STUDY ON LEVEL OF TOMA OF APPAREL RETAIL CHAINS

CHAPTER 1 – INDUSTRY PROFILE

1.1 INTRODUCTION
India’s textiles sector is one of the oldest industries in Indian economy dating back several centuries.
Even today, textiles sector is one of the largest contributors to India’sexports with approximately 13 per cent
of total exports. The textiles industry is also labour intensive and is one of the largest employers. The textile
industry has two broad segments. First, the unorganised sector consists of handloom, handicrafts and
sericulture, which are operated on a small scale and through traditional tools and methods. The second is the
organized sector consisting of spinning, apparel and garment segment which apply modern machinery and
techniques such as economies of scale.

The textile industry employs about 105 million people directly and indirectly. India's overall textile exports
during FY 2017-18 stood at US$ 37.74 billion.

The Indian textiles industry is extremely varied, with the hand-spun and hand-woven textiles sectors at one
end of the spectrum, while the capital intensive sophisticated mills sector at the other end of the spectrum.
The decentralised power looms/ hosiery and knitting sector form the largest component of the textiles
sector. The close linkage of the textile industry to agriculture (for raw materials such as cotton) and the
ancient culture and traditions of the country in terms of textiles make the Indian textiles sector unique in
comparison to the industries of other countries. The Indian textile industry has the capacity to produce a
wide variety of products suitable to different market segments, both within India and across the world.

MARKET SIZE
The Indian textiles industry, currently estimated at around US$ 150 billion, is expected to reach US$
230 billion by 2020. The Indian Textile Industry contributes approximately 2 per cent to India’s Gross
Domestic Product (GDP), 10 per cent of manufacturing production and 14 per cent to overall Index of
Industrial Production (IIP).

The production of cotton in India is estimated to increase by 9.3 per cent year-on-year to reach 37.7 million
bales in FY 2017-18. The total area under cultivation of cotton in India is expected to increase by 7 per cent
to 11.3 million hectares in 2017-18, on account of expectations of better returns from rising prices and
improved crop yields during the year 2016-17.Indian exports of locally made retail and lifestyle products
 grew at a compound annual growth rate (CAGR) of 10 per cent from 2013 to 2016, mainly led by bedding
bath and home decor products and textiles.

INVESTMENT
The textiles sector has witnessed a spurt in investment during the last five years. The industry
(including dyed and printed) attracted Foreign Direct Investment (FDI) worth US$ 2.82 billion during
April 2000 to December 2017.

Some of the major investments in the Indian textiles industry are as follows:

 The Cabinet Committee on Economic Affairs (CCEA), Government of India has approved a new skill
development scheme named 'Scheme for Capacity Building in Textile Sector (SCBTS)' with an outlay
of Rs 1,300 crore (US$ 202.9 million) from 2017-18 to 2019-20.
 Future Group is planning to open 80 new stores under its affordable fashion format, Fashion at Big
Bazaar (FBB), and is targeting sales of 230 million units of garments by March 2018, which is expected
to grow to 800 million units by 2021.
 Raymond has partnered with Khadi and Village Industries Commission (KVIC) to sell Khadi-marked
readymade garments and fabric in KVIC and Raymond outlets across India.
 Max Fashion, a part of Dubai based Landmark Group, plans to expand its sales network to 400 stores in
120 cities by investing Rs 400 crore (US$ 60 million) in the next 4 years.
 In May 2018, textiles sector recorded investments worth Rs 27,000 crore (US$ 4.19 billion) since June
2017.

GOVERNMENT INITIATIVES
The Indian government has come up with a number of export promotion policies for the textiles
sector. It has also allowed 100 per cent FDI in the Indian textiles sector under the automatic route.Initiative
will be taken into consideration by Government of India.

 The Union Ministry of Textiles, Government of India, along with Energy Efficiency Services Ltd
(EESL), has launched a technology upgradation scheme called SAATHI (Sustainable and Accelerated
Adoption of Efficient Textile Technologies to Help Small Industries) for reviving the powerloom sector
of India.
 The Government has planned to connect as many as 5 crore (50 million) village women to charkha
(spinning wheel) in next 5 years with a view to provide them employment and promote khadi and also,
 they inaugurated 60 khadi outlets which were renovated and re-launched during the completion of KVIC
s 60th anniversary and a khadi outlet.
 The Textiles Ministry will organize 'Hastkala Sahyog Shivirs' in 421 handloom-handicrafts clusters
across the country which will benefit over 1.2 lakh weavers and artisans.
 The Gujarat government's decision to extend its textile policy by a year is set. It is believes to attract Rs
5,000 crore (US$ 50 billion) of more investment in sectors across the value chain. The government
estimates addition till now of a million units of spindle capacity in the spinning sector and setting up of
over 1,000 units in technical textiles.
 The Textile Ministry of India earmarked Rs 690 crore (US$ 106.58 million) for setting up 21 readymade
garment manufacturing units in seven states for development and modernisation of Indian Textile
Sector.

Some of initiatives taken by the government to further promote the industry are as under:

 The Directorate General of Foreign Trade (DGFT) has revised rates for incentives under the
Merchandise Exports from India Scheme (MEIS) for two subsectors of Textiles Industry - Readymade
garments and Made ups - from 2 per cent to 4 per cent.
 The Government of India plans to introduce a mega package for the power loom sector, which will
include social welfare schemes, insurance cover, cluster development, and upgradation of obsolete
looms, along with tax benefits and marketing support, which is expected to improve the status of power
loom weavers in the country.
 The Government of India has taken several measures including Amended Technology Up-gradation
Fund Scheme (A-TUFS), launch of India Handloom Brand and integrated scheme for development of
silk industry, for the strategic enhancement of Indian textiles quality to international standards.
 TEXTILES AND APPAREL ZONES

ANALASIS OF TEXTILE AND APPAREL INDUSTRY IN INDIA

Textile plays a major role in the Indian Economy

(i) It contributes 14 per cent to industrial production and 4 per cent to GDP
(ii) With over 45 million people, the industry is one of the largest source of employment
generation in the country The size of India’s textile market as of July 2017 was around US$
150 billion, which is expected to touch US$ 250 billion market by 2019, growing at a CAGR
of 13.58 per cent between 2009-2019.The central government is planning to finalise and launch
the new textile policy in the next three months1. The policy aims to achieve US$ 300 billion
worth of textile exports by 2024-25 and create an additional 35 million jobs.
 CHAPTER 2 – COMPANY PROFILE

MAX FASHION
Launched in the UAE in May 2004, Max was established in India in 2006, opening its first store in
Indore. Now, Max India has a reach that extends to over 60 cities. Boasting a loyal customer base of over 5.5
million, Max is the most profitable value fashion format in the region.
Max offers apparel, footwear and accessories for the entire family - women, men and children. Customers
can expect a world-class shopping environment stocking the latest in international fashion from around the
globe, as well as Max's own label of in-house designs in carefully chosen colour palettes. Shoppers enjoy
great prices on an excellent range of over 3,000 styles every season, in brand new designs, silhouettes and
fabrics.

 40 million+ products for women, men and kids.

 1.7 million+ square feet of retail space dedicated to value fashion.

 160+ stores spread across over 60 cities in India.

 5500+ employees helping deliver real value to customers.

INDIA PRESENCE

Max, a division of Lifestyle India Pvt. Ltd., opened its 1st store in Indore in the year 2006. In India, Max
has more than 200 stores across 80 cities. Max is a mono brand with its own label merchandise that is created
by in-house designers for every season, and is currently growing at a 35% CAGR year on year.

Max caters to family as its primary TG and Youth as its secondary TG. With Youth contribution to business
growing by 68% every year, the brand engages with this target audience throughout the year. Max launched
three IPR’s in the space of modelling, design & acting, facilitating aspirations and democratizing fashion for
the youth.

 Max Elite Model Look

 Max Design Awards
 Max Emerging Star

Max also launched the Max Emerging Star in 2017 in 4 smart cities across India, a property specifically
targeted to enable young aspirants’ dreams of getting their foothold in the Bollywood, entertainment and
 glamour industry. Max Emerging Star 2017 is associated with eminent stars from Bollywood namely, acting
Legend Anupam Kher and India’s favorite Dance Guru Terence Lewis.

Ajay Singh won People’s choice award title in the world finale.

The third edition of Max Design Awards was conducted for fashion students from 60 design colleges in 20
cities across the country. The esteemed panel of jury included Fashion Designers Nachiket Barve, Varun
Bahl, Priyadarshni Rao, along with expert Jury Max ED - Vasanth Kumar, Design Head Kamakshi Kaul and
Project Head - Marc Robinson.

AWARDS

2014

 Max won One Gold and one Silver at the 3rd Asian Customer Engagement Forum Integrated Marketing
Awards, 2014. The Gold was in the 'Integrated Marketing Campaign' category and the Silver for the
'Brand Building' category.

 Max won the 'People's Choice Retailer of the Year' at the Retail Brilliance Awards, 2014, by the BOC.

 Max won the 'Value Fashion Retailer of the year' at the Star Retailer Awards 2014 for excellence in
retailing.

2015

 Max won the “Most Admired Retailer of the Year” – Affordable Fashion at the Middle East retail
Forum Awards, 2015.

 Max won “Images Most Admired Fashion Retailer of the Year 2015” – Large format store chain at the
Image Retail Awards.

 Max won the “Brand Excellence in the Retail Sector” and the “Marketing Campaign of the Year” at the
6th CMO Asia Awards, 2015.

 Mr. Vasanth Kumar was awarded “The Retail Professional of the Year 2015” from CMAI, for his
contribution to the growth & performance of Max India.

2016

 At Retail Excellence Awards by CMO Asia Max won across multiple categories.

o Retailer of the year – Fashion & Lifestyle

 o Retail marketing campaign of the year

o Awards for Customer Loyalty Program, Effective Retail through Supply chain, Impactful Retail
Design & Visual Merchandising and the Employer of the Year at the Ret

o Mr. Sandeep Narain was awarded the “Retail Leader of the year”

 Max won the “Marketing Campaign of the year” for the Kids Festival in Summer ’16 at the 7th CMO
Asia Awards for Excellence in Branding and Marketing held in Singapore August’16.

 Max won the Images’ “Most Admired Retailer of the Year –Fashion & Lifestyle” at the Images Retail
Awards 2016, 2nd year in a row.

 Max won the 'JURY Award for Images’ Most Admired Fashion Retailer of the Year – Marketing &
Promotions' at the 16th Images Fashion Awards.

 Max won the“Best In-house Magazine” award of the year at the Middle East Branding & Marketing
Leadership Awards 2016 held in Dubai in October 2016

 Max won “Fashion Retailer of the year“ award at the Star Retailer Awards 2016 held in Delhi on
October 2016.

 Max won "Asia's most promising brand" in Bangkok, by WCRC- World Consulting and Research
Corporation, 2016.

 Max was recognized by the Great Places to Work Institute as one of the premier brands to work for.
MAX received '12th Best Workplace in Asia' and '3rd Best Retail Company to Work for in India' for
2016, in association with Retailers Association of India.

 Max won the “Marketing Campaign of the Year Award” at the Global Marketing Excellence Awards
2016.

2017

 Max won “Images Most Admired Retailer of the Year –Fashion & Lifestyle” at the Images Retail
Awards 2017 for the third consecutive year.

 Max was awarded “Retailer of the year –Fashion & Lifestyle” at the CMO Asia Presents Retail
Excellence Awards that was held in Singapore.

 Max was awarded “Best Retail Licensing Brand” at the INDIA LICENSING AWARDS 2017 @ ILE
2017 Mumbai.
  Max won the award for the “Best HR initiative of the year 16-17” at the TRRAIN retail awards 2017.
Award was given to the “Know Your Values” campaign that Max Fashion has been running at stores
and regional offices over the last year.

 Max (India) won the “Images most admired retailer of the year –Fashion & Lifestyle” at the Images
Retail Awards September, 2017. This is the 4th year in a row Max has won this award.

 Max (India) won the “Best Loyalty program” at the Images Retail Awards September, 2017.

 Max (India) won the “Fashion Retailer of the year” at the Franchisee India Star Retailer awards 2017
held in Delhi on November 2017.

END OF SEASON SALE ON MARKET ANALYSIS OF ECR & OMR

OBJECTIVES OF THE STUDY:

 To find out the direct competitors of Max Fashion stores and analyze them.
 To understand the level of brand awareness in apparel stores among the people residing in the
area of ECR (Chennai).
 To find out if the competition of the other brands .
 To apply the concept of end of season sales of their competitor.

SCOPE:
To identify the brand awareness among the public and with offer reaches the public a lot in end
of season sales this will help to identify the competitive advantage of the company.This area study will
help them to complete market advantage.
 CHAPTER 3 - RESEARCH METHODOLOGY

RESEARCH MEANING

Systematic investigative process employed to increase or revise current knowledge by discovering new
facts. It is divided into two general categories: (1) Basic research is inquiry aimed at increasing scientific
knowledge, and (2) Applied research is effort aimed at using basic research for solving problems or
developing new processes, products, or techniques.

RESEARCH TYPE

I have done descriptive research method in the present research methodology.

SAMPLE SIZE

I have taken a sample size of 50 population count of retailers approximately.

SAMPLINGTECHNIQUES

I have handled a non-probability convenience sampling technique.

METHOD OF DATACOLLECTION

Primary data collection has been used as questionnaire has been prepared and survey was taken directly
from the retailers.

Secondary data collection was also done from analyzing the previous surveys conducted by the Indian
companies for their market study.
 CHAPTER 4 - ANALYSIS AND INTERPRETATION

ABOUT OMR (old mahabalipuram road)

State Highway 49 now Upgraded into national highway 332A, also known as East Coast Road (ECR) is
a two lane highway in Tamil Nadu, India, built along the coast of the Bay of Bengal connecting Tamil Nadu's state
capital city Chennai with Cuddalore via Pondicherry. The East Coast Road has been extended up to Kanyakumari
via Chidambaram, Sirkali, Akkur, Tharangambadi, Karaikal, Nagore, Nagapattinam, Thiruthuraipoondi, Muthupet,
Adirampattinam, Manora, Manamelkudi, mimisal, Ramanathapuram, Koodankulam, Tuticorin. The total length of
the road is about 800 km from Chennai to Kanyakumari.

The highway is a state highway, maintained by the Government of Tamil Nadu under the Department of Highways
and Minor Ports. It was a two lane state highway, and has been partially upgraded to four lane divided highway.

The Chennai Locations in ECR are: Thiruvanmiyur, Kottivakkam, Palavakkam, Neelankarai, Injambakkam,
Panaiyur, Uthandi, Muttukadu, Kovalam and Vilambur.

OMR AREA ON GOOGLE MAP VIEW

OMR CATCHMENT HIGHLIGHT

 Cholamandalam Artist’s village
 Asthalaxmi Temple
 Iskcon Temple
  Madras Crocodile bank trust
 Muttukadu Boat House

Cholamandalam artist village Muttukadu boat house

REGION POPULATION

POPULATION 2018
Male 108000

Female 99600
Total 207600
population
REGION POPULATION FOR OMR AREA
POPULATION PREDICTION FOR 2021:

PREDICTION FOR2021

SCHOOLS NEAR OMR MAX

There are more than 10+ schools near ECR, most of the schools are private
schools. There are , middle class, upper middle class schools in private school sector. The
major schools nearby to Max Store are listen.

 St John's universal school – 0.5km

 Gateway international School – 0.5 km

 Arise 'n' shine international School – 1.0km

 The british international schools– 2.0km

  Narayana e-technology school – 3 km

 GTA Vidhya mandir– 3.5 km

 The bay international school – 5.2 km

Vaels international school – 5.5 km

COLLAGE NEAR OMR

There are many different types of college like medical college ,arts college and
engineering. Few of the colleges nearby to the OMR Max store are listed,
 Amet University – 1.3 km

 Chennais amrita IIHM campus, OMR– 4.9 km

 MARINA Kappal College– 3.2 km

 Poonga College of Arts & Science– 6.1 km

 Dhanraj Baid Jain College – 3.8 km

THEATER NEAR OMR

Currently there are three theaters near ECR and mostly preferable theaters are as follows,

 S2 Cinemas Theyagaraja - 4.5 km

 Prarthana Beach Drive-in Theatre -- 5.6 km

 Mayajaal multiplex– 12km

HOSPITALS NEAR OMR

 S.S. Hospital – 3 km

 RM Noble Hospital– 2. Km

 ANBU HEALING – 1.5km

 K L Hospital -- 850M

 Trustlife Hospital– 1.4Km

 Siva Hospital– 4.5Km

 Sahishnatha Institute Of Maternal & Child Health - 1.3 Km

BANKS NEAR OMR

 ICICI Bank –1.5km

 South Indian Bank– 3.1km

 IDBI Bank – 2.7km

 LVB –1.7 km

 Bank of Maharashtra– 1km

 Indian bank -1.1 km

  State Bank of India – 1.6 km

TEMPLE NEAR OMR

CHURCH NEAR OMR

 There are 10+ churches near OMR max store are located around OMR road.
CORPORATE NEAR AND AROUND OMR

IT company near OMR

MARRIAGE HALL NEAR OMR

 Rani Mahal Wedding Hall

 Prince Mahal
 Suganya Thirumana Mandapam
 G.P.Janarajan Marriage Hall
 Dwaraka Palace

OMRTRANSPORTION

OMR Road considered as the fastest Growing Commercial & Residential Stretch due to its own
uniqueness of Parallel Coastal Line & Beach Front,it has 24/7 transport facilities. so that OMRRoad is
the Hot spot Real Estate Location in Chennai and it is declared as Entertainment & Holiday
Corridor.ECR Road considered as the fastest Growing Commercial & Residential Stretch due to its
own uniqueness of Parallel Coastal Line & Beach Front,it has 24/7 transport facilities. so that ECR
Road is the Hot spot Real Estate Location in Chennai and it is declared as Entertainment & Holiday
Corridor.

Road Transport

 For travelling to OMR contains buses ,auto,cab for travelling to ECR.

 OMR route we can go from koyambedu,, adyar, central, guindy, triplicane ,and tiruvanmiyur.
 OMRis always busiest road due to it was industrial and company area.
 Buses can catched every second from OMR to any area.
 When compared to other area in chennai OMR has 100 ft road that helps to move people
fastly from one place to another place.
OMR'S SEAMLESS CONNECTIVITY
COMPETITORS OF MAX

The major competitors at ECR is Reliance trends& pantaloons. Which is located in 2.5 km away
form the max store this store have all the same like max .In ecr max they have all in one floor with
full of stock available. Both the pantaloons they have started new to this area so they are not having
a big sales .

Trends is an competitor at OMR areas for max.

This store is a huge competitors for max .They Sell

more than max.In max they have a decent Amount of
sales they also lagging in women's Section they should
improve.

Othere local competitors are

Basic, trend's for women's, Ucb are single brand

Competitors .
 BASED ON SURVEY AND OBSERVATION AT OMR
TYPE OF OCCUPATION

TYPE OF OCCUPATION

INTERPRETATION

By the survey taken in the ECR area, the people occupation is high in Employment
(40) when compared to Business people (31%) other people are (27%).

And by the employee’s survey overview, All are Employed people ,when compared to other
areas,ECR has an highly graduated and business people living and working here.

FREQUENT PURCHASE PLACE

 Max fashions
 Trends
 Pantaloons
PURCHASE TIMING OF OMR CUSTOMERS AT MAX STORE

 OMR people are purchasing time differ from every business and also in weekend.
IN WORKING DAYS
 IN WEEKEND DAYS

NO. OF PURCHASES INYEAR

INTERPRETATION

 According to the data nearly OMR peoples are purchasing products according to their need
and requirements at nearest and around the stores.
 The other occupation people are purchasing yearly 4to5 times for their festival and functions.

 And sometimes employed people do purchase more than 4 times a year.

 CHAPTER 5 – FINDINGS, SUGGESIONS AND CONCLUSION

FINDINGS

 OMR area is has lot of competition .

 Competitors like trends, pantloons are stronger in Ecr areas as they are bigger brands and they
have established their brand in peoples mind via advertising their brand name.
 MAX has strong name in apparels and people trust MAX but mostly people are not aware
of low cost price .
 Price wise MAX are cheaper than trends and pantloons but high .
 Local brands have the other competitive other than the end of season sales.

SUGGESIONS

 Brand awareness and product promotion must be done in a vast manner.

 Need to extend the store with huge collection .

 Stock availability must be increased.

 Competitors are increasing day to day and in the new model with may offers they have .

 New offer should be provided and there must be some difference .

CONCLUSION

Thus the observations have been given based on the analysis of the outputs of the survey
done with the help of questionnaire in chennai district which has been chosen as survey field. The
observations have been interpreted with the help of tables and charts. Hence it is suggested that the
company takes into account the results of the study and improves further care in marketing and
promotion of products into the market to get a better result.
END OF SEASON SALE ON MARKET ANALYSIS
1. Who are your direct competitor?
 Reliance trends
 Pantaloons
 Unlimited
 FBB
2. What are the competitors offers and from when?
 Limited period
 Seasonal
 Occasional

3. Is this offer for particular store or for all the stores?

 Single store offer
 Multiple store

4. Is the offer reasonable?

 Strongly agree
 Agree
 Disagree

5. Till how many percentage is the offer up to?

 25%
 30%
 40%
 50%

6. Is this offer is particularly for?

 Single product line
 Multiple products line
 Selected brand
 Totally one offer

7. What is the uniqueness Of competitors in end of season sales ?

 Loyal customer
 General customer

8. What type of customer prefer end of season sales ?

9. What are the difference between competitors ?
 Ambiance
 Parking
 Customer Service
 Placement of products
 Collection

10.Location of the stores ?

11.About the end of season sales ?