 "Saif Ali Khan, Myntra, fashion, ethnic wear for men")
When Flipkart-owned Myntra signed up actor Saif Ali Khan for its newly launched ‘House of Pataudi’ fashion label, it was taking itself down a tried and tested route. Get a celebrity on board and create a separate marketplace for the co-owned private label.
The difference however, is that with this new label, Myntra could be looking to do more than just mark its territory. With Khan as partner, Myntra will be hoping to differentiate itself and find a differentiated handle in a niche that has quickly ballooned into a segment valued at close Rs 700 billion, 70 per cent of which is unorganised. Myntra is targeting the ethnic menswear market, which is growing at 30 per cent CAGR (compound annual growth rate) and is currently just 10 per cent of the overall fashion market.
Currently its big competitors are offline brands such as Manyavar, Fab India and the in-house labels of big retailers such as Big Bazaar, Central and Reliance Trends among others. Among online competitors are Ajio and the clutch of small labels on the Myntra-Jabong marketplace.
Can Khan deliver Myntra the leverage it seeks?
Myntra says it is looking at the segment in terms of the gaps that are currently left unattended. “Myntra looks at white spaces and the right gaps in the market. It’s always basis this, the partnerships are worked out. It’s never a celeb-first decision. Our brands come from a clear focus on customer proposition and the seamless synergies between the celebrity in question and the space identified for the category/brand,” said Ananth Narayanan, CEO, Myntra-Jabong.
Narayanan added that House of Pataudi is an ideal fit being rich on tradition, heritage, design, and offering the customer a slice of the world that they believe is lost, at price points which are highly affordable. For Myntra, ethnic wear is a fast growing category vs casualwear and is a huge opportunity.
To truly maximise the potential from its association with the actor, the e-tailer would need to establish a connection between the actor and the consumers of his brand, say experts. “Consumers influenced by celebrities buy into a point of view rather than the product itself. So the choice of celebrity to present the brand depends greatly on their personal values and not their work per se,” said K V Sridhar, brand expert and founder and chief creative officer Hyper Collective.
The extent of involvement that an actor has with the brand and with his or her target audience determines its success, point out experts. Sridhar adds that this is especially the case when a fashion line is targeted towards youngsters.
The youth in urban and non-urban centres are the primary target for online fashion marketplaces. The fashion market in India is currently estimated at $70 billion, of which only 25 per cent is organised. According to a Myntra report in March this year, the online fashion market is projected to grow 3.5X from $4 billion to $14 billion by 2020.
“The Myntra design team works closely with Saif’s team to derive inspiration and the design language for the brand,” said Narayanan, emphasising the close attention that the private label will get at Myntra
Industry watchers are however sceptical about the need for another celebrity label. They say there are enough players in the ethnic wear segment already, both organised and unorganised. And unlike western wear the segment isn’t constrained by brand loyalty or quality authenticity concerns as there are fewer global trend markers in the segment.
