One of India’s Premier

brand in Mens wear.

Redefining branded fashion for all generations

 Key Milestones

• Kavitha 1993 • JK Fashions 2013 • Kocaine

Exports • Karlsburg @ Women’s brand
• Stalls in 44
• Direct Exports Chennai airport airports
1984 Canada,
2005 across India 2015
Europe, US

2018 • Retail outlets

outside Airports
Goes multiple outlets of own /
franchise / partnership
2017

First generation entrepreneur founded

Kavitha exports in 1984, after reasonable stint
with J.P.COATS & Hindustan Lever Ltd. His
Ranjit Jacob success triggered to found JK Fashions an
Founder and Managing
Director
collaborative venture to promote the mens
brand “Karlsburg”. In support he started two
more Manufacturing units Chennai Exports
and Suriya Exports.
 Our Journey
JKF commenced its operations in 2005 with a paid up capital
of Rs. 4,00,00,000/- ( Four Crores).

Powered by Kavitha Exports, producer of well known Global

Brands H & M, Chevalier, Central Station & Rohnish Sports wear.

Pioneers in establishing regular shopping in Indian airports by

the first Karlsburg shop at Chennai airport in 2005.

JKF Promoted the mens Clothing & accessories

under the Brand “Karlsburg” and recently
included the women’s brand “Kocaine” .
 Vision
Emerging “Karlsburg” as a leading brand of
premium Men’s ware in Asia Pacific by 2020.

Mission
Open retail outlets across the region through own,
franchise, partnership and dealer network includes
obtaining shelf space at major multi-brand retail
outlets.

Instant Gratification On-Demand Service Value for Money

Looking for immediate Looks for fast as and Want the most
benefit rather then wait when required delivery contemporary product at
for long period of services most affordable price
 Building a Valuable Brand
Heighten Brand Develop Favorable
Awareness Associations

Brand Equity
Consistent Create Emotional
Reinforcement Connections

To establish 300 outlets owned and operated through Franchise.

To market JKF products through reputed distributors to reach the product
to MBO’s in smaller towns and cities.
To establish a centralized ware housing facility to cater to the Indian market
from the point of logistics.
To establish JKF stores internationally to start with Colombo, Singapore,
Malaysia, Hong Kong, Australia, Bahrain, Saudi Arabia, Muscat and Doha. (
karlsburg is currently available in Kuwait, Sharjah and Dubai.)
To advertise in Mass Media Networks.
To enhance the current production capacity to meet the growing demands
 Indian Apparel Market – Large and Growing Rapidly
Driven by organized retail growth of ~18% over 5 years
Growth of Organized Retail Apparel - largest share in Organized Retail
FY14: USD ~40 bn
Organized Retail
Market (USD bn) Footwear Others 1%
Pharmacy 5%
2% Food &
Grocery
18%
93 Apparel
28%

Jewelery,
40 Home Watches, etc.
Products
3% 27%
15
Consumer
Durables,
FY FY FY
IT 16%
09 14E 19E

JK Fashions well poised to exploit the growth opportunity

Source: Industry Reports

Notes:(1) FX rate of USD 1 = INR 60
Indian Apparel
Market Men’s Apparel Market Indian E- com
Growing at
1 Indian Apparel Market Size 9% Market
394,000 Crores By 2020 E CAGR
Indian Online Apparel Market Size
(Indian Fashion Forum 2016)
(Technopak 1 12,900 Crores by 2020E
Advisor) (Etailing India 2016)
2 Men’s Apparel Share
169,500 Crores OR 43% Apparel Comprises
of the Apparel Market 2 30% of the online sales 2017
2020E - (Technopak Advisor) - (Etailing India 2016)

3 Shirt will constitute 36% Online Shoppers in India

OR 60,999 Crores of Men’s

3 320 Million
Wear Market by 2020 by 2020. India is Adding
(Italian Trade Commission) 3 Internet Users / Second
4 Branded & Unbranded (economictimes.com)
4 Ecommerce Share
Men’s wear will constitute
Of total Retail will increase
18% AND 20% from1.7% TO 4.8% by 2020
of Men’s wear Market by 2020
(Statista)
(IWazir Advisor 2016 report)
 Key pillars of Future Growth
Capitalize on strong brand portfolio of Karlsburg
Brand

Multiple opportunities to build brands: Youth, kids, casuals, denim, etc.

Rapidly expand network by leveraging multiple formats

Channel

Strong & focused attention to emerging channels Franchise- Network

Highly experienced management team

Capability

Combination of experienced design teams: repository of knowledge

and innovation Leverage combined high quality consumer insights

Multiple Operating Synergies – Sourcing, Real Estate, Supply Chain & IT

 Revenue Model Go-To-Market Strategy
√Shop & Shelf Space Sales
√Online Sales Long-Term Objective Short-Term Objective
√Shop Setup Cost -Build Brand Image -Increase Traffic
√Operating Expenses
-Create Loyalty
√3 Year Financial Plan -Increase Sales

Shortlisting & Select Inventory Control

the right “ Franchise” from Head Office
for sales
1 2 3 4
Setting Up the Shops at
“potential” location
Earns revenue
from Channels Software Setup for
operations
8 7 6 5
Analyze Digital Marketing Advertising & Instore
Performance & and Customer promotion for
replenish shelf Nurturing Discounts
space
 “In fact “Showrooming”
The Millennials and “Webrooming” are the
new lexicon of this
Uses smartphone to demography”
68%
compare prices of products

27% Smartphone users spends

3k-10k on shopping

71% uses Digital media

before shopping

21% In-store shopping

influenced by digital media

66% spends more

Due to influence of digital media

66% uses social media before

buying
 Retail Landscape Competitive Landscape
Departmental No. of
Stores Stores Other Channel players
Pantaloons 104 Indian Ventures Location Segment
Specialty Stores No. of Stores
Westside 86 Fab Connection Delhi Fashion
Titan Industries
Shoppers Stop 81 - World of Titans 430 Obataimu Mumbai Fashion
Reliance Trends 3300 - Tanishq 174 Pocket Electric Delhi Fashion
- Titan Eyes 336
Hypermarkets No. of Pepperfry Delhi Furniture
Stores Vijay Sales -
Window
Croma - Fenesta Gurgaon
Big Bazaar 512 Maker
HyperCITY 16 E-Zone - Zivame Gurgaon Fashion
Trent Landmark - Addidas India Footwear
Spencer’s Crossword -
Reliance International
Location Segment
Cash & Carry No. of Stores Ventures
Supermarkets No. of
Stores Metro 16 Tommy Hilfiger Europe T-Shirts
Aditya Birla 1735 Reliance 20 Louis Vuitton Europe Fashion
Spencer’s daily 134 REI 6Ten 350 Target USA Fashion
Reliance Fresh 700 Bib Bazaar 512 Walmart Metro 7 USA Fashion
http://www.theweekendleader.com/Culture/1177/pop-up-retail.html

REI 6Ten 350 (Franchisee) MAC USA Cosmetic

Bib Bazaar 512 Source: Company websites, Press Consumer
Apple USA
(Franchisee) Release, TechSci Research Electronic
 Revenue Model
Revenue Model Sales of Mens wear at Shops
Pricing Strategy Rs. 995/- to 2595/- per unit
1st Year – 60
Planned Shops 2nd Year - 140 300 Shops
3rd Year - 100
Average Inventory / Shop 1000 Units
Planned Yearly Revenue / Shop 60 - 90 lakhs (Average)
Expected Inventory Turn 10 Turns per year
1st Year – Kerala & Tamil Nadu
Target Geography 2nd Year – Kerala, South Indian & East Indian States
3rd Year – South India, East , West & North Indian States
1. At 10 turns total sales will be 5000 units/year which is negligible
conversion of present footfall.
2. With more than 60 cities , brand popularity, + organized apparel stores
Why we will getting 200 “Hosts” is positive positioning.
achieve it? 3. India is ranked as the most preferred retail destination for international
investors.
4. Organized retail sector is estimated to grow by 400%, in value terms, by
2007-08. Reference www.IBEF.org
 Revenue Model
Revenue Model Online Sales of Formal Shirts
Pricing Strategy 995/- to 2500/- per Unit
1st Year – 5% of Total Turnover
Planned Sales 2nd Year – 15% of Total Turnover
3rd Year – 30% of Total Turnover
1st Year – 100 Lakhs Lakhs
Planned Yearly Revenue
3rd Year – 576 Lakhs
Expected Inventory Turn 6 turns per year
1st Year – Entire South India
Target Geography 2nd Year – South & West India
3rd Year – Whole of India
1. India will have 32 Crores online shoppers and fashion is 30% of
total e-tail sales
Why we will achieve it? 2. Share of ecommerce is going to double from present status
3. Organized retailers have 10% of their sales coming from online
channels in 2017, which is bound to increase in future

Growing Urbanisation & Disposable Incomes Driving Retail in India

The latest addition to the Karlsburg range of products is
the Men’s Perfume, which has crossed the Sales Figure
of 10,000 units in the first few months of launching the
product. Today we have crossed 50,000 Units

The advertising of the product is built into the store at

the Airports. The Signage of the Karlsburg Showroom
Boards commands a commercial value of approximately
10 crores every year.

The total visibility of the Karlsburg brand in 42 outlets

in the Indian Airports is estimated at over 100 million
eyeballs / annum and the recognition has enabled a very
healthy conversion rate.
www.karlsburg.org