Tag: Fashion Brand

  • Zara Marketing Strategy Explained: Promotion, Branding, and Digital Tactics Behind Its Global Success

    Zara – A name that resonates with fashion-forward individuals across the globe. With its unique blend of cutting-edge designs, affordability, and high quality, Zara has managed to create a loyal fan base that spans generations. The story of Zara is a remarkable one, with humble beginnings in the small town of Galicia, Spain.

    Founded in 1975 by Amancio Ortega, Zara began as a small store selling affordable but stylish clothing to women. From those modest beginnings, Zara quickly rose to become a global fashion powerhouse with over 2,000 stores in 96 countries. Zara has the highest number of stores worldwide among all the apparel brands.

    The secret to Zara’s success lies in its unique business model. Zara can bring a new design from concept to store shelves in just two weeks, while most other retailers take months. This means that Zara can quickly respond to changing fashion trends and offer new styles to its customers at a lightning-fast pace. In 2019, Zara’s sales exceeded $20 billion, making it the largest fashion retailer in the world.

    Zara’s marketing strategies have played a crucial role in its success. The brand has always focused on creating a strong online presence and has invested heavily in digital marketing campaigns. Zara’s use of social media, particularly Instagram, has helped it reach a wider audience and engage with its customers in a more meaningful way.

    Its commitment to sustainability is also worth noting. The brand has launched various initiatives to reduce its carbon footprint and minimize waste. Zara has pledged to use 100% sustainable fabrics in all of its collections by 2025, making it a trailblazer in the fashion industry.

    Today, Zara continues to dominate the fashion market with its unique business model, strong online presence, and commitment to sustainability. With its finger firmly on the pulse of the latest fashion trends, Zara looks set to remain at the forefront of the fashion industry for many years to come.

    Zara Business Model that makes it Fashion Retail Giant
    Zara is a Spanish fashion retailer known for fast fashion. Learn about the business model of Zara which makes it the leader of Fashion retail.

    Zara Target Audience
    Zara Marketing Mix
    Zara Marketing Campaigns
    Zara Marketing Strategies

    Zara Target Audience

    Zara’s target audience is a diverse group of fashion-conscious individuals who appreciate high-quality clothing at an affordable price point. The brand’s demographic spans a broad age range, from teenagers to young adults and middle-aged individuals, with a strong focus on the 18-35 age group.

    Geographically, Zara has a global presence, with stores in major cities around the world. However, the brand has a stronger presence in urban areas and is more popular among city dwellers than rural communities.

    Zara’s target audience is characterized by their desire for fashion-forward clothing that is both trendy and timeless. They value quality over quantity and are willing to invest in pieces that they can wear for years to come. They are fashion-savvy and keep up with the latest trends, but they also have a unique sense of style that they like to express through their clothing choices.

    Another key characteristic of Zara’s target audience is its appreciation for convenience. The brand’s fast fashion model means that new styles are constantly being introduced, and customers can always find something new and exciting to add to their wardrobe. Zara’s online shopping platform and mobile app also make it easy for customers to browse and purchase items from the comfort of their own homes.

    The brand’s ability to cater to a wide range of tastes and styles has helped it establish a loyal fan base that spans the globe.

    Zara Marketing Mix

    Zara has become a household name in the fashion industry, known for its unique business model, innovative designs, and affordable pricing. The brand’s marketing mix plays a crucial role in its success, allowing it to reach a diverse range of customers and remain at the forefront of the fashion industry. Zara’s marketing mix consists of four key components: product, price, place, and promotion.

    Zara Marketing Mix
    Zara Marketing Mix

    Product

    Zara offers a wide range of clothing options for men. women, and kids. The brand’s design team is constantly updating and refreshing its collections to stay on-trend and offer customers the latest styles. Zara’s commitment to sustainability is also reflected in its product offerings, with the brand using more sustainable materials and production methods.

    Zara's Range of Products
    Zara’s Range of Products

    Price

    Zara’s pricing strategy is affordable and competitive, making its clothing accessible to a wide range of customers. The brand offers clothing at a lower price point than some of its luxury competitors, but still maintains a high level of quality in its products.

    Place

    Zara has a strong retail presence, with stores located in major cities around the world. The brand’s website and mobile app also allow customers to shop online and have items delivered to their doorstep. Zara’s fast fashion model means that new products are constantly being introduced to stores and online, creating a sense of urgency for customers to make purchases.

    Promotion

    Zara’s promotion strategy is focused on creating a strong online presence and engaging with customers through social media. The brand uses platforms like Instagram to showcase its latest collections and offer styling inspiration to customers. Zara also invests in digital marketing campaigns to drive traffic to its website and promote its products.

    Zara’s marketing mix is carefully crafted to appeal to a wide range of customers and stay ahead of the fashion industry. By continuously updating its product offerings, pricing strategy, retail presence, and promotion tactics, Zara remains a top player in the fashion industry.

    Zara Marketing Campaigns

    Zara is known for its innovative and engaging marketing campaigns, which have helped the brand maintain its position as a top player in the fashion industry. Some of the top marketing campaigns of Zara include:

    1. “The City” Campaign: In 2018, Zara launched a campaign featuring models walking through various cities around the world, showcasing the brand’s clothing in a visually stunning way. The campaign was successful in creating a strong emotional connection with customers and highlighting Zara’s global reach.
    2. “Forces of Nature” Campaign: This campaign, launched in 2019, focused on sustainability and featured clothing made from sustainable materials. The campaign was designed to raise awareness about the importance of sustainability in the fashion industry and highlight Zara’s commitment to sustainability.
    3. “Dear America” Campaign: In 2020, Zara launched a campaign in response to the Black Lives Matter movement, featuring a letter from the brand’s CEO expressing support for the movement and a commitment to diversity and inclusion. The campaign was successful in engaging with customers and promoting social responsibility.

    Zara’s marketing campaigns have been successful in creating a strong emotional connection with customers, promoting inclusivity and sustainability, and highlighting the brand’s global reach and commitment to social responsibility.

    H&M Marketing Strategy – How H&M became the second largest Global Clothing Retailer
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    Zara Marketing Strategies

    Zara is a global fashion retailer known for its trendy and affordable clothing. The success can be attributed to its effective marketing strategies, which have helped it establish a loyal customer base and maintain its position as a top player in the fashion industry. Zara branding strategy emphasizes minimalism, fast fashion, and customer-centric design, creating a consistent and recognizable brand image across all markets. Here are the top marketing strategies of Zara:

    Fast Fashion

    Zara’s fast fashion strategy is one of the key reasons for its success. The brand releases new collections and products regularly, keeping up with the latest trends and styles. This creates a sense of urgency among customers to make purchases, which helps drive sales.

    Limited Editions

    Zara’s limited edition strategy involves creating limited quantities of certain products, which creates a sense of exclusivity and scarcity among customers. This strategy has been successful in creating buzz and generating demand for Zara’s products.

    Zara Marketing Strategy - Zara's Limited Edition Strategy
    Zara Marketing Strategy – Zara’s Limited Edition Strategy

    Social Media Marketing

    Zara’s social media marketing strategy involves creating engaging content and interacting with customers on various social media platforms. The brand’s strong social media presence has helped it reach a wider audience and engage with customers on a personal level. Zara promotion strategy focuses on building a strong digital presence, leveraging social media platforms like Instagram, and running targeted digital campaigns to engage customers and drive online and in-store traffic.

    Zara Marketing Strategy - Zara's Strong Following On Instagram
    Zara Marketing Strategy – Zara’s Strong Following On Instagram

    In-store Experience

    Zara’s in-store experience strategy involves creating a unique and memorable shopping experience for customers. The brand’s stores are designed to be visually appealing and easy to navigate, with new products and collections displayed prominently.

    Zara's Marketing Strategy - Zara's In-Store Experience
    Zara’s Marketing Strategy – Zara’s In-Store Experience

    Influencer Collaborations

    Zara digital marketing strategy focuses on leveraging social media, influencer collaborations, and targeted online advertising to enhance customer engagement and drive sales. Zara’s influencer collaboration strategy involves partnering with popular influencers and celebrities to promote its products on social media. This strategy has helped the brand reach a wider audience and tap into new markets.

    Personalization

    Zara’s personalization strategy involves using customer data to create personalized shopping experiences. The brand uses data such as customer preferences and purchase history to recommend products and create personalized marketing campaigns.

    Sustainability

    Zara’s sustainability strategy involves implementing various sustainability initiatives, such as using more sustainable materials and reducing waste in production. This strategy has helped the brand appeal to customers who value eco-friendly products and ethical production methods.

    Community Engagement

    Zara’s community engagement strategy involves partnering with local organizations and charities to give back to the community. This strategy has helped the brand build a positive reputation and create a strong emotional connection with customers.

    Zara’s marketing strategies have been successful in creating a strong emotional connection with customers and establishing the brand as a top player in the fashion industry. Zara has been able to create a unique and memorable brand identity that resonates with customers on a personal level.

    Global-Local Adaptation

    Zara customizes its collections to align with cultural and regional preferences, adapting elements like sleeve lengths, fabric weights, and color palettes for different markets such as Japan, Brazil, and Europe. This thoughtful localization helps the brand stay relevant to local tastes while maintaining a consistent global identity. By closely monitoring customer feedback and market trends, Zara ensures its offerings resonate with each audience. This flexibility is key to Zara’s success in diverse international markets.

    Conclusion

    For start-ups, there is much to be learned from Zara’s marketing strategies. By staying up-to-date with the latest trends and styles, creating a unique and memorable shopping experience, engaging with customers on social media, and implementing sustainability initiatives, businesses can create a strong emotional connection with customers and establish a loyal customer base. By following in the footsteps of Zara, businesses can create a brand identity that resonates with customers and drives sales.

    Zara’s marketing strategies are a testament to the power of effective marketing in driving business success. By taking inspiration from these strategies, businesses can create a strong brand identity and establish a loyal customer base, paving the way for long-term success in the competitive world of retail.

    FAQs

    What is Zara target market?

    Zara’s target audience is a diverse group of fashion-conscious individuals who appreciate high-quality clothing at an affordable price point. The brand’s demographic spans a broad age range, from teenagers to young adults and middle-aged individuals, with a strong focus on the 18-35 age group.

    What is Zara digital marketing strategy?

    Zara’s digital marketing strategy centers on social media, showcasing new collections and trends through visually appealing content. It uses targeted ads and emails to reach customers, focusing on organic engagement rather than heavy discounts or influencer promotions.

    What is Zara marketing strategy?

    Here are the main marketing strategies of Zara –

    • Fast Fashion
    • Limited Edition
    • Social Media Marketing
    • In-store Experience
    • Influencer Collaborations
    • Personalization
    • Sustainability
    • Community Engagement

  • Ritu Kumar: The Pioneer Of Indian Fashion Industry

    India has an ancient clothing design history and is referred to as a prominent and emerging fashion industry. In ancient times who thought that there would be an industry that would produce an annual revenue of $165 billion? A handful of skillful designers existed before the 1980s, and one of them was Ritu Kumar. Ritu Kumar is known as one of the best fashion designers in India.

    She is an Indian Fashion Designer who started her career in a small village in Kolkata with her hand block printing techniques on clothes which amazed people. Ritu Kumar started the Era of Fashion Designing with her amazing designs of Lehengas and Bridal Dresses.

    This StartupTalky article explores Ritu Kumar’s success story, including her early life, history, childhood, personal life, education, awards, net worth, and more.

    Ritu Kumar – Biography

    Name Ritu Kumar
    Birthplace Amritsar
    Born 11 November 1944
    Nationality Indian
    Education Loreto Convent (Shimla), Lady Irwin College in Delhi, Briarcliff College (New York)
    Position Fashion Designer
    Spouse Shashi Kumar
    Company Ritu Kumar

    Ritu Kumar – Early and Personal Life
    Ritu Kumar – Career
    Ritu Kumar – Designs
    Ritu Kumar – Awards and Achievements

    Ritu Kumar – Early and Personal Life

    Ritu Kumar was born in Amritsar and shifted to Shimla due to the lack of educational opportunities in Amritsar. She studied at a convent school there and got admitted to the Lady Irwin College of Delhi in the late 1960s as a student of art history.

    She met her husband Mr Shashi Kumar at this place and got married the same year. Later she went to pursue a scholarship in Art History at Briarcliff college of New York.

    Ritu has two sons Amrish and Ashvinkumar. Amrish works with Ritu and is the CEO of Ritukumar’s fashion brand label Ritu Kumar and Ashvin is a film director who has also been nominated for Oscar.

    Ritu started her career and family at a very initial stage of her life and is managing all of it very well. Ritu also pursued museology from a college in Delhi to get more knowledge on ethnic fashion and work.


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    Ritu Kumar – Career

    Ritu began her journey in the 1960s, while she was studying museology. She visited a small village Serampore in West Bengal. In that village, she found a small colony of hand-block printers who were out of work and needed financial help and employment. That is when the idea came to start a small enterprise of giving designs that the printers began working on.

    These hand-block printers created beautiful designer sarees with their outstanding work. She continuously visited exhibitions and fairs to gain popularity and soon she was noticed for her extraordinary designs in India.

    She experienced the rapid changes in India, which were replacing handmade textiles with machine-made plastics. Ritu Kumar created new globally relevant designs where the handmade textile legacy would remain the original emphasis.

    Initially, she designed evening clothes and Indian bridal wear, and eventually, after the great success of her designs, Ritu opened stores in different states of India. Now she was at boom and everyone knew Ritu Kumar was a brand.

    By making an effort, she went international by opening branches in Paris, London, and New York. In 2002 she launched the “Label” brand in partnership with her younger son Amrish Kumar.

    Ritu Kumar with her son Amrish Kumar
    Ritu Kumar with her son Amrish Kumar

    Ritu Kumar has 4 brands i.e. “Label” for the modern outfits of girls and women. The second brand under her is “Ri’ which showcases the bridal and lehenga worn by women. The third brand is “Aarke” which is a part of the nightwear section for women. And last but not least “Home” is a brand that sells all the home décor and essential products.

    Ritu Kumar is also recognized as her clothes have been worn by famous personalities such as Princess Diana, Priyanka Chopra, Madhuri Dixit Nene, and many more actresses.

    The domain ritukumar.com attracted 1,850,126 users in the year 2020. During wedding seasons in India, the company invests in servers as well, to curb excessive website traffic. Digital Impressions has designed and made the website for Ritu.

    Ritu Kumar – Designs

    Kumar’s designs focus on using natural fabrics and traditional printing and weaving methods. While she blends in some Western elements, she mainly sticks to classic sari designs. Her creations have been worn by many famous people, including Princess Diana, Priyanka Chopra, Deepika Padukone, and Lara Dutta. Kumar’s work showcases timeless elegance, highlighting the beauty of traditional Indian craftsmanship. She is known for creating pieces that reflect both cultural heritage and modern influences.


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    Ritu Kumar – Awards and Achievements

    Ritu Kumar receiving Padma Shree by the Government of India
    Ritu Kumar receiving Padma Shree by the Government of India

    There is a long list of awards that Ritu Kumar, fashion designer has achieved during her journey in the fashion industry. The long list flows as:

    • Lifetime achievement award by NIFT
    • Lifetime achievement award by Kingfisher Group
    • Outstanding Woman Entrepreneur award by PDHCC
    • The award of “Chevalier des Arts et des Lettres” was given by the French government
    • Lifetime achievement award at Kingfisher Fashion Fantasia (2000)
    • Indira Gandhi Priyadarshini Award
    • Won the Achievement Award in the year 2012 L’oreal Paris Femina Women’s Awards
    • Padma Shree by the Government of India (2013)

    Conclusion

    Ritu Kumar one of the leading fashion designers in India, is a role model and inspiration to the youth who want to pursue a career in the fashion industry. She is a successful female entrepreneur and a live example of Indian women who are not dominated by the men in this society.

    Ritu Kumar was the first person to introduce the boutique culture in India. Ritu took the chances and performed outstandingly. She is a true example of a pioneer in the fashion industry thus making a remarkable position in the present era.

    FAQs

    Who is Ritu Kumar?

    Ritu Kumar is a famous fashion designer in India. She is claimed to be the first designer to introduce boutique culture in India and is one of India’s finest fashion designers.

    How many stores does Ritu Kumar have?

    Ritu Kumar has 93 stores across the country.

    Who is the brand ambassador of Ritu Kumar?

    Shanaya Kapoor is the brand ambassador of Ritu Kumar.

    What is Ritu Kumar education?

    Ritu Kumar’s education journey began in Simla, where she attended Loreto Convent due to limited schooling options in Amritsar. She then studied at Lady Irwin College, where she met her husband, Shashi Kumar. Later, she received a scholarship to study Art History at Briarcliff College in New York. After returning to India, she furthered her studies in museology at the Asutosh Museum of Indian Art, University of Calcutta.

    What is the revenue of Ritu Kumar?

    The annual revenue of Ritu Kumar was over INR 3 billion for 2023.

    What is the difference between Ritu Kumar and Label Ritu Kumar?

    Ritu Kumar is the name of the designer herself, known for her contributions to traditional Indian fashion. She creates high-end, bespoke clothing using natural fabrics and traditional techniques, focusing on both modern and classic Indian designs.

    Label Ritu Kumar, on the other hand, is the brand under which her ready-to-wear collections are sold. It offers stylish, contemporary pieces inspired by Ritu Kumar’s design philosophy but is more accessible compared to her couture collections. The label provides a range of products, from casual wear to festive outfits, blending traditional and modern elements.

    Who are famous fashion designers in India?

    Famous Indian fashion designers include:

    1. Manish Malhotra – Glamorous bridal wear.
    2. Sabyasachi Mukherjee – Intricate bridal collections.
    3. Ritu Kumar – Traditional textiles and classic designs.
    4. Tarun Tahiliani – Indian-Western fusion.
    5. Falguni Shane Peacock – Modern, glamorous outfits.
    6. Anita Dongre – Sustainable, ethnic wear.
    7. Masaba Gupta – Playful, modern designs.
    8. Abu Jani Sandeep Khosla – Luxurious bridal fashion.
    9. Rahul Mishra – Eco-friendly, handwork designs.
    10. JJ Valaya – Royal-inspired luxury collections.

    What is Ritu Kumar age?

    Ritu Kumar was born in 1944. She is 81 years old.

  • Adidas: The Emergence of a Leading Sports and Fashion Brand

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by the organization it is based on.

    Sport underpins everything we do. Sport is becoming increasingly significant in the lives of more and more people, both on and off the field of competition. Every culture and community depends on it, and it is essential to our well-being.

    Adidas is the second-best sports brand in the world, and its culture and workforce are what make it successful and enable it to carry out its strategy of “Own the Game.” It gives life to the brand’s identity, which is established through its mission, attitude, and purpose.

    Here’s the success story of Adidas that covers all about the company, its Startup Story and Growth, its Products, its Competitors, its Revenue, it’s Business and Revenue Model, and more, you can check ahead!

    Company Highlights

    Company Name Adidas
    Headquarters Herzogenaurach, Bavaria , Germany
    Sector Apparel, Accessories, Sports Equipment
    Founders Adolf Dassler
    Founded In 1924
    Website Adidas.com

    Adidas – About
    Adidas – Industry
    Adidas – Founder and Team
    Adidas – Startup Story
    Adidas – Name, Logo, Tagline
    Adidas – Mission and Vision
    Adidas – Products
    Adidas – Business Model
    Adidas – Sponsorships
    Adidas – Funding and Investors
    Adidas – Investments
    Adidas – Acquisitions
    Adidas – Competitors
    Adidas – Challenges Faced
    Adidas – Future Plan

    Adidas – About

    Adidas is a multinational corporation, founded and headquartered in Herzogenaurach, Germany, that designs and manufactures shoes, clothing, and accessories. The company is the largest sportswear manufacturer in Europe and the second-largest in the world, after Nike.

    Adidas products are marketed under several brands, including Adidas, Reebok, and TaylorMade. The company also owns the Rockport and Nine West brands. In addition to manufacturing and marketing its products, the company also licenses its brands to third parties. The company has a focus on sustainability and environmental responsibility and is committed to reducing its environmental impact.

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    The company’s clothing and shoe designs typically feature three parallel bars, and the same motif is incorporated into Adidas’s official logos. Adidas has been a publicly traded company since 1995 and has been listed on the Frankfurt Stock Exchange since 1988. The company has a global supply chain, including manufacturing facilities in Asia, Europe, and the Americas. Some of the key markets for Adidas include the United States, Germany, and China.

    Adidas – Industry

    The sportswear industry is a global market that produces and sells clothing, footwear, and accessories designed for sports and physical activities. The industry is highly competitive and is dominated by a few major players, such as Nike, Adidas, and Under Armour. The sportswear market is driven by factors such as increasing participation in sports and fitness activities, advancements in technology that improve the performance and comfort of sportswear, and the growing popularity of athleisure, a trend where athletic clothing is worn in non-athletic settings.

    The sportswear market is segmented by product, including footwear, apparel, and accessories. The footwear segment is the largest, accounting for the majority of the market share, followed by apparel and accessories. Within the sportswear market, there are different sub-segments, such as running, training, and outdoor wear. The market is also segmented by distribution channels, including online and offline retail. Online retail is expected to witness significant growth due to the increasing popularity of e-commerce platforms and the convenience of online shopping.

    The sportswear industry is a global market, with key markets in North America, Europe, and Asia. Asia is the fastest-growing market due to the increasing disposable incomes and the growing popularity of sports in the region. The industry is expected to continue to grow in the coming years, driven by factors such as an increasing focus on health and fitness, and the growing popularity of athleisure. However, the industry is also facing challenges, such as increased competition, changing consumer preferences, and the impact of COVID-19 on consumer spending.

    Adidas – Founder and Team

    Adidas was founded by Adolf “Adi” Dassler in 1948.

    Adolf Dassler

    Adolf “Adi” Dassler was a German cobbler and entrepreneur who was the founder of Adidas, one of the world’s leading sportswear brands. He was born in Herzogenaurach, Germany, in 1900 and began his career as a cobbler, working in his mother’s laundry room. He was also an avid athlete and recognized the need for high-performance athletic footwear.

    Adolf Dassler - Founder, Adidas
    Adolf Dassler – Founder, Adidas

    Some other team members include :

    • David Sobeski – SVP Machine Learning & Analytics
    • Jacqueline Smith-Dubendorfer – Global VP, Digital Partner Commerce
    • Kasper Rorsted – CEO
    • Thomas Holleczek – Director B2B Data & Services
    • Walter Wählt – Senior Director Advanced Creation – Technologies Apparel
    • Jithesh Ramachandran – Senior Business Consultant
    • Markus Rautert – Senior Vice President Technology Enablement
    • Annie Melnic – Senior Digital Analyst

    Adidas – Startup Story

    In 1924, Dassler and his brother Rudolf Dassler started a shoe company, Dassler Brothers Shoe Factory, that produced sports shoes. The company was successful and supplied athletes with shoes for the 1936 Summer Olympics in Berlin. However, the brothers had a falling out in 1948 and went their separate ways, with Adi Dassler founding Adidas and Rudolf Dassler founding Puma.

    Adi Dassler’s focus was on creating high-performance athletic footwear and equipment that would give athletes an edge on the field. He was heavily involved in the design and development of Adidas products, and the company quickly gained a reputation for producing innovative, high-quality sports footwear. He also supported many athletes and teams, and Adidas shoes were worn by several Olympic medallists and world champions.

    Adi Dassler passed away in 1978 but his legacy lives on through the Adidas company, which is now one of the world’s leading sportswear brands. He is considered to be a pioneer in the sportswear industry and his innovations in design, materials, and manufacturing continue to influence the industry today.

    Adidas – Name, Logo, Tagline

    The name “Adidas” is a portmanteau of the founder’s name, Adolf “Adi” Dassler. The company was originally founded as “Dassler Brothers Shoe Factory” by Adi Dassler and his brother Rudolf Dassler in 1948. However, the two brothers had a falling out and decided to go their separate ways, with Adi Dassler keeping the company and renaming it “Adidas”. The name was created by combining the first three letters of his first name “Adi” and the first two letters of his last name “Das” to form “Adidas”.

    The company’s logo, which features three parallel bars, was also inspired by the founder’s name, as it represents the letters of his name.

    Adidas’ current tagline is “Creating the New” which was first introduced in 2019. It is meant to reflect the brand’s commitment to innovation and pushing the boundaries of what’s possible in the world of sport and fashion. This tagline is meant to inspire customers to push their boundaries and to be their best selves.

    Adidas Tagline - Creating the New
    Adidas Tagline – Creating the New

    Before that, the company had several other taglines, such as “Impossible is Nothing” (2004-2010) and “Adidas is all in” (2011-2019) which were meant to convey the brand’s message of perseverance, determination, and the celebration of the power of sport.

    Adidas - Impossible Is Nothing
    Adidas – Impossible Is Nothing

    Adidas – Mission and Vision

    Adidas’ vision statement is “To be the best sports company in the world.”

    Adidas’ mission statement is “To be the leading sports brand in the world.”

    Adidas – Products

    Adidas offers a wide range of products for both men and women, including athletic footwear, clothing, and accessories. Some of the main categories of products offered by Adidas include:

    • Athletic Footwear: Adidas offers a wide variety of athletic shoes for different sports and activities, including running, basketball, soccer, golf, and more. The company’s footwear line includes both performance and lifestyle shoes.
    • Apparel: Adidas offers a range of athletic clothing for men and women, including t-shirts, hoodies, jackets, pants, and shorts. The company also offers sports-specific clothing, such as soccer jerseys and basketball uniforms.
    • Accessories: Adidas offers a variety of accessories, such as bags, hats, and socks.
    • Equipment: Adidas also offers a range of sports equipment like football, basketball, and other sports
    • Training and Fitness: Adidas also offers products like workout clothes, yoga mats, and fitness accessories
    • Sustainability: Adidas also has a range of sustainable product lines, which includes products made from recycled materials and using sustainable production processes.

    Adidas also has collections and collaborations with various designers and celebrities like Yeezy, Alexander Wang, and many more.

    Adidas – Business Model

    Adidas operates using a multi-channel business model, which involves the use of multiple channels to reach customers and sell products. The company’s main channels include:

    1. Retail Stores: Adidas operates its retail stores, which are designed to create an immersive brand experience for customers. These stores carry a wide range of Adidas products and are strategically located in high-traffic areas.
    2. E-commerce: Adidas operates its e-commerce website, which allows customers to purchase products online. The website offers a wide range of products and features, such as product reviews, size charts, and detailed product information.
    3. Wholesale: Adidas sells products to retailers and distributors, who then sell the products to customers. This channel makes the company reach a wide range of customers through a network of retail partners.
    4. Licensing: Adidas also generates revenue through licensing agreements with third parties, who use the Adidas brand and logo on their products.
    5. Sponsorship: Adidas is also involved in sports sponsorship and partnerships with sports teams, athletes, and events, which supports the company to promote its brand and products.

    Adidas is also focused on sustainability, and the company is using sustainable materials, processes, and practices throughout its entire product line. They are also creating products that are designed to be recycled or repurposed, to reduce their impact on the environment.

    Adidas – Sponsorships

    Adidas is heavily involved in sports sponsorship and partnerships, which helps the company to promote its brand and products. Some of the major sports sponsorships and partnerships that Adidas is currently involved in include:

    Team Sponsorship

    Adidas sponsors several sports teams and organizations, including major soccer teams such as Real Madrid, Manchester United, Bayern Munich, and Juventus. They also sponsor various national teams such as Spain, Germany, and Argentina.

    Athlete Sponsorship

    Adidas also sponsors several individual athletes across various sports, including Lionel Messi, Paul Pogba, James Harden, and many more.

    Event Sponsorship

    Adidas is also involved in sponsoring major sporting events, such as the FIFA World Cup, UEFA Champions League, and the Olympic Games.

    FIFA World Cup™ 2022 | Family Reunion | adidas

    Grassroots Sponsorship

    Adidas also sponsors local and amateur sports teams and events to help promote the sport and encourage participation at all levels.

    Ambassadors

    Adidas also uses brand ambassadors to promote their products, such as David Beckham, Kanye West, and many more.

    25 Years Of Predator

    Through these partnerships and sponsorships, Adidas can build a strong connection with fans, athletes, and events, which helps to increase brand awareness and drive sales. Additionally, these sponsorships allow Adidas to showcase its products and technologies at the highest level of competition, and to gain valuable feedback from athletes and teams.

    Adidas – Funding and Investors

    Date Round Amount Lead Investors
    Apr 15, 2020 Post-IPO Debt

    Adidas – Investments

    Date Organization Name Round Money
    Mar 22, 2022 Yuga Labs Seed Round $450M
    Jul 5, 2021 Infinited Fiber Company Series B €30M
    Oct 21, 2019 GreenPark Sports Seed Round $8.5M
    Nov 19, 2018 PlayVS Series B $30.5M
    Dec 4, 2017 OneFootball Series C

    Adidas – Acquisitions

    Acquiree Name About Acquiree Date Amount
    Runtastic Runtastic is a mobile fitness company Aug 5, 2015 $240M
    Adams Golf Adams Golf, Inc. is a golf club manufacturer based in Plano, Texas. Jun 1, 2012
    Five Ten USA Five Ten USA is an American manufacturer of outdoor and athletic footwear. Nov 4, 2011
    Textronics Textronics develops and commercializes wearable textile sensor components and clothing solutions for fitness and health monitoring. Dec 8, 2008
    Mitchell & Ness Mitchell & Ness is a sports apparel company that produces premium apparel and headwear. Nov 12, 2007
    Reebok International Reebok is a global brand that creates and markets sports and lifestyle products. Aug 3, 2005 $3.8B
    TaylorMade Golf TaylorMade Golf is a manufacturer of high-performance golf equipment and golf balls. Jan 1, 2005
    Salomon AG Salomon AG designs, develops, produces, and markets athletic and sports lifestyle products worldwide. Sep 17, 1997 $1.4B

    Adidas – Competitors

    Adidas is one of the leading sportswear companies in the world and competes with several other major brands in the industry. Some of the main competitors of Adidas include:

    Nike

    One of the biggest and most well-known sportswear brands in the world, Nike is a direct competitor of Adidas in nearly all sportswear categories and market segments.

    Puma

    Another major sportswear brand, Puma is a direct competitor of Adidas in several categories, including footwear, apparel, and accessories.

    Under Armour

    An American sportswear company that is primarily focused on performance apparel, footwear, and accessories.

    Reebok

    A subsidiary of Adidas, Reebok is a competitor in the fitness and active lifestyle market segments.

    ASICS

    A Japanese company that designs and manufactures footwear, apparel, and accessories for a wide range of sports and activities.

    New Balance

    An American company that designs and manufactures athletic footwear and apparel.

    Skechers

    An American company that designs and markets footwear for men, women, and children, and also has a focus on lifestyle and performance footwear.

    Li-Ning

    A Chinese company that designs, develops, and markets footwear, apparel, and accessories for sports and fitness activities.

    These are some of the major competitors of Adidas, but the company also faces competition from many other smaller brands, as well as from generic and unbranded products in the market.

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    Adidas – Challenges Faced

    Adidas, being a well-established and successful global company, may not face the same types of startup challenges as a new and emerging company. However, like any other company, they may still face some challenges that may affect the growth and profitability of their business. Some of the challenges that Adidas may face include:

    1. Competition: Adidas faces intense competition from other established sportswear companies such as Nike and Puma, as well as from many smaller brands and generic products. This competition can make it difficult for Adidas to maintain market share and drive sales.
    2. Changing Consumer Preferences: Consumers are becoming increasingly conscious of the environmental and social impact of the products they buy, and this is leading to a shift in consumer preferences towards sustainable and eco-friendly products. Adidas must adapt to these changing consumer preferences to remain relevant and competitive in the market.
    3. Digital Disruption: The rise of e-commerce and online marketplaces has disrupted traditional brick-and-mortar retail and changed the way consumers shop for products. Adidas must adapt to these changes in consumer behavior to remain competitive and drive sales.
    4. Supply Chain and Logistics: The company has to ensure that the supply chain and logistics are efficient and effective.
    5. Intellectual Property: Adidas has to protect its brand and intellectual property, especially in the global market, where counterfeiting and intellectual property infringement are major concerns.
    6. Sustainability: Adidas has to balance its profitability with sustainability, and that means having a sustainable supply chain and products, which might increase the cost of production.
    7. Political and Economic Instability: As a global company, Adidas may be affected by political and economic instability in different regions and countries where it operates, which can lead to uncertainty and instability in the market.
    8. Labor Laws and Regulations: Adidas must comply with labor laws and regulations in different countries, which can vary widely and be complex, and they also have to ensure fair and humane working conditions in their supply chain.

    These are some of the main challenges that Adidas may face, but the company is constantly adapting and evolving to meet these challenges and remain a leading player in the sportswear industry.

    Adidas – Future Plan

    Adidas has several plans for the future to continue growing its business and staying competitive in the sportswear industry. Some of the main plans for 2023 and beyond include:

    1. Digitalization: Adidas is focusing on digitalization to drive growth and improve efficiency across the business, including in areas such as e-commerce, data analytics, and digital marketing.
    2. Sustainability: Adidas is committed to sustainability and plans to continue developing sustainable products and reducing its environmental impact, through the use of sustainable materials, recycling and recycling programs, and reducing its carbon footprint.
    3. Innovation: Adidas is investing in innovation to drive growth and stay ahead of the competition, including in areas such as product design, manufacturing, and technology.
    4. Expansion in Emerging Markets: Adidas plans to expand its presence in key emerging markets, such as China, India, and Africa, where they see significant growth potential.
    5. Direct-to-consumer Strategy: The company is planning to increase its direct-to-consumer sales and reduce its dependence on retail partners, through the expansion of its own retail stores and e-commerce platform.
    6. Collaboration: Adidas plans to continue collaborating with other brands, designers, and influencers to create new and innovative products, as well as to expand its reach and appeal to new customers.
    7. Personalization: Adidas plans to use data and technology to personalize its products and services for customers, to improve the customer experience, and drive sales.
    8. Sportswear for Everybody: Adidas is committed to creating sportswear for everybody, including inclusive sizes and designs for people of all sizes, abilities, and backgrounds.

    These are some of the main plans that Adidas has announced for 2023 and beyond, but the company may also make other changes and adjustments to its strategy as the market and business environment evolves.

    FAQs

    What does Adidas do?

    Adidas designs and manufactures sports and lifestyle products, including footwear, apparel, and accessories.

    Who founded Adidas?

    Adidas was founded by Adolf “Adi” Dassler in 1948.

    Who are the main competitors of Adidas?

    The main competitors of Adidas include Nike, Puma, Under Armour, Asics, Skechers, New Balance, Reebok, and Li-Ning.

  • List of Brands Endorsed by Farhan Akhtar

    Farhan Akhtar is an Indian director, actor, producer, singer, screenwriter, and television host. He is primarily known for his work in Bollywood. He hails from a family of veterans and is the son of film actress and screenwriter Honey Irani and poet and lyricist Javed Akhtar. He has an elder sister, renowned filmmaker Zoya Akhtar.

    He made his directorial debut in 2001 with the critically acclaimed Dil Chahta Hai, which received the National Award for Best Hindi Film in 2002. His sophomore movie, a war drama, Lakshya, was released in 2004 and is regarded as a cult film. He garnered significant commercial success with Don in 2006, starring Shah Rukh Khan. He made his debut on the big screen with the musical drama Rock On!! In 2008. He launched a social campaign called M.A.R.D. (Men Against Rape and Discrimination) to spread awareness about the rape and discrimination faced by women.

    He has earned success and respect on his own accord, despite coming from a family of people with connections in Bollywood. He has been on the checklist of many brands, especially after having established himself as a leading actor in the industry. He is the face of several brands and continues to be sought after by many more.

    Titan Xylys
    O.M.R.O.N.
    Park Avenue
    Ford Figo Aspire
    IndusInd Bank
    Yepme
    Code by Lifestyle

    Titan Xylys

    An Indian luxury products company, the Titan, is the manufacturer of fashion accessory products like watches, fragrances, eyewear, jewelry, etc. It is a part of the Tata Group and has its headquarters in Bangalore. Xylys is an exclusive brand of Swiss-made watches by Titan. It brings the precision of Swiss watchmakers.

    The brand signed Farhan Akhtar as its brand ambassador in 2011. On their association together, the Vice President, Ajoy Chawla, said, “Farhan is a new age, multi-talented individual admired for his unconventional work. He embodies the Xylys brand’s core values of sophistication, individualism, and authenticity, yet unconventional. We believe he will enable Xylys to connect deeply with the new age, global Indian seeking to express their own identity uniquely.”

    Farhan also added, “A great deal of design thought is required in the making of a film or bringing a character to life. Only when the design is in place, you can infuse it with passion, and I feel that the ideation behind creating every timepiece from Xylys has followed a similar process. It is great to be associated with a Swiss watch brand that exemplifies precision for detail, uncompromising functionality, and design excellence. I am all the more excited to represent a Swiss watch brand from House of Titan, and I look forward to the days to come with Xylys.”

    O.M.R.O.N.

    Based in Kyoto, Japan, Omron is an electronics-based company founded in 1933 by Kazuma Tateishi. It is particularly known for manufacturing its medical equipment like blood pressure monitors, thermometers, etc. It is also known to be one of the world’s first manufacturers of Automated Teller Machines (A.T.M.).

    In 2013, Farhan Akhtar was signed on to promote the company’s new age blood glucose monitors, also known as glucometers. India is known to be the diabetes capital of the world, and so there is a massive demand for blood sugar level measuring machines here.

    Farhan Akhtar, on their association, commented, “Keeping fit and staying healthy is essential for everyone in this fast-paced age. I am delighted to partner with O.M.R.O.N. in its mission toward the realization of a healthy life and the prevention and treatment of lifestyle-related diseases. Strict adherence to international quality and safety standards makes O.M.R.O.N. the right choice for you and your loved ones.”


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    Park Avenue

    Launched in 1986, Park Avenue is a clothing and accessories brand. It is a part of the Raymond group, which comes under the company JK Helene Curtis’ clothing arm. Park Avenue is the second largest deodorant brand in the Indian market.

    They signed on Farhan Akhtar in 2015 to be the face of the deodorants at Park Avenue through a televised advertisement.

    The advertisement was aimed at promoting the deodorant through ways other than the generic attracting the opposite sex plot line and revamping the marketing strategy based on the lifestyle and the true meaning of male grooming and masculinity, and sparking a fresh conversation around it.

    Ford Figo Aspire

    Ford Motor Company is a multinational automaker with its headquarters in Dearborn, Michigan. It is through this company that the concept of Fordism (a type of industrial work management) and assembly lines were introduced in the industrial world.

    In 2015, Farhan Akhtar was appointed to be the brand ambassador of the new Ford Figo Aspire, a compact sedan.

    Commenting on the car he is promoting, he said, “I love the way it looks, I mean look at it, it’s fabulously contemporary and it is great driving it around in city conditions. It’s also got some nice features like the SYNC technology with the Ford Applink and Emergency assistance and then there are the airbags, which make it a safe car.”

    IndusInd Bank

    A first among the new generation banks in India, IndusInd Bank was inaugurated in 1994 by the then Finance Minister, Manmohan Singh.

    The bank signed Farhan Akhtar to be the face of their brand and represent a new feature called Video Branch in 2014. Video Branch is an extension of the feature ‘Responsive Innovation’, which aims at providing customers with a convenient and hassle-free experience. As banking is becoming more and more digitalized, features like these are extremely useful for customers.

    About the tie-up, Farhan Akhtar said, “I am happy to be associated with a young and fast-growing brand which has responsive innovation as an integrated theme. I have seen the earlier brand campaigns by the bank, and I am sure my association with the brand will complement the brand growth and take it to new heights.”

    Yepme

    Based in Gurugram, India, Yepme is an online shopping brand that specializes in the retail of men’s and women’s clothing and accessories. It was launched in 2011 by Vivek Gaur, Sandeep Sharma, and Anand Jadhav.

    Yepme signed on Farhan Akhtar as their brand ambassador in 2014, with him featuring in a music video for the company.

    On their association, Farhan Akhtar commented, “We are incredibly eager to release this music video. Regarding the usage of special effects and transitions, the video is unique and reflects the everyday life of today’s youngsters in a unique and entertaining way. Since Farhan is an iconic figure among Indian youth and is a class apart from others as a singer-songwriter, actor, director, and multi-talented artist, we are confident that the song and visuals will find their way to everyone’s hearts and minds. Farhan is also someone who is liked, respected, and also highly relatable to our audience. The video is one of its kind in terms of the use of special effects and transitions – and captures the slice of life of today’s youth in a fun and unusual way. This is a completely fresh approach to building a connection with today’s youth, and we are confident that the song and visuals will make way to the heart and minds of everyone – especially since Farhan is an iconic figure amongst Indian youth and is a class apart from others, being a singer-songwriter, actor, director, a multi-talented artist – he is someone who is liked, respected and also highly relatable for our audience.”

    Code by Lifestyle

    Code by Lifestyle is a formal and casual clothing retail brand for men and women. Farhan Akhtar was signed on to endorse the company as their brand ambassador in 2015.

    Code by Lifestyle has emerged to be one of the most preferred brands by men who have an eye for the new age and a sharp sense of style. Farhan, with a versatile range of achievements and an effortless and confident style, perfectly embodies everything the brand wants to deliver and more.

    Farhan also commented, “I really like the collection Code has. The apparels are both trendy and stylish. It’s great to be representing the brand.”


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    Conclusion

    Farhan Akhtar is one of the most skilful Bollywood celebrities, having expertise in not only his acting skills but also in direction, writing, singing, and production. His witty and charming personality and huge fan following make him a popular choice among brands for their endorsements. Be it fashion and lifestyle, automobiles, or banks, this man has played a role in almost every kind of brand endorsement.

    FAQs

    What is Farhan Akhtar’s Net worth?

    Farhan Akhtar’s net worth is 2.5 million USD.

    Who are Farhan Akhtar’s parents?

    Farhan Akhtar’s parents are Javed Akhtar and Honey Irani.

    What is Farhan Akhtar’s age?

    Farhan Akhtar is 48 years of age.

    What was Farhan Akhtar’s first film?

    Farhan Akhtar’s first film as a director was Dil Chahta Hai, and as an actor was Rock on!!

  • Business Model of Shein – How Does Shein Make Money?

    Shein has gained immense popularity among the youth. If you are a fashionista then you must have bought some trendy clothes from Shein at a very low price. The company has been very successful in the ultra-fast fashion market. Shein ships in 220 countries and provides clothes for men, women, and children.

    According to research, it was found that in 2021 Shein’s mobile app had over 7 million users in the US alone. The hashtag #Shein has generated over 6.2 billion views on TikTok. The estimated revenue of this company is $10 billion every year. Let’s see the Business Model of Shein in great detail.

    What is Shein?
    Evolution of the Fashion Industry
    Ultra-Fast Fashion
    Business Model of Shein
    Marketing Strategy of Shein
    What’s Unique About Shein?
    How Does Shein Make Money?

    What is Shein?

    Shein is a Chinese international B2C fast-fashion online platform headquartered in China. The company was founded by Chris Xu in 2008. The company sells clothes, bags, shoes, accessories, and other fashion items. Shein’s target countries are Europe, America, and the Middle East. The brand is very popular among Gen Z.

    Shein mainly works by targeting the audience who prefers western clothes. As for the target market, Shein mainly works for young people who want to be unique and socially acceptable.

    Before we have a deeper look at the business model let’s first understand how the fashion industry works. This will help us better understand the Business Model.

    Evolution of the Fashion Industry

    In the late 1990s and early 2000s, Zara and H&M introduced the world of fast fashion. Buying trendy clothes from the stores at a very low price was something new to the people.

    Zara introduced this phenomenon to the people and made a lot of money. The key components that helped Zara become successful were shorter manufacturing cycles, following the fast-moving trends, just-in-time logistics, and big investments in flagship stores located in most city centers.

    This enabled the stores to provide a wide variety of trendy inexpensive clothes that changed every week. Variety, speed, and convenience were the main factors of the fast fashion model.

    Until the 2010s this business model worked pretty well. Since then, e-commerce has penetrated the market which led to the growth of mobile commerce. Due to this, the fast fashion industry changed completely.

    Ultra-Fast Fashion

    Over time many people started using mobile and mobile commerce grew rapidly. Due to the internet, people were able to get information instantly. Everything shifted online. Using social media and other online platforms people were able to understand fashion trends instantly in a very short time.

    Fast Fashion evolved to ultra-fast fashion where only a few designs were created to test the likes of people. If the people demanded the clothes they were made in large numbers. The ultra fast-fashion retailer invested all its capital in capturing fashion trends even faster.

    Clothes and other fashion accessories were manufactured at a very high speed. Massive money was invested in logistics to deliver products to millions of customers without operating physical stores. Now, as you have understood how the ultra-fast fashion industry works and how the fashion industry has evolved let’s have a look at the business model.


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    Business Model of Shein

    Shein Website
    Shein Website 

    To understand the business model of Shein let’s first see how a fast food delivery company works. There are thousands of ghost kitchens everywhere. When you order food online the food delivery services take the food from these ghost kitchens and deliver it to your doorstep.

    Your preferences and the number of orders you place dictate the opening and closing of these ghost kitchens. Shein’s business model also behaves similarly. Shein does a partnership with these ghost factories and promises demand. They install their order system in these factories which helps them to track and deliver the orders efficiently.

    Shein teaches them how to manufacture things efficiently. In this way, Shein produces fashion items at a much faster rate. The company understands what things are booming in the fashion industry, produces product pages, checks the engagement behaviour, and then tells the factories to produce the products.

    Shein has a strong online presence. After reading about the evolution of the fashion industry and ultra-fast fashion you must have understood that a strong online presence and understanding the fashion trends quickly are necessary to be successful in this industry.

    Shein advertises aggressively on TikTok and other social media handles. After working for so long in this industry Shein is able to understand the fashion trends much faster than other companies. The company has further shortened the manufacturing cycles.


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    Marketing Strategy of Shein

    Aggressive Marketing on Social Media

    Shein marketing on Instagram
    Shein marketing on Instagram

    The company’s marketing is majorly focused on social media. Shein has understood that social media has a great influence on youth. The company is the #1 brand for TikTok teens.

    Shein has an army of fashion bloggers that constantly post content on TikTok using the hashtag Shein. In return, Influencers get free merchandise. On YouTube, people share their experiences with Shein. Since the company provides a large variety of products many YouTubers are interested in reviewing their products.

    Affiliate Programs

    Shein’s affiliate program has helped the company to increase its conversions. In this program, people can earn a commission by recommending Shein products to others. If they place the order you get a small commission. Due to these affiliate programs, many teens have promoted their products on social media. This has increased the company’s reach.

    What’s Unique About Shein?

    Shein is the most preferred fashion brand by the young generation. There are multiple things in Shein’s business model that makes it different from other:

    Model

    To have the upper hand over its competitors the company uses the digital-first model. The digital-first model enables the customers to make a purchase by the means of a digital platform and get it delivered at their preferred locations.

    Marketing Strategy

    Shein uses a micro-influencer marketing strategy. There are several micro-influencers in coordination with Shein and the company provides them with gifts at the end of each month. This give-and-take relation makes a better marketing strategy for the platform.

    An Indian Actress Advertising Shein Sale on her Social Media Account
    An Indian Actress Advertising Shein Sale on her Social Media Account

    Use of Social Media

    Social Media users have noticed Shein on their screens while scrolling through social media platforms like YouTube, Tik Tok, Instagram, etc. The media influencers contribute majorly to the selling of Shein products at such mediums. This strategy enables Shein to directly showcase its product in the market.

    How Does Shein Make Money?

    Shein’s revenue model is simple. The company earns money by selling products online. They sell a cheap version of trendy clothes and fashion items via their mobile app. The company uses the vertical integration strategy.

    Shein earns its revenue in multiple ways. The most preferred method is by selling clothes. Shein purchases clothes in bulk quantity for a cheaper price and then sells them at a higher percentage.

    Apart from this, Shein also replicates the high-end dresses to sell them at relatively lower prices. This practice also increases the sales of Shein and hence making an additional column in the money chart.

    Apart from all the above money-making options, Shein also provides in-app advertisements on its platform and generates some revenue through it too.

    Shein Revenue for 2020-2022 in US Billion Dollars
    Shein Revenue for 2020-2022 in US Billion Dollars

    Conclusion

    Shein understood fast fashion better than other companies. As the company provides a large variety of products at a very low price many people love shopping through Shein. The company has a lot of Influencers on various social media platforms which helps them to increase its popularity.

    In the west, many people prefer Shein over Amazon. This shows how much the company has grown over these years. To stay in this race for a longer period the company needs to identify the fashion trends quickly and provide those clothes to the people before it gets out of fashion.

    FAQs

    Who is the CEO of the Shein?

    The current CEO of Shein is Chris Xu.

    Who owns the company, Shein?

    Shein is owned by a parent organization named Nanjing Lingtian Information Technology with four major shareholders named JAFCO Asia, IDG Capital, Sequoia Capital China, and Tiger Global Management.

    Why is Shein so successful?

    There are numerous reasons for Shein to be counted as a successful firm. Some of the factors responsible for making Shein successful are its effective marketing strategy, customer value, and brand model. Shein values customer satisfaction over profit and is in a give-and-take relationship with its influencers to advertise.

    Is Shein a profitable company?

    Shein does not provide many insights into its financial details. However, with the available information, one can easily estimate that Shein is a profitable company.

  • Zilingo Success Story – How is the Engineering the Future of Fashion?

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Zilingo.

    Like that of so many other sectors, fashion and apparel’s digital transition has advanced dramatically under COVID. This has influenced not just how people engage with brands and merchants, but also how the market runs within, including inventory management, prices, and logistics, as well as production and product design.

    A sector that has always (and continues to be) centred on the foundation of ideas, creative, and innovative expression is now incorporating more technology into the equation, implementing innovation to new levels.

    Zilingo is a B2B technology platform that provides innovative manufacturing, sourcing, and trading technologies to the global clothing distribution chain. It was formed in 2015 to make an interconnected and accessible supply chain approachable to all.

    Here’s the success story of Zilingo that covers all about Zilingo, the Startup Story and Growth of Zilingo, Zilingo Competitors, Zilingo Revenue, Zilingo Business and Revenue Model, and more, you can check ahead!

    Zilingo – Company Highlights

    Startup Name Zilingo
    Parent Zilingo Pte Ltd
    Subsidiaries Zilingo Business
    Industry E-commerce
    Headquarter Singapore
    Founders Ankiti Bose and Dhruv Kapoor
    Founded 2015
    Key People Dhruv Kapoor (Chief Technology Officer), Jim Perry(Chief Financial Officer), Aadi Vaidya(Chief Operating Officer), Marita Abraham(Chief Marketing Officer)
    Areas Served Indonesia, Thailand, Philippines, Hong Kong, Singapore, Australia and the United States
    Website zilingotrade.com

    About Zilingo, and How it Works?
    Zilingo – Industry
    Zilingo – Name, Logo, and Tagline
    Zilingo – Founders and Team
    Zilingo – Startup Story
    Zilingo – Mission
    Zilingo – Business and Revenue Model
    Zilingo – Funding, and Investors
    Zilingo – Acquisitions
    Zilingo – Growth
    Zilingo – Competitors
    Zilingo – Challenges Faced

    About Zilingo, and How it Works?

    Zilingo is a B2B platform that connects all parts of the fashion industry’s supply chain, from raw material suppliers to merchants to buyers. They offer a wide range of technical help, including data science, online platforms, and other virtual services, as well as company sourcing and finance.

    When a small localised store tries to move online or attract more people, they are confronted with several challenges. Funding, technologies, accessibility, and rivalry from more prominent, more established companies also impede them.

    Although their commodities may have unrealised potential on the global market, many merchants find it difficult to make a profit in that environment. When seeking to sell to a statewide or worldwide audience, small businesses sometimes have to go through multiple intermediaries and incur numerous costs. They are losing money because their margins are being stretched. Zilingo focuses on this problem, assisting small enterprises in receiving their due.

    Zilingo is a comprehensive, adaptable platform that helps small businesses increase efficiency and revenue. This service is available to merchants in a variety of nations and brings together a large number of producers and manufacturers.

    Simultaneously, the design, production, and other parts of the final product remain decentralised. Small vendors may be independent and true to their style without paying a listing fee, which Zilingo does not charge its manufacturing workers.

    Their varied staff, decentralised culture, technical innovation, and devotion to assisting smaller businesses set them apart from the competition. They offer a wide range of items obtained from many countries and providers, all of which are supported by this platform. This enables small companies to deal directly with a bigger market, such as brands or other clients, over the internet.

    Products of Zilingo

    Zilingo operates as a technology platform that is empowering the global supply chain. It provides innovative products and trade services to power brands, wholesalers, retailers, distributors, factories and more. Zilingo offers:

    Z Trade – This vertical helps Zilingo to extend the facilities of sourcing custom-made apparel, fabric, yarn and more.

    Zilingo Trade
    Zilingo Trade

    Z Factory – This Zilingo vertical helps Zilingo to let the factories optimise their operations.  

    Zilingo Factory
    Zilingo Factory

    Z Connect – Z Connect of Zilingo offers omnichannel, inventory management and marketing solutions as services.

    Zilingo Connect
    Zilingo Connect

    Zilingo Services

    Zilingo services are:

    Z Marketing – Zilingo offers marketing solutions to help brands maximise their sales. This is done by the in-house experts that Zilingo houses.

    Z Fintech – Z Fintech uses the transaction data to offer companies and individuals better access to capital for the growth of their businesses.

    Z Logistics – Zilingo offers the optimisation services of logistics costs and provides others with the facilities of flexible payments.  

    Zilingo – Industry

    From the development of the needle and thread to the emergence of e-commerce, fashion was always at the leading edge of innovation. Fashion, like technology, is forward-thinking and progressive.

    The fashion industry has been one of the world’s largest, with a market value of more than $3 trillion expected by the end of the decade. Fashion technology is evolving at a quicker rate than ever before. Fashion firms are working with technology suppliers, buying startups, and even developing their technologies to expand their streams of income and marketing strategies.  

    Similarly, the sector is re-evaluating operations across the supply chain in a drive to reinvent itself as it confronts a long-overdue confrontation with its social and environmental consequences.

    With organisations and businesses growing into new sectors of the fashion business, there is a clear trend toward adopting technology to improve the consumer experience. New fibres and mixes are emerging as manufacturing methods improve, allowing for greater product diversification. The fashion industry’s retail sector is putting a lot of emphasis on making the consumer’s buying experience easier and more enjoyable.

    Collaborations are resulting in fascinating new goods by combining the talents of several sectors to develop something efficient and innovative. With a constant stream of new and interesting propelling the fashion industry forward, these unlimited possibilities have more room to grow.

    Zilingo – Name, Logo, and Tagline

    Ankiti Bose and Dhruv Kapoor founded “Zilingo” in 2015, the name being a spin on the term “zillion,” which also means ‘Gift of god.’ Bose got the idea for Zilingo while on vacation in Bangkok and realised that many SMEs lacked an online footprint. Dependability, freshness, and expressivity are all symbolised by the word Zilingo.

    Zilingo Logo
    Zilingo Logo

    Zilingo’s tagline says, “Dare to be Bold”.

    Zilingo – Founders and Team

    Ankiti Bose and Dhruv Kapoor founded Zilingo in 2015.

    Ankiti Bose and Dhruv Kapoor - Founders of Zilingo
    Ankiti Bose and Dhruv Kapoor – Founders of Zilingo

    Ankiti Bose

    Before establishing Zilingo, Ankiti spent three years in management consulting and venture capital at Sequoia Capital and McKinsey & Company. She focused on digital commerce possibilities on digital devices at Sequoia. She worked on strategy and operations in a variety of sectors at McKinsey & Company.

    Ankiti graduated from St. Xavier’s College in Mumbai with a Bachelor of arts degree in Maths and Economics. Ankiti adds a wealth of experience and expertise in the mobile e-commerce market to Zilingo.

    She takes a hands-on, analytical approach to operations and strategy decisions, and she was heavily involved in all the elements of strategic and operational decision-making of the company. She was the CEO of the company before she was ousted from her role in April 2022. Ankiti Bose was associated with financial irregularities of the company and was eventually suspended from her duties for 51 days, and after this suspensation, she was finally terminated.

    Ankiti Bose again has quit the Zilingo board, as of June 30, 2022. She has stated the same from her Instagram handle, adding that the board even failed to show her the reports from Kroll and Deloitte. The firing of Ankiti Bose from the CEO position and this resignation that she brought in to quit the Zilingo board, has two faces. Here, while the board is citing financial irregularities under Bose, Ankiti has brought up harassment complaints to the investors and claims that these were the reasons that changed the board’s mind against her. However, the Zilingo board denied all the allegations of any wrongdoings whatsoever.

    Dhruv Kapoor

    Dhruv Kapoor is an IIT Guwahati alumnus and is known as the CTPO of Zilingo. He worked at the gaming company Kiwi Inc., as a software engineer, before joining Zilingo. Kapoor was a Software Engineer at Yahoo before that.

    Aadi Vaidya, the Zilingo COO, quit Zilingo after 7 years of being with the firm, as of July 30, 2022. Along with talking highly of his tenure with the company, where he learned too many things to sum up in words, Vaidya stated that he is geared up to meet with interesting people, read, travel and re-prioritise. Aadi is now looking to embrace his next adventure.

    The resignation of Aadi comes after Ankiti was separated from the firm in May 2022, and Ramesh Bafna, the CFO of Zilingo, stepped down in the same month. Besides, Naushaba Salahuddin, the head of PR and communications, also quit the beleaguered company in the meanwhile.

    The employee strength of Zilingo now ranges between 201-500 employees, as per its LinkedIn profile.

    Zilingo Shareholders

    Zilingo Shareholding Pattern - Zilingo Shareholders
    Zilingo Shareholding Pattern – Zilingo Shareholders

    Zilingo – Startup Story

    Ankiti was once on a vacation trip to Bangkok with her pals. The majority of the sellers at Thailand’s Chatuchak market came from distant communities miles away. They were unable to market their products on the internet. The main reason is that they lack both technical and economic expertise.

    She chose to do business in Thailand because it could benefit over 8000 small businesses there. She founded Zilingo, one of Southeast Asia’s most popular online platforms. By developing the right customers throughout the world, particularly merchants, obtain larger advantages in their product range.

    Ankiti earned her bachelor’s degree in Economics and Mathematics from St. Xavier’s College in Mumbai in 2012. In 2014, Ankiti met Dhruv Kapoor during a house party. They shared the same talents and abilities, as well as the desire to establish a business by permitting a more inventive technique.

    Dhruv worked as a software developer for a well-known gaming firm, while Ankiti worked as an analyst for Sequoia India. During the party, Ankiti and Dhruv established a deal that allowed the two of them to leave their jobs and start their own business. Both of them quit their jobs within four months to work on Zilingo, a fashion e-commerce technology company.

    Two of them put their resources and savings of around $30,000 into the Zilingo startup concept. The Sequoia company also put money into Zilingo. With its innovative and open-minded founders, Zilingo has had more success. Eventually, Ankiti became the CEO, and Dhruv the CTPO of the company.

    Zilingo – Mission

    Zilingo’s mission is “to provide a platform where thousands of fashion merchants could sell and become part of the digital economy.”

    Zilingo – Business and Revenue Model

    On the back of its robust business model, Zilingo had geared to revolutionize the clothing and accessories industry by assisting small firms in bypassing intermediaries on their journey to a massive internet market. It decided to provide traders with an end-to-end cloud-based platform that not only connected but also provided technical and financial assistance to numerous independent participants.

    The company operates as a B2B platform in the fashion industry that offers small businesses the resources, networking, financial, and technical help they need to interact with other small businesses and their larger client base. To grow their firm, a small retailer or designer can now acquire raw materials from suppliers, manufacturers, and even tech help.

    Zilingo has raised over $347 million in funding and had almost closed in terms of valuation to become one of the Indian unicorn companies, but that didn’t happen ultimately. However, it aspires to become a big player in fashion by building symbiotic connections with small merchants and enterprises since they are committed to enabling small firms in the sector. It wants to become a platform that enables small brands to band together and continue growing, in rivalry with multinational companies.

    The Zilingo revenue model primarily depends on the business-to-business operations that Zilingo does, of matching brands with suppliers. In 2019, the same operations successfully contributed to 80% of the revenues that Zilingo received.  


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    Zilingo – Funding, and Investors

    Zilingo has received 7 funding rounds in total as of June 20, 2022, which might receive yet another funding round worth around $8 mn in equity in tranches to prevent the voluntary liquidation of the company, as stated by the letter that the founders of the company have forwarded the board, according to reports dated June 20, 2022.  

    Date Round Amount Lead Investors
    Jul 1, 2021 Debt Financing $40M
    Dec 5, 2019 Venture Round
    Feb 11, 2019 Series D $226M Sequoia Capital India
    Apr 4, 2018 Series C $54M Burda Principal Investments, Sequoia Capital India, Sofina
    Sep 12, 2017 Series B $18M Burda Principal Investments, Sequoia Capital
    Sep 5, 2016 Series A $8M Sequoia Capital, Susquehanna International Group (SIG), Venture Capital
    Nov 9, 2015 Seed Round $1.9M

    Zilingo – Acquisitions

    Acquiree Name About Acquiree Date Amount
    nCinga nCinga is offer an all-encompassing solution for the apparel, manufacturing and telecommunication industries. Dec 17, 2019 $15.5M

    Zilingo – Growth

    Zilingo has achieved quite a growth since it started. The company has powered innovation for 20,000+ companies worldwide. It even chased the unicorn valuation and reached $970 mn in net worth before the outbreak of the Covid-19 disease. The customers of Zilingo include reputed brands like Flipkart, FirstCry, Myntra, Wrogn, Nykaa, Aditya Birla Group, Radnik, Dressmen, Redwolf and more. Zilingo went from being a company that was all set to raise millions of dollars to one that needs to fight for its survival. Remarking on the same, Ankiti Bose, the Former Founder, CEO, and Board member, said “hundreds of employees and customers are also in a state of limbo and do not have any clarity on their future: just like me.”  

    Numerous media reports stated that the Zilingo company is all set to liquidate in order to pay its creditors off, while Bose has opposed this decision of the board, mentioning that would result in unsettling numerous employees.

    Zilingo – Competitors

    The top Zilingo competitors include:

    • deco network
    • Zalora
    • BlueCherry Suite
    • RLM Apparel Software
    • Printavo
    • ApparelMagic
    • SupplyCompass
    • Sync
    • TRIMIT Fashion

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    Zilingo – Challenges Faced

    Zilingo’s issues began with disorganized management and a lack of transparency in expenditures and quickly escalated into a violent ideological battle between founders Ankiti Bose and Dhruv Kapoor, which risked swallowing the company whole.

    Lack of Proper Software

    In the early days, the capital-intensive B2C vertical and the lack of a software platform for B2B operations led to overpaying on marketing, staff committing fraud, and more.

    The Covid-19 Onslaught

    Zilingo was once a company that was a soonicorn, the value of which neared $970 bn in 2019. However, with the onset of the COVID-19 pandemic, revenues started dipping and layoffs followed. The revenues dropped to 1/3rd of what it was prior to the pandemic period, which was roughly estimated at around $40 mn. Even the Former Co-founder-CEO, Ankiti Bose also took a 30% pay cut as a result.

    Ankiti Bose is believed to have taken legal action against co-founder Dhruv Kapoor and is attempting to purchase back Sequoia’s 26% stake in the firm, notwithstanding her suspension.

    Ankiti Bose and Sequoia’s Shailendra Singh had a personal spat about the direction of the business, capital burn, and the absence of a route to revenue gains, all stemming from the company’s concentration on a rapid expansion that began in 2018. And that unfolded as conflicts between Bose and Dhruv Kapoor, the other co-founder, grew.

    There have also been claims that Kapoor and other top workers at the business concealed sexual harassment reports. Bose is reportedly considering suing Kapoor as well as buying back Sequoia’s investment in the firm.

    It was more like a jigsaw puzzle, with concepts and tactics that lacked practical vision and preparation. In the early years, the digital platform was mostly absent, and Zilingo burned through millions of dollars marketing and promoting the B2C fashion vertical. Founders argued over various ideas and even alleged practises of sexual harassment in the workplace throughout all of this. But now the case against Zilingo is that he committed deliberate fraud. At least, that’s what the board says, but we don’t know what the fraud was, how it happened, or how it escaped the notice of the board and key VCs like Sequoia, Burda, Temasek, Beenext, and others.

    The Zilingo board was already looking forward to a voluntary liquidation of the company, but the founders Ankiti Bose and Dhruv Kapoor have joined hands to make a management buyout offer of the company, as per reports dated June 20, 2022. The letter that was issued by the Co-founder and CTPO of Zilingo Dhruv Kapoor, mentioned that the new investor will infuse $8 mn in equity in tranches. According to this new offer, if the deal comes through, “pursuant to Singapore’s Insolvency, Restructuring, and Dissolution Act, Zilingo will be transferred to the ownership of a newly incorporated entity.”

    A look at how the events unfolded and the firing of the company CEO and Co-founder Ankiti Bose

    If you are wondering how Ankiti Bose was fired all of a sudden, then here’s a look at all the events that happened and led to the eventual firing of the Zilingo CEO Ankiti Bose:

    April 12, 2022 – Ziling shareholders discovered financial irregularities and suspended Ankiti Bose until May 5th. Bose was first called to a meeting dated March 31st, 2022, and was briefed about serious complaints against her, and all about financial discrepancies and mismanagement. Bose, in turn, called the company’s actions a “witch hunt”.

    April 14, 2022 – Shailendra Singh, Sequoia Capital MD stepped down.

    April 19, 2022 – Zilingo Board discussed replacing Ankiti Bose, and talks of the company CFO Ramesh Bafna to be elevated as the CEO circulated.

    May 4, 2022 – The Zilingo Board appointed Deloitte to launch a probe after Ankiti Bose claimed that sexual harassment was an issue after she was suspended. Dhruv Kapoor also penned a note to the employees where he defended the company.

    May 20, 2022 – Zilingo fired Ankiti Bose, and stated that it can also take legal action against her.  

    FAQs

    What does Zilingo do?

    Zilingo is a B2B technology platform that provides innovative manufacturing, sourcing, and trading technologies to the global clothing distribution chain.

    Who founded Zilingo?

    Ankiti Bose and Dhruv Kapoor founded Zilingo in 2015.

    When was Zilingo founded?

    Ankiti Bose and Dhruv Kapoor founded Zilingo in 2015.

    Is Ankiti Bose still the CEO of Zilingo?

    The former CEO-Co-founder, Ankiti Bose was fired by Zilingo on May 20, 2022. So, she is no longer the CEO of Zilingo.

    Why was Ankiti Bose fired by Zilingo?

    Ankiti Bose was sacked by Zilingo board because of financial irregularities noticed in the company in relation to Ankiti Bose.

    What are the Zilingo competitors?

    The main Zilingo competitors are:

    • deco network
    • Zalora
    • BlueCherry Suite
    • RLM Apparel Software
    • Printavo
    • ApparelMagic
    • SupplyCompass
    • Sync
    • TRIMIT Fashion
  • Chappers: Traditional Footwear Brand Through Innovative Indian Craftsmanship

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Chappers.

    Maharashtra has a rich and varied arts heritage. Kolhapuri chappals are one of the most popular hand-made crafts from locally sourced leathers. It has its origin in the Kolhapur town of Maharashtra. Kolhapuri chappals are made from leather using only natural ingredients. They are the best example of ethnic and traditional fashion footwear that are eco-friendly and handcrafted. Startups are taking initiatives with their innovative approach to preserving the ancient craft traditions of India and supporting Indian craftsmanship. Chappers is one of the brands that is reviving craftsmanship in India. They started with Kolhapuri chappal and now bringing a revolution in footwear fashion, especially for men.

    Read the success story of Chappers, its founder, business model, growth, and the challenges it faced in the journey.

    Chappers – Company Highlights

    Startup Name Chappers
    Headquarters Pune
    Industry Footwear
    Founder Harshwardhan Patwardhan
    Founded 2014
    Website chappers.in

    Chappers – About
    Chappers – Founder and Team
    Chappers – The Idea and Startup Story
    Chappers – Name and Logo
    Chappers – Products
    Chappers – Business Model
    Chappers – Revenue Model
    Chappers – Customer Acquisition
    Chappers – Challenges Faced
    Chappers – Growth
    Chappers – Hiring Culture
    Chappers – Funding
    Chappers – Competitors
    Chappers – Future Plans
    Chappers – Tools Used in the Company
    Chappers – Advice from Founder

    About Chappers Footwear Making

    Chappers – About

    Chappers is a men-focused brand. They make footwear for women too but there are bigger issues to solve when it comes to men’s footwear. Chappers aims to solve the following problems in the Indian footwear industry:

    1. Men are taught not to wear good colours. The industry hence makes only black, brown, and grey for them. Those who want to wear colours do not have options.
    2. Custom footwear is often very expensive and unreliable. they want to change that. They give men brilliant quality custom footwear at the right price.
    3. Mass customization would be the norm in a few years. They want to be the brand that revolutionizes the footwear industry.
    4. Footwear and technology usually never go hand in hand. The Indian footwear industry is very unorganized and needs disruption. They have built India’s first virtual customization software where the customer will be able to customize the footwear on large touch screens first, check if it suits their taste, and then place an order for it. They aim to home deliver a custom pair of footwear within 72 hours.
    5. This industry is heavily reliant on inventory. Retailers have to stock up huge number of styles only to know that only a few of them work. Later they have to offer heavy discounts on styles that don’t work. With our model, our franchises will keep only bestsellers in stock and the rest will be custom-made. Since the lead time will be just 72 hours, the customer won’t mind waiting. Plus, the price of the in-stock designs and the custom product will be the same, adding to the value.

    Chappers – Founder and Team

    Harshwardhan Patwardhan - Chappers Founder
    Harshwardhan Patwardhan – Chappers Founder

    Harshwardhan Patwardhan is the founder of Chapppers. He has completed his MSC in management from the University of Nottingham.

    Currently, they are a team of 25 people including a sales team, operations team, accounts team, and a team of expert craftsmen. Each of them has the vision to make Chappers the best footwear brand India has ever seen.

    Chappers – The Idea and Startup Story

    Chappers initially started with a vision to take the Kolhapuri chappal global. Harshwardhan first came across Kolhapuri chappals on his first traditional day in college. His brother gave him ancient-looking chappals to wear under his kurta and he fell in love with them. Since then, there hasn’t been a day that he has not worn a Kolhapuri. But it had certain negatives. It was hard, slippery, and available only in the traditional brown colour. He started wondering if he could change these things. Would people in Europe/Latin America wear this chappal if he worked on the negatives? He started researching and working with different materials and that’s when Chappers was incepted.

    Chappers Logo
    Chappers Logo

    Before the founder even started finding a name for the brand, people had started placing orders, as they found his work interesting and wanted cool-looking-new-age Kolhapuris. He had booked a stall at a flea market in Phoenix Market City, Pune and they asked by what name should they reserve the stall. That night, he chalked out close to 200 names but only 1 stuck. He took “Chapp” from “Chappals” and since I was making them comfortable and in a way westernizing the chappal, he added “ers” to it like Slipp”ers” or Loaf”ers”. He joined them together and it made a very short and sweet brand name “Chappers”. Since the name was coined by Harshwardhan, I had no issues in trademarking and copyrighting it too!

    He asked one of his friends to develop a logo for the startup, based on the concept of taking Kolhapuris global. So, he actually drew a Kolhapuri and fit the font such that “C” was the heel and “S” was the thumb! And he loved it!

    Chappers – Products

    Chappers have now expanded into many different products. After a point the founder realized that his interest lies not only in taking the Kolhapuri global, but also the Indian craftsmanship. They want to start with revolutionizing the Indian footwear industry completely. They design great products and enable the customers to customize it in their own colors. They let them add accessories, their initials on the shoes and try to do all of this in a very reliable way and at the right price. Now, they don’t restrict themselves in terms of the nationality of the products origin or the century it was first made in. They want to build great, innovative products and want people to wear them in their own favorite colors. Imagine if a brand starts giving custom footwear at the right price and in a lead time as low as 2 days, why does the footwear industry need crores and crores of inventory?

    Chappers – Business Model

    Chappers’ business model is very simple. It is a very complicated model to understand for an outsider. But for the customer, it is very simple.

    The customer walks into the store/Kiosk and checks their shoe size by trying on their sizing samples. He then sees two sections – RTW (ready to wear) and customization. If he wants to pick up a pair right away, they have a selection of 25-30 bestsellers in stock at all their stores. But, if he has 2-3 days at hand, he can take a look at our customization section. There, he will see numerous designs in unimaginable colours and material variety. He can touch and feel the product, select the design he likes and then move on to a big touch screen. On the touch screen, through their virtual customization platform, he will be able to change, colours, and materials, add accessories to the design that he selected, and then see how the product looks on his feet with the help of an iPad. He can then place an order. If not, he can just enter his mobile number and the shoe that he designed will be sent on WhatsApp to him for future reference. If he does place the order, the full customized product will reach his home in the next 2-3 working days.

    Now that he knows his size and fit, he can even customize any design on Chappers’ website and place the order from the comfort of his home.


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    Chappers – Revenue Model

    Their policy is to never undercharge or overcharge the customer. Whenever they develop a product, their aim is to provide the maximum value to the customer. They never are cheap nor expensive, they just aim to sell their products at the “right price”.

    For example, if a customer looks at a product and feels that it’s worth Rs.5000, then that product should be priced at Rs.4999. They pay their craftsmen very well. They want to ensure both sides of the supply chain are equally happy with them. The team of craftsmen and employees should be equally happy, hence they do not believe in discount marketing. They make good quality products and expect the right price for them.

    Chappers – Customer Acquisition

    This bit came easy for them. They made the first 100 samples and booked a flea market stall. They sold 90 out of the 100 pairs on the first day!!

    After the first flea market experience, their confidence soared. They started believing in the product even more. But, where they can go to sell every day? They couldn’t get a stall. So, they built a basic website and social media pages. First, the orders started coming in through friends and family and then through their friends and family and the circle grew. Since Pune is a small community-like city. Word of mouth spread fast. Slowly they started getting online orders too. But people always asked one question – where can they come and try the footwear? So, they opened their first store on Karve road, Pune. Their stores are very uniquely designed. Big wooden chair, embroidered carpets, and footwear handled with gloves. Not every footwear store does that. Hence, they immediately got a good response for the store too.

    Chappers – Hiring Culture

    In Chappers, your degree does not count. Whenever they are interviewing, they keep the CV aside and talk to the candidate. They want all their team members to be problem solvers. Good manners and extremely high morals are definitely needed if you want to be a part of the team. Patriotism is also a must if you are to qualify as a team member. People who love India and want to do something for the country have a different outlook towards life, Chappers team wants to work with such people.

    Chappers – Challenges Faced

    When Harshwardhan Patwardhan decided to explore the opportunity, he had no background in footwear or business in the leather industry or retail industry. He is from a transport background as his family is into people and goods transport. He had to learn from scratch.

    Second, the footwear and leather industry in India is very unorganized. There are still many vendors who are not on Google. Additionally, nobody wants to work with a person who is just starting out, has no industry experience, and has no money. From vendors to employees, the founder had rejection all around.

    Duplication has also been one of the major challenges. As they started becoming successful, small factories started copying their products and selling them cheaper. They had to develop a lot of IP surrounding their logo to safeguard themselves from this duplication mafia.

    The INR 2000 and above market is dominated by foreign brands. Unfortunately, we think that foreign brands deserve higher MRPs and our own Indian brands don’t. People have said things like “Indian brand hai na to 1000 tak price thik hai”. Our people take pride in wearing foreign brands and undervaluing Indian brands. Building a footwear brand that does not have a single product priced under Rs.2000 is definitely a tough path under current circumstances. But they believe in India, they believe in their products and they believe in the future. This keeps them going.

    Chappers – Growth

    Right now, they have four stores in Pune and they deliver across India when ordered online. They have even delivered orders to 27 foreign countries. Chappers’ revenue is around 2.5 crores and they have approximately 27,000 customers to date. Their returning customer rate is 40% which is pretty high for a footwear brand.

    Chappers – Funding

    Fortunately, till now they have always been profitable and self-sufficient. Even during the pandemic, they had to modify a lot of systems and cost structures but they strived and remained profitable. They will start looking for funding this year as they think now their business model is well evolved and they are aware of what has worked for them and what has not. The new model can truly revolutionize the entire footwear industry and they will come out on top. If they stick to the plan and keep capturing their goals, they think they can be the Zomato of footwear.

    Chappers – Competitors

    Their perspective and attitude are a lot different from other local brands. They do not believe in the fact that they can sell whatever they make. They think that the customer is always aware of the latest trends and just needs some help in imagining stuff. Its job as a brand is to help its customers imagine newer things and they do so by giving them a platform to play around on. They can play around and find out what colours they like the most, and which designs suit them the most. Usually, retailers dictate what you should wear. They tell customers why they can’t wear a yellow chappal or a red shoe. They do so because they don’t have a yellow chappal or a red shoe to sell. But they can make a yellow chappal, a red shoe, and a gold sandal!! So, for the initial few years, competitors never took Chappers seriously, only when they realized that people actually want to wear these colours, did they start thinking about developing such products. They want to make competition irrelevant with their new model. Can established footwear brands give each customer a custom pair? The answer is they cannot. Because they have huge factories to feed. They love making 1 lakh black shoes. Chappers don’t.


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    Chappers – Future Plans

    They are currently trying out a kiosk franchise model. They have Kiosks at Pune’s Pavilion mall and at Seasons mall Magarpatta. A kiosk franchise would give a better return on investment to the franchise owner as the expenses are much lower. Plus, since the majority of the orders are custom-made, its inventory requirement automatically comes down. If there’s a Chappers Kiosk in all malls of India, they will get thousands of custom orders every day. Imagine what that will do to brands that say no to customization. They think they are in a world where people buy ready products just because there’s no choice. If they have a choice at the right price, very few people will buy ready products. They want to create an environment in which other brands want to join. This will be true change.

    Chappers – Tools Used in the Company

    Technology is their backbone. They prefer to use easily readily available software around difficult business systems. That somehow makes the job easy. Of course, they have developed their proprietary Virtual Customization software ourselves. That they would always keep with them as it’s one of the key features of their new business model. They are continuously working on it and want to ensure they constantly keep adding new colors, materials, and products for their customers.

    Chappers – Advice from Founder

    Harshwardhan Patwardhan, Founder of Chappers:

    I think starting early is essential. The amount of learning I got from starting Chappers, no university or degree can give me. Instead, I would encourage the next generation to go explore the world, take a one-way ticket and go on a solo trip to advanced countries. Once we get that exposure, we always get a different perspective. We always try to improve our country that way and I think that’s the most important job any human can do. I would skip the college degrees and I would take up internships in global companies. I would be able to absorb their culture and their know-how. That would take me a million steps ahead of the game.

    I would also start reading earlier. I hated reading my entire childhood, partly because I was never good at studies, but partly also because I never tried enough. I think reading takes you in minds of the people you cannot physically reach. One of the first books I completed was “Screw it lets do it” by Sir Richard Branson. Sir Richard has been my idol since then and I have truly tried living his principles. I have failed at many of them, but while trying them out, I became a better person. Books are priceless.

    FAQs

    When was Chappers founded?

    Chappers was founded in 2014 in Pune.

    Who is the owner of Chappers?

    Harshwardhan Patwardhan is the founder of Chappers.

    What is Chappers famous for?

    Chappers is a Men-focussed Indian footwear brand popular for Kolhapuri Chappals.

  • Moha by Geetanjali – Designer Silver Jewelry Brand Keeping up the Traditional Aesthetics

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by MOHA.

    Silver is renowned for its spiritual properties. The scientific facts also prove that there are incredible health benefits of wearing silver jewelry. Silver metal is quite malleable, lustrous, and soft. Its properties of being high lustrous and reflective make it perfect for jewelry. It can be molded into beautiful designs and are can be carried with elegance. Silver Jewelry is no less than a style quotient. It can be seen in the statistics for the demand for silver jewelry. The demand for silver amounted to 1.8 thousand metric tons in 2021.

    MOHA is a designer silver jewelry brand founded by Geetanjali Gondhale. Read the startup story of MOHA by Geetanjali, its vision, business model, and more.

    MOHA – Company Highlights

    Startup Name MOHA
    Headquarters Thane, Mumbai
    Industry Fashion Jewelry
    Founder Geetanjali Gondhale
    Founded 2014
    Website mohabygeetanjali.com

    MOHA – About
    MOHA – Vision and Mission
    MOHA – Industry
    MOHA – Founder and Team
    MOHA – The Idea and Startup Story
    MOHA – Name and Logo
    MOHA – Products
    MOHA – Business Model
    MOHA – Customer Acquisition
    MOHA – Promotions
    MOHA – Challenges Faced
    MOHA – Achievements
    MOHA – Work Culture
    MOHA – Competitors
    MOHA – Future Plans

    MOHA – About

    Moha is an 8-year-old designer silver jewelry brand with the vision of making ethical jewelry using natural materials. At Moha, they sync with the ever-changing market demands and abreast with every woman’s changing lifestyles along with modern sensibilities and traditional aesthetics. We blend tradition with research and innovation with a promise to create and deliver unique designs.

    Moha is a trendsetters in its journey. We have revived a few product segments like Silver Bugadis, Ear Cuffs, and Trendy Nath’s for everyday use. These were instant hit which was then followed by a lot of other brands.

    At Moha, they believe in telling stories with our designs. They choose topics and motifs which tell stories and stir nostalgia. Their constant effort to reach their ideal consumer has led to a lot of modification and adaptation in jewelry forms.

    There are some practical aspects to the silver jewelry market. The market is mostly under a very unorganized sector with very few trusted brands that can be hand-counted. Moreover, very few designer brands sell customized unique silver jewelry against the readymade traditional pieces available in the market.


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    MOHA – Vision and Mission

    Moha’s vision is to enable women to be confident and beautiful and connect emotionally. They aim to craft environmentally sustainable luxury designer jewelry.

    MOHA – Industry

    Silver jewelry consumption in India has increased to INR 5 billion and is expected to grow over INR 6.1 billion by 2021. Silver in India comes next to gold in the jewelry buying preferences of Indians. With the current downward spiral of the gold jewelry market due to high prices, silver is the newfound love of Indians. The shiny metal has been able to hold its price and even seen appreciation at a time when gold has been continuously losing shine for the past 2-3 years.

    Silver jewelry exports have witnessed a sharp increase in the last few years due to rising overseas demand. This has helped the Indian industry to cater to bulk export orders from overseas markets. With an uptick in the jewelry designing skills in the country, orders have been flowing in from overseas buyers. These were earlier going to manufacturers in Italy and other countries. The Indian market is also very competitive as the manufacturing cost is 40% lower here.

    MOHA – Founder and Team

    Geetanjali Gondhale is the founder of MOHA. She is the Chief Designer and CEO of the Silver jewelry startup.

    She has completed her BCom. She has attended IIMB Goldman Sachs 10K fellow, ISB 10k Ambassador program. She is a passionate designer. She has earlier worked for Tata Communications and Newtons Apple.

    For the first 2 years, she was doing it all alone but now there is a team of around 13 people in and out of the office and 6 people who are a part of the workshops they hold. Moha team consists of people who are well dedicated and help to bring the startup vision into the real world.

    MOHA – The Idea and Startup Story

    The brand Moha was conceptualized and initiated in Goa. Whenever Geetanjali wanted to buy silver jewelry, she would tirelessly roam around to find that perfect piece and then think about how she would have made a more beautiful design out of it. She was always passionate about craft and wanted to do something like that. Thus, the idea of crafting designer silver jewelry took shape. However, she wasn’t aware of what exactly needed to be done in this direction. At that point, she had no answers to even simple questions such as how to make the jewelry, procure raw materials or find buyers. It took 2 years of research and hard work to learn the nitty-gritty. Her determination and perseverance led her to several people who helped her answer her queries and achieve design and manufacturing consistency in Moha.

    She wanted the name and logo to stand out and have a story behind them. “Moha” comes from the name of the tree mostly worshipped by various tribes in India like the Kalpavriksh. It caught her attention because of its aesthetic. The jewelry they possess is also unique from what we wear. It speaks about their tradition and ethnicity. The word Moha means desire and who wouldn’t want to look desirable or indulge in some Moha-Maya?

    MOHA – Products

    Moha Silver Jewellery
    Moha Silver Jewelry

    MOHA is a brand that creates silver jewelry and design various ornaments right from scratch. The process is simple but definitely nerve-racking. Initially, they pick up on a theme that could be based on inspiration or motives. This includes a lot of research and studying various intricacies. They draw up designs and once finalized, these are rendered and made into master files. Once that is done, a step-by-step routine of molding and amending is followed. This is the process they follow to make a variety of jewelry.

    Moha is different from its competitors due to various factors. First, they love designing patterns and drawing up sketches for jewelry. Second, no one feels complete without jewelry since it’s an essential accessory. What makes Moha products unlike any other is that you blend with its uniqueness.

    MOHA – Business Model

    It’s a very basic and to-the-point business model. They make aesthetic and beautiful jewelry and sell it directly to the customers and make sure they love it!


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    MOHA – Customer Acquisition

    Getting the first 50 customers for your startup is a bliss! The hacks we used to acquire their first user and then customers were mostly from Facebook. Social media really helps your business to take off. The first 50 customers were mostly friends and well-wishers who were happy to support what the founder was doing. During the initial month, Geetanjali got the opportunity to participate in the Saturday night market in Goa where her designs were appreciated by many people. It gave her confidence and made her realize that people like what she is doing and so, why not continue with what makes her happy!

    MOHA – Promotions

    MOHA started participating in Group Exhibitions in different cities, but the crowd was too distracted by other brands. Their attention span towards Moha was diluted. Then they decided to do solo exhibitions and promote it through Facebook and local newspapers which helped us to create curiosity around the brand and its recognition. They always wanted people to take the brand seriously, so they put in all their efforts on that. Right from professional shoots to maintaining the quality of each piece coming out of the furnace, everything was thought through and serious efforts were taken to execute it.

    MOHA – Challenges Faced

    Learning the process of making jewelry was a difficult task since the founder doesn’t come from this background. It was a bit of a struggle to understand the basics. Another hurdle that she faced was getting the designs from paper to metal, it took a lot of effort to learn the process and find the right people to do it. It was difficult but not impossible. Mistakes were made; problems took place but that’s how you grow. In her Moha startup journey, she came across a few nice people who liked her ideas and designs and shared their knowledge of “How to”. This is how she was able to learn the process from start to finish.

    MOHA – Achievements

    They do a lot of theme-based design collections. They started with a collection; a series dedicated to the love of Goa. The designs were based on the pre-Portuguese aesthetics of Goa. People loved it and this gave them the confidence to do more including designs inspired by Harappa, Gunjan, Kosh, Ashtamangal, Maheshwar, Sanchi, etc. More concepts are currently in the pipeline.

    MOHA is a bootstrapped company and would like to remain so. The growth of startup is an achievement as well. She started this jewelry business alone and have a good team now. They love designing as much as she does. Above anything, the most important achievement is that we are making beautiful, appealing, and decorative jewelry.

    MOHA – Work Culture

    Since it’s a small company, they have focused on creating a very homely environment. The work culture is such that nobody takes it as a tedious job. They have the passion and the thrill to design jewelry and understand exactly what is being looking for. Majority of the workforce is women, which gives a sense of empowerment. They share a common love for many things such as food. To build motivation for the team, they arrange outdoor activities and the amount of fun therein truly makes it feel that the team is the perfect fit for Moha.

    MOHA – Competitors

    Competition is always healthy since it keeps us on our toes and pushes us to come up with original ideas. There are a few players that have helped MOHA to go beyond limits such as CaratLane, Amrapali, and Quirksmith who create and design beautiful silver jewelry. Their competitors motivate them to bring the A-game.

    MOHA – Future Plans

    As of now, they expect the team and the business to gradually grow.  The future plan is to see the sales and inventory on an upward trajectory. They are learning as they grow.

    FAQs

    Who is the founder of MOHA?

    Geetanjali Gondhale is the founder of MOHA.

    Some of the Popular MOHA silver jewelry are:

    • Earings
    • Necklace
    • Nose Pin
    • Toe Ring

    Who are the competitors of MOHA?

    Some of the top competitors of MOHA are:

    • CaratLane
    • Amrapali
    • Quirksmith

    When was MOHA founded?

    MOHA was founded in 2014 in Thane, Mumbai.

  • Berrylush – Enhancing the Era of Fashion for Women With Its Dresses

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Berrylush.

    We all do love to stay in fashion, right? In the era of the 21st century, the styling trends of the fashion sector are currently dominating the globe more than ever! In this present era, companies are not only controlling the procedure of the people’s dressing sense but also the trends in makeup, fashion, and many more. During the 60s flares weren’t everything but also the particular styling stuff defined an entire generation which is prominent to date. Fashion is very bold and this boldness is reflecting the ongoing generation who are not at all frightened of speaking on their face. It is simply not just a means of clothing but also showcases your personality.

    Berrylush is a company brought into existence, especially for the younger women generations who are concerned more and genuinely about looking good and having fun. Read the Berrylush success story below!

    Berrylush – Company Highlights

    Startup Name Berrylush
    Headquarters Noida, UP, India
    Industry E-Commerce, Fashion, and Textiles
    Founders Alok Paul and Anusha Chandrashekar
    Founded 1st September 2018
    Website berrylush.com

    Berrylush – About
    Berrylush – Industry
    Berrylush – Founders and Team
    Berrylush – Startup Story
    Berrylush – Mission and Vision
    Berrylush – Tagline and Logo
    Berrylush – Business Model
    Berrylush – Revenue Model
    Berrylush – Online and Social Media Presence

    Berrylush – About

    Berrylush is a very inspiring clothing company for women of younger ages looking forward to looking decent and confident. It is quite an affordable clothing company that mainly provides its consumers with the best online shopping experience on the Internet. Their concept is to make females glow with their exotic designed dresses.

    Berrylush – Industry

    The Indian textile marketplace is anticipated to be growing and its worth is gonna rise to $209 billion by 2029! Cotton production is also anticipated to reach 37.10 million bales. The marketplace is additionally anticipated to regain and then grow by 10% to reach $190 billion by 2025-26.

    Berrylush – Founders and Team

    Alok Paul and Anusha Chandrashekar - Berrylush Co-founders
    Alok Paul and Anusha Chandrashekar – Berrylush Co-founders

    Alok Paul and Anusha Chandrashekar are the founders of the company Berrylush.

    Alok Paul

    Alok Paul is presently the co-founder of two different companies namely Berrylush and Prime Seller Hub. Initially, he was an engineer and he worked at companies like Accenture.

    Anusha Chandrashekar

    Anusha Chandrashekar is the co-founder and the CEO of the company Berrylush! She also began her career as an engineer and she worked in companies like Tata Consultancy Services and Deloitte.

    Berrylush – Startup Story

    Alok Paul and Anusha Chandrashekar began the company Berrylush with just four machines and a very little squad. Anusha was an IIM Raipur graduate who always used to be relatively intense about the fashion sector and did dream of running a women’s western wear brand all on her own. And her batchmate, Alok, was enthusiastic about creating eCommerce businesses!

    Both got married to each other and also gave importance to each other’s attention. Soon after the couple inaugurated an online women’s western wear brand Berrylush in Noida, India.

    Berrylush – Mission and Vision

    The mission and the vision of the company Berrylush is to make females feel completely different whenever wearing Berrylush dresses.

    Berrylush Logo
    Berrylush Logo

    The tagline of the company Berrylush is, ‘You are already beautiful. Our mission is to make you feel that way.’

    Berrylush – Business Model

    Berrylush business model is an asset-light model! The brand has got just two destinations situated in Noida which is an office and a manufacturing department which has got around 120 machines within. There are 14 regional fabricators who manufacture solely for the brand Berrylush.

    The clothes are sold directly to the consumers with the help of Myntra which holds around (55 percent of the sales), the official website which holds around (20 percent of the sales), Ajio also holds around (10 percent of the sales), and additionally, others hold (15 percent of the sales).


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    Berrylush – Revenue Model

    Berrylush is an e-commerce brand and hence the term e-commerce makes the concept quite easier for all to understand how the company is earning money. The statistics mentioned above showcases a part and is a simple B2B (Business 2 Business) retail company.

    Berrylush – Online and Social Media Presence

    Berrylush is a very famous name and most of the girls reading this article know quite well about the brand. It is relatively a renowned brand if you are looking forward to online shopping, especially from the platforms of Nykaa Fashion, Amazon, Flipkart, Myntra, Ajio and so on.

    Other than the shopping spaces, Berrylush is actively present on the social media pages of Instagram, Facebook, and also has got its name on various web portals.

    FAQs

    When was Berrylush founded?

    Berrylush was founded in 2018.

    Who is the founder of Berrylush?

    Berrylush was founded by Alok Paul and Anusha Chandrashekar.

    What are the platforms to buy Berrylush dresses?

    Berrylush dresses are sold on different platforms:

    • Berrylush
    • Myntra
    • Nykaa
    • Amazon
    • Ajio
    • Flipkart
    • Poshmark
  • Chanel – Growth Journey of The Centenarian Luxury Fashion Brand

    Company Profile is an initiative by Startup Talky to publish verified information on different startups and organizations. The content in this post has been approved by Chanel.

    The growing appetite for the fashion industry has never settled since the late 1800s. Reports claim that it was the time when the seeds for fashion shows and other fashion events were sowed. Despite all the hardships that unfolded during the early and mid-1900s, the fashion industry continued its uphill path. The industry today is valued at $3 trillion and accounts for 2% of global GDP.

    Chanel is one such luxury fashion company that was established over 100 years ago. Started as a small millinery shop by a fashion designer in 1909, Chanel today has expanded its operation worldwide and has over 20,000 employees. This article covers the success story of Chanel, its founders, competitors and every aspect of this establishment.

    Chanel – Company Highlights

    Company Name Chanel
    Headquarters London, United Kingdom
    Industry Fashion
    Founder Coco Chanel
    Founded 1910
    CEO Leena Nair (Global)
    Website chanel.com

    Chanel – About
    Chanel – Founders and Team
    Chanel – Startup Story
    Chanel – Mission and Vision
    Chanel – Name and Logo
    Chanel – Challenges Faced
    Chanel – Acquisitions & Investments
    Chanel – Growth
    Chanel – Competitors
    Chanel – Future Plans

    Chanel Success Story

    Chanel – About

    Chanel is a luxury fashion brand that was founded by Coco Chanel in 1910. The company was based in France, whereinafter 110 years, the board has decided to shift their global headquarters to London. Chanel deals with luxury clothes, jewelry, perfumes and other fashion goods. This luxury brand mostly focuses on women’s outfits and accessories.

    Chanel serves as a trend-setter in the fashion industry. Coco Chanel, as a fashion designer and a businesswoman, made sure that the elegance of her brand never fades despite world wars and geographical and environmental barriers. Besides the outfits, Chanel is known for its wine, watches, perfumes and skincare products too. The company today operates over 310 boutiques worldwide that are located in opulent communities like airports, extravagant stores, high streets, etc.

    Chanel – Founders and Team

    Founder of Chanel – Gabrielle “Coco” Chanel

    Chanel remains a privately held company owned by the grandsons of Pierre Wertheimer, who was a business partner with Coco Chanel. Here are the founder and other key people associated with Chanel:

    Gabrielle Chanel (Coco Chanel)

    Gabrielle Chanel was the founder of the luxury brand ‘Chanel’. ‘Coco’ was a nickname given to her during her time as a songstress. She was orphaned at a young age. Facing the world on her own since childhood gave her confidence and strength. Coco Chanel’s qualifications as a fashion designer and daring nature aspired her as a successful businesswoman.

    Pierre Wertheimer

    In 1924, Pierre Wertheimer joined hands with Coco Chanel as a business partner for 70% shares in the company. The agreement was that Wertheimer should finance the production and distribution of Chanel’s perfumes. Another person named Theophile Bader was given 20% shares for marketing the same in his departmental stores. Later, Coco Chanel had some disagreements with them and happened to file a lawsuit against Wertheimer. She lost complete control of the company to Wertheimers in 1954.

    Alain Wertheimer and Gerard Wertheimer

    Alain and Gerard are currently the co-owners of Chanel. Alain serves as the chairman of Chanel and Gerard heads the division of Watch. They are the grandsons of Pierre Wertheimer.

    Leena Nair

    Leena Nair is the Global CEO of the brand Chanel. She was appointed to this new role in January 2022. Leena Nair has earlier been a part of Unilever as its Chief Human Resource Officer. She is an Indian and was born and brought up in Kolhapur, Maharashtra.


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    Chanel – Startup Story

    The story of Chanel began in 1910 when its founder Coco Chanel opened a hat store named ‘Chanel Modes’ in a flat in Paris. Etienne Balsan, who was a friend of Coco, helped her with his bachelor’s apartment. Arthur “Boy” Capel, the lover of Coco Chanel, funded her early business. He helped Coco to set up her own stores in Paris. This also helped her to expand the business from only hats to sportswear and other outfits for women. As the business started to grow Coco Chanel kept increasing the outlets and widened her focus on other products like perfumes and jewelry. Her love affairs and loyal friendships helped her succeed in her early stages of Chanel.

    Chanel – Mission and Vision

    Chanel has a mission “To be the Ultimate House of Luxury, defining style and creating desire, now and forever”. The company stood to its mission right from its inception. It created new styles and never compromised with its grandeur and opulence.

    The vision of Chanel is to give worldly experience to the customers through its products that remain timeless. The wearer should enjoy a quality product with utmost comfort is the primary vision of the company.

    Chanel logo
    Chanel logo

    The name of the elegant brand ‘Chanel’ is derived from the founder’s name Coco Chanel. The logo of the company consists of two ‘C’s interlocking each other. This logo was designed by Coco Chanel herself in 1925. There are a couple of reasons being circulated for those two Cs. One reason unfolds is that the Cs stand for the name of its creator Coco Chanel. Another claims that one C represents Coco Chanel and the other stands for Capel (Arthur “Boy” Capel).

    Chanel – Challenges Faced

    As a century-old company, Chanel has faced numerous challenges throughout its journey. Within just four years of seeding the company and one year since it started sprouting, the First World War started. WW1 caused a huge difference in fashion, demand for clothes and scarcity of fabrics and employees. Even the manufacturing units were struck in warzones. This was the major setback faced initially by the company.

    The next challenge arose during the Second World War. Chanel happened to close the doors of its outlets in 1939 following the war outbreak. The doors of Chanel remained closed for years. When she came back into the business in 1954, Coco Chanel and the company had lost their reputation due to her rumoured involvement in the war with Nazis. Also, it was challenging to cope with new generation designers which she eventually did in her 70s.

    The death of Karl Lagerfeld, who was the creative director at Chanel since 1983, created a huge gap in the company’s creative department. His contribution to Chanel was priceless.

    The Covid outbreak stumbled Chanel’s business to a great extent in 2020. The CFO of the company said that the Covid impact on the luxury fashion sector could last up to 2 years and the recovery might take some time.

    Chanel – Acquisitions & Investments

    Chanel has made several investments and acquisitions over the years. Here is the list of those companies that Chanel has invested in:

    Company Name Date of Acquisition/Investment Investment Round Amount
    Arcaea Oct 27, 2021 Series A $78 Million
    P2 Science Jan 29, 202 Series C $12 Million
    Sulapac Dec 11, 2019 Venture Round €15 Million
    Evolved By Nature Jun 12, 2019 Corporate Round
    Sulapac Dec 7, 2018 Funding Round
    Samanta Jul 11, 2019 Acquisition
    Orlebar Brown Sep 30, 2018 Acquisition
    Colomer Leather Group Aug 31, 2018 Acquisition

    Other than the above companies Chanel has acquired a 40% stake in Renato Corti and Mabi. Mabi is a high-end handbag manufacturer and Renato Corti is involved in the leather business. A 34% stake was procured in the lingerie and swimwear manufacturer Grandis. The overall investment had cost $169 Million for Chanel. The company also took over the majority stake in the Italian knitwear company Paima for an undisclosed amount.

    Chanel – Growth

    The growth of Chanel has been consistent and extraordinary. Despite all the hardships, like World Wars, the loss of its founder, the death of the creative director and many more, Chanel kept marching forward by enhancing its existing division and introducing new ones.

    Starting an outlet in an apartment with the help of a friend in 1910, Coco Chanel opened an independent store in 1913. The hat business was extended to sportswear. The number of stores increased along with their product varieties. In 1920, Chanel started the stylish haute couture style of dressmaking. The year 1924 saw the introduction of Chanel’s costume jewelry and signature cardigan jackets followed by the popular Little Black Dress in 1926.

    After a setback during WW2, Chanel came back strong with the introduction of gemstone jewelry and iconic handbags in 1954 and 1955 respectively. After Coco Chanel died in 1971, the company lacked a potential creator and designer. But in 1983, with the addition of Karl Lagerfeld, the Godfather of Fashion, Chanel’s innovation and growth were on an uphill phase. By 1990, Chanel became a popular global luxury fashion brand and still continues to be.


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    Chanel – Competitors

    The following are some of the competitors of Chanel:

    Gucci

    Gucci is an Italian luxury fashion brand founded by Guccio Gucci in 1921. It is one of the top competitors of Chanel. Gucci’s products and services have excellent quality and finish that has a great reception among customers. Though Gucci is 11 years younger than Chanel, they both almost stand beside each other in the competition.

    Louis Vuitton

    Louis Vuitton, popularly known as LVMH, is another French luxury brand similar to Chanel. It was established in 1854 and is one of the leading fashion brands in the world. Louis Vuitton manufactures products for both men and women. The company has set benchmarks for the design and quality in the industry.

    Prada

    Prada was established in 1913 and is known for its leather products and travel and fashion accessories. The company markets its products through its 618 outlets spread across the world and also online. Prada is known for its quality, color and fabrics.

    L’Oreal

    L’Oreal is just a year older than Chanel and was incorporated in France. It is one of the largest cosmetics companies in the world. L’Oreal competes with Chanel through its perfumes and skincare products.

    Chanel – Future Plans

    Chanel is working towards giving its share of contribution against climate change. The chairman of the company. Alain Wertheimer said that the company is shifting plans to go green and use 100% renewable resources in their production by 2025. They have a strategy planned for this and named it Mission 1.5°.

    Chanel has launched a program named ‘Chanel Culture Fund’ to encourage and support creators and artists across the world. This fund is supposed to help organizations and partnerships to conduct programs that promote culture and society. Chanel believes that this program will help them develop international partnerships, which in turn benefits their business.

    FAQs

    Who is the founder of Chanel?

    Gabrielle “Coco” Chanel is the founder of Chanel.

    What business is Chanel involved in?

    Chanel is a luxury fashion company that produces and sells ready-to-wear women’s clothes, perfumes, watches and skincare products.

    Who is the CEO of Chanel?

    Leena Nair has been appointed as the global CEO of Chanel in January 2022.

    Who are the competitors of Chanel?

    Some of the top competitors of Chanel are:

    • Gucci
    • L’Oreal
    • Louis Vuitton
    • Prada