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Online fashion brand Teesort.com is targeting to cross the ₹100-crore mark in sales by end of this fiscal year.
The New Delhi-based company, founded in 2010, to sell t-shirts for men, had posted about ₹30 crore in sales last fiscal year with a 42 per cent annual profit. It has touched ₹61-crore as of November.
The boot-strapped company among the first in online private brands to make profits. Other brands such as Yepme.com, Zivame and Zovi.com are yet to reach the ₹100-crore brand and turn profitable.
Yepme loss According to data with the Registrar of Companies, Yepme.com, promoted by actor Shahrukh Khan, has posted a loss of ₹103 crore in FY 2015. The company’s overall sales stood at ₹75 crore.
Alok Agarwal, co-founder of Teesort.com, said, “Our focus on creating a brand offering great quality clothes at affordable prices is the biggest reason behind our success. We are also the first digital fashion brand in India to reach this milestone while retaining our profitability.”
Besides, the profitability also comes on back of a heavy push on private labels, which have around 70-80 per cent margins, compared to national brands. According to research and consultancy firm RNCOS, the Indian online retail market will touch $14.5 billion in 2018, up from $3.5 billion now.
This market will be driven by online only private labels.
Expansion Meanwhile, Teesort plans to expand into multiple categories and start selling in new regions to create a billion-dollar brand.
According to Aggarwal, the company is quite focused on smaller towns and derives about 80 per cent of its sales from these markets, with over 30 per cent repeat customers. Teesort offers t-shirts and casual menswear, under Teesort and TSX brands.
The brand has shipped more than 1.5 million orders till date. The company keeps a tight quality control on the manufacturing process.
“Running an online-only fashion business has allowed us to scale across India without investing time and resources into physical stores,” Alok added.
The company plans to expand its portfolio to include new categories in womens’ wear and kids’ wear, and also establish itself in West Asia and South-East Asia.
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