The Donear Group, a significant entity in India's textile sector, has established a commendable presence over the past four decades. Known for its superior fabrics, the group encompasses several esteemed brands such as OCM, Grasim Birwani Textile (GVTL), Mayur Suitings, Graviera, and a selection of high-end Italian brands. With a turnover approximating Rs 2000 crore, Donear Group stands as a premier lifestyle and fashion house within India.

Offline Distribution

At present, Donear Group's distribution is predominantly offline, with 95 percent of its business conducted through traditional brick-and-mortar stores and multi-brand outlets (MBOs). This vast offline network is crucial in catering to a diverse customer base across India. Key components of its offline strategy include:

Decot Retail Stores: The value retail brand Decot operates over 450 stores in 300 cities across India. This extensive network has been fundamental in establishing Donear's footprint in the offline retail market, significantly contributing to the group's overall revenue.

Donear NXG: Targeting smaller markets, particularly in Tier II and III cities, Donear NXG primarily operates through MBOs, addressing a different segment of the consumer market.

“Our offline strategy is customized to the buying patterns of various regions. The North and West markets are particularly strong for fabric sales, while efforts are ongoing to expand in the East and South markets,” said Aakash Mishra, AVP Marketing, Donear Group.

“India contributes to our business in diverse and unique ways, with Tier II and III cities comprising a significant portion of our market—accounting for 60 to 65 percent of our business. While metropolitan areas have shifted towards fast fashion, we've recently observed an emerging trend that reflects a renewed interest and demand in these regions,” he added.

New Retail Chain In-Line

Donear Group is actively enhancing its offline presence with plans to introduce new retail chains under various segments. Two additional retail chains are set to launch this year, further diversifying the group's portfolio and strengthening its market presence. The first one is ‘Neo Stretch Retail’, focusing on high-quality four-way stretch fabrics.

“The brand, endorsed by Bollywood star Tiger Shroff, will initially be available through company-owned stores (COCO) and eventually expand via franchising models,” stated Mishra.

Online Strategy

While Donear Group's online presence is currently limited, accounting for only 5 percent of its business, significant efforts are being made to enhance its e-commerce capabilities. The group plans to launch an e-commerce platform for its fabric division within the next year, allowing customers to browse and purchase fabrics online. “This initiative aims to tap into the growing market for bespoke tailoring and online fabric shopping,” he highlighted.

Digital-First Approach

Donear Group is also transitioning its marketing strategy to prioritize digital platforms. For the first time, the company is launching a brand (Neo Stretch) with a digital-first approach, avoiding traditional television and above-the-line (ATL) advertising. Instead, the focus is on leveraging music and content to reach a new audience through digital channels.

The launch of Neo Stretch is accompanied by a unique marketing campaign focusing on digital content and music collaborations. This strategy not only promotes the brand but also supports emerging artists, creating a mutually beneficial platform.

“Our goal this year is to leverage music and content to reach a new audience and expand our brand's influence. We aim to release at least four to five music tracks, providing a platform for up-and-coming artists to collaborate with us. By becoming a hub for emerging talent, we aspire to establish ourselves as a premier music and content platform,” noted Mishra.

Leveraging Social Commerce

Recognizing the high open rate of WhatsApp messages, Donear is utilizing the platform for direct communication with customers. This strategy aims to create a more personalized and engaging customer experience.

“Each social media platform is used with a tailored approach, aiming to connect with different audience segments effectively. This includes innovative content and collaborations with influencers and emerging artists to maintain a fresh and relatable brand image,” he said.

Expansion Plans

The group is planning to open experiential stores where customers can receive personalized service, from fittings by expert drapers to experiencing the full range of Donear's fabric offerings. “These stores aim to provide a luxurious shopping experience, enhancing brand loyalty and customer satisfaction,”

While India remains the primary focus, Donear Group also has significant export operations, supplying fabrics to numerous international brands across the US, Europe, the Gulf countries, and Japan.

“Our strategic goal is to establish a global presence, with potential plans to open stores in international markets like the US, showcasing the best of Indian textiles on a global stage,” asserted Mishra.

“Additionally, this year will be particularly exciting as we're set to launch our very own intellectual property. We're also exploring ventures in the music space, possibly even a music festival. We're breaking away from traditional notions of what fabric brands typically do. Our IP event, slated for December 2024, promises to be one of the most glamorous nights of the year, setting a new standard for innovation and style in our industry,” he concluded.