FASHION MERCHANDISING

Study of Fashion Retailer

Submitted to Prof. Jagriti Mishra

Submitted by Kushal Manish Lovely Neha Snehil Tejashwini

CORPORATE HISTORY
John Bissell, the founder of Fabindia worked

as a buyer for Macys New York till 1958 after

which he joined Ford Foundation, New Delhi to develop Indias export potential in its emerging in textile industry.

In India he discovered the village based

industries with a profusion of skills hidden from the world. So with the focus on providing equitable employment to traditional artisans and an Indian experience to the foreign buyer and he started Fabindia in 1960. Fabindia is a for profit company with social motives. For 15 years Fabindia was into exporting to western countries.

CORPORATE HISTORY CONTD

In 1976 they open their first retail outlet in Greater Kailash, New Delhi when they realized the untapped market in India among the upper and higher middle class people. In early 80s they introduced garments made of block printed handlooms fabrics. In 90s during economic boom, the response increased drastically and they expanded their business in metros. In 2004 they introduced organic segment wherein they procured things directly from the farmers. Presently it has about 141 stores cross India, one store each in Dubai, Nepal and Italy and sources from 40,000 artisans (17 community owned companies setup by Fabindia) The company is now headed by John Bissells son Willam Bissell. Now Fabindia is planning to setup stores in tier 2 and tier 3 cities.

ORGANISATIONAL STRUCTURE
Managing Director

Market Groups

Business Groups Garment Head Organic Head Home Head

Support Groups

North-East head West Head South Head

Finance

Zone Manager 1 Zone Manager 2 Zone Manager 3

Product manager for category 1 Product manager for category 2 Product manager for category 3

HR and Communica tion

Logistics and Administration Buyer and Merchandiser Software Technology Store keeper and asst. store keepers

Store manager

Merchandiser

Training

Sales executives Asst. Sales executive/ helper

Dispatchers /helpers

MDs Office

FINANCIAL TURNOVER

TURNOVER(RS IN MILLION)
2500 2000

1500
1000 500 0 TURNOVER(RS IN MILLION)

TARGET CUSTOMER
International Buyers : From its inception for 15 years, the company focused on exports. Even today it exports to 33 countries worldwide.

Retail : When they entered domestic market in 1976, they targeted the higher and the upper middle class people. Majority of customers include Foreigners, Youth, Young professionals and Higher middle class category.

STORE FORMATS
Fabindia has 3 store formats depending on the location : 1. Large store format : The location of the store in on the high end street, they are standalone store which have all product lines sold by the brand. 2. Medium store format : The location of the store in on the busy street of the cities and might not include all product lines. 3. Small store formats : The location of the store is the mall and they have specific product line for sales.

COMPETITION
Fabindia has competitor from organized and unorganized retail sector. Unorganized retailer like those in Delhi Haat located in south Delhi, Law Garden in Ahemdabad etc. Organized retailers like khadi gram udyog outlets and cottage industries emporiums across the country . The product mix is similar to Fabindia and also have backing from government. Store like W, Khaddar and Good thing are have their own exclusive outlets and also sell through multi-brand stores. Standalone stores like Sasha in Kolkalta, Sadhana in Udaipur, Ants in Bangalore could pose challenge by expanding as they have been doing quite well for a while.

MARKETING MIX
PRODUCT LINE Fabindias Products range includes : Garments : This range has garments for women, men and kids made in Handloom, Khadi, Kalamkari, Block printed fabrics with natural dyes and soft colors. They are fine tuned balance between tradition and modernity. This line contributes up to 70% of the revenue generated. Home Furnishing : Fabindia is the first retailer in India to provide complete home solution. This range includes upholstery, curtain fabric, ready -made curtain and bed linens. The furniture are of wood and metal which go very well with over theme of natural products.

Organic products : They launched this line in 2004 and it includes Body care products like soaps, shampoos, conditioners etc and Ready to eat food like dry fruits, cereals, honey etc.

Jewelry :The range showcases the wealth of Indian jewellery-making tradition They are available in 3 styles : Anusuya - the classical style, Ananya - the unusual and contemporary Amna - the trendy and causal range.

SUPPLY CHAIN OF PRODUCTS

Oder is placed to the rural artisans without written contracts on trust and verbal commitment.

Product are made as per the order by the artisans.

Payment is made to the artisans with 15 days from the delivery

With their unique model and ideology, they have a unique supply chain. Fabindia has about 40,000 artisans who supply products. The rate of rejection on products is very low keeping the ethic in mind. Fabindia works closely with artisans by providing various inputs including design, quality control, access to raw material and production co-ordination.

 PRICE :

Garments
Home Furnishing Organic products

Mens wear : Rs 490 to Rs. 1800 Womens wear : Rs. 660 to Rs. 2000 Kids wear :

Curtains : Rs 390 to Rs. 1530 Bed linens : Rs. 830 to Rs. 2430

Body care products : Rs. 225 to Rs. 1250 Ready to eat : Rs. 60 to Rs. 300 for 200gm

Jewelry

Rs 390 to Rs 1530

PROMOTION Fabindia believes A delighted customer is our best brand ambassador The promotion is done through word of mouth by the customer. Fabindia has about 70% loyal customers. However to make the customer aware of the store locations they use mobile marketing, advertising in the newspapers. Fabindia is in news almost every month because of their achievements, activities etc.

PLACE

They have stores in all metro and capital cities. Apart from India they have one each store in Dubai, Italy and Nepal.

FIXTURES
STRAIGHT RACK It consists of a long pipe suspended from supports going to the floor or attached to a wall. It can hold a lot of apparel so all the customer can see is a sleeve or a pant leg easily.

ROUNDER Round fixture that sits on a pedestal. Its hold a maximum amount of merchandise. Its easy to move from one place to another place It is also known as a bulk fixture or capacity fixture

FOUR-WAY FIXTURE:
It has two crossbars that sit perpendicular to each other on a pedestal. It is hold a large amount of merchandise and allow the customers to view the entire garment. All merchandise on an arm must be of similar style and color

GONDOLAS:
They are extremely versatile. Gondolas are also found displaying towels, sheets, and house wears in retail store. Folded apparel can be efficiently displayed on gondolas

CONCLUSION
It has its presence in 6 countries with 141 stores. They work majorly with rural artisans (40,000). They have a unique versatile range of products. The stores constantly upgrades in terms of design and color, bearing in mind the market requirement. Another unique feature the company has is the social responsibility since its inception. 70% of the customers are loyal. Every year there is an increase in sales.

THANK YOU