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Branded innerwear is slowly worming its way into the fragmented and unorganised women’s innerwear market. Lovable Lingerie’s ‘Lovable’ (a global brand licensed from Lovable World Trading Co.) holds the largest market share in India in premium innerwear, a high-margin, fast-growing category.

Lovable Lingerie is one of two listed players with a firm footing in this branded market. At Rs 275, the stock trades at 21 times trailing twelve-month earnings, at a big discount to Page Industries’ 40 times. Some discount is justified on account of Page’s bigger product basket and size of operations, but the current valuation gap is wider than the average in the past two years.

This, and the 23 per cent year-to-date dip, make the Lovable stock attractive. Investors with a medium-term perspective and high-risk appetite can buy Lovable, it being a small-cap stock.


In the nascent branded innerwear market, the company has a strong national brand in Lovable, which holds around 28 per cent market share. Competition is restricted to Jockey, which has a larger distribution network. Other brands include Enamor, Triumph, La Senza, and Marks & Spencers but these have a much smaller retail footprint. The Lovable brand is in the premium category, which offers higher margins and faster growth.

That said, the mid-priced segment is a large market where the bulk of consumption lies. Further, with consumer purchases taking a hit with the prolonged high living costs, having a mid-priced range will help Lovable drive volumes and sales.

The company’s offering here is Daisy Dee, which holds good brand recall, especially in the southern markets.

Efforts have been made through increased advertising to cut through the clutter in the mid-priced segment and scale the brand up to a national level.

Besides this, the company has piggy-backed on the Lovable brand, introducing products in this range at lower prices.

Such a strategy could also help capture consumers aspiring to move up into the premium category.


Products are retailed through multi-brand outlets such as Lifestyle and Shoppers Stop, especially for the Lovable brand.

But given the geographical restrictions such a strategy imposes, the company has slowly stepped up retailing through smaller hosiery stores. Lovable is now retailed through about 3,500 outlets, up from half that number two years ago. Daisy Dee’s retail footprint has expanded by over 2,500 in the past two years alone, taking total retail footprint to around 10,000.

While focusing on women’s innerwear alone may appear restrictive, this segment makes up over half the total market, is growing much faster than the men’s segment and also offers higher margins.


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