Introduction:
The Indian footwear market has been witnessing tremendous growth over the past few years. Growing awareness about fashion trends, changing consumer preferences, the rise of e-commerce, and increasing disposable income have all contributed to its steady expansion. According to a recent report published by Crisil Ratings, the footwear sector’s revenues are expected to soar by 11% this fiscal year. In this blog post, we will dissect and examine the various factors that have led to this soaring growth, the key players in this field, and the trends that will shape the future of the footwear sector.
Primary Drivers of Growth:
India’s footwear industry has been the most promising sector within the textile and apparel sector, contributing approximately 40% of its revenue. The robust growth of e-commerce, the fashion-conscious urban population, and the rise in disposable income have resulted in footwear demand exceeding the existing supply in the market. Crisil Ratings report published in October 2021 also hinted that the growth spur was aided by the renewed push towards sustainability in recent years, with consumers increasingly opt for cruelty-free products.
Key Players:
The Indian footwear market is immensely competitive and is populated by several established names as well as new entrants. Some of the key players in this market include Bata, Liberty, Khadim, Relaxo, and Paragon. In recent years, several international brands such as Hush Puppies, Puma, Nike, and Adidas have also made significant inroads into the Indian market. Domestic brands have responded fiercely to this competition by improving their quality, design, and distribution networks.
Fashion-forward Trends:
The footwear industry has come a long way from merely providing comfort and protection for feet. Today, it is a crucial fashion accessory that can make or break any look. Comfort, durability, quality, and style are the primary criteria that modern-day consumers prioritize. The incorporation of new materials and designs, like knitted sneakers and sustainable materials, have been recent game-changers. The trend has been shifting towards athleisure, which has seen a high demand for sports footwear and footwear designed for comfort and style.
Challenges Ahead:
While the Indian footwear market has been seeing exponential growth, certain challenges are still impeding its full potential. The footwear industry faces issues like the lack of skilled labour in shoe making, the high cost of raw materials, supply chain management challenges, and the ever-present threat of counterfeit products. Addressing these challenges will require a concerted effort from all stakeholders in the footwear industry to provide consumers with reasonably priced, sustainable, and quality footwear products.
Conclusion:
The Indian footwear industry has witnessed a significant growth spurt in recent years, which is set to continue this fiscal year, according to a report by Crisil Ratings. This growing demand can be attributed to factors like the rise of e-commerce, increased consumer disposable income, and changing fashion trends. Indian domestic brands and international heavyweights have also made inroads into the market, catering to modern consumers’ evolving demands. However, several challenges still need to be addressed, including the lack of skilled labour and counterfeit products. As the footwear sector continues to mature, it is vital for all stakeholders to come forward, embrace sustainable practices, and provide a superior quality product to the consumers.
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