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In India's true colours
For American footwear brand Crocs, India is full of colour. That does not only the cultural, ethnic and socio-economic diversity, it also literally the shades it dresses its shoes up in.
The brand, synonymous with its flagship foam clogs, includes a clear vision for Indian consumers. To make consumers wear its brand 24/7, Crocs is realigning its style, design as well as management structure.
Florent Andre Bailly, Vice-President (Middle East, India and Africa), Crocs, says for those other markets blacks, blues and olive greens works fine. But not for India,[link widoczny dla zalogowanych], he highlights.
is really vibrant. We realised we must become more Indian and localise our products to attract a sizable segment of consumers, he admits that.
The Crocs design team played around with purple,[link widoczny dla zalogowanych], yellow and orange to draw in Indian buyers. And bang on, consumers young and old lapped up its casuals range. It is not only the color of the shoes that were tweaked to tickle the Indian palate but the style,[link widoczny dla zalogowanych], design and retail ambience.
Bailly claims this has paid rich dividends for the company which entered India in 2007.
Crocs India started operations through a franchising and licensing agreement with Chogori India. The company has 26 mono-brand outlets and is also present at 300-odd points of sale.
Retail StrideIn the first phase of their retail journey,[link widoczny dla zalogowanych], Crocs focused on establishing the brand in India. Now, the organization is ramping up its management structure, selecting newer business partners and also innovating on its footwear range to incorporate both casuals and formals.
is simply too big an opportunity to be missed. We were not focused enough till now. We have to be more Indian to achieve market shares. We're working on aligning our management team to market dynamics, Bailly adds.
The company said hello will add another 5-6 stores by the end of the fiscal in India. Plans will also be afoot to introduce its accessories range. Crocs retail stores are approximately 650-700 sq. ft. in dimensions.
Footwear marketAccording to Assocham,[link widoczny dla zalogowanych], the footwear industry in India is about Rs 22,000 crore having a CAGR of 15 percent. domestic footwear market is driven by growing fashion consciousness with an increase of disposable income among India urban middle-class. This contributes about 45 per cent of the overall footwear market making India the second biggest global producer of footwear across varied segments after China. For players like Crocs it is a sea of opportunity.
The domestic footwear marketplace is covered with the men segment which accounts for about 55 per cent then the ladies and youngsters segment which account for about 30 percent and 15 per cent respectively.
Kanchan Lall, Associate Vice-President, Tecnova India, which facilitates India entry for foreign retail brands, notes that, the last decade approximately, consumer buying behaviour has changed drastically. Footwear is becoming an impulse purchase from only need-based product. This really is growing the market. The marketplace itself can be divided into four categories store bought priced between Rs 100 and Rs 800, top end (Rs 1,[link widoczny dla zalogowanych],000-Rs 3,500), premium (Rs 5,000-Rs 8,000) and luxury (Rs 10,000 upwards).
Lall points out that about 50 per cent from the market is still mass. we believe, will be in our prime end segment. Lall adds the retail forays of both domestic and international brands are growing the market.
Not just plasticAsk Bailly if Crocs is leaving plastics, he says, attempt is to produce a complete portfolio. This means we are not just footwear in foam but also in leather. There is increased purchasing power. Where earlier they used to buy a pair of shoes annually, they are purchasing a pair of shoes every 2-3 months. You want to be considered a brand for shoes everywhere, anytime. Crocs became symbolic of comfort when it introduced the fabric called Croslite. It's a closed-cell resin that is lightweight and keeps the feet comfortable.
just one style in rubber and plastic,[link widoczny dla zalogowanych], we have about 250-odd styles including a few in leather. Our new campaign, in comfort, wear in fashion aptly reflects our revamped image,[link widoczny dla zalogowanych], he adds.
Crocs, which was seeking to setup a manufacturing capacity, says it's dropped the plans for the time being as it could not find the right design and pricing strategy. have manufacturing plants in China, Vietnam and Mexico. We were taking a look at India but have dropped the plans. It is not on our strategic board anymore. They're priced Rs 995 onwards. isn't our best selling brand. We feel the price of these products is on the higher side. Also, lots of imitation products are offered at less expensive price points. Myntra says footwear makes up about as much as 65 percent of their revenues.
Lawania believes that even if Crocs moves out its flagship product to leather and other casual lines,[link widoczny dla zalogowanych], it'll have to operate about the price points. the cost points the company should sell its products at for that Indian market ought to be Rs 1,200-Rs 3,500. You will find the process of taxation and VAT which will make the products expensive in India.
Keywords: Crocs, American footwear brand, Florent Andre Bailly, Chogori India, retail outlets,[link widoczny dla zalogowanych], footwear market
Crocs is not committed to giving quality or post sales service in India, they are treating their clients like fools in India, i guess they're selling their rejects from other countries in India.
their head office staff don't react to emails or phone calls which shows that they aren't at all customer centric, Just in case they continue such as this , its merely a few time we'll read "Another multinational company has left India"
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