As the Indian knits industry continues its growth story, loungewear is fast taking centre stage. The category is poised to take up a big chunk of the overall knits industry. Many brands are realizing its potential and venturing into this space for
fast forwarding their business. As Geeta Singh, Director Chic Carissimo points out, “The consumer is more aware and evolved. They travel around the world and are aware of the latest fashion. Media exposure is another advantage. All these factors have contributed significantly towards the evolution of this segment.” The idea of loungewear came in with the need to offer outfits that are not only comfortable but also allow one to indulge in a relaxed manner. Today, it has become a lifestyle statement which is practical and comfortable at the same time. “Earlier people used to mix and match their nightwear or loungewear as they were not aware about of the existence of a separate category,” explains Aditya Marwaha, Director-Marketing of Kanvin.
“Loungewear
is an extension of intimate wear. It saw real growth only in the year 2000. Initially there were very few players, as the market was not big. Currently the turnover in the industry mainly comes from intimate wear,” reveals Harshad Thakkar, Managing Director of Valentine. Thakkar adds, “Volumes are big mainly because these are sold in sets, the pricing is also higher i.e. the basic MRPs are higher. If the MRPs are higher, the turnovers are big compared to other garment categories.” Experts say, loungewear has seen 15 to 20 percent consistent growth across categories.
Loungewear is all about pampering oneself. One of the biggest challenges being faced by brands is changing consumer mindset as people are hesitant to spend on something they generally wear at home. “Loungewear is about tops and lowers, so it doesn’t come cheap. Controlling MRPs is the biggest challenge. So we try to keep prices attractive,” opines Hitesh Ruparelia, Director, Sweet Dreams Lounge.
“Mix and match is another issue as the top and bottom both are different and so the supply definitely has a surplus. So they are always under margin pressure. Apart from lower margins and inventory surplus faced by brands, changing fashion is another challenge,” Thakkar points out. Singh feels rigid labor policies too many taxes and regulations impact the price. Indian consumers being price conscious, look for value for money products, which leads to price barriers owing to competition from branded and unbranded players in the market. But despite the bugbears, loungewear brands are looking to spread their retail footprint. Brand Valentine for example, plans to roll out its exclusive outlets after its public issue.