The homegrown bags and accessories brand has unleashed a two-year marketing plan in order to revamp and be more relevant
In today’s modern day India, fashion is accessible to all owing to Indian brands expanding their horizons across retail channels as well as with international fast fashion brands coming into the country with gusto.
A 30 year-old fashion brand too is upping its game to keep up with changing times. Baggit, a homegrown bag and accessories brand, has launched its first ever television commercial, #PutItOnTheTable, and got on board a brand ambassador, actor Shraddha Kapoor.
Nina Lekhi, the company’s MD and chief design curator, who started the brand from her home, feels that fashion today is not solely about style; it is an empowering tool for self expression and this is what Baggit represents today and will continue to in the future as well.
But with ever-growing competition, the brand agrees that over the years its leadership imagery has taken quite a hit. It is now, therefore, investing in a two-year marketing plan to rebuild the brand and what it stands for.
Says Baggit’s head of marketing Atul Garg, “Through this campaign we want to take forward our belief and create a brand perspective which is to lead.”
The vegan brand has emphasised on fashion coupled with durability as well as functionality since its inception. “Catering to housewives and professionals, we had to be relevant to the audience,” says Garg. However, with e-commerce coming in and opening a lot of options to a variety of audiences unlike seven or eight years ago, the brand’s target group has also changed with time. Today, the audience has become way younger. “We have seen the younger generation shopping online while the older one still prefers offline,” he says.
According to the 2017 revision of the World Population Prospects, India has more than 50% of its population below the age of 25 and for a brand, it is important to cater to this audience. To do so and stay ahead of the competition, Baggit has evolved its styles, feel and functionality to be more international.
It was in 2000 that the brand reached large format retail stores across Mumbai and Delhi. Today, it has a pan-India presence thanks to its omnichannel strategy. Currently, the brand has 52 exclusive Baggit stores and is present in more than 1,000 retail outlets through large format stores as well as multi-brand outlets across the country. It is also available on e-commerce platforms like Myntra, Amazon, Paytm Mall etc. However, its focus now is on tier 2 and 3 cities.
“Collaboration is very important today if one wants to move forward,” says Garg while adding that the demand is coming from smaller cities. Having said that, the brand is very clear on its stance about the flash sales offered by many e-commerce sites. “We do not believe in discounting but as we are part of e-commerce, we cannot avoid it completely. However, we make sure the online discounts are limited,” points out Garg.
Post demonetisation and GST, the brand had to bring in some technical changes, and therefore, the resources for brand building are limited for this financial year. However, next year, it plans to increase its investments. “We are moving at a slow pace with this two-year plan. This year our marketing spend will be around 5% while next year we will increase to 7-8% of our overall budget,” adds Garg. The brand is looking at a 25% revenue growth in FY19. Last year, its revenue touched around `160 crore, as per reports.
Looking at growth in the coming years with expansion on its mind, the company wants to be known as an affordable-premium brand. “Value for money is what people want and will get,” says Garg.