Established in 1992, Spykar continues to be a leading men's denim brand despite growing competition from foreign and home-grown brands. For the next financial year, the brand hopes to cross Rs 700 crore in revenues and plans to continue with its expansion strategy. The company is placing its bets on digital to reach out to millennials.
Spykar has now entered different segments, including casuals for men and women, kids’ wear and footwear. A leading jeans brand, Spykar Lifestyle is expected to have more product and brand extensions in 2019, said Sanjay Vakharia, CEO, Spykar Lifestyle—in its bid to make retail strong and emphasise more on trade channels.
In an interview with BestMediaInfo.com, Vakharia said the company eyes to clock nearly 850 crore in the next three years. It achieved retail sales worth Rs 550 crore in FY 17-18 and nearly Rs 700 crore this year. The brand doubled its revenue in the last three years and spoke about future aggressive growth plans in September this year.
The jeans wear/denim market in India has other major international and domestic players such as Wrangler, Levi’s, Pepe Jeans, Lee, Allen Solly, etc. Among other domestic players, Spykar Lifestyle is available pan-India across 240 excusive outlets, 900+ multi brand outlets, and e-commerce portals. Although, the market is currently dominated by unorganised players. However, with many private labels and international brands entering the Indian apparel market, the inclination towards branded denims is increasing among consumers.
According to an industry report, India's apparel industry is projected to grow at a CAGR of 14.5% and reach Rs 39,651 crore by 2021, and Rs 77,999 crore by 2026.
The youth, who comprise 26% of the denim consuming population in India, is considered a key growth driver. And tapping this audience has become necessary for every brand.
Spykar believes doing digital in a heavy way has helped the brand to engage and connect with millennials.
The brand that has Zenith as its media agency had launched the musical YnR digital campaign called #MoveslikeYnR for its product YnR, a specially curated line of denims. The campaign had a dance challenge with an YnR mascot who represented the young and restlessness attitude of the youth. The campaign had taken over social media, witnessing a good response.
To engage well with its audience digitally, the brand has also collaborated with a lot of influencers from various professions and interests. #DenimSideUp and #FastMeetFestive were two such initiatives of the brand.
The brand has also been associated with the Pune IPL team for the last two years to reach out to maximum households and had its label on their jerseys.
Other than targeting the urban and young buyers via digital mediums, Spykar also opts for traditional mediums such as outdoor and print for the rest of the audience. The brand believes traditional mediums are always going to be important because the Indian audience consumes traditional more when compared to digital.
Predicting the market trends for 2019, Vakharia said that digital is going to be an important space as long as communication is concerned in the coming years. With AI coming in, ecommerce will have its own glory days since a lot of business will take place online.
He added, “We are sure that the way consumers and the young audiences are adapting to e-commerce, it may become the channel of choice for convenience rather than value.”