The rivals throughout the denim market is heating up, with start-ups giving established players a run for his or her money. Gen Z is eager to try new producers, pushing the big names to step up their sport. “A key aspect of such producers is their low worth approach,” emphasised Jaiwant S Dhingra, Director of Promoting and Enterprise Progress, Numero Uno.
The denim mannequin closed FY ’24 with Rs. 500 crore in MRP product sales and over 300 EBOs all through India. “We’re certainly one of many prime 10 denim producers throughout the nation,” Jaiwant added.
With regards to earnings breakdown, males’s denim accounts for 28 per cent, males’s shirts for 22 per cent, males’s outerwear for 20 per cent and males’s knits for 30 per cent. Womenswear is being relaunched and a clearer picture will emerge by subsequent FY, highlighted Jaiwant. He moreover shared, “We’ve simply recently revamped our e-commerce website online and it’s nonetheless rising. We rely on it to contribute 30 per cent – 35 per cent of our product sales over the next 2-5 years. In the meanwhile, marketplaces make up 2.5 per cent – 3 per cent of our full internet product sales.” Moreover, Jaiwant well-known a rising sample in India the place customers are eager to pay a premium for sustainable merchandise, notably these using pure cotton, recycled provides and water-saving utilized sciences
In an distinctive interview with Apparel Belongings, Jaiwant talked about intimately about his strategies for pursuing improvement.
AR: Some think about that the rise of leisurewear has diminished the popularity of denim and that its demand may face challenges eventually. What’s your view on this?
Jaiwant: The rise of leisurewear has undoubtedly reshaped shopper preferences, nevertheless I don’t assume it spells the highest for denim.
Denim has a storied historic previous, evolving from workwear to being a mode staple that adapts to traits with out dropping its id. It is sturdy, adaptable and easily built-in into casual and/or further refined outfits not like leisurewear which is further space of curiosity. Even though leisurewear gives comfort, many producers along with Numero Uno have recognised the need to innovate and craft denims with elevated comfort. We’ve got now our ‘Feather Contact’ sequence of denims which is feather weight and seems like absolute butter for the wearer, along with our ‘Jog-Jeans’ which is a play on Jogger Denims supplying you with the best of every worlds – leisurewear and denims. No marvel, Effectivity denims are gaining traction, integrating choices corresponding to stretchability, moisture-wicking and temperature regulation, which attraction to those trying to find comfort and an lively life-style. Bi-stretch and power stretch denims are one different sample, offering superior comfort and suppleness, making them glorious for numerous physique varieties.
We’re moreover on a regular basis often exploring newer supplies, softer textures and improved matches to fulfill trendy comfort requires. That’s the kind of adaptability that retains denim associated.
AR: Do you normally regulate the pricing of your merchandise to account for value will improve? If that is the case, by what share have you ever ever raised prices throughout the ultimate couple of years?
Jaiwant: Pricing adjustments are a key part of staying aggressive and we on a regular basis intention to strike the suitable steadiness. We’re repeatedly attempting to keep up costs in take a look at by exploring cost-effective alternate choices, negotiating increased prices with suppliers, optimising provides and streamlining manufacturing to cut back waste. Our pricing approach is dynamic, factoring in not merely costs and margins, however moreover market circumstances, demand and rivals. We normally regulate prices to reflect will improve in raw supplies costs, manufacturing, transportation and inflation.
Over the previous couple of years, we’ve generally raised prices by 10 per cent – 15 per cent, counting on the product class and worth fluctuations. Our intention is to on a regular basis steadiness absorbing just a few of the value will improve whereas passing solely an inexpensive portion to our prospects, guaranteeing value and affordability keep on the core of what we offer.
AR: With new start-ups shortly coming into the denim market, do you assume they pose an precise drawback to established producers? How do you plan to stay ahead on this increasingly more aggressive panorama?
Jaiwant: The denim market is certainly seeing a number of new energy and rivals is popping into fiercer.
Producers like us thrive on the assumption and emotional be part of that we have constructed via the years. Having talked about that, I agree the model new start-ups have good technical expertise and are masters in promoting and advertising and marketing. They’re moreover hungry to develop, pushing us to innovate and repeatedly improve. We are going to’t be complacent.
A key aspect of such rising producers is their low worth approach, nevertheless throughout the rush to produce fast model at lower costs, they normally compromise on top quality. We’ve seen many such producers come and go on account of, for devoted denim customers, match and sturdiness matter in the long run.
Everybody is aware of rivals is sweet as a result of it pushes us to work extra sturdy and keep associated. Nevertheless as soon as extra, on this aggressive rush, producers should not at all let go of their distinctive values and character. Every mannequin has its USP they normally maintain all their efforts aligned spherical these USPs.
AR: How has innovation contributed to the growth of your mannequin?
Jaiwant: Product innovation and new product enchancment kind the very basis of our frequently working. We’ve got now partnered with Spanish agency Jeanologia, a primary enterprise innovator and jeans washing consultancy for finishers. Jeanologia has developed quite a lot of utilized sciences using mild and air to finish jeans using little water and no chemical compounds which turned in model as laser experience. By using laser experience, we might give a pair of jeans a worn look instead of Sandblasting or Hand-sanding which could possibly be detrimental to workers and the setting. We’ve got now moreover adopted their G2 ozone remedy tech, which helps fade down the indigo jeans instead of using chemical compounds like bleach.
In depth use of laser machines, E-Mushy, Ozone/G2 and cold-eco-dyeing processes have helped us in reducing water and chemical consumption significantly. Along with this, as a accountable firm, we observe rainwater harvesting to replenish groundwater, use picture voltaic panels, wind ventilators and energy-efficient lighting in our manufacturing plant in Selaqui (Uttarakhand) to economise power consumption
We’ve got now a state-of-the-art ETP which ensures 98.5 per cent the water used at every stage of producing is recycled and reused.
AR: As a promoting and advertising and marketing expert, might you share three frequent errors that producers should steer clear of when promoting their merchandise or mannequin?
Jaiwant: It’s a troublesome question on account of the desires and requires vary for each mannequin, nevertheless there are a selection of frequent errors which will apply all through the board.
Firstly, producers ought to understand their shopper demographics and design their campaigns accordingly. Usually campaigns misfire on account of this aspect is ignored.
Secondly, many producers focus too intently on product choices and fail to talk what actually items them apart. In a saturated market, failing to convey a clear and ending USP ends in mixing in alongside together with your rivals.
Thirdly, mounted evolution in terms of adapting to traits along with adopting newer, refined experience is significant. Placing a top quality steadiness between the mannequin ethos and traits is the need of the hour.
Lastly, throughout the interval of multi-channel promoting and advertising and marketing, setting up a sturdy mannequin image is necessary. Inconsistency in mannequin tone, visuals can dilute mannequin value. It’s necessary to deal with a cohesive narrative all through platforms, whether or not or not it’s social media, website online or offline. Each touchpoint should mirror the an identical mannequin character, voice and promise.
AR: What are your enlargement plans and which areas or markets are you concentrating on?
Jaiwant: Regular and correctly deliberate enlargement is the necessary factor for survival for any retail mannequin. After solidifying our place as a go-to denimwear mannequin in North India, we’re rising fast throughout the Japanese part of India. Areas like Bihar, Jharkhand, Assam and WB keep immense potential. Not solely the important thing cities, nevertheless mid-size and smaller cities like Jehanabad, Bokaro, Siliguri, Asansol and plenty of others., have shocked us with their want and demand for premium top quality denimwear. Moreover, metropolis cities and metros have virtually reached a saturation in terms of improvement and exploration.
Other than this, we’re fast rising in Andhra Pradesh and Telangana. Our approach there could also be to make a sturdy presence at premium MBOs, Large Format Outlets and Retailer-in-Retailers and purchase purchaser loyalty and confidence. Not too way back we opened an EBO at Hyderabad. We’re pleased with the kind of response that it has generated and this gives us confidence to develop extra in that space. Concurrently, we need to develop in Karnataka along with Kerala. Finally, our intention is to open EBOs on this space in years to return again.