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Kidswear retail gets serious

Extract from the Business Today article:


There is quite a crowd on the kids' wear bandwagon, and segmentation has stretched in the past year to include luxury. While Big Bazaar is among those that cater to the mass segment, Gini & Jony and Lilliput operate in the medium category. Homegrown brand Lilliput Kidswear, which started in 2003, has the early mover advantage, with 261 exclusive outlets and 541 shop-inshops in the country.

...The Associated Chambers of Commerce and Industry estimates that the industry is worth Rs 38,000 crore, and growing at a compound annual rate of about 20 per cent to reach Rs 80,000 crore by 2015. Kidology's same-store sales - a retail industry metric to distinguish a rise in sales within a store from an overall increase in sales due to the opening of new stores - have grown more than 40 per cent in the past year. Besides its own stores in Delhi and Mumbai, Kidology also sells through other retail outlets in Mumbai and Hyderabad. It is in talks with private equity funds, and plans new stores in Chandigarh, Ludhiana and elsewhere.

"Competition is definitely increasing, and consumers are becoming brand-conscious," says Anil Lakhani, Executive Director, Gini & Jony. The 31-year-old brand, which sells through 230 exclusive stores besides other outlets, is growing at a compound annual rate of 33 per cent.

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