Banking on its network expansion and introduction of new product categories, premium apparel brand, Van Heusen, is eyeing an 18-20 percent rise in its earnings during ongoing financial year 2013-14.
To achieve the target, the brand owned by Madura Fashion and Lifestyle would focus on new product lines and invest Rs. 100 million to set up 10 exclusive womenswear stores and 4-5 exclusive accessories stores during the ongoing fiscal year, Vinay Bhopatkar, Brand Head, Van Heusen, told PTI.
The company also plans to launch another 50 exclusive Van Heusen outlets this year, mainly in cities other than metros. Around 70 percent of these outlets would be established under franchise model, Economic Times reported quoting PTI.
According to Mr. Bhopatkar, the expansion plans and introduction of new product lines would help the company to grow in spite of slow moving demand in its target markets.
The company’s sales grew by about 10 percent to around Rs. 10 billion during last fiscal, with menswear being the main driver for growth, Mr. Bhopatkar said.
However, he noted that despite being a small contributor at present, womenswear segment is also growing at a faster pace, and they eye huge growth prospects in this segment too.
The new womenswear outlets to be launched in metros would mainly focus on premium fashion, he added.
The womenswear segment, accounting for around 8-10 percent of the company’s total sales, is expected to post a 30-40 percent growth during the current fiscal. Meanwhile, the accessories segment, which includes footwear and belts, is likely to grow by around 50-60 percent, he added.
At present, the company operates 200 exclusive Van Heusen outlets and seven womeswear outlets pan India, and the company is set to launch its first exclusive accessories outlet in Cochin in July this year.
Source:
http://www.fibre2fashion.com/news/apparel-news/newsdetails.aspx?news_id=147110
