Arvind-Ppt Acrobat Format 22 July

8/9/2019 Arvind-Ppt Acrobat Format 22 July

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ive Position in the Indian Br

:resented Byhandranath Banerjeeebsadhan Chaudhary

unal Dadlanirantik Ghosh

ajat Saxena


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CONTENTS

Introduction

Apparel Industry

Analysis of Arvind s Brand Portfolio

Arvind s Competition

Growth Strategies

SWOT Analysis

PORTERS FIVE FORCES AnalysisBranding Strategies

Issues

Conclusion


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INTRODUCTION

q stablished in 1931 by the Lalbhai brothers.f Ahmedabad

q - ,irth of three new units in 1993 textile.elecom and garments division

q . .rvindBrands Ltd was a Rs 3 50 millionubsidiary Arvind Mills

q - , .ajor stakeholder ICICI 2004q rvindMills reacquired ICICI s stake by

.aising US$ 37 19 millionq %rvind Brands became 100 subsidiary of

.rvind Mills in 2005


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INTRODUCTION

q ll the brands under the Arvind name were.rowing at a healthy rate in 2004

q lans to sustain growth by increasing.etail presenceq aif Ali Khan appointed brand ambassador

.or the Newport brand in 2005q trategy was increasing distribution and

.enetrationq -ompetitive edge zero excise duty and

conomies of scale


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THE BRANDED APPAREL INDUSTRY


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NALYSISNALYSISF BRANDF BRANDPORTFOLIOORTFOLIO


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Parameters to judgeportfolio

:Maximizing brand equity one.brand should not harm others

Branding strategy according.to breadth and depth

,Segmentation targeting and.positioning of brands


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Breadth of brandingstrategy

vThe number and nature of different products.linked to the brands sold by a firm

vvv :Depends on

Aggregate market factorsCategory factors

Environmental factors


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Depth of a brandingstrategy

vNumber and nature of different brands marketed.in the product class sold by a firm

vvHelps in

Increase shelf presence and

retailers dependenceAttract consumers seekingvariety Increase internal competition

:Golden rule Maximize coverage andminimize

Brand overlap


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Arvind BrandBasket

FlyingMachine

Newport Ruf n Tuf Excalibur Launched 1980 1993 1997 1995

Age group 15-30 18-28 15-30 18 & Above

Price range 500-1000 300-500 299-699 500-1000

Difficultiesfaced

Hike in exiseto 8%

Hike in exiseto 8%

Distributionhurdle

----

Retailer own outlet own outlet Big Bazaar

Brand

ambassador

Abhishek

Bachchan

Saif Ali

Khan

Akshay

kumar

----

Tag Line Who NeedsPhoren?

The Measureof Success

---- ----


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InternationalBrands

Arrow Lee Wrangler TommyHilfigerLicensed Cluett,

peabody &co., USA

VFcorporation

VFcorporation

JV withMurjanigroup

Age group 27-35 4-14 & 17-25

17-25 &25-40

18 & Above

specifics Four sub

brandClassicPremiumUrbanSports

Adjudged

the imagesfashionaward mostadmiredJeanswear

brand

Fashion

consciousLovewearingdenim onweekend

Retailambiencewas givenimportance

Introduced

menssportswear,mensJeanswear,

junior

Jeanswear


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Why so many brands?


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Competitio

n


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Major Competitors Of ArvindBrands


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Madhura Garments

v It s was the garment division of.Indian Rayon and Industries Ltd Aflagship company of the A V Birla

.Group CompanyvvOwns perpetual license for premier

,brands like Louis Philippe Van, , ,Heusen Allen Solly Peter England, ( ).Byford Elements and SF San Frisco

vvPreferred global supplier of

-international brands like Marks and

, , ,Spencer s Tommy Hilfiger Polo Ralph

, .Lauren and several othersvv It distributes its brands through

its own retail chains namely Planet.Fashion and Trouser Town


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Brand Portfolio of MaduraGarments


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RAYMOND APPAREL LTD

% ,A 100 subsidiary of Raymond Limited. ( )Raymond Apparel Ltd RAL ranks amongst

India's largest and most respected apparelcompanies

They provide the best of fabric and stylethrough some of the country s mostprestigious brands Raymond Finely Crafted

, , , ,Garments Manzoni Park Avenue ColorPlus, !Parx Notting Hill and Zapp

All of Raymond s brands are available at, exclusive brand stores The Raymond Shop-retail outlets and multi brand outlets

across India and the Middle East


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RAYMOND s BRAND PORTFOLIO


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INDUS LEAGUE

- .,Indus League Clothing Ltd was founded on 14th April-1999 by a team of eight top flight management

.professionals from the clothing industry Theseprofessionals have established a reputation for

creating and building some of the most successful.fashion brands in South Asia and the Middle East

Within an year Indus League had transformed itselffrom a new entrant into a company that has launched

two fashion brands namely Indigo Nation and Scullers

-Indus League has a portfolio of Three proprietary-brands ndigo Nation , Scullers and ealous

.covering different segments of the fashion market


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&LEVI STRAUSS

.CO

v ,Founded in 1853 by Bavarian immigrant Levi Strauss& .Levi Strauss Co is one of the world's largest

-brand name apparel marketers with sales in more than

110 countriesvv In 2009 it completed 15 years in Indiavv It expanded its portfolio from being a jeans only

brand to emerge as the complete casual wear brand

vv - , ,4 sub brands Sykes 501 Red Tab and Red Loop


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Levi Strauss s BrandPortfolio


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PROVOGUE

,The Company was incorporated on November 11 1997 as Acme.Clothing Private Limited

.Provogue stands for fashion and not pure apparel Its designsare contemporary and cutting edge

Provogue s brand statement Redefining fashion and its

innovative merchandise have created a niche in the minds of.its consumers

The brand is retailed through selective stores in the,country and leading National Chain Stores like Shopper's Stop

, , .Lifestyle Globus Westside etc,More importantly Provogue is also retailed through a chain

" "of exclusive brand outlets called Provogue Studio

:PROVOGUE S PRODUCT RANGE INCLUDE, - , , & , ,INNERWEAR T SHIRT BOTTOMS JACKETS BLAZERS DENIM, , , ,FORMAL SHIRTS LINEN SHIRTS CASUAL SHIRTS FOOTWEAR

, , , ,SUNGLASSES FRAGRANCE CAPS BAGS BELTS


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ARVIND S GROWTH STRATEGY


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( ..)ARVIND S GROWTH STRATEGY Cont


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SWOT ANALYSIS

Strong portfolio of domestic and international brands

Economies of scale through complete integration

Latest manufacturing tools

Wide geographical presence

STRENGTHS

WEAKNESSLack of fresh ideasPresence in only big cities

Not doing enough to build brand equity


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PORTERS FIVE FORCES MODEL


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COMPETITIVERIVALRY

Competitors adoptingaggressive growth strategiesas well as eyeing top cities

Huge number of competitors

Stiff competition from smalltown stores and specialty

stores


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THREAT OF NEW ENTRANTS


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THREAT OF

SUBSTITUTES


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BARGAINING POWER OF SUPPLIERS


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BARGAINING POWER OF CUSTOMERS


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BRAND HIERARCHY

q The apparel industry did not follow the umbrella branding

strategy

q Arvind divided its brands into 4 clusters and each cluster had

its distinct marketing strategies

orporate or Company Brand: Arvind Millsamily Brand: .Arvind Brands Ltd

ndividual Brands- icensed Brands: , , ,Lee Wrangler Arrow

Tommy Hilfiger- -n House Brands: ,Newport Ruf n Tuf

Modifier: Leesures by Lee


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&POPPOD

, .In this case Arvind sPOD s are not well defined Their

,offering target audience and positioning is very similar

.to its competitors


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CHANNELSTRATEGIES

Arvind was shifting its focus from multi brand and

-small town stores to company owned stores


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&PUSH PULLSTRATEGIES

.Arvind mainly concentrated on Pull strategy ex endorsements

& .by Bollywood stars like Akshay Saif Push Strategies

-weren t required as they were concentrating on company owned

stores


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OTHER CONCEPTS

rand Extension : when different products are manufactured. . -under same brand name Ex Arrow started off as a shirts only

,brand then diversified into casuals jeans and accessories like

, .belts wallets etc

:orward Integration , ,Arvind Mills which manufactured fabrics-integrated vertically forward by launching its in house brands

.and retail stores

:rand Endorsement associating a popular figure as the brandambassador to give the brand a personality and strengthen its

.positioning ex Action star Akshay Kumar was roped in to endorse

& .Ruf n Tuf to give it a tough rugged look


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ISSUES

q Lack of new ideas

q Inability to keep up with the changing market

demands

q -Unwilling to place its products in multi brand- ,stores thereby losing customers in the tier II

-tier III cities

q Tough competition from local and international

players

q Just one offering for the bottom of the pyramid

( )Ruf n Tuf


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Documents

Arvind-Ppt Acrobat Format 22 July