Home >> Marketing >> Article

We are expecting double-digit growth in this current fiscal year: Executive Director, Relaxo Footwears

21-May-2018
Font Size   16
We are expecting double-digit growth in this current fiscal year: Executive Director, Relaxo Footwears

Relaxo went for re-branding last year and came up with a new logo and identity to give itself a much-needed fresh and modern look. According to Gaurav Dua, Executive Director- Relaxo Footwears, the re-branding was done in a subtle way so that the familiarity of the brand did not get lost.

“At a point in time we became outdated and wanted to reinvent ourselves. We thought to give the brand a new look and have gone in the right direction. We tried to introduce it gradually, so that people could still stay connected to the brand. The ethos of the brand is still what it was 40 years ago,” Dua says.

Relaxo, which is known as one of the largest producers of footwear in India today, started off with just one brand under its product portfolio—Hawai slippers. Later, it added sub-brands Flite, Sparx, Bahamas and Schoolmate. The company also has high profile brand ambassadors such as Salman Khan, Akshay Kumar and Shahid Kapoor. Previously, Katrina Kaif and Sonakshi Sinha have also been associated with the brand.

Relaxo has expanded its footprint in the Indian market. According to the company spokesperson, they are present in 25-26 states. Sparx enjoys a good penetration in the southern and western market, whereas Flite has a strong foothold in the eastern market. The brand plans to cater to the regional market with specific brands for specific states.

Relaxo is seen as a mass brand and it competes with the unorganized players with its ‘economy’ range of footwear. However, its sports shoe brand Sparx pitches itself against big foreign players such as Nike, Adidas and Reebok.

“Our brand Sparx is targeted towards consumers who have big aspirations but cannot spend much. Sparx prices vary between Rs 1500 and Rs 3,000, a range that is suitable for masses. Nike, Reebok or other big brands are priced much higher. Sparx is doing well in terms of profits and revenue. Only eastern market has been the challenge till now,” he said.

“Premium brands such as Clarks, Nike, Adidas or Reebok have presence only in the urban market. India is a huge market and being a regional player, we have penetration in rural market as well as urban cities. These big brands are going for niche and not masses. Our strength lies where they are not present. Our target consumer is different from their target consumer. Our volumes continue to come from the mass market. Slippers are daily need items and are recession-free,’’ explains Dua.

Talking further about competition in the market, Dua asserted, “Competition has always been good for the industry. It makes you improve your services and products. It helps you to understand what exactly consumer wants. It teaches us.”

Relaxo currently has 300 outlets and the company plans to add 40 more by the end of this fiscal year. The brand is also working aggressively to be active on e-commerce platform as well.

Flipkart and Amazon are the biggest buyers of Sparx. After Puma, we are the biggest. We have observed that the youth is buying more from e-commerce, rather than physical stores. Right now, our revenue comes from traditional outlets, but digital is also showing positive results, especially for Sparx. We are pretty much sure it will surpass traditional outlets in the coming years,” explains Gaurav.

In terms of revenue, the company clocked INR 2,000 crore last year and is expecting a double-digit growth in this current fiscal year.

Last year, the brand has also included franchise stores in their business model. Till now, it has 5 franchise stores but the company is aiming to have 20 more by the end of 2020.

Talking about future plans, the Executive Director said, “The brand has not been very active in the kids category. But now we are planning to focus more on kids and women sections to increase the market share.”

On the marketing strategy, he said, “We will be launching more TVCs and now the company has taken a 360-degree approach. Our marketing spends have also increased in the last two years and we will keep investing more.” Dua, however, did not disclose the marketing spends.

The MD of Sai Estate Consultants, Chembur, on their marketing strategy, adopting a carpet bombing approach, response to the Wajood app and why he now allocates maximum of his marketing spends on digital

Prachi Mohapatra on fbb’s latest campaign, one-year after going omni-channel, and its growing reliance on content marketing

The marketing head of Greenpanel on marketing approach and how the company is working towards educating consumer about MDF

BookMyShow, Uber, Chumbak, Viacom18 and Radio City are some of the clients of the company

right
left
KARAN THAPAR & SHEKHAR GUPTA DISCUSS JOURNALISTIC ETHICS AT THE PRINT’S ‘OFF THE CUFF’ WOMEN ECONOMIC FORUM AWARDS 2018 RECOGNIZE WOMEN LEADERS OF THE DECADE THE 6TH EDITION OF IAA AWARDS RECOGNIZES THE WORK OF INDUSTRY PROFESSIONALS 11 INDUSTRY EXPERTS PRESENT  THEIR FAVOURITE DIGITAL CASE STUDIES @AD CLUB’S ‘D-CODE BUSINESSWORLD LAUNCHES 14TH EDITION OF MARKETING WHITEBOOK IN MUMBAI INDUSTRY VETERANS CHEER AS ADMAN AMBI PARAMESWARAN LAUNCHES NEW BOOK SPONG AAAI HONOURS VETERAN ADMAN RAM SEHGAL WITH THE 2018 LIFETIME ACHIEVEMENT AWAR PITCH TOP 50 BRANDS 2018 AWARDS COMPANIES WITH BEST MARKETING PRACTICES TEAM BBDO ORGANIZES AJAI JHALA’S FAREWELL WITH FRIENDS & ASSOCIATES RADIO CITY CELEBRATES ITS 17TH ANNIVERSARY WITH CONCERT, AWARDS AND FUN 5TH EDITION OF TIMES NOW & ICICI BANK’S NRI OF THE YEAR AWARDS GLOBAL INDIANS PITCH CMO SUMMIT BENGALURU SEES TOP INDUSTRY LEADERS AND MARKETERS IN ATTENDANCE DISTINGUISHED JURY COMES TOGETHER TO PICK WINNERS FOR PITCH’S TOP 50 BRANDS PITCH CMO SUMMIT BANGALORE SEES TOP CMOS ACROSS INDUSTRIES IN ATTENDANCE 1ST REPUBLIC TV GULF INDIAN LEADERSHIP SUMMIT & AWARDS HONOUR STALWARTS OF INDIAN GULF BUSINESS COMMUNITY SONY YAY! CELEBRATES ITS FIRST BIRTHDAY WITH PARTY FOR TRADE PARTNERS THOUGHT LEADERS AND TOP DIGITAL MARKETERS SPEAK @ EXCHANGE4MEDIA GROUP’S TECHMANCH 2018 IN MUMBAI EXCHANGE4MEDIA’S IDMA 2018 RECOGNIZES INDUSTRY’S BEST DIGITAL MARKETING CAMPAIGNS REALTY PLUS UNVEILS COFFEE TABLE BOOK AT 10TH CONCLAVE & EXCELLENCE AWARDS @AHMEDABAD EMINENT JURY CONGREGATES TO PICK WINNERS OF INDIAN DIGITAL MARKETING AWARDS 2018

Experts from the advertising industry revealed their mantra for publishers at a recent event held in Delhi

Competition Vs Collaboration. Experts discuss which will help both digital and traditional media produce best results

He is said to be considering various offers and will take a decision soon