The domestic hosiery brands are watching developments involving the entry of big retail stores/chains from major businesses such as Reliance.
Tirupur, Nov. 25
Despite the depth of volume market for basic hosiery products, the demands of consistent spending on brand promotion is proving a drag for most hosiery companies seeking to carry their brand campaign across the nation, said the Tirupur-based hosiery industry sources.
This dilemma is clearly spelt in the staggered market, despite assiduous market promotions made over the years, any single brand could consistently remain visible beyond two or three States simultaneously. The region-wise split in brand identity, too, added to the complexity of taking the hosiery goods brand promotion.
"With textile market already overcrowded, promoting a brand in today's scenario is very difficult and hardly few could venture in products like hosiery," feels Mr Binay Kumar Gupta, Director of the Kolkata-headquartered Bhawani Textiles, which has vast production facility in Tirupur.
The resources to be deployed for branding, according to Mr Gupta, would be so high leaving the brand promoting firms without margins for the next four to five years. Bhawani Textiles is spending about 8 per cent of its sales turnover for brand promotion.
Visuals works well
Incidentally, Mr Gupta's enterprise, which has recently set off its visual media blitz with actor Salman Khan as its brand ambassador for promoting its `Dollar' brand men's innerwear has scored resounding success, especially in Rajashthan, Madhya Pradesh, Bihar and Uttar Pradesh, besides Delhi.
The Rs 170-crore turnover Bhawani Textiles with its establishments in Kolkata, Delhi and Tirupur produces three lakh pieces a day. It produces inner garments, men/women and children wears, besides stocks. The branded textile producing company, which has its market spread across the North, East and Western parts of India has targeted to achieve Rs 225 crore turnover for the current year. The domestic hosiery brands are also keenly watching the developments involving the entry of big retail stores/chains from major businesses such as Reliance. "This might bring about a vast change in garment retailing, especially for those who do not have their own brands, and this segment may end up as doing job-work for the retailers," said Mr Suresh Paramanandka, Managing Director, R.D. Parmanandka Textiles, which sells hosiery goods under `Lyril' brand in the local market.