Project Report

On

‘Footwear Industry of India (Monopolistic)’

Submitted to

Institute Code: 769

SHRI JAIRAMBHAI PATEL INSTITUTE OF BUSINESS MANAGEMENT

AND COMPUTER APPLICATIONS, GANDHINAGAR

Under the Guidance of

Dr. Harishchandra Singh Rathod

Director

For
ECONOMICS FOR MANAGERS (4519202)

Master of Business Administration (MBA)

Offered By
Gujarat Technological University
Ahmedabad

Prepared by:
CHAUDHARI HETKUMAR KESHARBHAI 22128
SHIYANI SMIT MUKESHBHAI 22113
MEHTA DHYANI MANOJKUMAR 22141
CHELANI PARTH PRAKASHBHAI 22109
KRISHNA NARENDRA VANIYA 22131
LIMBACHIYA KRUTI RAJESHKUMAR 22077
CHAUHAN KINNARIBA RAJESHKUMAR 22107

MBA (Semester - I) December 2022

 Acknowledgement
The Feeling of Gratitude automatically arises from the bottom of heart when we are helped
by anyone. A small but timely help can prove to be achievement of an important milestone.

We would like to thank our university “GUJARAT TECHNOLOGY UNIVERSITY”

which is providing us opportunity to prepare this type of project as part of Postgraduate.

We are all thankful to our INSTITUTE SHRI JAIRAMBHAI INSTITIE OF BUSINESS

MANAGEMNET, GANDHINAGAR for making us available with such a notion of
CAPSTONE PROJECT that enables us to ignite our mind with applied knowledge in the real
society.

We Pay our deep sense of Gratitude to Our Guide Dr. Harishchandra Singh Rathod Sir,
Director- Shri Jairambhai Patel Institute of Business Management. He is just like a
Guardian angel to us though out the whole report

We are thankful to our Group Members for their co-operation support given to us during the
project. Thanks to all of who provided help and guidance to make this project a big success.
It was pleasant and highly educative experience to work here with live project. The
completion of this project would not be possible without the support and help of many
people. Words are not enough to give their rights. We would like to thank all who directly or
indirectly helped us in the preparation of this report.
 Summary
India is regarded as the world's second-largest consumer and producer of footwear, trailing
only China. 10.7% of the world's footwear is produced in India. India is second globally in
terms of consumption, with a share of 11.7%.

The Indian footwear industry can be categorised into two main segments, leather and non-
leather. The leather sector is driven by robust domestic demand. However, the non-leather
footwear segment is presently growing in India while indicating a huge growth potential in
the next few years

The footwear industry is recognized by the Government of India as a priority sector under the
Make in India mission. With technological advances and advances in retail, the footwear
market is one of the fastest-growing sectors in the fashion industry. Demand for footwear
products in India will increase over the next few years, as customers will not sacrifice
comfort or style.

For the Indian footwear industry to explode, an amalgamation of conducive conditions is

required. The global integration of Indian industry, rapid lifestyle changes, and income
growth at the bottom of the wealth pyramid are already happening. Favourable government
policies, infrastructure, elimination of high taxes, support in capacity building, skill
education, and technology up-gradation are the need of the hour. With the right support from
the government and all stakeholders involved, the future of the Indian footwear industry
looks bright.

In this Report we will be studying the Market Share of Each Player what are their Strategies
though which they lead the Market and what are the strategies the brand followers are
following to be competent enough. What are their strength and uniqueness to be the leader in
the Market.
 INDEX

NO TITLE
1
2
3
 Chapter – 1
INTRODUCTION

What Is Monopolistic Competition?

Monopolistic competition exists when many companies offer competing products or services
that are similar, but not perfect, substitutes. The industry, rather than a single company
making one good product, is made up of many companies producing a variety of products.

In monopolistic competition, it’s hard for any one company to gain a reputation as the best
product in its field. The wide variety of options available allows customers to shop around
and find what works best for them. A result of this is that many small businesses can flourish
in the market without being driven out by large corporations as they might be in a pure
monopoly situation.

The barriers to entry in a monopolistic0competitive industry are low, and the decisions of any
one firm do not directly affect0 its competitors. The competing0 companies differentiate
themselves based on pricing and 0marketing decisions.

There are several advantages to a monopolistic competitive market structure. Competitors in

this market structure can capture and keep some of the consumer surpluses for themselves,
thus allowing for greater total revenue than would be available in perfect competition. Also,
firms in monopolistic competition can charge higher prices and yet still have customers --
even high-price customers -- because these industries often cater to consumers with more
income than the typical consumer has.

There are 8 main characteristics of monopolistic competition:

1. Many buyers and sellers

2. Slight differentiated products

3. Maximise profits

4. Low barriers to entry and exit

5. Potential supernormal profits in the short term

6. Normal profits in the long-run

7. Imperfect information

8. non-price competition

Pros and cons of Monopolistic Market

Pros

1. Consistent quality of products or services

2. Multiple choices for consumers

3. Decision-making power

Cons

1. Inefficiency

2. Long-term normal profit

3. Waste
 Chapter-2
Market Share of Companies

Footwear Industries of India (Monopolistic)

One of the most popular fashion items in the specialty retail sector is footwear.

India's footwear market is split into two categories: leather and non-leather. In the non-leather
footwear business, India's unorganised sector accounts for over 75% of manufacturing.
Micro, small, and medium-sized businesses are included (MSMEs).

The world's second-largest consumer and manufacturer of footwear, India, is expected to

grow eight times by 2030. India is the fifth-largest exporter of leather goods, the second-
largest exporter of leather clothing, and the second-largest producer of footwear. This shows
the world an India that is rich in opportunities for the footwear industry.

Growth in this sector has been led by a significant increase in the production and export of
footwear. At the same time, it is expected that from the current state of constant growth, a
disruptive force will emerge as a strong competitor. This trend can be attributed to the fact
that India's shoe market is expected to grow over 7% CAGR between 2015-2020 and reach
Rs. 1 trillion by 2020-2025.

The demand for shoes has increased due to changing lifestyles, expanding economies, health
awareness developing, particularly as a result of the COVID pandemic, and the reopening of
lockdowns.

Furthermore, the footwear industry now has more room for expansion and growth because to
consumer demand for stylish, trendy, athletic, and sports shoes.

Player in the Footwear Industry of India

1) Relaxo Footwears
In 1976, two brothers Mukund Lal Dua & Ramesh Kumar Dua dreamed to take their father’s
footwear business to what Relaxo is today – one of the leading and most popular footwear
companies in India. A household name, literally.

With it headquarter in New Delhi and 8 manufacturing units, Relaxo produces over 6 lacs
pairs of footwear, every day. Relaxo footwear’s range boasts a fine combination of comfort,
style, and quality workmanship. It is Second among the list of top footwear companies in
India.

A wide collection of fashionable, colorful, comfortable and durable footwear for men,
women, and children. Relaxo is geared to meet the quality and choice expectations of a
young India with its sub-brands such as Sparx, Bahamas, Flite, Schoolmate, and Relaxo
Hawaii.

2) Bata India Ltd

Established in 1931, Bata India Limited is the largest retailer and manufacturer of footwear in
the country. The Company four state-of-the-art production facilities are located strategically
across the country and produce all kinds of footwear.

Bata is the world’s leading shoemaker by volume, designing stylish and comfortable
footwear at surprisingly affordable prices. The Brand has a strong Pan-India retail presence
with over 1,400 stores across cities.

Best Brand has been adding large-format stores every year. Besides owned stores, the Bata
brand is also available through a large network of dealers. It is largest in the list of top
footwear companies in India. The Company is Largest Indian shoes brand.

Bata, the name, stands synonymous with quality and has been the trustworthy footwear
partner for the Indian consumers. As a brand, Bata is aspirational, vibrant, and sought-after.
Commitment to quality, combined with an excellent mix of design, comfort, and
affordability, makes Bata the No. 1 footwear brand in India.

3) Metro Brands Ltd

Metro Brands, previously known as Metro Shoes, is a multi-brand footwear retail chain in
India. The company operates from a network of 625 Metro showrooms in 142 cities in India.

Some of the well-known brands include Metro, Mochi, Walkway, Da Vinchi, and J. Fontini,
as well as certain third-party brands such as Crocs, Skechers, Clarks, Florsheim, and Fitflop.

Metro brands recently went public and got listed on the stock exchanges in December 2021.
The net profit of the company was Rs 212 Crore in FY22 and the net revenue earned was Rs
1,343 Crore.

The company has a zero-promoter pledge. The cash conversion ratio is 138 days.

4) Khadim India Ltd

Khadim India is the second-largest footwear retailer in India. It operates through two distinct
business verticals, Retail, and Distribution. As of 2021, the company has around 782 retail
outlets and have an extensive network of 627 distributors across the country.

The company offers a premium as well as an affordable range of footwear. Its revenues are
still the FY17 levels.

The Company outsourced 84% of its product requirement in the year. The promoter’s pledge
is zero. The company needs 70 days to convert its inventory into cash.

5) Mirza International Ltd

Mirza International Ltd. is one of India’s largest exporters of finished leather apart from shoe
manufacturing. The company operates under the brand names Red Tape, Oaktrak, and Red
Tape Gal. Other business segments of the company include the shoe and tannery divisions

The company’s products cater to major international markets such as Europe, the US, and
Asia. Mirla Group, one of India’s largest integrated footwear manufacturers, is the parent
company of Mirza International Ltd.
Mirla group has two other subsidiaries: Mirla Carbon and Mirla TYPES which are involved
in manufacturing and exporting carbon black products including activated carbon, granular
carbon, and acetates.

Mirza International Ltd was incorporated in 1962. It was founded by Gulamgiri Mirza who is
currently the Managing Director of the company.

Market Share of the Selected 5 Companies

Of the total footwear produced, approximately 90% are consumed domestically and in 2020
the footwear market in India was valued at INR 730 billion. The footwear demand is
projected to exhibit strong growth with a CAGR of 8% reaching INR 1,072.6 billion by 2025.

Based on the different types of products, the footwear industry in India can be classified as;

 Casuals

 Mass

 Sports/Active

 Leather
  Non-leather

Casual footwears make up a major portion of the market with 61% followed by mass
products with 22%.

The footwear industry in India is majorly dominated by unorganized players holding a market
share of up to 91.18%. Whereas, under the organised market, Relaxo Footwear holds a major
portion of 3.23% followed by Bata India with 2.34%. Mirza Ltd and Khadim’s constitute a
market share of around 1.73% and 0.86% respectively. While Amin Tannery holds a minor
portion of 0.04% of the total market

Who is Leading the Market?

1. Bata India Ltd:

Capitalize market:

The market capitalization of Bata India is Rs 25,140 as of 16 dec 2022.

This makes Bata India the world 3310th most Value able company by market

Capitalization according to data.

Face Value (₹): 5 ROE (%): 5.74

Market Cap (Cr): 25,140 Net Profit Margin: 4.29

EPS (₹): 8 Current Ratio: 2.45

Stock P/E: 245 Debt to Equity: 0.60

Dividend Yield (%): 0.2 Promoter’s Holdings (%): 50.2

Source - https://tradebrains.in/

Retailer stores:

Bata India has 1375 retailer stores gives it reach that no other footwear company can match.

Online-offline stores:

Bata will use multi retail channel strategy for its offline expansion, while online it will focus
on its website and also look to deepen its ties with e-commerce platforms in country.
Sales revenue:

Profit and loss report [sales turnover] 12 months (2387.72cr)

2. Relaxo Footwear Ltd:

Capitalize Market:

As on dec 2022 Relaxo footwear has market capitalize of Rs 24,530 Cr.

Face Value (₹): 1 ROE (%): 14.0

Market Cap (Cr): 24,530 Net Profit Margin: 8.77

EPS (₹): 9.66 Current Ratio: 2.57

Stock P/E: 102 Debt to Equity: 0.10

Dividend Yield (%): 0.25 Promoter’s Holdings (%): 70.8

This makes Relaxo footwear the world 3197th most value able company by market
capitalization according to data.

Source - https://tradebrains.in/

Retailer stores:

Relaxo also operates 350 + strong network of own retailer outlets, with availability on all
major e-commerce portals as well.

Sales revenue:

Total Income: march 2022 (12 months) [2676.99 Cr]

Total expense: march 2022 (12 month) [2237.52Cr]

3. Mirza international Ltd:

Capitalize market:

Mirza international ltd is leather sector, having market capitalization of Rs 3001.63Cr. this
makes mirza international the world’s 5584th most value able company by market
capitalization according to data.

Retailer stores:

Mirza Ltd stores are in 119 cities and 246 shops.

Online stores:

Mirza Ltd have 11 online portals in India.

Sales revenue:

Total income: march 2022 (12 month) [1,677.26Cr]

Total expenditure: march 2022 (12 month) [1,527.84Cr]

4. Khadim India Ltd:

Capitalize market:

Market capitalization is determined by multiplying current market price of company shares

with total number of shares outstanding .as of dec 2022, the market capitalization of Khadim
Rs 494.98Cr its market rank is 6.4.

Face Value (₹): 5 ROE (%): 20.2

Market Cap (Cr): 17,404 Net Profit Margin: 16.0

EPS (₹): 7.79 Current Ratio: 3.19

Stock P/E: 82.3 Debt to Equity: 0.55

Dividend Yield (%): 0.24 Promoter’s Holdings (%): 74.3

Source - https://tradebrains.in/

Retailer stores:

Today, 799 retail outlets in 23 states and 1 union territory in India.

Even without price tags that ever gets too high price.

Sales revenue:

Total revenue: march 2022 (12 month) [607.36Cr]

Total expense: march 2022 (12 month) [599.58Cr]

5. Metro Ltd:

Capitalize market:

As of dec 2022 metro has market capitalize of $13.21 billion. This makes metro the world
1156th most value able company by market capitalize of data.

Face Value (₹): 5 ROE (%): 20.2

Market Cap (Cr): 17,404 Net Profit Margin: 16.0

EPS (₹): 7.79 Current Ratio: 3.19

Stock P/E: 82.3 Debt to Equity: 0.55

Dividend Yield (%): 0.24 Promoter’s Holdings (%): 74.3

Source - https://tradebrains.in/

Retailer stores:

Metro ltd have 31 retailer stores in India.

Sales revenue:

Total income: march 2022 (12 month) [1370.79Cr]

Total expenditure: march 2022 (12 month) [909.11Cr]

Market- Leader: - The leader in the Footwear Industry is Relaxo cause. They are been
ranked at 3197th ranked at Global level. Which is Again high from the Bata India, Relaxo
Have 350+ Stores only, which ultimately create the benefit for Relaxo Footwear to cut down
the Cost. And more change and stages to explore the market as well as grow with that amount
of money.

Chapter - 3
Marketing Strategy of
Market Leader & Follower
Marketing strategy of Relaxo footwear

Relaxo Footwear gets the fundamentals of marketing right like segmentation, targeting,
positioning, clear product differentiation, and creating a very strong relationship with its
consumers. It also recognizes the need for contemporary approaches such as Social Media
Marketing and Search Engine Optimisation/Marketing.

Segmentation, Targeting, and Positioning

Segmentation is the process of breaking down an entire market into smaller groups for
companies or brands to target only the group or groups that may turn out to be their potential
customers. The footwear market can be broken down into age, gender, price, lifestyle, and
region. Relaxo recognizes this and has customized products to effectively target each
segment.

Although Relaxo has its base in the South, the network is not so strong to compete with the
likes of VKC and Paragon. It also recognizes the fact that it is not practical to compete with
the likes of international brands such as Puma, Nike, Addidas, and so on concerning premium
products. Therefore, they have consciously decided to stay away from these segments. So let
us look at how the company targets various segments through various brands.

As the target segments are many for the company its various brands position themselves
differently. But on an overall scheme of things Relaxo positions itself as a company that
through its various brands sells good quality, inexpensive footwear. It is trying to rebrand
itself with an image wooing to resonate with the youth.
Marketing Campaigns

The Relaxo company's Sparx sports footwear brand recently changed its market positioning
from "Add Sparx to your life" to "It's In Me." To express this repositioning and rebranding to
the young it is targeting, the brand has launched a campaign using brand ambassador Akshay
Kumar. DDB Mudra developed and carried out the campaign. With the help of this
campaign, Sparx's sales reached new heights.

“Sar Utha Kadam Badha”

On May 27, 2022, the Relaxo footwear youtube channel got updated with a new video,
promoting the Flite PUG 111. The video was about flite PUG 111 where Dheeraj Dhoopar
was explaining the features of the footwear. The video is going good, for now, there are 381
views for now. The footwear has a smart design with a soft cushioned insole. The tagline for
the promotion is Sar Utha Kadam Badha with Flite PUG 111.

Keep chilling keep flipping

This is the Bahamas slipper's promotional video. Whereas college students paint their
teacher's face, supposing him to be a friend. He turns out to be the teacher, though, and they
make an attempt to fool him. Due to their Bahamas slippers, the teacher recognised them. The
Bahamas-themed video with the phrase "keep chilling keep flipping" garnered 1,000 views
on their YouTube channel.

Social Media Marketing

The influence that social media can have on people's brains, especially those of young people,
is something that Relaxo footwear has come to understand. As a result, the recent Sparx
advertising strategy has changed. Now let's examine and study Relaxo footwear's social
media following throughout its numerous social media channels.

Facebook: 160,658 followers

Instagram: Absent

LinkedIn: 35,506 followers

Twitter: 1,964 followers

On social media, Relaxo footwear presents a very unprofessional, inconsistent, and

ineffective impression. They need to hire a social media marketing team right away, and they
need to set up their social media profiles and implement an efficient social media marketing
strategy right now. This is due to the fact that while celebrity endorsements on social media
might increase brand exposure, sustained participation on the platform will help brands gain
customers' trust and increase sales.

According to this, they haven't entirely miscalculated the power of social media. They
frequently launch campaigns through influencer marketing and work with famous
influencers. Sparx, a Relaxo subsidiary brand, has over 70K+ followers on social media, and
for the first time ever, Sparx started its advertising campaign on Instagram before airing on
television.

SEO Strategies
SEO is part of Relaxo Footwear's marketing plan.

Nowadays, social media and search engines are the main channels used for purchasing and
selling things. In order to increase visibility, which leads to increased awareness and revenue,
it is crucial for any website to rank better on a search engine. Let's first comprehend the
measures used to determine whether a firm's SEO approach is successful or not. Low
numbers of organic keywords (less than 500) are undesirable; high numbers (more than 1000)
are remarkable. Since there are 18,100 organic keywords in this article, we can conclude that
the SEO strategy is excellent.

Marketing Strategies of Follower Bata:

Marketing Strategy of Bata India

Bata’s adaptation strategy is close to none despite being an international brand it provides
Indians with affordable footwear with keeping the local taste in mind and that is what helped
it in becoming the leading brand in terms of sales revenue in the footwear industry.

Segmentation, Targeting, and Positioning (STP) Analysis

Segmentation

Bata has divided its customer base into different segments based on the following variables –
geographics, demographics, and psychographics.

Targeting

Bata employs a targeted marketing strategy that is differentiated. With its many sorts of
sectors, offerings, and services, Bata Shoe Company has covered the whole shoe market.
Bata is ready to meet any footwear need through its wide range of footwear.

If upper-class, high-income individuals desire a luxurious shoe, Bata can meet their needs. If
a lower-class, low-income person only needs a shoe to cover their feet, Bata provides a
solution for them as well.
Positioning

Bata is positioned as an affordable superior quality, soft, attractive, and fashionable brand.

Marketing Campaigns
Here are the three most successful campaigns of Bata India.

‘9 to 9’ campaign: -

In Bata’s 9 to 9 campaigns TVC. It shows Kriti Sanon, the face of Bata’s women’s range
solving her friend’s problem of not being able to find stylish and comfortable footwear by
surprising her with Bata’s latest 9 to 9 range of footwear. The film’s purpose was to let
working women know about Bata’s new comfortable and surprisingly stylish footwear for
women. And the campaign does fulfil its objective.

Relaxed workwear: -
Bata has launched a campaign featuring Kartik Aryan promoting its new relaxed workwear
collection. In its TVC campaign, Kartik Aryan surprises his friend who needed a replacement
for his black formal shoes with Bata’s new relaxed workwear. The TVC aimed to target the
working population who were going back to the office from home after the pandemic and
needed something relaxed but formal for work.

Unlimited Sneakers at Bata: -

The footwear company's "unlimited shoes at Bata" campaign attempts to educate the public
on the 300+ varieties of sneakers offered by its nine brands. People are seen in the digital
movie sporting Bata sneakers during various life moments. Bata has a sneaker for every
occasion, from the chic North Star shoes for college to the Power sneakers for workouts,
Hush Puppies sneakers for business meetings, and Bata Red Label sneakers for date nights.

Social Media Marketing

On social media, Bata is in fierce competition with other companies in its sector. Bata has a
social media presence on Facebook, Twitter, Instagram, LinkedIn, etc in addition to its
website.

Facebook: - Bata has 8.2 million likes on Facebook.

Instagram: - Bata has 164k followers on Instagram.

LinkedIn: - Bata has 64.1k followers on LinkedIn.

Twitter: - Bata has 14.3k followers on Twitter.

Bata’s most-followed social media account is Facebook with 8.2 million followers. But they
are equally active on all four social media platforms mentioned above. They also have a
youtube channel and a Pinterest page where they have put up all their ads. All of their posts
either information about something new happening with the brand or promote a single
uniform message i.e. comfort to perfection, formals to casual, modern to premium, Bata has a
range of footwear for your every/any style.

SEO Strategies
 Source- https://neilpatel.com/seo-analyzer/

SEO strategy is “The thing” when it comes to bringing in organic traffic to your site. And
Bata does well in it since it has 82,000 organic keywords. And its site also has monthly
organic traffic of 3,20,000 visitors. Which is way more than any of its competitors and shows
how much importance Bata gives to its SEO strategy.

Mobile Apps

A smartphone app by Bata called Bata Me is available on the Play Store. For Bata employees,
clients, and other companies who enjoy reading tales and keeping up with company news, it
serves as both an e-commerce app and an information gateway.

But due to its unreliable performance and glitches, this programme is not at all well-liked by
its intended user base. Just have a look at their app's review area for evidence if you need it.
Bata needs to urgently repair all the bugs in its mobile platform, from payment issues to
undeliverable goods. Therefore, Bata is far behind its rivals Nike and Puma in terms of
mobile apps. And by doing such things, Bata is damaging its reputation.

Content Marketing Strategies

In terms of Bata's content marketing strategy. This aspect of marketing is also given
emphasis. They have a newsletter, a section on their website dedicated to press releases,
social media accounts, and a YouTube channel.

They provide content on their YouTube channel and social media accounts in which they
work with the designers of various Bata items and portray them by delving into the specifics
of the footwear designs.

They focus a large portion of their social media posts on themes that are currently popular
and relatable, such as their newest collection, shoe trends, and topical posts.

The Bata India website doesn't have a blog area, but it does include newspaper stories and
blogs that discuss the company's marketing strategy and how it plans to move forward with
spreading its message. Thus, Bata is also. This way Bata also generates a lot of backlinks for
its website too.

Similarities/ Differentiation

Bata with their Sub Brands

More than 20 brands and labels, such as Bata, North Star, Power, Bubble gummers,
Weinbrenner, Sandak or Toughees, Hushpuppies etc

Relaxo and their Sub Brands

Relaxo, Sparx, Flite & Bahamas are a leader in their space.

Metro Shoes and their Sub brands

Metro, Mochi and Walkway

Mirza International and their Sub Brand

Shoes RedTape, Bond Street, and OaktrakBond Street

Differentiate

Relaxo – This below are the area where Relaxo is having the stronger side than others

 Strong brand recognition

 Market Leadership Position

 Brands catering to different customers segments within Footwear segment

 High margins
  Diverse Revenue models

Bata - This below are the area where Bata is having the stronger side than others

Manufacturing and trading of footwear and accessories through their retail and Availability of
recyclables and other inputs for the business's operations.

 Manufacturing products in a variety of places, including rural markets, helps in

circulation.
 Subsidiaries and Duty bonuses on machinery.
 Established links with potential multinational buyers from Europe and the US.
 Friendly federal government policies for export.

 The brand is immediately determined with shoes or boots by the consumers.

Wholesale network

Metro Shoes -

 Metro Shoes is a strong Indian footwear brand with Strong Values

 In house Private Labels for affordability

 An assortment of all well-known shoe brands found in any Metro Shoes store

 It has a countrywide network of exclusive Metro showrooms at more than 150 prime

locations across 30 plus cities in India

 Strong Focus on innovation has boosted the product range

 Metro Shoes has focused on good advertising and branding by roping in celebrities

Khadim’s – This below are the area where Khadim’s is having the stronger side than others

 First mover advantage

 Diverse Revenue models

 Wide geographic presence

 Brands catering to different customers segments within Retail (Apparel) segment

  Strong brand recognition

 Talent management

Mirza INT LTD – This below are the area where Mirza INT Ltd is having the stronger side
than others

 Success of new product mix 

 Brands catering to different customers segments within Footwear segment 

 High margins

 Track record of innovation

Marketing Strategy of Brand we like is “Bata”

Product

In terms of the wide range of shoes, sandals, and accessories it offers and the dependability it
guarantees, Bata makes a massive product portfolio. Those seeking straightforward products
can count on Bata. Bata shoes are well-known for their high quality and are available for
reasonable pricing.

Due to its reputation for selling high-quality footwear, Bata has over the years offered well-
designed items that put an emphasis on their durability and cost. In India, where the rural
population seeks out less expensive options, this marketing tactic of Bata is popular. Bata's
primary product lines include sandals, men's, women's, and children's collections, athletic
shoes, and accessories.

Price

With constant penetrating price and giving out good quality at that price, Bata showed
consistent growth and expansion, especially in the medium scale market. Due to its
affordable and mass-market pricing, Bata has always received a fantastic response from the
people all across. It uses “psychological pricing” as its pricing strategy.

Bata generally prices a product to the nearest lower “9” digit figure of the actual price, which
helps to attract more customers. In general, Bata prices its shoes at a very reasonable rate,
something which is easily affordable; and this is one of the key reasons of its growth. It has
some premium products like Hush puppies to drive price margins and the other products are
mainly present to drive turnover and quantities.

Place

Placement of Bata and all its subsidiaries have been widely effective because it was done
after market research studies. Maintaining the low cost of product, it is possible for Bata to
widespread distribution and economies of scale work for the brand. Distribution of its product
has been based on research and forecasting of market conditions.

It has its manufacturing units placed on across 27 locations, which serve their special regions
quickly and without hassles thereby making expansion. The distribution in rural areas is the
strength of the company.

Promotion

Bata has not believed in extensive media or public related promotion; this is the reason why
there was no television commercial or print advertisements provided by Bata for a very long
time. It has highly believed on its century logo legacy, which helps them to achieve the
loyalty of customer base which they aim and targets.

Bata consider targeting the mass market and so they offer only major promotions during
seasonal sales. However, today, Bata has a prominent place across all social media platforms,
print and media advertisement. The recent Bata commercial in India was received well by the
audience.

Conclusion

The company Bata is well-known for being the "People's brand for the global shoe industry."
It is one of the most popular and well-known shoe brands in modern times because the vast
majority of people genuinely like it. It claims to serve approximately a million people per day
across the regions and boasts remarkable sales and profit numbers.

The result of creating and deploying a complex marketing strategy that has become a striking
global phenomenon is Bata's enduring legacy. Due to its efficiency and reasoned approach, it
has also served as an inspiration for other models and is extensively used.
 Chapter 4
Future Course of Action
Future course of action

All of the nation's industries have suffered significant losses as a result of the outbreak. The
footwear sector anticipated that the losses from the previous year will be made up in 2021.
The duration of the recovery phase is unpredictable, nevertheless, due to the second wave of
the coronavirus. In the near future, a possible demand for women's shoes is anticipated due to
the expansion of numerous online sales channels. We predict that the Indian footwear market
will recover by the second part of 2021–2022, taking the current COVID 19 situation into
account.

The export of leather footwear is struggling because of a difficult internal and external
environment. Even if online shopping is on the rise, it can be challenging to sell shoes
because customers often want to try on a pair of shoes before committing to a purchase. It is
now necessary to create connections between major, export-focused units and small
manufacturing facilities. Clearly, it can be concluded that M/o MSME is working hard to
disrupt the footwear industry. However, it is crucial to shift young people's perspectives so
they understand that entrepreneurship is not just a vital tool to provide self-employment
opportunities but also a sustainable path for the economy.

While the future of the footwear industry looks to be one of exponential growth, there are
numerous obstacles that are always getting in the way. "The market is already making efforts
to stabilise the growth. Technology has become the fundamental component in making things
feasible to promote growth.
In order to aid the sector in the long run, numerous institutions have risen to the occasion.
The government's efforts to reduce real estate demands and rationalise pricing will also help
the retail sector and propel it toward greater growth. Farah Malik asserts that the unorganised
retail market is currently the most prominent and well-liked method of retailing and a primary
source of purchases for the majority of India's 1.3 billion people. Every 100 kilometres, the
fashion for shoes also changes. For instance, Kolkata prefers the longest heel while
Chandigarh prefers the shortest. As a result, local stores have always controlled and
effectively managed the fashion footwear market. The benefit of the energy and passion of its
business owners, which is difficult to recreate among employees and store staff, is also
advantageous to the unorganised footwear industry. The front end of a shoe store doesn't
draw the greatest talent in terms of education, technological know-how, and sophistication
because it entails touching the feet of clients as part of customer care. Harkirat Singh
highlights product counterfeiting as another significant issue for the organised footwear
business in addition to this. "We cannot bypass the organised sector because it makes up a
larger portion of the market. The true challenge, however, is in preventing the sale of phoney
goods; while it may be simple for unorganised sellers to sell counterfeit shoes, doing so
eventually harms the brand's reputation as customers begin to associate it with inferior quality
and functionality. Through legal procedures, such as raids, the seizure of counterfeit goods,
filing of legal actions, etc., we aim to stop that. But it still poses a significant barrier for us,
particularly in a nation like India where there are few rules prohibiting counterfeit goods, he
claims.

The Indian footwear sector has come a long way, considering the variety of products
available in the market today. The industry is increasingly focusing on the changing demands
and tastes of new-age consumers. With the help of internet penetration, there is also a shift in
customer preferences for quality, design, etc. This industry’s future looks bright as experts
see only increasing demand both in the domestic market and internationally.
Chapter 5
Conclusion
India is on the eve of a retail boom driven by rapidly changing lifestyles and buying habits.
The Indian footwear industry is poised for remarkable growth in the future due to the
evolving retail landscape and evolving fashion trends. The Indian market is dominated by
organised businesses and driven by brands.

The use of social media and the internet in Indian consumers' daily life has significantly
changed how they shop. Consumer purchasing patterns are significantly influenced by
urbanisation. The consumption of footwear has increased dramatically as a result of rising
brand awareness and rising disposable incomes. As a result, it can be said that footwear these
days has evolved into much more than just a piece of clothing.

Growing user-experience-focused innovation in footwear is being made possible by increased

competition among global firms. The production of athletic footwear using polyurethane
capsules is the most recent innovation that is gaining favour. Additionally, some shoes are
being made with sensors that detect the speed, distance travelled, and calories burned. Some
cutting-edge running shoes feature a carbon fibre spring-like flange beneath the sole that aids
in accelerating the wearer. Customized shoes are currently popular due to rising consumer
demand for high-end and unique products. Numerous worldwide companies have introduced
services that enable customers to customise their shoes with the patriotic prints of their
choice.
 Bibliography
 R, Raveendran. “Top 6 Footwear Companies in India: Best
Brands.” IndianCompanies.In, 6 Dec. 2019, https://indiancompanies.in/top-footwear-
companies-in-india-with-best-brands/.

 Companies Ranked by Market Cap - CompaniesMarketCap.Com.

https://companiesmarketcap.com/. Accessed 20 Dec. 2022.

 “Buy Footwear Online for Men, Women & Kids in India | Relaxo.” Relaxo footwears,
https://www.relaxofootwear.com. Accessed 20 Dec. 2022.

 “Footwear Market Size, Share & Growth | Research Report 2027.” Allied Market
Research, https://www.alliedmarketresearch.com/footwear-market. Accessed 20 Dec.
2022.
 “Top 10 Footwear Companies in India.” Learning Centre - Fundoodata.Com, 21 Nov.
2022, https://www.fundoodata.com/learning-center/top-10-footwear-companies-
india/.

 History & Marketing Strategies of Bata Brand - Brandyuva.In. 10 Aug. 2019,

https://brandyuva.in/2019/08/marketing-strategies-of-bata.html.

 Xaif. Detailed Marketing Strategy of Relaxo Footwear 2022 IIDE.

https://iide.co/case-studies/marketing-strategy-of-relaxo-footwear/. Accessed 20 Dec.
2022.

 “KHADIM INDIA 2021-22 Annual Report Analysis.” Equitymaster.Com,

https://www.equitymaster.com/research-it/annual-results-analysis/KHAD/KHADIM-
INDIA--2021%2D22-Annual-Report-Analysis/3874. Accessed 20 Dec. 2022.

 India’s Footwear Industry | Ministry of Micro, Small & Medium Enterprises.

https://msme.gov.in/indias-footwear-industry. Accessed 20 Dec. 2022

 Council of Leather Exports, CLE, (2008), ‘Export of Leather & Leather Products
– Facts & figures 2007-8’.

 Ganguly, S. (2008), ‘Agra – Centre of the Indian Footwear Industry’, World

Footwear, March April. Kumar, Subas C. (1997), ‘Indian Leather Industry: Growth,
Productivity and Export Performance’, APH Publication, New Delhi.

 Khan, K.A.S.’Special Feature – 28th International Footwear Conference’,

Guangzhou, China, 1- 2 June.
 Kulkarni, Parasha (2005), ‘Use of Eco Labels in Promoting Exports for Developing
Countries to Developed Countries: Lessons from Indian Leather Footwear Industry’,
Centre for International Trade, Economics and Environment.