Fashion need not be expensive! Focus on providing “fashion at keen prices” is generating strong current growth … …across men, women, children … and presents long-term potential for its parent company.

1. 1
EXECUTIVE SUMMARY |
Growth opportunities exist in India’s apparel market…
Successliesinthe fact that ‘whatcan be measuredcanbe managed’.FICCI&PricewaterhouseCoopers
(P) Limitedsreport; suggestsStrongandSteady – 2021 Outlookforthe Retail andConsumerProducts
Sectorin Asiaindicatesthatthe Indianapparel marketisrelativelyuntappedacrossall categories.
Clothingsaleshave beenrisingsteadily inrecentyears,supportedbyalarge marketof youngconsumers
and an increasinginterestinWesternfashion.Apparel companiesare usingmarketingstrategiestobuild
theirbrand,increase awarenessandcreate afashionable,lifestyle-orientedimage.
Effortsto raise fundsfromPEs are enablingapparel brandstogrow theirstore networks,boost
productioncapacity,offernewstyles,hire designtalent,developlargerformatstores,establishshop-in-
shops,etc.
Fashion need not be expensive! Focus on providing “fashion at keen prices” is generating strong
current growth … …across men, women, children … and presents long-term potential for its
parent company.
Keenlypricedapparel ispricedlesserthanaffordablypricedappareleven!Keenlypricedapparel is
especiallyimportantindevelopingmarketssince customersneedtobe educatedaboutfashion,before
makingthe purchase.Max usesitsdesignstrengthtoproduce sharply-pricedapparelthathasa high
fashioncomponent.Designersinthe Middle East alongwiththose inIndiacreate andlocalise fashionfor
global andlocal markets,respectively. FormanyIndians,low pricesare a keypurchase driver. Tier2
citieslike Coimbatore,Indore,Bhopal,etc.are showingstronggrowth.Consumersinthese locationsare
aspirational.
The followingfactorsdrive the growthof value fashionretail:
Increasingincomesare enablingIndianconsumerstospendmore andexperimentacrossproducts,
brandsand categories.
Apparel isnolongera functional category butone thatconveysappearance,prestigeandimage.
Consumerswanttobuy apparel thatis bothaffordable andfashionable.
The growth of moderntrade has helpedincrease the demandforbothbrandedandvalue apparel.
This,coupledwiththe emergence of new sectorsandprofessional jobopportunities,hasalsohelped
drive demandforoffice wear.
Over50% of India’spopulationisunder25.Young Indiansare aspirational,demandingandfocussed
on apparel thatis both…across men,women,children.

2. 2
EXECUTIVE SUMMARY |
Currentpenetrationof apparel inthe organisedretailcategoryis30 to 35%. This isexpectedtoincrease
to 50 to 55% by2021.
Providingfashionatverycompetitivepriceswill be amajordriverof success
for brands.Notcompromise fashionforprice orvice versa.Providingapparel
that isbeyondnormal pricinglevels;enablingthe chaintogrow rapidlyboth
withinthe Groupand withinIndia.Partof offeringgoodfashionis localizing
the styling(necklines, hemlines,colours,embroidery,etc.). Brandsmust
localisesone-thirdof itsproductrange sourcedglobally,enablingitto“be
global andconnectlocal.”
Customerneedsandexpectationsevolve giventheirexposuretointernational
travel,media,the Internet,etc.Today,the Indianconsumerexpectsabetter
experience overall:
• Availabilityof apparel:The consumerwantssharplypriced, fashionable
apparel to expandtheirwardrobe bothatthe workplace andat home.
Customersnolongerwantto dressupjust forwork,theyalsowant to
lookgoodat home,implyingaccesstochoice andrange.
• Store experience:Fromthe time a customerentersthe store towhenshe/he
leaves,she/he musthave agoodexperience acrossseveral touchpointsthat
include:Trial room| Interactingwithstaff |After-sales
experience |Billingatthe POS| Store ambience
Freshnesstakesintoaccountnew productpromotions,new designs,new
colours,newstyling,etc.Keepingfashionexcitinghelpsengage andretain
customers,resultsinsales,generatesrepeattraffic,etc.
Brands needtobuildasustainable businessmodel giventhatthe gestation
periodforsuccessinthe retail sectorislong.Sustainableproductpricing,
offeringproductsthatimplylongevity,expandingoperationsinacalibrated
but determinedmanner,etc.are some of the waysinwhichretailerscan
conveytheircommitmenttobuildingalong-termpresence.
Emerging models in India; Develop a truly multichannel Business:
We can alwaysargue that the Indian e-Commerce industryisevolving. Butontakinga closerlookat the
industry,we mustrealise thatitwill be worthUS$ 70 billion todayin 2015 (accordingto ASSOCHAM)
witha steadygrowthof 35% CAGR.
Customerinsights

3. 3
EXECUTIVE SUMMARY |
Indianconsumersare generallyperceivedasprice-drivenandvalueconscious.Whilethatmaybe true,
seniormanagementatFlipkartbelievesthattheironline consumerisdrivenbybothprice aswell asa
minimumlevel of quality(intermsof the end-to-endexperience).
As the economygrows, incomesrise and aspirationsincrease,the Indianconsumerwill evolve intoa
more qualityconscious consumer.
Expandingthe productoffering,promotional strategiesandofferstodraw higherfootfalls ispassé.
Innovationisamore tactical termnow,and it ishavingpositive effects.
For the generationthatworksonlaptopsand mobile phones,quickturnaroundtimeisutmost
important.Thus,beingpresentacrossmultiple channelshas become inevitable.
Believingthatnowisas goodas a time toenterthe Indianretail space as ithas everbeen.International
chainsthat have enteredIndiathroughtheir JV partnersare startingtofeel athome. The Indian
customerstodayhave several choicesthattheycanmake.The boundariesamongcitiesare fading
quickly.Infrastructure andconnectivityare improvingbythe monthandcustomerawarenessisatan all-
time high.The Indiancustomeriscreatingthe new ‘IndianBazaar’.
Tamil Naduis one of the largestretail marketsinthe country.It isalso the preferredtestmarketfor
mostof the FMCG playersasthe state isrenownedforitspenchanttotry out new products.
In case,a product failstolive upto itsexpectations,the people donotpurchase itagain.
On the otherhand,the customersfromTamil Nadu are loyal to theirbrands.Therefore,if acompany
capturesand getswell-entrenchedinthe marketandcontinuestoprovide the customerswithquality
products,itsmarketshare will remainintact.
Followingisthe listof retailers,whohave managedtocreate aniche inthe marketandhave contributed
to the state’sretail success:Aachi Masala;Cookie Man; GRT; Muthu Pharmacy; Nalli;VasanthandCo.;
VivekandCo.;UniverCell;BharatMatrimony.

4. 4
EXECUTIVE SUMMARY |
Aggressivelyenhance reachinnew rural
marketsviafurtherappointingsubdealers
ExpandingPresence inSouthernIndiaby
aggressive marketing&distribution
presence
Extensionof Productrange byintroducing
Menswearunderwear,Medium,Premium
and Superpremiumsector.
Extension of Product range by introducing
Menswear active wear, sportswear.
To gain marketshare inthe
premiumsegmentbyaggressive
brand building
Advantage of usingtechnical
textilesbackground, togainmarket
share in the mediumrange active
wear
Sportswearrange:development
usinganti-allergenic;PUR
(Polyurethane)lamination,Flocked
garments.
Increasingthe share of Premium
productsin salesmix will drive
marginupwardsExtensionof Productrange byintroducing
Menswearcasualwear.
Leverage brandequityin Infant, kids’
innerwearsegment
Enhancingavailabilitythrough
presence inE-Commerce,Multi
Brand Outlets(MBOs) andLarge
Retail Format(LFRs) stores.
GROWTH
IN
REVENUE
GROWTH
IN
MARGIN

5. 5
EXECUTIVE SUMMARY |
1. Focus on Design and Product
Development, R&D.
 Continuous Investment in
Product design & Innovation.
 keeping a close eye on the
latest fads, fashions and trends
regionally and globally
 Control on entire procurement
and handling of raw materials
 Own logistics and supply chain
set up for strong control of
inventory
2. In – House dyeing & knitting to
ensure quality control, State of Art
dyeing, bleaching and knitting facility
across Tamil Nadu
 Weaving and knitting units
 Technical textiles units
 Bonded fabrics - for advanced
applications.
 fabric with a breathable water
proof membrane
 Creating water
proof/incontinence- lingerie
applications.
 PUR technology- advanced
lamination technology
3. Labor intensive processes
outsourced to committed vendors

6. 6
EXECUTIVE SUMMARY |
• Premium, innerwear, casual wear & active wear/sportswear brand with price points for
core products primarily ranging between Rs. 599-2,699
• Target customer profile is young men in 25–44 age group
• Fashion aware men, who have a “masculine” sensibility and are looking for brands &
products that reflect their “real” and “manly” attitude
• Carefully pre-washed, pre-shirked & washed/laundered ‘feel-good’ product offerings are
identifiable to the manly, mature target customers
• Strictly believes that ideation-to hitting- the-market time period is around 6 months
keeping the brand’s design offerings fresh, relevant and contemporary in line with latest trends
35%
45%
20%
MENSWEARMIX
INNERWEAR
CASUALWEAR
ACTIVEWEAR
INNERWEAR
BOTTOMS
26%
INNERWEAR TOPS
20%OUTERWEAR
BOTTOMS
27%
OUTERWEAR TOPS
27%
Mens Innerwear
INNERWEAR BOTTOMS INNERWEAR TOPS OUTERWEAR BOTTOMS OUTERWEAR TOPS

7. 7
EXECUTIVE SUMMARY |
Vest
29%
Tees
29%
shorts
21%
Bottoms
21%
SPORTS & LEISURE
Vest Tees shorts Bottoms
9
5
10
30
10
10
Mens Casualwears
Woven Shorts loungepants Sweat shirts T shirts pullovers hoodies

8. 8
EXECUTIVE SUMMARY |
POLOS & TEES
Available Price Range: Rs.255 - Rs.7999/-
Suggested Price Range:Rs. 500 - Rs.999/-
T-SHIRTS
Available in market:Rs.225 - Rs.6499/-
Suggested Price Range Rs. 500 – Rs 999/-
V NECK T-SHIRTS
Available in market:Rs.296 - Rs.6499/-
Suggested Price Range Rs. 500 – Rs 999/-
UNDERWEAR
Briefs/ Boxers/ Trunks
Available in market: Rs. 249 - Rs.500/-
Suggested Price Range: Rs. 111 – Rs.3555/-
VESTS
Available in market:Rs.175 - Rs.2499/-
Suggested Price Range:Rs.175 - Rs.500/-
SLEEPWEAR
Available in market:Rs. 449 - Rs.2490/-
Suggested Price Range:Rs. 449 - Rs.999/-
TRACK PANTS
Available PriceRange Rs.400 - Rs.6999/-
SuggestedPrice range Rs.500 – Rs.999/-
TRACKSUITS
Available PriceRange Rs.875 - Rs.3839/-
SuggestedPrice range Rs.1000 - Rs.1499/-
TRACK JACKETS
Available PriceRange Rs.950 - Rs.8999/-
SuggestedPrice range Rs.2000 – Rs.2999/-
SHORTS & 3/4THS
Available Price Range Rs. 350- Rs.5999/-
SuggestedPrice range Rs. 500 – Rs.999/-