In the coming years, the growth of shirt market will be driven by the young aspiring youth working in corporate sector. At the same time, innovative designs and colour combinations in semi-formal and causal shirt will continue to attract the fashion- conscious consumer…
Indian Fashion Retail
Indian fashion retail is continuously evolving and is expected to grow at a high CAGR of 7.7 percent to reach ₹6,74,037 crore from current market of ₹3,22,209 crore. Domestic fashion retail has been demonstrating high receptivity towards corporatized retail. Government’s efforts to boost cashless transactions and reform indirect taxation with a nationwide unified tax structure, Goods and Services Tax are also is expected to accelerate corporatized retail.
Indian apparel market is witnessing a growing inclination towards western wear and casualwear. Shirtwear is among the high growth categories of domestic apparel market.
Overall Category Sizing and Growth Rate
In 2017, Indian shirt market was estimated at ₹44,830 crore and is expected to grow at a CAGR of 6 percent to become ₹81,578 crore by 2027. Shirts accounts for 12 percent of the total Apparel Market. The men’s shirt holds 82 percent of the total shirts market followed by kids 12 percent and the remaining 6 percent constituted by women shirts market. The men’s shirt market is expected to grow at a CAGR of ~5 percent whereas women’s shirt is expected to grow at a CAGR of ~11 percent and kids shirt at a CAGR of 9 percent over the next decade
Indian apparel market is witnessing a growing inclination towards western wear and casualwear. Shirtwear is among the high growth categories of domestic apparel market.
Men Shirt Market
The men’s shirts market in India is valued at ₹37,132 crore, the largest category among men’s apparel accounting for 28 percent of menswear. Around 40 percent of the men’s shirt market is constituted by formal and semi-formal shirts.
The shirts market is in under transition over the last few years from limited colours and designs to distinct categories of formal and stylish shirts. With evolving consumer preference towards semi-formal and causal look, demand for stylish shirts is growing. Men’s shirts market can be segmented as value, mid and premium/ luxury segment.
Value segment (801-2500) is the major contributor in the men’s shirt segment by constituting 52 percent of the market.
Mid segment has 40 percent share, followed by Premium/Luxury 8 percent.
Women Shirt Market
The women shirt category is relatively a new and small category in women apparel. With a market size of ₹2527 crore, it contributes only 2 percent to the total women apparel which is dominated by women ethnic wear. This category is expected to grow at a CAGR of ~11 percent in the near future owing to increasing women workforce resulting in huge demand of formal shirts and growing demand for western wear among women.
Change in women’s taste and preference has already resulted in creating demand for both formal and casual shirts in Metros and Tier I cities which is expected to see further in the non-metros.
Women shirts market has a major share of economy and mid segment which accounts 36 percent each, followed by super premium 15 percent, premium 13 percent.
Kids Shirt Market
Indian apparel market is witnessing high growth in kidswear segment. Exposure to global fashion trends, rising disposable income of the Indian working class and presence to foreign brands acts as a catalyst for the growth of kids wear market in India.
The current kids shirt market is estimated at ₹5,171 crore growing at a CAGR of 9 percent to reach ₹12,217 crore by 2027. Among Kids shirt market, boys have the majority of the market by constituting 73 percent of the Shirt Market, whereas 27 percent by girls. Economy segment (<300) is the major contributor among Kids Shirts Market accounting for 45 percent, followed by Mid 36 percent, Premium 16 percent and Super
Premium 3 percent.
Branded vs Unbranded
Today, organized apparel retail in India reflects a journey of more than two decades, which has allowed the key players to build product design, sourcing, merchandising and retailing capabilities. It is in this backdrop that the growth of organized apparel retailing in India is poised to be a strong enabler for the growth of branded apparel in India.
In shirts category, the market is witnessing demand of ‘Ready to Wear’ shirts over ‘Ready to Stitch’. This has further resulted in increasing market of branded shirts. In 2017, the share of branded shirts is ~30 percent of the total shirts market.
Denim Shirts
The Indian denim market is exhibiting continuous growth over the years. With new technologies, trends and higher market reach, this sector has promising growth potential. Even in rural areas, denim is becoming highly fashionable with men and teenager girls opting denim wear over traditional outfits.
Denim shirts are becoming a popular category among the youth. But in India, denim shirts are estimated to hold 1 percent of the total shirts market worth ₹448 crore.
In shirts category, the market is witnessing demand of ‘Ready to Wear’ shirts over ‘Ready to Stitch’. This has further resulted in increasing market of branded shirts. In 2017, the share of branded shirts is ~30 percent of the total shirts market.
Market Trends & Consumption Trends
The shirt market in India has evolved as a category as a whole. The shirts, which were earlier only considered as formal wear transformed themselves into a whole new segment in last few decades. Shirts, which were earlier predominantly owned by men are now witnessing huge demand from women as well. Increasing participation of women in the workforce and their change in demand and preferences are key factors driving demand for shirts among women.
Certain Market Trends in Shirt market can be enumerated as follows:
- Demand of Personalised Shirt Due to Customisation: The shirt market is witnessing demand of personalised shirts due to increased demand of customised shirts. The retailers have brought in various size segments to cater various demographics.
- Increasing Demand of Casualization in Indian Shirt: In line with global trend of casualization Indian shirt market is anticipated to witness higher growth for semi- formal shirts compared to formal shirts. Consequently, semi-formal shirts have gained popularity, resulting from its attributes of classic and causal look.
- Shift from Ready to Stitch towards Ready to Wear Shirts: The conventional trend of buying fabric and getting shirt stitched from tailor has gradually reduced. The Indian populace has shown high acceptability ready to wear shirts rather than going for fabric. Value brands and private labels catering to this segment have grown rapidly as the consumers’ awareness of brands has increased substantially.
- Increasing Acceptance of Unconventional Designs, Colours, Fabric etc.: The shirt market in India has witnessed several fashion trends and fashion fads in fabric, style and design. Shirt market has witnessed diversification in terms of colour and fabrics. Retailers today provide customer with wide range of choices in colours, styles and patterns. There is growing market for linen shirts; the demand for linen shirts has grown in past few years.
Conclusion
In the coming years, the growth of shirt market will be driven by the young aspiring youth working in corporate sector. At the same time innovative designs and colour combination in semi-formal and causal shirt will continue to attract the fashion-conscious consumer to consider semi-formal shirts and causal shirts as an alternative to formal shirts. Women’s shirt market is also expected to witness a surge in demand due to increasing participation of women in workforce. Retailers have tremendous opportunity to cater kids segment as it provides ample scope and opportunity. The shirt market in India has huge scope for brands and retailers provided they manage to cater to the ever- changing fashion requirements of both formal and semi-formal
shirt customers.
