Raymond plans a Be-hive

Fashion in India is no longer the preserve of the haute couture. Not surprisingly then, Be, Raymond’s pret-a-porter ( ready-to-wear) brand, backed by significant increase in volumes is planning to set up its own dedicated manufacturing unit. The company has also expanded its range by foraying into hi-end pret wear and basic casual wear.

“We have seen volumes increase from around 30,000 units for our spring-summer collection to over 45,000 units for our autumn-winter line...our exclusive stores ,which sold 300-500 pieces two years ago are now selling 4,000-5,000 pieces per season,” Mr Aniruddha Deshmukh, vice-president - retail, at Raymond told Marketing.

Presently all Be stores are company owned (except for one in Dubai), but going forwards, Mr Deshmukh said the company would predominantly undertake the franchise model. Be has announced plans to set up five new stores this fiscal, including its second outlet in Dubai. Franchise queries have been received for the south-east Asian markets too, he added.

Be competes in the Rs 100 crore-Rs 120 crore Indian pret market, which is growing at around 20% per year. The overall designer-wear market is pegged at Rs 300 crore-Rs 350 crore, also estimated to be growing at a robust 25% per annum.

“Globally, designer wear accounts for around 5% of the apparel market, but in India its just 0.75%,” Mr Deshmukh said, explaining the growth opportunities for Be. Pret accounts for 80% of the designer wear market abroad, whereas in India its closer to 30%, he added.

Referring to the label’s expansion plan in basic wear, Mr Deshmukh said customers were today looking for an entire range of garments in a store. The label is also foraying into hi-end pret, whose top-end price point will be 10%-15% higher that the existing pret line prices.

In keeping with the end-to-end dictum, Be also plans to increase its accessories range. “Presently accessories contribute about 6%-7% of sales...we see this going up to about 10%, he added. According to Mr Deshmuksh, Be expects to break even next year. Across various cities, Be sales are growing between 15% (Bangalore) and 40% in Mumbai, season on season.

Be houses pret wear and accessories for men and women from 16 top designers including Manish Arora, Priyadarshini Rao, Rajesh Pratap Singh, Rohit Bal, Rina Shah, Savio Jon, Sujit Mukharjee, Aki Narula and Wendell Rodricks among others. Be also has in-house designer wear.