Apparel Brands Project Double-Digit Growth Amid Rising Festival Demand

New Delhi, Oct 10 (KNN) After months of sluggish sales, the apparel industry is witnessing a revival in demand, driven by early festive shopping trends.

Both online and offline channels have reported a notable surge in sales, particularly for festival and occasion wear, athleisure, and sportswear collections.

Industry players, who had approached the season cautiously due to weak demand over the past two quarters, are now more optimistic, expecting double-digit sales growth throughout the festival season.

Sidhant Keshwani, Founder and CEO of Libas, shared that the company saw an uptick in demand starting in late September, initially through online channels, followed by a strong increase in offline store footfalls.

“The demand has exceeded our expectations. While we had initially aimed for 20-25 per cent growth, we now anticipate growth of 30-40 per cent compared to last year,” Keshwani told Businessline.

Ajay Kapoor, President-Retail at Fabindia, echoed similar sentiments, noting the early festive phase has shown “significant growth,” with expectations of multifold sales increases. Fabindia’s festive collection, ‘Svarnim,’ has been particularly popular, contributing to a “steep rise in demand.”

Myntra’s recently concluded Big Fashion Festival also witnessed heightened demand, especially in women’s ethnic wear, men’s occasion and casual wear, and sports footwear.

Meanwhile, Rajesh Jain, MD & CEO of Lacoste India, highlighted the strong demand momentum for premium categories.

"Consumers are spending more on lifestyle products and upgrading to premium offerings. We expect this trend to continue through the festive season," Jain stated.

Harkirat Singh, MD of Aero Club, which owns Woodland and Woods, confirmed a 6-7 per cent sales increase in offline stores, attributing it to positive consumer sentiment. However, he remains "cautiously optimistic" about the rest of the season.

The uptick in demand has also been noticed by Deepak Bansal, Director at Cantabil Retail India Ltd., who described the consumer enthusiasm as encouraging after a challenging period for the apparel sector.

According to a recent CRISIL Ratings report, the organised retail apparel sector is projected to see 8-10 per cent revenue growth this fiscal year.

The growth is supported by factors such as a normal monsoon, easing inflation, and heightened spending during the festive and wedding seasons. As the festival season progresses, industry players are hopeful of sustained momentum.

(KNN Bureau)