are like to buying from the showroom having all
brands.
23 % people are like to buying from the Exclusive showrooms.
22 % of people are like to buying from the factory outlet.

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Q12: Brands can bring in you

Trendy looks 24
Better confidence 22
Positive vibrations 8
Nothing different 6

40% of people are saying brands can bring them as trendy looks
36% of people are saying brands can give them better confidence

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Q13: While buying you prefer

Response No. of Respondents

Popular Style 15
Trend that suits you 29
Latest trend 10
Any thing Unique 6
Total 60

48% of people are prefer trend that suits them while buying .
25% of people are prefer popular style while buying.

Q14: What according to you helps a brand catch a public

attention?

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 Response No. of Respondents
Popular company Image 28
Advertising 15
Presence of showrooms in prime locations 8
Special discounts 9
Total 60

46% of people are think that popular company image helps a brand to
catch public attention.
Only 25% of people are think advertising helps a brand to catch public
attention.

Q15: How important role does a brand ambassador Plays ?

Response No. of Respondents

Yes, only they can do that 20
No, they are not important 6

30
Good advertisement are more important 19
Brand own name is enough 15
Total 60

33 % of people are saying brand ambassador plays a major role

for promote the brand.
31% of people are saying good advertisement are required for
promote the brand.

Q16: Who could be the most popular ambassador ?

Response No. of Respondents

Film stars 27
Western Models 4

31
Indian Models 10
Sports stars 19
Total 60

According to 45 % of people film stars are the most popular ambassador

Only 31% of people saying sport stars are the most popular ambassador

Q17: Who accompanies you the most when you go for

shopping ?

Response No. of Respondents

Friends 28
Spouse 0
Parents 24

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Brother/Sister 8
Total 60

46 % of people are like to shopping with friends

40 % of people are like to shopping with parents

Q18: Will you try new brand in market ?

Response No. of Respondents

Ye, I will do 35
No Way 8
Only after feedback from people 17
Total 60

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 58 % of people are like to try a new brand in market
Only 28 % of people are like to try a new brand ,only after feed back from
the people .

CONCLUSION & FINDINGS

Most of the people spend less than Rs5000/- annually for branded
clothing
Majority of people are like branded clothing & about of the people
like reasonable price clothing.
According to 11/22 of the people say good quality separates brand
from others. of the people said latest design separates brand from
others.
Majority of people are like to shopping through out the year.

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 2/5th of people are like to buying from the showroom having all
brands.
23 % people are like to buying from the Exclusive showrooms.
22 % of people are like to buying from the factory outlet.
Most of people are think that popular company image helps a brand
to catch public attention.
Comparatively less number of people think advertising helps a
brand to catch public attention
1/3rd of people are saying brand ambassador plays a major role for
promote the brand.
About 1/3rd of people are saying good advertisement are required for
promote the brand.
Most of people film stars are the most popular ambassador
Only few people say that sport stars are the most popular ambassador
Majority of people will like to try a new brand in market
Only 7/25th of people are like to try a new brand, only after
feed back from the people

SUGGESTIONS

1. As from the study, it is clear that most of the people purchase branded
clothes and prefer reasonably priced brands, hence the brands must
focus on providing good quality at reasonable price.
2. As most of the people prefer branded clothes to buy from retail outlets
providing all brands under one roof. Hence brands must go for

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 strategic alliance with various retail outlets to provide all of there
products under one roof.
3. Most of people prefer buying branded clothes to be in trend. Hence
brands have to provide trendy clothes to match the demand of
customers.
4. From the study, it is clear that people believe in film stars. If film star
say something, they will believe that. Hence the brands have to
choose film stars as their brand ambassador.

BIBLIOGRAPHY

1. Kothari, CR (2003), Research Methodology Methods & Techniques,

Wishwa Prakashan, New Delhi.

2. Kotler Philip (1999), Marketing Management, Prentice Hall of India

Private Ltd., New Delhi Eleventh Edition, 2003.

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WEBLIOGRAPHY

http://www.fibre2fashion.com

http://www.garmentsonly.com

http://www.textileworld.com

http://www.indiamart.com

QUESTIONNAIRE

Respected Sir/Madam
I am an M.B.A second semester student of , IMSAR M.D.U
ROHTAK and conducting a research on Brand Consciousness. Please
respond to the following questions according to your perception & attitude.

37
WHAT IS YOUR AGE ?
(a) below 18 (b)between 18 to 25
(c) between 25to35 (d) above 35

EMPLOYED OR UNEMPLOYED ?
(a) employed (b) unemployed

MALE OR FEMALE?
(a) male (b) female

How much you spend on branded clothing annually?

(a) Less than 5000 (b) 5000 to 10000
(c) more than 10000

1. Which type of clothing you prefer the most?

(a) branded (b) non branded
(c) reasonably priced (c) any good quality

2. which one you generally prefer?

(a) readymade garments
(b) stitched garments

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 3. How do you define a brand?
(a) A high priced clothing
(b) A product of popular company
(c) clothing marketed by mncs
(d) clothing endorsed by popular brand ambassador

4. What separates brand from others ?

(a) Good quality
(b) status attached to wearing a branded product
(c) latest designs
(d) any other

5. What according to is an ideal brand?

(a) high popularity+high price+high quality
(b) high popularity+reasonable price+average quality
(c) less popular +reasonable price+reasonable quality
(d) less popular +high price +high quality

6. When do you shop the most?

(a) new year eve (b) sales time
(c) festival time (d) throughout year

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7. Where do you prefer to buying?
(a) Factory outlets (b) exclusive showrooms
(c) showrooms having all brands (d) no preference

8. Brands can brings in you.

(a) trendy looks (b) better confidence
(c) positive vibrations (d) nothing different

9. While buying you prefer

(a) popular style (b) trend that suits you
(c) latest trend (d) anything unique

10. What according to you helps a brand catch a public attention?

(a) popular company image
(b) advertising
(c) presence of showrooms in prime locations
(d) Special discounts

11. How important role does a brand ambassador plays ?

(a) Yes,only they can do that
(b) No,they are not important
(c) good advertisements are more important
(d) brand own name is enough

12. Who could be the most popular ambassador ?

(a) film stars (b) western models

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 (c) Indian models (d) sport stars

13. Who accompanies you the most when you go for shopping ?
(a) friends (c) spouse
(c) parents (d) brother/sister

14. Will you try new brand in market ?

(a) Ye, I will do
(b) no way
(c) only after feedback from people

41