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T R E N D S | M A R K E T I N G | R E T A I L I N G
December 2014 | VOL. 6 | NO. 12 | `100 | US$20
An Images Group Publication
Advent of E-Commerce and
how retailers must adapt
A week in pictures
CII to corroborate with AIFMRA
Tata Int’l launches Aersoles
Now a shoe-networking website
Changing role of bags
A showcase Platform for brands with a higher level of design and
aesthetic, be it footwear or accessories.
A forum for the entrepreneurialism. A brand building conference
featuring today’s most iconic industry leaders and entrepreneurs.
FALL INTO FASHION
Discover the upcoming trends in an elevated environment and
showcase your products.
INDIA SHOES & ACCESSORIES AWARDS – A glittering Ceremony
India Shoes and Accessories awards honour the hard work and excellence of
vibrant and innovative footwear and accessories retail visionaries and celebrate
outstanding performances, innovations and creativity among retailers, brands
and individuals in this fashion forward sector.
Socialize and Network
2015 Exhibitor Booth Award of Excellence
The best booth awards are designed to acknowledge creative & innovatives booth.
Aditya Kumar, +91 99903 46615 | firstname.lastname@example.org, Amit Kumar, +91 98107 12748 | email@example.comContact:
March 18-20, 2015 | Mumbai | India
Last month of the year brings cheer and a certain festive spirit that is undeniable
and immersive.What also is a big trend for the past few years is holiday shopping
for family and loved ones.This makes for a busy time for retailers as they entice
the buyers with every trick in the book. From year-end discounts, to EMIs, from
shopping carnivals to attractive freebies, there is no stone left unturned to vie for the
wallet share of the Indian consumer.
Take the Indian e-commerce industry for instance.They pulled all plugs in the last
few weeks to move the inventory to their buyers and what a job they did of that! It
is the golden period of e-commerce here as more and more investors are plugging
in funds to get a chunk of the fattening pie. But what does it mean for the brick-
and-mortar retailers? How fast should they adapt to not be lost in the crowd?
More importantly, how will the Indian consumer reshape himself by the advent of
e-commerce?These and many more are questions that we seek to answer in this
year’s final cover story.
December is, for us, all about sexy heels, cool sunglasses, dapper watches and
a barrage of other accessories.Walk with us to see what suave accessories are
accomplices of style this winter season.
One of South Asia’s biggest fashion and trade event, The Jakarta Fashion Week,
concluded this month.We have shortlisted the trends, designs, patterns and hues that
turned heads and were the talk of the town… for you. Have a dekko and get inspired.
The Chinese major sportswear brand, Li Ning, opened its first in a series of stores in
Delhi and it immediately caught our attention.We spoke to the brand to understand
their plans for India, what their unique proposition is and how they are going to take
on American and European competition head-on.We can’t wait for you to read it.
From the monthly round-up of industry news to a tête-à-tête with Sophia Premjee of
Lord’s, from the firsthand report of the Agra Leather, Footwear, Components Fair
to understanding the success mantra of Inc. 5, read it all here in the December 2014
issue of Shoes & Accessories!
From the entire team of S&A, here’s wishing you a Merry Christmas and a
Very Happy NewYear!
12) The MonthThat Was | Updates: India |
International | Sq. Ft. | Brand Debut
32) Produc Watch | LaunchTrends |
Heel the World
48) So Hot | AccessoriesTrends |Your Access
58) Brand Debut | Li Ning | Enter the Dragon
62) The Shoot | Expressions | All that’s
right with Heels
84) Cover Story | E-Commerce |
Bricks and clicks
96) Industry Speak | Reliance Footprint |
Footprints of Success
102) Brand Watch | Crocs | Croc it off!
106) Research | Bags & Wallets | More than a
necessity:The changing role of bags
112) Reasearch | Accessories |The Fashion
Accessories Market in India
124) Industry Speak | Meet at Agra |
A-fair for Agra
128) Footnote | Sophia Premjee | Lady of Lord’s
Cover Courtesy: Shutterstock
Cover Story-E-commerce Special
Research-Bags & Wallets
Inside Front Cover
Inside Back Cover
Front Gate Fold
Brand Page No.
Top Grain 9
Famizi (Innovation) 19
Brand Page No.
Happy Feet 29
Brand Page No.
Year Book 41
Li Ning 57
Expo Riva 95
30 SHOES & ACCESSORIES
the month that was
What: INC 5 opens an R-City Store
Area: 1843 sq. feet
Product range: Men’s speciality
store housing casual brands like
Skechers, Aerosoles, Estd 1977,
Franco Leone, Privo, Egoss, Alberto
Toressi to premium brands such as
Atesber, Roush, Famozi and Aura.
Price points for men’s range from
`1990 to `13000.
Catchment area and target
audience- The new store in
Ghatkopar is primarily targeting and
the plush corporate township of
Powai. These are all with middle to
high disposable incomes.
Price range: Women- `1,190 `5,000
Men- from `1,990 - `13,000
Retail Presence: The brand, Inc. 5,
was formed to fulfill the gap catering
to the 16-35 years old segment, by
designing trendy footwear. After
starting from a small 100-sq feet
store in Heera Panna Shopping
Arcade in Mumbai, the brand has
grown to 255 shop-in-shops, and 48
stores pan India.
Fixtures, Props and Graphics:
We believe in a clean straight-line
look as far as store designs are
concerned. In this particular format,
being our second of its kind store,
after the men’s speciality giant store
at South Extension Part 2, it’s also
made keeping in mind brand justice
done due to every brand where each
brand is given a slat wall to display
its product according to their brand
beliefs and vision and their own
props and Visual Merchandising
materials to give the shopper a
Future Plans: To open more stores
specializing in men’s footwear after
the phenomenal success of the first
of its kind in the country under our
INC 5 – Mumbai
31SHOES & ACCESSORIES
What: Li Ning Opens its new store in New Delhi
Location: South Extension
Product range: The brand first started with Li Ning
equipment, then performance shoes (badminton
and tennis). Now they have also got into the
lifestyle category about two months back. Now
they are also getting into bags.
Target audience: Since the brand is projecting a
lifestyle look more than the sports/athletic look, the
target audience is the youth of the country who are
Price range: Shoes: `3,000 – `4,000
Floaters and flip-flops: `1,000 – `2,000.
Retail Presence: Li Ning is a brand that has
changed the ecosystem of the market. It’s a typical
multinational Chinese brand. And is catching
exceedingly fast with the big players of the sports
footwear industry. The first store in India opened
in Imphal, second was in Rajouri Garden, Delhi,
third one was about five weeks ago in South
Extension, Delhi. The fourth one is opening shortly
on MG Road, Delhi. Three stores are lined up for
Bangalore, Hyderabad and Kolkata.
Future Plans: In near future, the brand will look to
explore Mumbai-Pune region, Chennai, Chandigarh,
Punjab. According to Li Ning, these pockets are
extremely important for them to initiate a cascading
effect to reach out to smaller markets.
Li Ning – New Delhi
58 SHOES & ACCESSORIES
the month that was
When in 1990, Chinese gymnast, Li Ning, founded a sports shoe company, little would he
have imagined that the brand would grow to become one of the sports footwear industry’s
behemoths. And now the Chinese dragon has entered Indian shores and is flexing its
muscles. S&A spoke to Ram Malhotra (Head: International Brands-Indo Rubber & Plastic
Works) & Vikas Bagga (Sr. Brand Consultant), on what tailor-made plans the brand has for
the India, its tier-2 regions and the challenges it foresees in the market.
59SHOES & ACCESSORIES
Q: Tell us something about the brand.
Ram: Li Ning is a brand that has changed the
ecosystem of the market. It’s an exceptional
MNC Chinese brand that is catching
exceedingly fast with the big players of the
sports footwear industry.
After establishing itself in China, the brand
has proven itself in Europe, ascertained its
entity in parts of US and appointed a licensee
in Singapore for the entire Asia Pacific region,
which comprises 24 countries, including
India. Indo Rubber and Plastic Works (
IRPW), a major sports equipment player
in the domestic market acquired Li Ning’s
marketing rights for Pan India region. IRPW
initiated with Li Ning equipment followed by
performance shoes (badminton and tennis).
Since past two months we encompassed the
lifestyle category. Now, shall introduce the
bags category in an aggresive mode.
Q: What is the brand’s, Li Ning, USP? What
sets it apart from competition?
Vikas: One of the key factors that makes us
stand apart is that there is a huge amount
of emphasis on not only the design aspect
but also on the quality feature, which in
our turf is extremely vital for any brand.
In terms of manufacturing capabilities, the
entire process is performed in-house for the
brand in china. Headquartered in Beijing,
the factories are based in key pockets of the
country. Any licencee who wants to retail
the brand’s goods has to source them from
these factories under the watchful eye of
Li-Ning International. Even the clothing and
bags section of the brand are manufactured
Q: In India will you be concentrating more
on lifestyle based shoes or performance
Ram: The focus will be equally divided.
There has been a huge surge in the country
for fitness and fitness related products. In
India, walking and running shoes are two big
categories. For the Indian market, there need
to be shoes that can fit in both performance
as well as lifestyle categories. the marketing
campaigns, internationally, are endorsed
by sports as well as fashion icons, which
would reflect in the promotions in the indian
Q: Internationally, which famous athletes
the brand has been associated with?
Vikas: Li Ning has a large number of atheletes
endorsing it globally-Badminton: Jwala
Gutta, pv Sindhu, K. Srikanth, chen Long &
Few others are: Marin Cilic-Tennis,
Christian Taylor-Triple Jump, Yelena Isinbaeya
-Pole vaulter, Emilia & Erika Nyström-Beach
Volley Queens, Evan Turner-Basketball.
Q: India as a market is already quite set in
terms of performance shoe category (we
have the three big players who have been
in India for more than a decade). How is Li
Ning going to make a mark?
Ram Malhotra, Head: International Brands-
Indo Rubber & Plastic Works
Vikas Bagga, Senior Consultant
Ram: A new entrant, like Li Ning, has to look
at its positioning very closely. We shall tailor
mark the brand presence in terms of its design,
look, feel or pricing to create the brands aura &
market share. The pie is certainly big enough for
another player to have a piece. As we all know,
there is a higher disposable income with the
target audience, it would help a new player to
acquire a decent wallet-share if it addresses the
consumers needs. It then needs to work towards
retaining those customers while expanding the
There is also a trend with the consumers to
experiment and not be rigid in terms of what
they want from a brand. We are very clear
as a brand in terms of strategy, positioning,
price points, visibility to catch the fancy of
the lead customers, who have a big influence
in their peer groups. We have a distinct price
advantage with which the customers will
be able to flaunt something new & trendy –
without compromising on the quality that they
Q: What are the price points of the various
ranges that Li Ning offers?
Vikas: Currently the merchandise is in the range
of `3000-4000. The floaters are priced at `2000
& Flip flops under `1000. The open footwear or
floaters are our hot-sellers.
Q: From the advertising perspective, how is Li
Ning as a brand going to be projected?
Ram: Essentially it will be a lifestyle look. But
we are very clear that this projection will be
product centric. The celebrities who are on
board to endorse the brand will be a part of the
events circle. We work very closely with sports or
events associations. We have, in the past, been
associated with the Indian Badminton League,
Thomas & Uber Cup and now also sponsors for
Badminton World Fedration (BWF). For the larger
populace, we will be looking at social media,
amongst other channels, for digital marketing.
Q: How much of the marketing budget will be
Ram: We are looking towards working with
college fests and other events for the sports
category. There is a look-and-feel that is typical
to such events, where we set up our stall for an
experiential for our prospective consumers.
Q: What will be your biggest challenge in
Vikas: One of the biggest challenge is that
there are a multitude of players giving stiff
competition. The market suffers severe
undercutting during different seasons in
different regions. Therefore, for a new brand
to enter the market, it is imperative to have
the month that was
60 SHOES & ACCESSORIES
A new brand, like
Li Ning, has
to look at its
closely. It could
be in terms of its
design, its look
and feel or it
could be in terms
of its pricing and
what the brand’s
is going to be. The
pie is big enough
player to have a
--Ram G. Malhotra
61SHOES & ACCESSORIES
different channel partners to contribute towards
the upkeep of the brand equity. There is also a
desire to make a chain of retail stores. The rising
retail costs and operating expenses are still quite
high in India; that is also a big challenge.
Q: Much of your target audience is active on
digital and social media. What is your strategy
to engage the target consumers through these
channels? How has the response been so far?
Vikas: Its imperative that we have to capture
the attention of the consumers thru all means
& channels. The company had certain amount
of online experience but the next big phase is
to reach the target audience through popular
e-commerce channels, namely Amazon, Myntra,
Jabong and Snapdeal. They extend a huge retail
platform and visibility that would help a brand
reach every nook and cranny of the country. So
far, the response has been good but it is too early
to tell–it has been only four weeks. We are in talks
with the above-mentioned sites to have dedicated
Li Ning e-stores.
Having said that I would like to reiterate - the
entire game of taking the brand to the masses
has changed over the past three years and we
understand that digital and social media would
play a critical role in the brand’s share of voice.
Q: How did the first store come about in Imphal?
Ram: Imphal is a very interesting pick for the first
store as fashion picks up really well in this part
of the country. Also, we were aware that the
receptivity in terms of pricing would be positive in
North-East. We know by experience that market
reacts very positively to anything fashionable and
to do with lifestyle.
Q: What is the way forward for Li-Ning?
Ram: The way forward for the brand is take a cue
from what is happening in China and elsewhere.
We are setting up exclusive stores, the first one
was opened in Imphal, second & third were
in Rajouri Garden & South Extension, Delhi;
The ones in pipeline are at MG Road, Delhi,
Bangalore, Hyderabad and Kolkata. Next we
would explore in Mumbai-Pune region, Chennai,
Chandigarh & Punjab. These pockets are
extremely important to initiate a cascading effect
to reach out to smaller markets.
For a new brand to enter the
market, it is imperative to
have different channel
partners to contribute
towards the upkeep of the
brand equity. There is also
a desire to make a chain of
– Vikas Bagga