NATIONAL INSTITUTE OF FASHION TECHNOLOGY, CHENNAI

MASTER OF FASHION MANAGEMENT

Assingment

on

MERCHANDISING

(Exhaustive Study of Product Assortment, Product Pricing, Product

Innovation, Latest Trend and Retailing of the Product)

in

KIDS’ WEAR

Submitted by:
Name : GUNAKANTA DOLEY

Roll: No : M(M)/10/1881

Semester : MFM – I

INTRODUCTION
Children's apparel is a market that is growing rapidly today. Trends in the market are fast changing. This
article aims to analyze the market for kids' apparel in detail and explaining the shift in focus that is taking
place.

Children's apparel includes clothing for kids between 1 and 14 years of age. The market for kids' apparel
in India exceeds Rs. 13000 crore, of which around Rs. 3000 crore is constituted by branded kids' wear.
The kids' wear market is growing at the rate of 10% per annum, which makes it one of the fastest growing
markets.

Some major changes in trends are taking place in the market for kids' apparel. One of the important
changes is the increasing preference for branded apparel. This shift is taking place on account of changes
such as a rise in the disposable income of the people and the increasing influence of foreign culture. The
other important change that is taking place in this area is the emergence of kids as an independent buyer
group. Influenced by mass media and peer pressure, today's kids are more informed and self-conscious.

Armed with this knowledge, popular apparel brands are coming up with new collections that will appeal
to kids. Gini and Jony have come up with a collection of brightly colored apparel. Their collection
includes clothes in hues such as lilac, pink, plum, orange and citrus green.

Certain brands like Weekender have made an agreement with Walt Disney and Warner Bros., whereby
they can make use of some of their famous cartoon characters in their apparel. The brand is planning to
make use of characters like Mickey and Minnie Mouse as well as Tom and Jerry in the new line of
children's clothing that they are planning to launch. This collection is to be named 'Toon World'.

Pantaloon and Gini and Jony have entered into a joint venture to set up a chain of retail stores for
children's apparel. Raymond has launched its first store for kids' apparel 'Zapp!'. DS Corporation, which
owns the Ruff Kids brand of kids' garments, is planning to expand.
Generally in India, the trend was that most of the people prefer buying functional kids' apparel rather than
branded ones. Children's garments were usually purchased from small stores and from street shops, while
branded garments were only bought by the very high status families. This trend is gradually changing and
the market for branded kids' clothing is growing.
Dungarees, shorts and shirts are the evergreen fashions in kids' apparel. Short skirts, tops with puffed
volume, halter tops, lace trims and cropped trousers are the in things in the world of children's apparel in
today's times. In terms of prints, butterflies, flowers, polka dots, skulls and pirates and stripes are popular
in kids' apparel.
There are two important factors to be considered for making a kids' apparel brand a success - variety and
price. A children's apparel collection should have variety that will appeal to kids. Moreover, kids outgrow
their clothes very rapidly. Hence it is necessary that a kids' apparel range be reasonably priced.
Children's apparel is a growing market in India that has huge untapped potential. Apparel makers all over
India are making forays into this huge market, in an attempt to make favorable use of the prevailing
trends. They are also coming up with collections that would create new trends.

MARKET OVERVIEW
 Market for kids’ is the fastest growing industry in India. Manufacturers are coming up with
fancy materials targeting kids who are more interested in the upcoming fashion trends. Kids’ apparel
market is more unorganized that any other segment of apparels. A huge volume of kids’ apparel in India
is being dominated by local and unorganized players. This gives a great opportunity for the organized
players to lay a strong foundation In this segment.

Industry analysts estimate that market size of branded kidswear in India including brands like
Ruff Kids, Ruff Baby, Planet Kids, Gini & Jony, ZAPP, Li’l Tomatoes, Weekender Kids is estimated to
be around 1000 crore Rupees. They positively assert that branded market for kids is growing at 15% to
20% per annum. The international brands including Barbie, Mothercare, Benetton Kids, Pepe, Lee Kids,
Tommy Hilfiger and Adam Kids have also entered the Indian market.

MAJOR KIDS BRAND IN INDIA:

Liliput, Ziama, A first & first baby, Gini & Jony, Deal, E-teenz, Spark, Apple eye, Bubbles, Pro teens,
Garbo, I vow, ant Bites, bad Boys, Pumkin patch, Catmoss, Ladybird,Max Q’s, Ritu wears, Toffy house,
Raja sahab, Yuvraj , Bada saab- juniors, Muskan, Body care, Differ Tuki

International brands such as Monnalisa, the Versace of kids, Chicco, Benetton Kids, Zara, Mothercare
and Hamleys are expanding their presence and widening their product portfolio in India as kid stuff has
become one of the fastest growing segments in India.

PRODUCT ASSORTMENT:
ROMPERS

The Fancy Dress:

The Over-all The Kindergarten Wear

The Play Set

The School Wear

The frilled dress

The shirt Blouse : The suit:

The trimmed ensemble : The Raincoat : The Playset for 10 years olds:

The two-tone look : Suit with a cardigan Neckline:

The school wear for the sub-teen The sleeping wear

PRODUCT PRICING:
There are varieties of kids’ wear which are priced based on its value addition, production cost, service
cost and management decision. Some of the kids’ wear product and it price range are given.

These product ranges (Table 2) are taken from Mothercare.

Table 2:

Product Price Range in Pounds (£)

Unisex 0-12 months 4 - 15

Baby girl 0-12 months 3 - 17

Baby boy 0-12 months 3 - 16

Baby girl 1-3 years 4 - 15

Baby boy 1-3 years 4 - 16

Girls 3-8 years 3 - 15

Boys 3-8 years 4 - 17

Footwear 5 - 20

Nightwear 11 - 16

Swim shop 5 - 20

Christening & special occasions 3 - 12

Dress-ups 4 - 15

School shop 3 - 12

Bags & accessories 8 - 20

Character shop 11 - 20

Rain shop 7 - 18

PRODUCT INNOVATION:

The creation, development, and implementation of a new product, process, or service

with the goal of improving efficiency, effectiveness, or competitive advantage. Innovation may apply to
products, services, manufacturing processes, managerial processes, or the design of an organization. R
&D department of every organization plays a vital role in product innovation.

In kids’ wear, product innovations are mostly concentrated based on attractive colours,
styles, safety, variety of gadgets and parental income.

Examples:

• Organic Products

• Insect free products

• Fragrance products

• Low pH product

• Low weight product

• Cartoon characters pictured products

• Animal style products

Top Children wear brands in INDIA – Profile

Garbo Bubbles

Company: National clothing supply India Private Company: Sailax Corporation

Limited
Brand in Chief: Anil Gehi, Managing Partner
Brand in Chief: Radhe shyam Kabra, Director
Brand Mantra: Optimum Quality
Brand turnover Rs 10 crore
Retail presence: MBOs: 2000+
Growth percentage target by next 2 years: 15%
Upcoming towns/cities in 2 years: Dhanbad,
Retail presence: MBOs: 300 Rourkela, Bhilwara

Brand mantras: Quality at affordable price Brand Profile: Launchd in 1990 by anil and Pavan
Gehi. Now popularly sold in all regions of the
country.

Apple Eye E Teenz

Compayn: Stichfab India Pvt Ltd
Brand I Chief: Varun More, Director
Brand Mantras: Produce quality garments, with
smart contempory designs at smart prices
Vision by 2020: A leading kidswear brand in India
Brand Profile: Launched in May 2009. Comprises
ranges suited for girls aged between 0-2 years and
for boys between 0-16 years, poised to extend the
brand for girls aged between 2-12 years. Varun
More, trained in fashion retail from the London
school of Fashion, is the he ad designer of Apple
Eye.
DEAL
Company: Deal Clothing Co
Brand in Chief: Sameer Patel, Owner
Brand Mantra: Offering Quality products
Brand turnover FY 10: Rupees 20-30 crore
Growth percentage targeted by 2 years: 40 percent
MBOs: 700-800
Bodycare
Company: Bodycare International Ltd
Brand in Chief: Sachin Gupta & Muthun Gupta,
Company: Dhannjai Apparel Pvt Ltd
Brand in Chief: Ansul Agarwal, Director
Brand mantras: Guaranteed high quality,
Affordable price
Brand Turnover FY 10: Rupees 20 crore
Growth percentage targeted by next 2 years: 30%
MBOs: 200
Vision 2020: Consolidation of business and rise in
the value segment with extraordinary growth in
kidswear.
Brand Profile: Was founded by Ansul Agarwal in
1999. Available all across the country.
A-First & First Baby
Company: Shree Niwas Textiles
Brand in Chief: Biram Prakash Sultania, Proprietor
Partners
Brand mantras: Pricing, Designing
Brand Turnover: Rupees 40 crore
Growth percentage in next 2 years: 30%
MBOs: All major hypermarkets in India, the UAE
and Saudi Arabia
Pumpkin Patch
Company: Pumpkin Patch Limited
Indian partner: Jip Fashions and Restaurant India
Directors Pvt Ltd

EBOs: 2 in Delhi Brand in chief: Dinesh Maura, Country head

MBOs: above 8000 and all other major retailers Brand Turnover: $1.2 billion(worldwide), Rupees
10 crore
Brand Mantra: High quality, Value for money
products, timely delivery system EBOs: 6(all company owned), 4 (Shop in shop)

Brand Turnover: around Rupees 700 million Best EBO: South city mall Kolkatta

Retail presence: 150 distributors, 10000 outlets. Growth percentage targeted by next 2 years: 12-
15%, 50-70% in India
Profile: Started in 1990.
Brand Mantras: High fashion for kids, Comfort.

Vision 2020: desirable brand in the country with

more than 1000 POS in country.

Brand profile: Started in 1990 by Sally Synott

LILLIPUT Ice Fire

Company: Lilliput Kidswear Ltd Company: Icefire clothing Private Limited

Brand in Chief: Sanjeev Narula, Managing Director Brand in chief: Rajesh and Ritesh Kasat, Managing
Directors
Retail presence: 225+(EBO)
Brand turnover: Rupees 5 crore
Company owned: 70 %
Growth in next 2 years: 40 %
Franchises owned: 30 %
MBOs: 500
MBO: 250,
Best MBI: Little Shop
Best EBO: Karol Bagh store, New Delhi
Vision by 2020: To be placed an international
Brand Turnover: Rupees 310 crore brand
Growth for next 2 years: 40 % Started in 1992
Brand mantra: International styling, Top notch
quality, Affordable price; Started in 1991

Cotton Blue & Kids Magic Rajasaheb, Yuvraaj

Compay: Cotton club Private limited Company: Pampa Garments

Brand in chief: Ajay Jaiswal, Director Brand in chief: Tapas Dutta and Tapendra Dutta,
Partners
MBOs: 300
Growth percentage in next 2 years: 30 %
Brand mantra: Create magic
Brand turnover: 15-20 %
Vision 2020: A super brand
MBOs: Sai silk, Kala Mandir, SKC, Chennai Silk

Best MBOs in terms of brand sell: MBOs in Delhi,

HighStyle Apparel, Joyalukas in Chennai

Started in 1993.

CURRENT TRENDS:

Trend Forecast from IMAGES RETAIL MAGAZINE for 2011:

North Indian

Boys: Western Inspired details, three buttons, narrow collar revers, drawstring, drawn in
detailing, preppy and quirky, loose silhouette, raw edge details, roomy through crotch, practical
pockets, relaxed

and casual.

Girls: Snap fastening, piping detail, tie belt, elastic smoking, classical detail, slim and loose fit,
playful shorts, pinafore.

North East:

Boys: Lightweight cotton, kneelengths, sporty pocket, preppy zip-through hybrid, sportytee,
tapered, rolled hem, active style, work wear detailing

Girls: Ruffle, puffed, layer, sun dress, frill detail, clean and casual style, empire line, fit and
loose silhouette, tapered at hem, volume skirt.

North West India:

Boys: Sporty hoodie, cargo pant, sporty and functional pocket, rib detail, raglan sleeve, turned
up hem, militatr inspired, boxy silhouette, sporty tipping details, cargo posket detailing, dngaaree.

Girls: Playsuit, folk blouse and dress, empire line, ruffle, volume skirt, girly sundress,
waistcoat, sporty harem pant, tapered keelength, casual shirt.

Boys: Resort chino, three-button singlebrest jacket, layered and sporty tee, relaxed and
comfortable silhouette, festival shorts, collar revers, rolled collar, flat trim welt and cuff, roomy fit,
functional pockets, asymmetrical.
 Girls: Tiered maxi, relaxed and comfortable silhouette ruffle, functionalpocket, folk dress,
ountryblouse, kurti, vintage inspired, empire detail, peplum, deep hem.

Central India:

Boys: Urban shorts, retro and country shirt, volume festival short, sporty tee, shortsleeveved
polo, slimfit, collar revers, cut-and sew detail, pleat waistband, tapered slightly to hem, western inspired
details.

Girls: Tiered maxi, relaxed and comfortable silhutte, miru ruffle and frill, vintage
inspired, deep hem, layered, slim tee, retro piping and binding, retro style, hidden fastening

Central India:

Boys: Ethnic-inspired, long kurtas, negru collar, loose comfortable silhouette, dhiti pant, narrow
cuff, interesting neckline, grown on planket, volume through thigh, baggy, drawstring or drawn-in
detailing, functional patch pocket.

Girls: Empire line detail, girly tee, mini frill, ruffle top, folk tee and dress, tiered maxi, girly
sundress, denim mini, casual comfortable shirt, asymmetrical, A-line.

South India

Boys: Two and three button single breast jacket, classic fit, retro shirt, slim pant, tapered at
hem, checks and stripes, yoke detail, relaxed, pockets, collars, revers, classic proportions, interesting
neckline.

Girls: Bootcut, rolled-up hem, tiered maxi, folk dress, empire detail, retro shirt, girly sundress,
flare, chino, country blouse and dress, easy silhouette, functional packets, drawstring.

RETAILING OF KIDSWEAR:

Whether on Complan or Horlicks, the kids wear market is growing healthy and fast. And the
kids are having a good time with a pile of top brands including Allen Solly, Arrow, Reebok, Puma,
Woodland and Marks & Spencer entering the Rs 3,500-crore branded kids apparel market. Brands such as
Benetton, Pantaloon and Reebok have roped in popular characters like Pucca, Ben10 and Power Rangers
to lure their 4-14 age-group customers.
This influx will challenge niche brands like Lilliput and Catmoss in a place where they grew up.

“The kids segment is the most promising in apparel retail in India. Big brands are only now
realising its true potential,” says Arvind Singhal, chairman of consultancy firm KSA Technopak.
Allen Solly, one of the leading formal wear brands in the country that introduced kids wear
segment on a pilot basis last year, is planning a full-fledged foray by the end of the year. Woodland,
another adult apparel and accessories brand, will enter the segment early next year, says Harkirat Singh,
MD of Woodland India.
German lifestyle brand Puma announced its entry into the kids-wear segment earlier this month,
while UK-based retailer Marks & Spencer recently launched its kids wear range. “Launching kids wear
throughout our stores will be a top priority,” says Nandini Sethuraman, marketing director of Marks &
Spencer Reliance India.
Arrow, promoted by Arvind Brands in India, may also launch its kids wear portfolio in India.
Sports goods major Reebok launched its kids-wear brand Reebok Junior mid last year. Its
parent firm Adidas launched kids wear in India almost six years back.
“The focus of kids apparel is currently on bigger cities and will spread to other cities in the near
future,” says Andreas Gellner, MD of Adidas India. Indus League Clothing recently extended its Urban
Yoga brand for children.
When Sanjeev Narula, MD of Lilliput Kidswear, set up a small apparel manufacturing unit with
25 sewing machines in the capital’s Govindpuri area in 1991, little did he know that he would be heading
a Rs 328-crore kids apparel brand in less than two decades. “There were almost no mass kids apparel
brand back then,” he says.

Today, the brand, growing 45% a year, exports to countries such as Egypt, Bahrain, Oman,
Saudi Arabia, China and Ukraine.

It recently tied up with Cartoon Network to provide licensed merchandise - a new trend among
apparel makers looking to woo little customers. United Colors of Benetton has capitalised on the Pucca
character, Pantaloon has bet on Disney merchandise and Reebok too has a deal with Cartoon Network for
animated properties such as Ben10, PowerPuff Girls, Johnny Bravo and Dexter.

“These tie-ups become clutter-breaking ideas for apparel brands,” says Monica Tata, VP and
deputy general manager entertainment networks South Asia at Turner International that gets 10% of its
turnover from licensing and merchandising.

Companies also need to work on in-store marketing activities, says Gopi Krishnaswamy, founder
and CEO of Insight Instore, a trend research and retail shopper marketing consultancy. Apple’s head
honcho Steve Jobs is helping transform Walt Disney’s retail outlets around the world into miniature
theme parks for children. Closer home, Raymond’s kids wear brand Zapp!, which is operational through
30 stores, has introduced igloo-shaped trial rooms.
Zapp! recently expanded its product line into active wear and swimwear. “We are focusing more
on accessories across categories to become a one-stop solution for our target group,” says Sandeep
Saxena, the firm’s brand head.
 “Today’s kids want options and are more fashion-conscious than marketers think,” says K
Venkataraman, MD of Mahindra Retail that owns Mom & Me chain, which sells kids apparel under its
private label.
Clearly, the kids are tough customers and selling to them is no kid’s play.

CONCLUSION :

Generally in India, the trend was that most of the people prefer buying functional kids' apparel rather than
branded ones. Children's garments were usually purchased from small stores and from street shops, while
branded garments were only bought by the very high status families. This trend is gradually changing and
the market for branded kids' clothing is growing.

Dungarees, shorts and shirts are the evergreen fashions in kids' apparel. Short skirts, tops with puffed
volume, halter tops, lace trims and cropped trousers are the in things in the world of children's apparel in
today's times.

References:

BASIC PATTERS FOR KINDSWEAR

Images Business of Fashion February 2010(Jarnel)

http://www.indianattire.in/kids-wear.asp

http://www.scribd.com

http://www.mothercare.com

http://www.kidslove milk.com

http://www.fashionewspaper.com

http://www.articlesnatch.com