No child’s play! Demand for Toddler Essentials growing at a rapid pace

Updated: Jul 30, 2020 11:08 AM

Growing middle class population, migration of people from rural to urban areas, increasing spending power of people and rapid urbanisation are together contributing to the growth of the market.

Toddler Essentials, Toddler Essentials market, middle class population, urban areas, CAGR, global baby apparel market, eCommerce, kidswear market, online shoppingTraditionally in India, baby garments like rompers, and other new born essentials were purchased from small stores while branded garments in this segment were hardly available. (IE photo)

By Surbhi Bhatia

According to a Mordor Intelligence report, the toddlers’ essentials market in India is expected to grow at a CAGR of 14.02% during the forecast period (2020 – 2025). The market is expanding at an unprecedented pace on account of changing lifestyles and rising spending capability. Growing middle class population, migration of people from rural to urban areas, increasing spending power of people and rapid urbanisation are together contributing to the growth of the market.

With parents being highly inclined towards product variety, hygiene and quality, they are highly discriminating about the products they buy for their children. Additionally, there is growing awareness and concern about the hygiene and convenience associated with baby care products.

Exponential Growth

The global baby apparel market size was valued at USD 135.5 billion in 2018. The rising levels of awareness regarding safety and comfort of the baby is projected to be a key factor for the market growth over the forecast period. In addition, many parents are focusing on stylein accordance with the latest fashion trends and not just easy and convenient baby dressing. These consumer trends are anticipated to play a key role in expanding the market scope of various baby apparel variants over the next few years.

The parents are becoming more aware regarding those apparel products, which provide comfort to the baby, along with improving the adaptability of the latter around their surroundings.

Brands have also been intensely promoting baby hygiene, safety and health, which in turn arefuelling the demand for various toiletries and cosmetics like skin care, hair care, and other products like baby food. Furthermore, to drive customer engagement, manufactures have equipped manufacturing process with technological advancements which has resulted in superior product quality, thus, boosting the sales. Rising awareness and demand for convenience and safety products to ensure child safety is having a positive impact on market growth.

E-commerce: A Blessing

Traditionally in India, baby garments like rompers, and other new born essentials were purchased from small stores while branded garments in this segment were hardly available. The rise in demand to buy branded garments with rise of double income households, desire of millennial parents to buy the best quality products from trusted brandswhile keeping up with trends, and social media craze that has new parents making babies look their best for photographs have been instrumental in bolstering the market.

With India being home to an estimated 120 million children in the 0-4 year age group, retailers believe the growth rate of the infant-wear market is now drawing parallels to the one seen in the kidswear market. The huge consumer base is thus making small garments big business for retailers.

For the industry, e-commerce is the driving force that keeps on increasing user engagement for various brands. This has enabled sleep-deprived new parents to stock up baby essentials online, making the business one of the most successful segments in the retail landscape. Moreover, the facility of same-day and next-day delivery have made online shopping attractive for parents. Given the favourable outlook for the sector and the demographic wave, many start-ups have emerged to facilitate parents with unique benefits- organic, good quality, lead-free, plastic free products.

Brands are using innovative and cutting edge technologies that are based on robust research. From diapers made out of bamboo plants to water-based baby wipes of different varieties that are free from preservatives, chemicals, parabens or alcohol, there is a huge variety available online. Moreover, brands are focusing on getting international accreditation to ensure the credibility of the products.

Summing It All Up

Indian parents are increasingly becoming more brand conscious, educated and aware of baby health, as well as, quality seekers. Innovations in baby essentials and marketing strategies remain the key focus areas for most of the brands operating in the baby apparel and accessories market. Moreover, the penetration of baby essentials industry will deepen in both rural and urban areas in the future. For brands, who want to achieve a competitive advantage in a space dominated by a few major brands, a detailed study of what is driving product choice is critical.

(The author is Founder & CEO, The Mom Store. Views expressed are personal.)

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