TT Limited the first knitwear company to go public way back in 1990, is all set to woo its customer for the forthcoming winter season with a new incentive scheme for festive sales. As Sanjay Jain, Joint Managing Director, TT Limited, says,
“For winter we shall be introducing new items to expand our range of innerwear and basic casual wear. Besides, we are also planning to double our ad budget. Currently, people are eating into their pipeline inventory, hence sales have been slow. However, we expect sales to pick up from June onwards as supply is constrained due to pollution problems and labor availability.” The brand offers a range of innerwear and casual wear for men, woman and kids. It has over 100 items in its product range and adds new styles every month.
TT has a strong presence in north India and is growing in central and east India. “We plan to expand to Western India and also in the Middle East and African markets,” informs Jain. The brand is heavily focusing on smaller towns. Jain believes this segment will provide good volume growth. But being a price conscious segment, margins are lower. The increase in rural and labor incomes has helped in the growth of this segment at a much higher pace compared to the urban markets. “We are strong in smaller towns due to our product range and price points and this is leading to big benefits for us. Nearly 60 per cent of our sales come from smaller towns.” TT has a dealer network of about 500 firms spread across the country, giving it reach and accessibility to the growing middle class.
The company has a presence in the complete value chain of cotton textiles – raw cotton, cotton yarn, knitted fabrics and garments. TT Limited is part of a 58-year-old textile-based group which was primarily into undergarments and fabric business and has one of the most prominent brands – TT. The Group planned to diversify into yarn in the early 1990s and hence, launched an IPO which was heavily oversubscribed. Today, it is a vertically integrated textile company with a presence in the entire cotton chain from fiber to fabrics and garments. It has an almost equal presence in the domestic and international markets. It sells to more than 25 countries around the world. “There is a large opportunity to grow the brand in the local market with the advent of large retailers, growing purchasing power and an untapped institutional segment,” says Jain.
TT has tied up with large organized retailers/institutions like Pantaloon Group, ITC, Triveni, Vishal Mega Markets, Reliance Retail, BSF Stores which has given it direct access to a large amount of premium shelf space. “This year we clocked Rs 490 crores turnover. We are targeting a turnover of Rs 1,000 crores in the next 3-4 years,” sums up Jain.
