Denim Club compiles the latest news and updates related to denim business and industry from all across the globe and brings these to you in the form of the Denim Club Newsletter.
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Denim Club Newsletter : Issue February 19, 2014
1. Latest Denim News & Updates from Across the Globe
Your Window To The World Of Denim
Newsletter
19 February 2014
www.denimclubindia.org
EARUGBY Denim to
Launch Made in
USA Collection
Levi Strauss & Co.
announces Fourth
quarter results
Duck and Cover
launches denim
sub-brand - DAC DNM
From The Denim Directory
Pak Denim Limited, Pakistan
Featured
Denim Jeans For Women
Tarama
Launching New Styles DailyLaunching New Styles DailyLaunching New Styles Daily
Australian Denim
Brand Ksubi
closing its doors
Pak Denim, Kassim
Textiles recipients
of 37th FPCCI
Export Awards
Jeanologia to exhibit
latest products at
DTG textile fair
Denim jeans
makers explore
Tier-II, III cities:
Nirmal Bang
2.
3. DENIM CLUB INDIAFebruary 2014 03
Denim Club : Your Window To The World Of Denim
Apparel - Collection
Tarama, woman’s jeans and casual wear brand,
launched in 2013 through the company’s online
platform, is eyeing 150 percent growth in its
second year and 100 percent in the third year.
Elaborating on the inspiration behind Tarama,
Prem Gupta, MD, Miracle Lifestyle, says, “The
idea of Tarama is to evoke a mindset. It is a true
original, always intends to produce the latest
fashion by use of innovative fabrics from across
the world; it is a source for the most current
fashions at the greatest value.”
The brand is looking at expanding its presence
by adding more to its product basket while
partnering with third party e-tailers and retail
chains, for a countrywide presence.
Brand Presence
Tarama jeans are sold online and the company
Tarama,
Denim Jeans for women,
launching new styles daily
has partnered with the top
e-tailers of the country.
Gupta explains “With all
the e-tailers, we are
ranked among the top
three brands and have
maintained our lead from
the time we launched or
joined them. We have a
unique strategy. We come
out with five to six new
styles each day and give
fresh stocks.”
The brand is available on
popular portals Jabong and
Flipkart with more tie-ups in
the offing. The company is
a l s o e x p l o r i n g
opportunities for tying up
with relevant organised
retail chain and regional
chains.
Product development in
focus
Tarama specializes in
western-wear for women
and offers a wide range of
garments including leather,
high quality silk, viscose,
cotton and good quality
polys. Prompt designing and
producing of on trends jeans, tailored to fit a
women’s body perfectly at every angle is the
USPofTarama.
Image Source : www.taramajeans.in
5. DENIM CLUB INDIAFebruary 2014 05
Denim Club : Your Window To The World Of Denim
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Apparel
Australian Denim Brand Ksubi closing its doors
Ksubi, the denim brand Launched in
2000 which soon gained cult status and
international exposure, is closing its
boutiques and is has stopped trading
via its online store.
The cult fashion label had reportedly been trying
to find a buyer or investor after it was placed into
administration late last year.
As per Inside Retail Ksubi’s fate is now in the
hands of liquidation and bankruptcy firm, Veritas
Advisory and Ksubi’s store staff were informed of
the store closures this morning.
Ksubi has stores in Westfield Sydney, Sydney’s
Oxford St, Melbourne Central, Chapel St, among
others. The brands online store also closed and
features the sign “the online store will be back
soon”.
Ksubi was founded by Sydney designers George
Gorrow, Gareth Moody, and Dan Single, who are
no longer involved in the business and Source : www.insideretail.com.au
Ksubi was purchased by Bleach Group,
which also owns Insight, after the
streetwear brand hit financial woes in
2008.
As of 2013, Ksubi had six retail stores in
Australia operated via a franchise agreement
between Bleach Group and an undisclosed third
party. It had a five year concession store deal
with David Jones that ended last year following
poor sales.
It was placed in receivership in December and
60 head office staff lost their jobs, according to
AAP.
Parent company Bleach Group was also put in
voluntary administration in mid-2013, following a
major company restructure.
The news follows the demise of Lisa Ho in late
2013 and the ongoing woes of other Australian
design icons, like Bettina Liano.
Duck and Cover launches denim sub-brand - DAC DNM
Menswear brand Duck and Cover has
launched a denim sub-brand for
autumn 14 called DAC DNM.
Using its 16-year experience in the denim
market, this new jeans-focused line features five
key silhouettes viz a slim skinny, slim, tapered,
straight and straight tapered. All the silhouettes
are available in a selection of washes and
finishes ranging from rom dark indigos to worn-
in, washed-out and ripped-up options.
The jeans are complemented by a collection of
DAC DNM clothing, with key pieces
including a raw-edged blazer-like utility
jacket, wool duffle coat and quilted
bomber jacket, alongside garment-
dyed T-shirts, jersey sweatshirts and check
shirts, all featuring denim details such as trims
and collar linings.
For the core denim jeans wholesale prices range
from ÂŁ24 to ÂŁ32 while ÂŁ9 to ÂŁ19 for T-shirts, ÂŁ20
to ÂŁ26 for shirts, ÂŁ19 to ÂŁ32 for sweatshirts, ÂŁ22
to ÂŁ32 for knitwear and ÂŁ36 to ÂŁ66 for outerwear.
Source : www.drapersonline.com
6. Corporate - Financials
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DENIM CLUB INDIAFebruary 2014 06
Denim Club : Your Window To The World Of Denim
Levi Strauss & Co. has
announced the financial
results for the and fiscal year
ended November 24, 2013.
The fourth-quarter revenues were flat to prior
year on a reported basis, and excluding the
impact of currency, fourth-quarter net revenues
increased slightly. Due to the timing of the
company’s fiscal year-end, the Black Friday
sales week occurred after the fourth quarter
closed. Fourth-quarter net income declined due
to a slightly lower gross margin, higher seasonal
advertising spend and a 2012 tax benefit.
Full-year net revenues increased two percent on
a reported and constant currency basis due to
continued growth in the Americas region and the
strength of the Levi’s® Men’s business. Despite
the lower net income in the fourth quarter, full-
year net income increased 59 percent reflecting
gross margin improvement.
"Overall, we are pleased with the progress we
made in 2013. We grew the top- and bottom-line,
generated significant cash from operations and
further strengthened the balance sheet by
reducing our debt," said Chip Bergh, president
and chief executive officer. "These results were
despite a challenging fourth quarter, in part due
to the calendar shift; but also a soft fourth-quarter
environment and clearly some challenges in
certain key international markets and in our U.S.
women's business. In 2014 we will continue to
focus on growing the business over the long term
by driving our profitable core business,
addressing key opportunities to build a more
balanced portfolio, and improving our retail
operations, while at the same time reducing our
controllable costs."
Fourth Quarter 2013 Highlights
ď‚ź Gross profit in the fourth quarter was $637
million compared with $649 million for the
same period in 2012. Gross margin for the
fourth quarter was 49% of net revenues
compared with 50% of net revenues in the
fourth quarter of 2012.
ď‚ź Selling, general and administrative (SG&A)
expenses for the fourth quarter increased to
$571 million compared with $558 million in
the same period of 2012.
ď‚ź Operating income for the fourth quarter
declined to $66 million from $91 million for
the same period in 2012, reflecting the
lower gross margin and higher advertising.
FiscalYear 2013 Highlights
ď‚ź Gross profit for the fiscal year was $2,351
million compared with $2,199 million in
2012. Gross margin improved to 50% of
revenues in 2013 compared to 48% in 2012.
ď‚ź SG&A expenses increased to $1,885 million
for 2013 compared with $1,865 million in the
prior year.
ď‚ź Operating income for 2013 was $466 million
compared to $334 million the prior year,
primarily due to higher gross margin in the
Americas and Asia Pacific as well as
favorable currency impact.
Levi Strauss & Co. announces
Fourth quarter results
Source: www.businesswire.com
8. DENIM CLUB INDIAFebruary 2014 08
Denim Club : Your Window To The World Of Denim
Technology : Sustainable Fashion
Leading manufacturers and brands such as
Inditex, H & M, Gap, Levi's, Uniqlo, Wrangler and
Lee, among others, use Jeanologia’s technology
for garment finishing in Bangladesh.
Jeanologia, a global leader in sustainable
technologies for the textile industry, recently
honored with the WGSN Global Fashion Award
for the best sustainable design team in the world,
will be showing its latest products in the 11th
edition of DTG textile fair (Dhaka Int 'l Textile &
Garment Machinery Exhibition) from 12 to 15
February in Dhaka.
Jeanologia will be exhibiting the 3e Flexi
Laser technology doing demos by both
working in Table and Mannequin. This textile
laser reproduces jeans wear and tear without
the use of harmful techniques that could
damage health of the workers. The laser alsp
offers the possibility to increase designs
range and textures, enabling a perfect
garment reproducibility while allowing saving
of energy, water, chemicals and time during
manufacturing process.
The Flexi 3e is designed to offer maximum
flexibility in production, and also offers
unlimited possibilities for its versatility in
marking clothes both in table and mannequin,
always adapting to production needs.
It includes a rotating head which allows it to work
both horizontally and vertically as it has fixed
table or mannequin. It is perfect for all kinds of
garments: from jeans, to skirts, shorts, shirts,
jackets and even accessories.
During the fair, live demonstrations can be seen
at the Jeanologia booth, Hall 13, nr.1307 where
fast and efficient designs made in Bangladesh
can be viewed.
Speaking about the importance of Bangladesh in
the textile market, Enrique Silla, President of
Jeanologia, has said that "Bangladesh is one of
the leading textile manufacturing countries with
about 44,000 factories, making it the country with
Jeanologia To Exhibit
DTG Textile Fair
the largest textile production the world.”
Jeanologia has been present in Bangladesh for
over 20 years, and an office, technical service
and a Demo Center was launched in Dhaka in
2013.
Silla highlighted that: “Jeanologia considers
Bangladesh as a very important market and has
always wanted to be close to their customers,
offering the best service, understanding market
needs and creating a center to be trained in
friendly technologies to health of the operators
and respectful to environment. "
Ozone and nano-bubbles: other sustainable
technologies for garment finishing
Jeanologia develops over 20 years other
sustainable technologies for garment finishing,
besides the lasers, such as oxygen and ozone
washing and clothes softening through the
nano-bubbles. In addition, eco-G2 uses ozone
washing and oxygen from the atmosphere,
allowing washing clothes with savings of over
60% in water and energy and about 85% in
chemicals.
Also, E-soft technology softens garments with
nano bubbles, saving 80% of softener and 98%
water. E-soft uses no chemicals and removes
entirely discharges to the environment.
Latest Products At
Image Source : www.jeanologia.com
Website : www.Jeanologia.com
Source : Fibre2fashion.com
9. DENIM CLUB INDIAFebruary 2014 09
Denim Club : Your Window To The World Of Denim
Apparel - Retail
Denim jeans makers explore Tier-II, III cities: Nirmal Bang
According to various industry estimates, the
denim market in India was pegged at USD 1.2
billion in 2011. Given the large acceptance of
denim jeans, this market is expected to grow at a
compounded annual growth rate of 15 percent-
18 percent over two years from now, which is
actually twice the growth rate, literally! In terms of
volumes, the denim market is estimated to be
around 300 million pairs of jeans, which is
projected to grow to 550–600 million pairs two
years from now.
When one juxtaposes these facts with Indian
demographics, the growth of the denim jeans
market seems high. Nearly 73
percent of India's population is
young. Jeans manufacturing is
smartly targeting this young Indian
population that traverses between
14 years to 39 years and which will
also be the majority of the population
in the next 10 years. Interestingly, it
is not just about advertising. Many
brands today have a reasonably
large portion of denim jeans in their
offering to the target consumers.
The Market
Denim jeans are one of the few long-
sustaining imports of the western culture in India.
History points out that denim wear started as an
apparel to be worn by workers at factories.
However, in India, today, it has become a fashion
statement among the youth.
It is fashionable and comfortable to wear on most
occasions. The acceptance of denim in India has
grown tremendously over the years. While
metros have been the key driver of growth in the
initial phase for most denim wear brands in the
country, the largest growth is now coming from
deep penetration of denim in India.
Take for instance, Kewal Kiran Clothing , a
company that manufactures jeans under the
brand Killer. The company has a large network of
97 distributors and presence through 313 stores.
Of these, it owns only 14, while the remaining
299 are franchisees. In metros, however, due to
consolidation of business in malls, retail space
owners negotiate pricing with brand owners,
providing little market share for brand owners.
Kewal Kiran has been focussed on its terms of
trade, which means that it concentrates on Tier-II
and Tier-III cities sharply. This strategy has paid
off. Today, broadly, the company is present in
Tier-II andTier-III cities.
In The ComingYears
Apart from growing aspirations among people
from Tier-II and Tier-III cities, their increasing
disposable incomes have led to an increase in
buying of more pairs of jeans per person.
Various statistics say that at least in metros the
average ownership in terms of
number of pairs per person would
have increased 3-4 times in the past
five years. In Tier-II and Tier-III cities,
it can be two or three times. This
increase in buying is not just about
jeans but about its various
positioning in terms of styles, fits,
washes and colors.
The current market size of denim
wear in India is largely dependent on
metros and mini-metros. Metros and
mini-metros with about 7 percent of
the population contributes to about
50 percent of the market share in denim wear.
The Tier-II and Tier-III cities - which constitute
about 8 percent of the population contribute only
16 percent of the market share in denim wear.
Hence, in the coming years, a large part of the
growth of denim apparel shall be driven by
deeper penetration in smaller cities.
Also, the growing acceptance of e-commerce,
companies in the denim wear segment can
improve their presence in the next growth
pockets, which are smaller cities.
The penetration of Internet will play a crucial role
in this. Today, it is not an aberration to find
consumers ordering apparels on web sites such
as Jabong, Myntra and Flipkart not only in
metros but also in non-metros. Besides, there
are a host of foreign clothing web sites that offer
their factory outlets at economical prices on
international web sites, pointing to the growth
story of the denim jeans markets in India.
Source: Nirmal Bang's Beyond Market
10.
11. Denim Club : Your Window To The World Of Denim
From The Denim Directory
Company:
Segment: Fabric
Pak Denim, located in the port city of Karachi is
a Public Limited company incorporated in
1995 and is one of Pakistan’s leading
manufacturers and exporter of Denim Fabric
and has state-of-the-art plant and machinery.
The company has both rope dyeing and
slasher dyeing facilities available.
Pak Denim has globally acceded recognition
of quality and service owing to consistent
adherence to international standards. By
virtue of verified quality & highly skilled work
force service, Pak Denim is one of the fastest
growing companies in Pakistan & abroad.
Dedication, professionalism, innovation &
quest for excellence have made the company
unparalleled in reputation and reliability.
Pak Denim currently has a production capacity
of approximately 20 Million Meters of denim
fabric. The company is producing a wide
range of products in 4.5 oz to 14.5 oz in Rigid
Slub (Ring/OE), Cross Hatch (Ring/Ring),
Slub Stretch and Cross Hatch Stretch, (Invista
Lycra), Cotton/Polyester, Tencel, Power
Stretch, in PU Coated Flat (Ammonia) Finish
and Regular Finish.
The company exports 70% of its fabric and
30% is consumed in the local market for
garments manufacturing and the company has
its exports marketing offices in New York, USA,
Istanbul & Bursa, Turkey, Dubai, UAE and
Rabat, Morocco to service the customers
across the globe.
The company believes in satisfying its
Pak Denim Limited, Pakistan
customers and building relationships with
them. Internationally renowned Fashion
houses and brands are such as Jordache,
Kohl’s, South Pole, J.C. Penney, Target, Wal-
Mart, Tommy Hilfiger (Europe), K-Mart, Otto,
Next, H&M, Primark, Tesco, Liz Claiborne,
Zara,Aeropostale, etc. are using their fabric.
The company has made substantial new
investments to further enhance the production
capacity and finishing capabilities to cater to
the needs of world renowned fashion & niche
brands.
Pak Denim has been the proud recipient of
Special Merit Export Awards consecutively for
the last 15 years from the Heads of the State of
Pakistan on our export performance.
Pak Denim has had OEKO-TEX STANDARD
100 CERTIFICATION (Spain) since its
inception and also has ISO 9001:2000
certification from SGS (Switzerland) and Lycra
Assured Certification from Invista Worldwide
and is in in advance stage to acquire GOTS –
Global Organic Textile Standard & OE –
Organic Exchange 100 Standard certification
from Italy.
Mr. Ahmed Ali
GM - Marketing & Sales
pdenim@cyber.net.pk
+92 21 3256 6411
www.pdldenim.com
Image Source: http://www.pdldenim.com
Poly & Stretch Denim
Image Source: http://www.pdldenim.com
Dirty Denim