India Apparel Retail 46386

MarketLine Industry Profile
Apparel Retail in
India
September 2016
Reference Code: 0102-2005
Publication Date: September 2016
WWW.MARKETLINE.COM
MARKETLINE. THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED
India - Apparel Retail 0102 - 2005 - 2015
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EXECUTIVE SUMMARY
Market value
The Indian apparel retail industry grew by 10.9% in 2015 to reach a value of $44.2 billion.
Market value forecast

In 2020, the Indian apparel retail industry is forecast to have a value of $80.4 billion, an increase of 81.9% since 2015.
Category segmentation
Menswear is the largest segment of the apparel retail industry in India, accounting for 41.9% of the industry's total value.
Geography segmentation
India accounts for 9.6% of the Asia-Pacific apparel retail industry value.
Market rivalry
The presence of strong incumbents and relative lack of diversification in this market increase the competition between
players.

TABLE OF CONTENTS
Executive Summary......................................................................................................................................................... 2
Market value ................................................................................................................................................................ 2
Market value forecast .................................................................................................................................................. 2
Category segmentation ............................................................................................................................................... 2
Geography segmentation ............................................................................................................................................ 2
Market rivalry ............................................................................................................................................................... 2
Market Overview.............................................................................................................................................................. 7
Market definition .......................................................................................................................................................... 7
Market analysis............................................................................................................................................................ 7
Market Data ..................................................................................................................................................................... 8
Market value ................................................................................................................................................................ 8
Market Segmentation ...................................................................................................................................................... 9
Category segmentation ............................................................................................................................................... 9
Geography segmentation .......................................................................................................................................... 11
Market distribution ..................................................................................................................................................... 12
Market Outlook .............................................................................................................................................................. 13
Market value forecast ................................................................................................................................................ 13
Five Forces Analysis ..................................................................................................................................................... 14
Summary ................................................................................................................................................................... 14
Buyer power .............................................................................................................................................................. 15
Supplier power........................................................................................................................................................... 16
New entrants ............................................................................................................................................................. 17
Threat of substitutes .................................................................................................................................................. 19
Degree of rivalry ........................................................................................................................................................ 20
Leading Companies....................................................................................................................................................... 21
Future Retail Ltd. ....................................................................................................................................................... 21
Lilliput Kidswear Limited ............................................................................................................................................ 22
Marks and Spencer Group plc ................................................................................................................................... 23
Trent Limited.............................................................................................................................................................. 26
Macroeconomic Indicators............................................................................................................................................. 29

Country data .............................................................................................................................................................. 29
Methodology .................................................................................................................................................................. 31
Industry associations ................................................................................................................................................. 32
Related MarketLine research .................................................................................................................................... 32
Appendix........................................................................................................................................................................ 33
About MarketLine ...................................................................................................................................................... 33

LIST OF TABLES
Table 1: India apparel retail industry value: $ billion, 2011–15........................................................................................8
Table 2: India apparel retail industry category segmentation: % share, by value, 2011–2015 .......................................9
Table 3: India apparel retail industry category segmentation: $ billion, 2011-2015.........................................................9
Table 4: India apparel retail industry geography segmentation: $ billion, 2015.............................................................11
Table 5: India apparel retail industry distribution: % share, by value, 2015 ..................................................................12
Table 6: India apparel retail industry value forecast: $ billion, 2015–20........................................................................13
Table 7: Future Retail Ltd.: key facts............................................................................................................................. 21
Table 8: Lilliput Kidswear Limited: key facts..................................................................................................................22
Table 9: Marks and Spencer Group plc: key facts.........................................................................................................23
Table 10: Marks and Spencer Group plc: key financials ($)..........................................................................................24
Table 11: Marks and Spencer Group plc: key financials (£)..........................................................................................24
Table 12: Marks and Spencer Group plc: key financial ratios .......................................................................................24
Table 13: Trent Limited: key facts ................................................................................................................................. 26
Table 14: Trent Limited: key financials ($).....................................................................................................................27
Table 15: Trent Limited: key financials (Rs.) .................................................................................................................27
Table 16: Trent Limited: key financial ratios ..................................................................................................................27
Table 17: India size of population (million), 2011–15 ....................................................................................................29
Table 18: India gdp (constant 2005 prices, $ billion), 2011–15 .....................................................................................29
Table 19: India gdp (current prices, $ billion), 2011–15 ................................................................................................29
Table 20: India inflation, 2011–15 ................................................................................................................................. 30
Table 21: India consumer price index (absolute), 2011–15...........................................................................................30
Table 22: India exchange rate, 2011–15 .......................................................................................................................30

LIST OF FIGURES
Figure 1: India apparel retail industry value: $ billion, 2011–15 ......................................................................................8
Figure 2: India apparel retail industry category segmentation: $ billion, 2011-2015 .....................................................10
Figure 3: India apparel retail industry geography segmentation: % share, by value, 2015 ...........................................11
Figure 4: India apparel retail industry distribution: % share, by value, 2015 .................................................................12
Figure 5: India apparel retail industry value forecast: $ billion, 2015–20.......................................................................13
Figure 6: Forces driving competition in the apparel retail industry in India, 2015..........................................................14
Figure 7: Drivers of buyer power in the apparel retail industry in India, 2015 ...............................................................15
Figure 8: Drivers of supplier power in the apparel retail industry in India, 2015............................................................16
Figure 9: Factors influencing the likelihood of new entrants in the apparel retail industry in India, 2015......................17
Figure 10: Factors influencing the threat of substitutes in the apparel retail industry in India, 2015 .............................19
Figure 11: Drivers of degree of rivalry in the apparel retail industry in India, 2015 .......................................................20
Figure 12: Marks and Spencer Group plc: revenues & profitability ...............................................................................25
Figure 13: Marks and Spencer Group plc: assets & liabilities .......................................................................................25
Figure 14: Trent Limited: revenues & profitability ..........................................................................................................28
Figure 15: Trent Limited: assets & liabilities ..................................................................................................................28

MARKET OVERVIEW
Market definition
The apparel retail market includes baby clothing, toddler clothing and casual wear, essentials, formalwear, formalwear-
occasion, and outerwear for men, women, boys and girls; excludes sports-specific clothing.
Any currency conversions used in the creation of this report have been calculated using constant 2015 annual average
exchange rates.
For the purposes of this report, North America consists of Canada, Mexico, and the United States.
South America comprises Argentina, Brazil, Chile, Colombia, and Venezuela.
Europe comprises Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Greece, Ireland, Italy,
Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden, Switzerland, Turkey, and the United Kingdom.
Scandinavia comprises Denmark, Finland, Norway, and Sweden.
Asia-Pacific comprises Australia, China, Hong Kong, India, Indonesia, Kazakhstan, Japan, Malaysia, New Zealand,
Pakistan, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam.
Middle East comprises Egypt, Israel, Saudi Arabia, and United Arab Emirates.
Market analysis
The Indian apparel retail industry has seen rapid growth in recent years and is expected to see even stronger growth
towards 2020.
The Indian apparel retail industry had total revenues of $44.2bn in 2015, representing a compound annual growth rate
(CAGR) of 10.1% between 2011 and 2015. In comparison, the South Korean and Chinese industries grew with CAGRs
of 5.2% and 9.6% respectively, over the same period, to reach respective values of $22.7bn and $211.2bn in 2015.
Indian apparel retail is divided between two sectors: organized and unorganized. Sales through the unorganized retail
sector are predominant in India with the organized retail sector being a lot smaller. It is estimated that over 90% of retail
in India is done through the unorganized channel. The potential for huge growth in the organized retail sector leaves a
big potential market for new players to access.
The strong growth in the Indian market is attracting the world's largest apparel retailers. Zara now operates 17 stores in
the country and H&M entered in 2015, opening two stores. This is unlikely to be the extent of their operations in the
country and so the fast fashion model looks set to take hold with retailers that follow that strategy well-positioned to
profit.
The menswear segment was the industry's most lucrative in 2015, with total revenues of $18.5bn, equivalent to 41.9% of
the industry's overall value. The womenswear segment contributed revenues of $16.9bn in 2015, equating to 38.1% of
the industry's aggregate value.
The performance of the industry is forecast to accelerate, with an anticipated CAGR of 12.7% for the five-year period
2015 - 2020, which is expected to drive the industry to a value of $80.4bn by the end of 2020. Comparatively, the South
Korean and Chinese industries will grow with CAGRs of 6.0% and 9.8% respectively, over the same period, to reach
respective values of $30.5bn and $336.6bn in 2020.

MARKET DATA
Market value
The Indian apparel retail industry grew by 10.9% in 2015 to reach a value of $44.2 billion.
The compound annual growth rate of the industry in the period 2011–15 was 10.1%.
Table 1: India apparel retail industry value: $ billion, 2011–15
Year $ billion Rs. billion € billion % Growth

2011 30.0 1,926.4 27.1
2012 32.7 2,099.5 29.5 9.0%
2013 36.0 2,310.4 32.5 10.0%
2014 39.8 2,554.4 35.9 10.6%
2015 44.2 2,833.5 39.8 10.9%
CAGR: 2011–15 10.1%
SOURCE: MARKETLINE MARKETLINE
Figure 1: India apparel retail industry value: $ billion, 2011–15

MARKET SEGMENTATION
Category segmentation
Menswear is the largest segment of the apparel retail industry in India, accounting for 41.9% of the industry's total value.
The Womenswear segment accounts for a further 38.1% of the industry.
Table 2: India apparel retail industry category segmentation: % share, by value, 2011–2015
Category 2011 2012 2013 2014 2015

Menswear 42.2% 42.1% 42.0% 41.9% 41.9%
Womenswear 37.8% 37.9% 38.0% 38.1% 38.1%
Childrenswear 20.0% 20.0% 20.0% 20.0% 20.0%
Total 100% 100% 100% 100% 100%
Table 3: India apparel retail industry category segmentation: $ billion, 2011-2015
2011-15
Category 2011 2012 2013 2014 2015
CAGR(%)
Menswear 12.7 13.8 15.1 16.7 18.5 9.9%
Womenswear 11.4 12.4 13.7 15.2 16.9 10.4%
Childrenswear 6.0 6.5 7.2 8.0 8.8 10.1%
Total 30.1 32.7 36 39.9 44.2 10.1%

Figure 2: India apparel retail industry category segmentation: $ billion, 2011-2015

Geography segmentation
India accounts for 9.6% of the Asia-Pacific apparel retail industry value.
China accounts for a further 45.8% of the Asia-Pacific industry.
Table 4: India apparel retail industry geography segmentation: $ billion, 2015
Geography 2015 %
China 211.2 45.8
Japan 80.1 17.4
India 44.2 9.6
South Korea 22.7 4.9
Taiwan 7.2 1.6
Rest of Asia-Pacific 95.7 20.8
Total 461.1 100.1%
Figure 3: India apparel retail industry geography segmentation: % share, by value, 2015

Market distribution
Clothing, footwear & luxury goods specialists form the leading distribution channel in the Indian apparel retail industry,
accounting for a 72.5% share of the total industry's value.
Department Stores accounts for a further 11.8% of the industry.
Table 5: India apparel retail industry distribution: % share, by value, 2015
Channel % Share
Clothing, footwear & luxury goods specialists 72.5%
Department Stores 11.8%
Online Retail 2.8%
Hypermarkets, supermarkets & hard discounters 2.0%
Other 10.8%
Total 100%
Figure 4: India apparel retail industry distribution: % share, by value, 2015

MARKET OUTLOOK
Market value forecast
In 2020, the Indian apparel retail industry is forecast to have a value of $80.4 billion, an increase of 81.9% since 2015.
The compound annual growth rate of the industry in the period 2015–20 is predicted to be 12.7%.
Table 6: India apparel retail industry value forecast: $ billion, 2015–20
Year $ billion Rs. billion € billion % Growth

2015 44.2 2,833.5 39.8 10.9%
2016 49.2 3,153.9 44.3 11.3%
2017 55.0 3,528.3 49.6 11.9%
2018 61.9 3,970.8 55.8 12.5%
2019 70.5 4,517.5 63.5 13.8%
2020 80.4 5,153.2 72.4 14.1%
CAGR: 2015–20 12.7%
Figure 5: India apparel retail industry value forecast: $ billion, 2015–20

FIVE FORCES ANALYSIS
The apparel retail market will be analyzed taking retailers as players. The key buyers will be taken as individual
consumers, and clothing manufacturers and wholesalers as the key suppliers.
Summary
Figure 6: Forces driving competition in the apparel retail industry in India, 2015
The presence of strong incumbents and relative lack of diversification in this market increase the competition between
players.
Demand patterns are susceptible to branding and advertising, which, despite the lack of significant switching costs, tends
to weaken buyer power. However, despite consumers' lack of financial muscle, the position of retailers at the end of the
value chain makes it impossible to integrate forwards. This means that they are obliged to offer buyers what they
demand, in a market often subject to unpredictable and rapid changes in fashion.
There is a degree of forward integration amongst the manufacturers of apparel products. Large companies often
manufacture and retail their own products, with the majority of production sites being located in low-cost countries,
notably in Asia. However, problems related to keeping the production overseas may include: delays, high intellectual
property protection burdens, quality control issues, management overheads, logistics overheads and other hidden costs.
Low barriers to entry and relatively low requirements for capital mean there is a high likelihood of new entrants in this
market.
Substitutes to apparel retail include bespoke tailoring, factory shops, homemade clothing, and second hand clothing,
although these pose a minimal threat to market players.
As consumers place more importance on overall experience, retailers are introducing new attractions to drive visits and
earn more time with their shoppers. Product innovation is constant in the sector and apparel retailers are also
increasingly aiming to establish themselves as “lifestyle brands”. Retailers continue to fine-tune their promotional
strategies, with many relocating their discounted goods by introducing off-price formats.

Buyer power
Figure 7: Drivers of buyer power in the apparel retail industry in India, 2015
Buyer power in the apparel retail industry is weakened by the small size of buyers: virtually all buyers are individual
consumers. What’s more, retailers tend to have large numbers of individual customers, which further weakens buyer
power as the loss of one is unlikely to have a significant impact on revenues. India and China account for about 37% of
the world’s population, which means that the number of buyers is also larger than that of any other region. A large
number of buyers reduces the power of individual consumers considerably.
Despite the fact that brand consciousness in this market is substantial, the loyalty of consumers to specific brands is not
always the overriding factor in their decision making. Buyer power is enhanced by a high level of choice, which is
generated by the absence of switching costs. Brand loyalty within the top end of the apparel retail industry is connected
more with the particular designer than the retailer, although some labels also have their own retail operations. The depth
of price sensitivity varies regionally, although clothes are perceived as closely linked to lifestyle and social status, which
grants retailers the opportunity to influence consumer behavior. There is a large market for non-designer apparel retail,
especially among customers with lower disposable incomes. Customers are also increasingly favoring off-price stores
that offer fashion at an attractive price.
Retailers can differentiate themselves fairly strongly through the styles of clothing offered and the price range of this
clothing, meaning buyer power is weakened. Apparel is an essential item for consumers, and they are significantly
exposed to the penetration of marking icons and images into most forms of media. However, retailers must remain aware
of the developments that shape public perception and subsequent demand.
Despite consumers' lack of financial muscle, the position of retailers at the end of the value chain makes it impossible to
integrate forwards. This means that they are obliged to offer buyers what they demand, in a market often subject to
unpredictable and rapid changes in fashion. These factors strengthen buyer power.
Overall, buyer power is assessed as moderate.

Supplier power
Figure 8: Drivers of supplier power in the apparel retail industry in India, 2015
The key suppliers in this industry are clothing manufacturers and wholesalers. These are typically small to medium sized
enterprises, giving retailers the possibility to source from both. Supplier fragmentation is not as pronounced as in other
countries. Textile and apparel manufacturing are highly vertically integrated industries (more developed regions display a
lesser degree of integration.) With the liberalization of international trade, India has become an important supplier in the
global market. Rising costs and employees' wages in China have led to a boom in Indian production.
The lack of diversity between large numbers of suppliers weakens their power, as the apparel retail industry is highly
important to their business.
Apparel manufacturing is almost always labor intensive, due to the difficulty of automating processes such as the sewing
of garments.
The EU extended the "Zero Duty" benefit to Pakistan under the Generalized System of Preference Plus (GSP+) Scheme
from January 21, 2014. This means duty free exports from Pakistan to the 27 European countries of the EU. This affects
Indian exports of textiles, fabric and yarn to the EU as prices will vary due to the duty differential. India, unlike Pakistan
will continue to pay a percentage on exports of yarn and fabrics to the EU, which reduces the bargaining power of Indian
suppliers.
There is a degree of forward integration amongst the manufacturers of apparel products. Large companies often
manufacture and retail their own products, with the majority of production sites being located in low-cost countries,
notably in Asia. However, problems related to keeping the production overseas may include: delays, high intellectual
property protection burdens, quality control issues, management overheads, logistics overheads and other hidden costs.
Overall, supplier power in this industry is assessed as moderate.

New entrants
Figure 9: Factors influencing the likelihood of new entrants in the apparel retail industry in India,
2015
High GDP growth rates, rising consumer spending and a burgeoning middle class have contributed to the attractiveness
of this market. Barriers to entry are not high, with capital requirements being low enough for individuals to enter.
However, a small number of large corporations, such as Trent and Future Retail, account for a significant share of total
market revenues. They benefit from scale economies that allow them to build brands in multiple retail outlets, and greater
buying power when negotiating with suppliers. The latter allows them to compete more intensely on price.
There is also rising competition from low price retailers, as well as off-price retailing. In order to satisfy demand for
discounted branded products, the brands either overproduce or repeat last year’s designs to ensure the off-price stores
are full. As such players compress consumer prices, traditional retailers will be forced to emphasize low price and low
cost operations. As a result, they will also have to look at their cost structure and decide how to be lean and competitive
in their pricing, staffing, and store count.
Level of government regulation differs from country to country. Some countries have introduced protectionist measures
to support their domestic industries; these include high import tariffs and non-tariff barriers. Such regulations can have a
huge impact on retailers importing their products from foreign suppliers. In other cases, there are trade agreements in
place that allow more apparel into the country at very low prices, increasing imports from the low-cost producing
countries. This in turn forces local producers or other international companies to lower their prices in order to compete,
driving down prices for the entire segment. In India, liberalization of restrictions on foreign investment in single brand
retail is helping the foreign retailers, such as H&M or Inditex, enter the Indian markets by forming joint ventures with local
retail groups.
Low switching costs for buyers and a low level of product differentiation make it easier for new entrants to compete with
existing players. India's apparel retail is divided between two sectors: organized and unorganized. Sales through the
unorganized retail sector are predominant in India with the organized retail sector being much smaller. It is estimated that
over 95% of retail in India is conducted through the unorganized channel. The potential for huge growth in the organized
retail sector leaves a big potential market for players to access. This could lead to a situation where the retail landscape
in India changes considerably. However, with the continued dominance of unorganized retail in India, it remains to be
seen whether organized retail will become the norm for the majority of Indian consumers.

Strong growth in recent years has been driven by a growing young population and greater awareness of western fashion.
Overall, there is a strong threat of new entrants to this market.

Threat of substitutes
Figure 10: Factors influencing the threat of substitutes in the apparel retail industry in India,
2015
While there are no substitutes for apparel as such, there are alternatives to retail. One option is purchasing clothing
directly from the manufacturer as opposed to the conventional distribution chain. This is facilitated by the growth of online
sales. All major apparel retailers now have their own online stores as there is an increased consumer acceptance of the
internet as an alternative shopping channel.
A growing number of ‘pureplay’ online fashion stores have emerged in the market, as they look to take advantage of
lower running costs from not having to pay for the overheads incurred by running a high street store. The online sale
avenue opens the door for manufacturers who may be tempted by the opportunity of selling directly to end users without
the need for the retailer.
Home-made and custom-made (couture) clothing are also niche alternatives to the retail of ready-made clothes.
Counterfeit clothing can also be a significant threat to revenues of manufacturers. Another option is purchasing second-
hand clothing from charity shops and internet sites such as eBay.
The threat of substitutes to the apparel retail industry is assessed as weak overall.

Degree of rivalry
Figure 11: Drivers of degree of rivalry in the apparel retail industry in India, 2015
The Indian apparel retail industry is typically composed of large numbers of similar retailers, many of which are
independents. However, there is still room for large numbers of smaller players in this industry.
Major increases in capacity may be fairly costly to smaller players if they require the outlay of opening additional outlets,
although this may be lessened if it can be accomplished by taking on more staff on a flexible basis.
Retailers continue to fine-tune their promotional strategies, with many relocating their discounted goods by introducing
off-price formats. These new banners or outlet stores attempt to segment shopping occasions by price sensitivity.
However, a challenge with off-price stores is that some customers may switch completely to shopping at the new
concept, which means that retailers are cannibalizing sales rather than growing profitability.
Product innovation is constant in the sector and apparel retailers are also increasingly aiming to establish themselves as
“lifestyle brands”. This trend has manifested itself in new collections like plus size and “athleisure” lines, as well as
fundamentally new categories. While some retailers selling apparel have diversified into the retail of other items, many
retain a strong emphasis on apparel specifically, which intensifies rivalry.
Furthermore, the popularity of Black Friday is also increasing in India. The reason for this is the growing number of e-
commerce websites. e-commerce retailers in India are trying to emulate the concept of shopping festivals from the
United States, such as 'Black Friday', which sees retailers slash prices on a variety of goods including clothing in the run-
up to Christmas. This intensifies rivalry as it grants consumers the chance to switch based purely on price.
Rivalry is assessed as moderate overall.

LEADING COMPANIES
Future Retail Ltd.
Table 7: Future Retail Ltd.: key facts
Knowledge House, Shyam Nagar, Off Jogeshwari Vikhroli Link Road,

Head office:
Jogeshwari East, Mumbai 400 060, IND
Telephone: 91 22 3084 1300
Fax: 91 22 6644 2222
Website: www.futureretail.co.in
Financial year-end: March
Ticker: 523574
Stock exchange: Bombay
SOURCE: COMPANY WEBSITE MARKETLINE
Future Retail Limited (FRL) is an India-based retailer that operates stores in multiple retail formats.
The company's businesses include retail and suppliers.
FRL's retail division operates hypermarket and supermarket, and home solutions retail formats in value and lifestyle
segments. The division's hypermarket and supermarket business is led by Big Bazaar, Fashion@Big Bazaar, Food
Bazaar and Foodhall brands. The company operates around 163 Big Bazaar stores and 186 Food Bazaar stores. The
division's home solutions segment includes HomeTown and eZone. HomeTown is a retail outlet for home-making
solutions. eZone offers national and international consumer electronic and durables brands.
The company's supplier division deals with supply partnerships to provide products and services through collaborative
development and implementation.
FRL's subsidiaries include the following: Future Home Retail Limited, Future Freshfoods Limited, Future Knowledge
Services Limited, Future Learning and Development Limited, Home Solutions Retail (India) Limited, Integrated Food
Park Private Limited, NuZone Ecommerce Infrastructure Limited and Winner Sports Limited.
Key Metrics
The company recorded revenues of INR110,572.4m (approximately $1,812.3m) in the fiscal year ended March 2015.
The company's operating profit was INR1,623.7 m (approximately $26.6m) in fiscal 2015. Its net profit was INR1,529.8m
(approximately $25.1m) in fiscal 2015.

Lilliput Kidswear Limited
Table 8: Lilliput Kidswear Limited: key facts
Head office: D-95, Okhla Phase-1, New Delhi -110020, IND

Telephone: 91 1 16 646 2000
Fax: 91 1 12 681 8282
Website: www.lilliputkids.com
Lilliput Kidswear is a manufacturer and retailer of childrenswear. Lilliput’s retail outlets come in two formats: Lilliput
stores, which carry apparel, footwear products and a limited range of accessories for kids; and Lilliput World stores,
which include a complete range of kid’s products.
Lilliput Kidswear products are sold in 261 exclusive brand outlets, including Lilliput stores, Lilliput World stores and
Lilliput Bazaar, as well as 541 shop-in-shops and 434 multi-brand outlets throughout India.
Lilliput Kidswear currently operates six manufacturing facilities with a total installed capacity of approximately 12 million
garments per annum. These facilities are located in North and South India. All manufacturing facilities are engaged in the
production of clothing for children. Lilliput is also in the process of setting up four new manufacturing facilities in
Khandsa, Manesar, Salem and Noida.
Key Metrics
As a private entity Lilliput Kidswear is not obliged to release its financial information.

Marks and Spencer Group plc
Table 9: Marks and Spencer Group plc: key facts
Head office: Waterside House, 35 North Wharf Road, London W2 1NW, GBR
Telephone: 44 20 7935 4422
Website: www.marksandspencer.com
Ticker: MKS
Stock exchange: London
M&S is the holding company of the Marks & Spencer Group of companies. The company is one of the UK's leading
retailers. M&S offers clothing and home products, as well as food, sourced from various suppliers globally. It operates
through both wholly-owned stores and franchise stores. As of FY2015, the company operated 852 stores in the UK, and
480 international stores in 59 territories across Europe, the Middle East and Asia.
The company operates through two segments based on its geographies, namely the UK and international. The UK
segment consists of the UK retail business and UK franchise operations. The international segment includes operations
of Marks & Spencer owned businesses in the Republic of Ireland, Europe and Asia and its international franchise
operations. Although the company reports its revenues in terms of geographic segments, its operations can be
categorized under two divisions: food and general merchandise.
The food division offers a wide range of food and beverages including sandwiches, cakes, fresh fruits, salads, prepared
meals, wine, beer and champagnes. The company operates a chain of 198 Simply Food owned stores and 306 Simply
Food franchise stores in high streets, motorway service stations, railway stations and airports in the UK.
The general merchandise division offers clothing, including women's wear, beauty products, men's wear, lingerie,
children's wear; and home-related products such as kitchenware, dining room accessories and furniture. The division's
well-known brands include Autograph, Limited Collection, Blue Harbour and Per Una.
M&S offers its products and services online as well as through flagship stores, high street stores, retail park stores, M&S
outlets, Simply Food owned stores, and Simply Food franchised stores.
In addition to general merchandise and food, the company provides financial services, such as credit cards; home and
travel insurance; personal loans; and banking services.
Key Metrics
The company recorded revenues of $16,979 million in the fiscal year ending March 2015, which was within 0.1% of the
revenue in fiscal 2014. Its net income was $801 million in fiscal 2015, compared to a net income of $864 million in the
preceding year.

Table 10: Marks and Spencer Group plc: key financials ($)
$ million 2011 2012 2013 2014 2015

Revenues 16,038.7 16,358.1 16,510.5 16,976.3 16,979.1
Net income (loss) 1,007.7 844.9 746.7 864.2 801.1
Total assets 12,093.0 11,976.5 12,532.0 13,013.3 13,496.0
Total liabilities 7,684.3 7,400.8 8,383.3 8,556.4 8,227.4
SOURCE: COMPANY FILINGS MARKETLINE
Table 11: Marks and Spencer Group plc: key financials (£)
£ million 2011 2012 2013 2014 2015

Revenues 9,740.3 9,934.3 10,026.8 10,309.7 10,311.4
Net income (loss) 612.0 513.1 453.5 524.8 486.5
Total assets 7,344.1 7,273.3 7,610.7 7,903.0 8,196.1
Table 12: Marks and Spencer Group plc: key financial ratios
Ratio 2011 2012 2013 2014 2015

Profit margin 6.3% 5.2% 4.5% 5.1% 4.7%
Revenue growth 2.1% 2.0% 0.9% 2.8% 0.0%
Asset growth 2.7% (1.0%) 4.6% 3.8% 3.7%
Liabilities growth (6.1%) (3.7%) 13.3% 2.1% (3.8%)
Debt/asset ratio 63.5% 61.8% 66.9% 65.8% 61.0%
Return on assets 8.4% 7.0% 6.1% 6.8% 6.0%

Figure 12: Marks and Spencer Group plc: revenues & profitability
Figure 13: Marks and Spencer Group plc: assets & liabilities

Trent Limited
Table 13: Trent Limited: key facts
Trent House, G Block Plot No C-60, Beside Citibank Bandra Kurla

Head office:
Complex, Bandra (East) Mumbai 400051, IND
Telephone: 91 22 6700 9000
Fax: 91 22 2610 6193
Website: www.mywestside.com
Ticker: 500251
Stock exchange: BSE Ltd
Trent, a part of the Tata Group, is engaged in operating a chain of retail stores, hypermarkets and books and music retail
stores. It primarily operates in India.
The company operates retail stores under three brand names: Westside, Star Bazaar and Landmark.
Trent, under Westside brand name, operates around 85 departmental stores measuring 8,000 to 34,000 square feet
across 50 cities in Ahmedabad, Allahabad, Anand, Aurangabad, Bangalore, Bareilly, Bhopal, Bilaspur, Chandigarh,
Chennai, Coimbatore, Dehradun, Delhi-NCR, Goa, Guwahati, Hubli, Hyderabad, Indore, Jabalpur, Jaipur, Jalandhar,
Jammu, Kanpur, Kochi, Kolkata, Kurnool, Lucknow, Ludhiana, Mangalore, Mumbai, Mysore, Nagpur, Nashik, Pune,
Raipur, Rajkot, Sangli, Siliguri, Surat, Trichy, Thrissur, Udaipur, Vadodara, Varanasi, Vijayawada, and Visakhapatnam.
The company, through its Westside stores, offers men's wear, women's wear, kid's wear, footwear, cosmetics, perfumes
and handbags, household accessories, lingerie and gifts.
The company through its Star Bazaar, a hypermarket and convenience store chain, offers products, including staple
foods, beverages, health and beauty products, apparel, home furnishings, vegetables, fruits, dairy and non-vegetarian
products.
Trent, under the brand name Landmark, operates books and music retail chains. Landmark offers various products such
as books, stationery, music related products, greeting cards, stocking curios, toys and other gift items.
The company's subsidiaries include Trent Brands, Nahar Retail Trading Services, Trent Hypermarket, Trent Global
Holdings, and Westland.
Key Metrics
The company recorded revenues of $375 million in the fiscal year ending March 2015, a decrease of 2.1% compared to
fiscal 2014. Its net income was $21 million in fiscal 2015, compared to a net loss of $3 million in the preceding year.

Table 14: Trent Limited: key financials ($)
$ million 2011 2012 2013 2014 2015

Revenues 247.8 302.6 349.7 382.7 374.7
Net income (loss) 1.2 (6.2) (4.4) (3.0) 21.2
Total assets 292.4 330.4 362.4 317.6 362.0
Total liabilities 126.6 138.6 158.8 154.6 128.7
Table 15: Trent Limited: key financials (Rs.)
Rs. million 2011 2012 2013 2014 2015

Revenues 15,109.2 18,448.7 21,320.3 23,329.8 22,842.5
Net income (loss) 74.8 (377.6) (268.3) (185.5) 1,293.3
Total assets 17,823.2 20,144.3 22,091.7 19,360.4 22,065.4
Table 16: Trent Limited: key financial ratios
Ratio 2011 2012 2013 2014 2015

Profit margin 0.5% (2.0%) (1.3%) (0.8%) 5.7%
Revenue growth 137.6% 22.1% 15.6% 9.4% (2.1%)
Asset growth 100.0% 13.0% 9.7% (12.4%) 14.0%
Liabilities growth 20.5% 9.4% 14.6% (2.6%) (16.8%)
Debt/asset ratio 43.3% 41.9% 43.8% 48.7% 35.6%
Return on assets 0.6% (2.0%) (1.3%) (0.9%) 6.2%

Figure 14: Trent Limited: revenues & profitability
Figure 15: Trent Limited: assets & liabilities

MACROECONOMIC INDICATORS
Country data
Table 17: India size of population (million), 2011–15
Year Population (million) % Growth

2011 1,192.5 1.3%
2012 1,208.1 1.3%
2013 1,223.6 1.3%
2014 1,238.9 1.3%
2015 1,254.0 1.2%
Table 18: India gdp (constant 2005 prices, $ billion), 2011–15
Year Constant 2005 Prices, $ billion % Growth

2011 1,326.2 6.6%
2012 1,389.0 4.7%
2013 1,485.7 7.0%
2014 1,595.4 7.4%
2015 1,716.1 7.6%
Table 19: India gdp (current prices, $ billion), 2011–15
Year Current Prices, $ billion % Growth

2011 1,880.1 10.0%
2012 1,858.7 (1.1%)
2013 1,876.8 1.0%
2014 2,045.6 9.0%
2015 2,337.2 14.3%

Table 20: India inflation, 2011–15
Year Inflation Rate (%)

2011 9.1%
2012 10.2%
2013 9.5%
2014 7.7%
2015 7.2%
Table 21: India consumer price index (absolute), 2011–15
Year Consumer Price Index (2005 = 100)

2011 165.8
2012 182.8
2013 200.1
2014 215.6
2015 231.0
Table 22: India exchange rate, 2011–15
Year Exchange rate ($/Rs.) Exchange rate (€/Rs.)

2011 46.8466 65.1733
2012 53.6119 68.6802
2013 58.4859 77.7676
2014 60.9620 80.8938
2015 64.1233 71.1453

METHODOLOGY
MarketLine Industry Profiles draw on extensive primary and secondary research, all aggregated, analyzed, cross-
checked and presented in a consistent and accessible style.
Review of in-house databases – Created using 250,000+ industry interviews and consumer surveys and supported by
analysis from industry experts using highly complex modeling & forecasting tools, MarketLine’s in-house databases
provide the foundation for all related industry profiles
Preparatory research – We also maintain extensive in-house databases of news, analyst commentary, company
profiles and macroeconomic & demographic information, which enable our researchers to build an accurate market
overview
Definitions – Market definitions are standardized to allow comparison from country to country. The parameters of each
definition are carefully reviewed at the start of the research process to ensure they match the requirements of both the
market and our clients
Extensive secondary research activities ensure we are always fully up-to-date with the latest industry events and
trends
MarketLine aggregates and analyzes a number of secondary information sources, including:
- National/Governmental statistics
- International data (official international sources)
- National and International trade associations
- Broker and analyst reports
- Company Annual Reports
- Business information libraries and databases
Modeling & forecasting tools – MarketLine has developed powerful tools that allow quantitative and qualitative data to
be combined with related macroeconomic and demographic drivers to create market models and forecasts, which can
then be refined according to specific competitive, regulatory and demand-related factors
Continuous quality control ensures that our processes and profiles remain focused, accurate and up-to-date

Industry associations
International Textile and Apparel Association
PO Box 70687, Knoxville, TN 37938-0687, USA
Tel.: 1 865 992 1535
www.itaaonline.org
International Apparel Federation
Utrechtseweg 95, 3702 AA Zeist, NLD
Tel.: 31 30 232 09 08
www.iafnet.eu
Related MarketLine research

Industry Profile
Global Apparel Retail
Apparel Retail in Asia-Pacific
Apparel Retail in Australia
Apparel Retail in China
Apparel Retail in Japan

APPENDIX
About MarketLine
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can absorb key facts in minutes, not hours.
What we do
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MarketLine Industry Profile

Reference Code: 0102-2005

Publication Date: September 2016

India - Apparel Retail 0102 - 2005 - 2015

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 1

Market value forecast

India - Apparel Retail 0102 - 2005 - 2015

© MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED Page | 2

Market value ................................................................................................................................................................ 2

Market value forecast .................................................................................................................................................. 2

Category segmentation ............................................................................................................................................... 2

Geography segmentation ............................................................................................................................................ 2

Market rivalry ............................................................................................................................................................... 2

Market definition .......................................................................................................................................................... 7

Market Data ..................................................................................................................................................................... 8

Market value ................................................................................................................................................................ 8

Market Segmentation ...................................................................................................................................................... 9

Category segmentation ............................................................................................................................................... 9

Geography segmentation .......................................................................................................................................... 11

Market distribution ..................................................................................................................................................... 12

Market Outlook .............................................................................................................................................................. 13

Market value forecast ................................................................................................................................................ 13

Five Forces Analysis ..................................................................................................................................................... 14

Buyer power .............................................................................................................................................................. 15

New entrants ............................................................................................................................................................. 17

Threat of substitutes .................................................................................................................................................. 19

Degree of rivalry ........................................................................................................................................................ 20

Future Retail Ltd. ....................................................................................................................................................... 21

Lilliput Kidswear Limited ............................................................................................................................................ 22

Marks and Spencer Group plc ................................................................................................................................... 23

India - Apparel Retail 0102 - 2005 - 2015

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Industry associations ................................................................................................................................................. 32

Related MarketLine research .................................................................................................................................... 32

About MarketLine ...................................................................................................................................................... 33

India - Apparel Retail 0102 - 2005 - 2015

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Table 3: India apparel retail industry category segmentation: $ billion, 2011-2015.........................................................9

Table 4: India apparel retail industry geography segmentation: $ billion, 2015.............................................................11

Table 6: India apparel retail industry value forecast: $ billion, 2015–20........................................................................13

Table 7: Future Retail Ltd.: key facts............................................................................................................................. 21

Table 8: Lilliput Kidswear Limited: key facts..................................................................................................................22

Table 9: Marks and Spencer Group plc: key facts.........................................................................................................23

Table 13: Trent Limited: key facts ................................................................................................................................. 26

Table 14: Trent Limited: key financials ($).....................................................................................................................27

Table 15: Trent Limited: key financials (Rs.) .................................................................................................................27

Table 16: Trent Limited: key financial ratios ..................................................................................................................27

Table 17: India size of population (million), 2011–15 ....................................................................................................29

Table 19: India gdp (current prices, $ billion), 2011–15 ................................................................................................29

Table 20: India inflation, 2011–15 ................................................................................................................................. 30

Table 21: India consumer price index (absolute), 2011–15...........................................................................................30

Table 22: India exchange rate, 2011–15 .......................................................................................................................30

India - Apparel Retail 0102 - 2005 - 2015

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Figure 5: India apparel retail industry value forecast: $ billion, 2015–20.......................................................................13

Figure 14: Trent Limited: revenues & profitability ..........................................................................................................28

Figure 15: Trent Limited: assets & liabilities ..................................................................................................................28

India - Apparel Retail 0102 - 2005 - 2015

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