Trend analysis Brand wise & Segment wise of the Denim Jeans Market

Summer Training Report

At

Submitted to the Punjab Agricultural University in partial fulfilment of the requirements for the degree of

Master of Business Management

By ROHIN ARORA

L-2009-BS-19-MBA

PUNJAB

AGRICULTURAL UNIVERSITY LUDHIANA-141004

JUNE 2010

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ACKNOWLEDGEMENT

I take the opportunity to express my deep gratitude to Malwa Industries Ltd to

taking me as a summer trainee & extending me their full support & co-operation

towards the completion of this project.

First and foremost, I express my deep sense of gratitude to my project guide

Mr. JP Singh (Sr.Mgr Marketing). His helping nature and his enthusiasm has

been source of constant inspiration. His unhitching support during my work is

very admirable. He is the true driving force behind this work throughout,

constantly encouraging me to do my best and inspiring me to aim higher.

I express my gratitude to Dr. Gagandeep Banga, who provide me this training

& give guidelines to complete the project. My special thanks go to my advisor

Dr. Pratibha Goyal for her constant support which has encouraged me to give

my best.

I also would like to thanks my parents and my friends for their constant

blessings, encouragement and cooperation.

Last and but not least, I thank all those numerous who have contribute in their

own way in driving this project to success.

Rohin Arora Dept of business management P.A.U Ludhiana

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ABSTRACT

In this report, I tried to present some information regarding current trends in

denim jeans market. That it will be helpful for the company to forecast the

future trends and to meet its customer demands and needs. The project has been

divided in to two parts:-

In this part various trends of denim jeans of different brands has been

analyzed. For this some top brands are selected and studied Gender wise.

Under this part various aspects are studied as given below:-

To analysis the fits in demand

To study the fabric trends in jeans

To examine different category of washings

Comparative MRPs and their brand wise analysis

Designing & embroidery techniques

To know the likings and buying behavior of the customers.

To determine which variety (FITS) of jeans is preferred by

customers

To assess which brands of jeans are most preferred by consumers

To determine how much a customer is ready to pay for one jean.

-To determine which attribute is preferred most by customers while

buying jeans

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COMPANY PROFILE

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BRIEF PROFILE OF MALWA GROUP

The foundation of Malwa Group (formerly called the VSO Group) was laid by

Late Lala Vidya Sagar Oswal - a visionary known as much for his perspicacity and

sharp business acumen as for his philanthropic pursuits. Driven by a strong desire

to achieve what few in his day & time could have dreamt of, he sowed the seeds

of the textile powerhouse that Malwa has come to be today, built around the

cornerstones of Dedication to Work, Excellence in Product quality & Work

Practices, Commitment to its Customers and Daring to think beyond the ordinary.

Today, after having been in existence for seven decades, Malwa Group has become

an over 10,000-member strong Institution.

The Group is fully integrated in Textiles with interests in Ginning, Spinning,

Weaving, Processing and Garmenting, and thereby being one of the biggest

Textile Conglomerates in the Country.

Further, in line with the Vision of its founder, Malwa Group also runs India’s

second largest charitable Cancer Hospital.

Malwa Cotton Spinning Mills Ltd., the flagship Company of the Group was set

up in 1976. Malwa Cotton Spinning Mills Ltd or MCSML is among the top ten

textile mills in the Indian sub-continent Today, MCSML has a total spinning

capacity of 1.5 lac ring spindles and produces about 77 tonnes of yarns per day.

The Company also started manufacturing Sewing Threads and it has already

garnered sizeable market share.

Another Group Company, Oswal Knit (I) Ltd., established in 1992, is the market

leader for winter wear in the premium segment. The Garment Company is the sole-

licensee in India for manufacturing and marketing of the well-known International

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Brand ‘Pringle of Scotland’, in India since 1994. The Company has been

successful in making it the most exclusive Brand in the Country. The Company

also owns the well-established Brand name in Sweaters--‘Casablanca’, which too

is one of the topmost Brands in the Country.

In 1997, Mr. Rishi Oswal, the scion of the Oswal family and the Managing

Director of Malwa Industries Limited started the denim manufacturing facility in

response to the increased market demand for Jeans in the 1990's. Commercial

operations started in FY97-98 and since then the company has been growing at a

fast pace. Malwa's premier denim manufacturing plant is located at Ludhiana in

the Punjab region, the heart of the Indian cotton producing belt. Its operations span

India (where it is headquartered), Jordan & Italy. Through these operations, its

products are exported to over 40 countries worldwide. With Quality certifications

such as the ISO9001:2000, ISO14001:2004 the name Malwa has, today, become

synonymous with superlative quality & product excellence. In recognition of its

excellent track record in Exports, it has been honoured with Export Performance

Awards by the Govt. of India in recent years. MIL achieves a current production

capacity of 20 million meters of denim fabrics & 4.50 million pairs of Jeans

annually.

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ABOUT THE MANAGEMENT

The Company is being managed under the able and dynamic leadership of Sh.

Rishi Oswal, Mg. Director, who has an experience of more than 12 years in the

Industry. The operations are being overviewed by Sh. Jangi Lal Oswal, Chairman

of the Group, who has more than 30 years of experience in the Industry.

The Company’s Board comprises of 8 Directors on its Board, out of which, 4 are

independent Directors who are professionals and/or technocrats including 2 as

Institutional Nominees and only 3 are from the family.

A team of well-qualified and vastly experienced professionals in the field of

Technical, Marketing, Finance and HR are supporting the top management and

constantly striving to achieve Excellence.

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ABOUT THE PRODUCT

Denim is one of the world’s oldest fabrics. From the 17th century to the present,

Denim has been woven, used and discarded, made into upholstery, pants and

garments, found in museums, antique stores and archaeological digs, worn as the

fabric of hard & honest worker and also used for the sailors of Columbus’ ships in

legend. Legend and fact are also interwoven when scholars discuss the origin of the

name of Denim. Most reference books say that Denim is an English corruption of

the French ‘serge de Nimes’, a serge fabric from the city of Nimes in France.

Hence, born in Europe, Denim’s function and adaptable form found a perfect home

in America that today is biggest consumer of Denim in the world. Denim today is

being used in various designs and weaves using various blends of yarns and these

innovations in Denim are believed to be keeping the fabric eternally young.

Independent estimates put the global consumption of Denim at approx. 4

billion meters. Per annum and has been constantly growing every year by 5-

6%.

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ABOUT MARKETS

MIL today exports to over 40 countries across the Globe as diverse as Italy,

Portugal, USA, UK, France, Turkey, Australia, Sri Lanka, Kenya, Iran, Lebanon,

Malawi, Tunisia, Morocco, Israel, Dubai, Bangladesh, Russia, Poland, Mauritius

etc. Apart from the above, the Company also has a fair presence in the Domestic

market mainly for its Value Added Products (VAPs). The Company has been

awarded 2 Silver Trophies by the Govt. of India, for Outstanding Export

Performance in Fabrics amongst Manufacturer Exporters for year 2000-2001

and Outstanding Export Performance in Fabrics amongst Non-Quota Exports

for the year 2000 – 2001 and again awarded with similar category for 2001-02.

MIL is a relatively young player in the Denim Industry. However, its youth is

limited to its age only, since it has already created ripples in the Industry and is

giving the oldies of the Industry a run for their market-shares. In fact, in its short

span of 7 years, Malwa Industries has already made deep inroads in all the major

Fashion markets all over the world. The Company has very strong presence in the

fashion conscious Italy, Portugal, France, Spain, Turkey and other European

markets. The Company’s products are being used in the garments from major

fashion Brands like Zara, Levi’s, No Excuse, H&M, Target and Sears etc.

The Company has been equally focused on the Domestic Market. With the

booming Apparel market in India, whereby all the major International Brands talk

of outsourcing garments from India, the demand for the Company’s Value-added

Products is continuously rising in the Country. Already the major domestic Brands

have started increasing their capacities, increasing the Domestic Demand further

and translating into higher prices and better margins for the Company.

The Company’s products are well accepted and demanded by the major Domestic

Brands like Killer, Spykar, Weekender, Charlie, Flu and Live-in etc.

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SWOT ANALYSIS

STRENGTHS…

a. Consistent R&D efforts and fast commercialization of ever new qualities

bringing better margins and beating the competition.

b. J-34 type cotton is proven best-suitable for Denim. The cotton belt of Punjab,

Haryana and Rajasthan are the major growers of this type of Cotton. This

proximity with the major Raw Material source helps in competitive pricing of our

Product.

c. Well-established marketing network both in the International and Domestic

markets.

d. Promoters have more than 70 years of experience in the Textile Industry.

e. Global Benchmarking.

f. Entry Barrier being capital-intensive nature of the Industry.

WEAKNESSES…

Cotton, which is the major raw material for our Product, is subject to the vagaries

of nature. This results in fluctuations in its prices. However, being already in the

Industry for the past 60 years, we are experienced to relatively fairly foresee and

forecast the price movements and hence hedge ourselves against any negative

trends.

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OPPORTUNITIES…

a. Post MFA regime, i.e. after 31st December, 2004, the restricted markets of US and

EU have opened up for imports from cheaper manufacturing nations, pre-

dominantly, India, particularly for cotton textiles where India has strength in terms

of availability of good quality Cotton. India is third largest producer of cotton in

the world.

b. Independent researches indicate that Global Denim Demand is expected to

increase by 5-6% annually for another 4-5 years.

THREAT…

Fashion may change impacting the demand for Denim. However, none of the

leading Designers of the World expect that to happen on a permanent basis, since

already Denim is more than 300 years old and has stood the tests of time.

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FUTURE OUTLOOK

The Company sees growth in Value Added Products of Denim. All the major textile

research agencies conclude that Denim has become a fashion item and the

consumer is ready to spend extra money for new and innovative designs and

varieties in Denim. The Company today has over 1000 different varieties of

Denim to choose from to cater requirement of every type of garment being

manufactured with Denim. The Company has been constantly upgrading its

existing operations/ technology to meet market demand and to deliver quality

products at competitive prices to its valued customers. The Company has been able

to create its name in the international as well as domestic market as the ‘product-

innovators’.

The Company still believes that ever-new varieties in Denim shall continue to

drive the growth and expansion of market for Denim. Hence, the Company

plans to keep its focus on R&D efforts and increase the share of “Value Added

Products” like Multi-counts, Slubs, Stretch Denim, Mercerized Denim, Shiny

Denim, Pigment Dyed apart from the already established Cross Hatches,

Streaky Denim, Chinos etc in its product mix. These products fetch far better

margins for the Company.

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Moreover, with the disbanding of the quota regime from 1 st Jan, 2005 onwards,

many Garment outsourcing orders from European and US markets have started to

come to the cheaper manufacturing countries, with China and India bagging the

prominent shares. Further, the ‘Made-in-India’ Denim fabric has already

established its quality perception amongst the highly quality conscious European

and US Markets. Indian Denim fabric fetches a certain premium over its other

South Asian competitors’ fabrics. Hence, the domestic demand for Denim is

expected to grow manifold.

EXPANSION ACTIVITIES

The Company has recently expanded its fabric manufacturing capacity by 5 million

meters (from 15 to 20 million mtrs per annum) and a 2.5 million pieces per annum

jeans wear manufacturing plant. The company has put up a captive power plant

based on bio-fuel.

ACQUISITIONS:

The Company has acquired two Units located overseas. One Unit is a Garmenting

facility having capacity of 4 mn pcs p.a. in Middle East (Jordan) and another is a

top-end Wet processing facility for Garments in Europe (Italy). The cost of both

these Acquisitions was around USD 9 Mn (Rs. 40.00 crores approx.).

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FINANCIAL ANALYSIS

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FINANCIAL ANALYSIS

After the initial stabilization and smoothening of the processes, the

Company never looked back and has kept its focus consistently on R&D efforts

for value addition through product reengineering, particularly targeting fashion

conscious European markets. The Company's strategy has been a success, which

is depicted in the Company’s strong financials.

The Company continues to give due importance to cost cutting measures

in every expense, wherever possible. For the year ended 31.3.20010, the

Company has earned Net Profit of Rs 3659lacks. In the previous 9 months

period ended 31.3.2009, the Company recorded Net Profit of Rs. 1665lacks. A

brief on the audited Key Financials of the Company are being produced below:-

1. KEY FINANCIALS (RS. IN

LACKS)

Key Financials 12 months ended

31st March, 2008-

09 (Audited)

9 months ended

31st March, 2009-10

(Audited)

Turnover 17791 21687

PBDIT 1600 3868

Net Profit 1665 3659

Current Ratio (times) 2.11 1.69

Debt – Equity Ratio (times) 2.148 3.45

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2. EXISTING BANKERS

The Company is availing of Credit Facilities to the tune of Rs. 50.80

crores (FB-Rs. 39.80 crores + NFB-Rs. 11.00 crores) from the Consortium of

Canara Bank, SBI and SBOP Bank, with Canara Bank as the Lead Banker. The

Company with its strong financials has consistently been a top rated

Company with its Bankers for

the last 4 years.

The Company today has healthy financials in terms of Current Ratio, Debt-

Equity Ratio and Net Worth. The same are presented here below:

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RATIO ANALYSIS

1. LIQUIDITY RATIOS

CURRENT RATIO

Current ratio is a measure of liquidity calculated dividing the current assets by

the current liabilities.

Current ratio   =  Current Assets

Current Liabilities

Year March2010 March2009 March2008

Current

Ratio

2.35 1.65 2.11

Interpretation:

The current ratio of a firm measures its short term solvency, that is,

ability to meet short – term obligations. As a measure of short

term/current financial liquidity, it indicates the rupees of current assets

available for each rupee of current liability/obligations payable. The

higher the current ratio, the larger is the amount of rupees available per

rupee of current liability, the more is the firm`s ability to meet current

obligations and greater is the safety of funds of short- term creditors.

Here, in thus case current ratio is quite good in march 2010 than in

March 2009.

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QUICK RATIO

It is a more rigorous test of liquidity than the current ratio. Also known as acid

test ratio or liquid ratio.

It establishes a relationship between liquid assets & current liabilities.

Quick Ratio   =     Quick assets

Current Liabilities.

Quick Assets = Current Assets- (inventory + prepaid exp.)

Year March2010 March2009 March2008

Quick

Ratio

1.03 0.65 0.88

Interpretation:

Generally, an acid test/quick ratio of 1:1 considered satisfactory as a firm can

easily meet all current claims. Here, there is significant variation in quick ratio

but it is more than standard. According to the above table, in March 2009, the

ability of the company to meet the claims decreases as compared to previous

years

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Activity Ratio

Inventory Turnover Ratio

This ratio indicates the number of times the stock has been turned over in an

accounting period and evaluates the efficiency with which a firm is able to

manage its inventory.

Inventory Turnover Ratio =     Cost of goods sold

Average Inventory

COGS = Raw Material consumed + Manufacturing Expenses + inc/dec. in

Work in        Progress and Finished Goods + Difference of Excise duty on

stocks.

Average Inventory =   Opening Inventory + Closing Inventory

2

Year March

2010

March

2009

March

2008

Inventory

Turn Over

1.759 1.68 1.436

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Ratio

Interpretation:

As Inventory turn over ratio of the company has slightly increased from march

2008 to March 2009, it represents efficient management of inventory of the

company such that as more frequently the stocks are sold , lesser amount of

money is required to finance inventory. It indicates number of times inventory

to be turned in a year has slightly been increased from 1.436 to 1.68 But this

ratio is significantly less than march 2010.

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Profitability Ratio

Gross Profit Ratio

This measures the relationship of gross profit to net sales and usually

represented as percentage.

x 100

Gross Profit = Net Sales – COGS

Year March

2010

March

2009

March

2008

G.P Ratio 25% 18.88% 36%

Interpretation:

A high ratio is a sign of good management as it implies that the cost of

production of the firm is low. It may also be indicative of a higher sales price

without a corresponding increase in COGS. A low gross margin is a danger

signal. A firm should have a reasonable gross margin to ensure adequate

coverage for operating expenses of the firm and sufficient returns to the owners

of the business, which is reflected in the net profit margin. The above table

shows that our gross profit is decreases drastically as compared to previous

year. A very low ratio indicates high cost of goods sold which may be due to

unfavourable purchasing policies, lesser sales, lower selling prices , excessive

competition , over investment in plant and machinery etc.

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Net Profit Ratio

It establishes a relationship between Net Profit (after tax) and Sales and

indicated the efficiency of the management in the manufacturing, selling,

administrative and other activities of the firm. It measures the overall

profitability of the firm.

x 100

Year March

2010

March

2009

March

2008

N.P Ratio 8%loss 20%loss 5%profit

Interpretation:

A high net profit margin would ensure adequate return to the owners as well as

enable a firm to withstand adverse economic conditions when selling price is

declining, cost of production is rising and demand for the product is falling.

The company has detoriated from last year’s because it has funded its

losses from long term debts. Company has raised about RS 4115 lacks

term loan to overcome losses.

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INTRODUTION TO

PROJECT

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TITLE: Trend Analysis Brand wise & segment wise of the Denim jeans

market.

Introduction to denim jean market

The jeans wear market in India is currently pegged at approximately Rs 6,000

crore - the bulk of it in the unbranded market according to recent reports.

However, the branded segment is believed to be growing at a faster pace, with

brands giving tough competition to one another. According to industry sources,

the total size of the jeans market in India is about 40-45 million pairs of denims

out of which 44 million pairs are in the value segment(less than Rs 1,000). The

Indian retail market size of jeans (men`s and women`s) in 2007 was Rs 3,080

crore with a healthy growth of 18 per cent over last year as per research

conducted by Technopak. According to an Indian expert, denim production in

India in 2006 was estimated to be at 400 million meters, of which 250 million

meters was for domestic consumption and the rest for exports.

Indian denim market is on a high growth path with a rate of growth in the range

of 8-12%. However, the market is dominated by the non-branded players who

take away the major share of the denim market. The branded denim market is

estimated to be around $450-$500 million, and is dominated by some

international labels though the local brands are also getting prominent.

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Denim Brands n India

1. Levi’s: Levi’s is the leader in the branded denim category with about 20-

25% share of the market. Using various innovative strategies, Levi’s has

strengthened its hold on the market. It started operating in India in 1994

and is present in over 250 cities.

2. Killer Jeans: owned by the Kewal Kiran Clothing Limited, the brand was

introduced in 1989 and is one of the well known denim brands in India.

The other brands by this company – Easies, Lawman and Integritti are

also well known menswear brands.

3. Spykar: Targeting the tastes of the youth of the country, Spykar uses its

labs to bring out a large variety of designer denim jeans .The company

launched aggressive campaigns in colleges, pubs and coffee shops as well

as sponsored college events and fashion shows to target the right clients It

is on a high growth trajectory and is currently reported to have a turnover

of $45million+.

Besides the above , there is an array of national and international brands.

International brands includes Pepe, Wrangler, and Lee from VF (in joint

venture with Arvind) , Tommy Hilfiger, Replay Jeans etc. Diesel is a

recent entrant and  the brands from Sixty Group Energie and Miss Sixty

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will bw launched shortly. National brands worthy of mention include

Numero Uno, Flying Machine and Ruf and Tuf (Arvind) ,Trigger

Jeans (KG Denim) .

NEED FOR THE STUDY

By looking over the popularity of jeans trouser and changing trend in fashion

made it essential to understand the factor which is desirable to make customer

satisfied. Since fashion is on his track & it keeps on moving. It leads to change

in trends. So for Malwa Industries Ltd as a manufacturer of denim jeans it is

essential to analyse the current trends and to remain on the track of fashion.

To capture the current trends in denim jeans. It will help company to

meets it current demands and to forecast trends.

To differentiate brands according to their MRPs and fabrics. It will

help in selection of brands while dealing with them.

To analyse gender wise trends this will help the company in deciding

proper segmentation.

To know the likings and buying behaviour of customers. It will help

company to satisfy their consumer needs.

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OBJECTIVES

Keeping all the above information and requirements in mind, the

objectives of this project are:

1. To study the current trends in denim jeans brand wise and

gender wise.

2. To know the likings of the customers.

3. To recognize the buying behavior of the consumers.

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RESEARCH METHODOLOGY

The project is divided into two parts:

First part is about to know the trends in denim jeans. Which is done by self

analyzing process in shopping malls, multiplexes in Ludhiana city

Research Design:

The primary data was obtained from the different brand stores in malls. The

data collected was evaluated manually. Percentage was used to estimate the

proportion for various aspects under consideration. Microsoft Excel was used to

depict graphical representations of the analytical inferences and tabulations.

Secondary information was needed for analysis, and this data was collected

through internets, online shopping sites and the denim brands official website.

Second part is to know about customer likings and their behavior

Primary data was collected through survey. The questionnaire was prepared

asking respondent about their behavior towards jeans. The basic research

instrument used is a questionnaire in this part. The questionnaires were filled by

the respondents themselves.

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Sample Design:

``Anybody those wearing jeans or not were taken as respondent. The ages

of respondents ranged from 17 to 30 with mean age of 24.150 respondents were

surveyed for research.

Data source:

The survey was conducted outside shopping malls, multiplexes in Ludhiana

city.

Sample Profile:

Gender No. Percent

Male 90 60

Female 60 40

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LIMITATIONS OF THE STUDY

It should be noted that the research methodology was limited by the following

factors:

This survey is conducted in city Ludhiana, India. There is possibility that

perception of whole Indian market will be not as similar as perception of

Ludhiana’s people.

Sample may not be the true representative of the population.

The individuals being observed might behave in a different way when

they know they are being observed and thus data collected may not be a

true picture of the actual self. Generally, respondents were busy in their

work and were not interested in responding correctly

Limited time frame was the biggest constraint.

Only some of brands are selected for study.

The research was conducted in present prevailing conditions. There can

be some fluctuations in the market which can offset findings.

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FINDING AND ANALYSIS

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Findings and analysis

To analysis the fits in demand

MENs FIT (in %)

REGULAR SKINNY SLIM STRAIGHT BOOT

CUT

LOW

RISE

KILLER 7 25 43 25 0 22

SPYKER 5 20 55 20 0 20

LEVIS 21 4 40 35 0 30

LEE 20 20 30 30 0 18

WRANGLER 5 3 45 47 0 25

PEPE

JEANS

10 0 0 90 0 5

Fig- Men`s Fits brand wise

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From the Table and graph it is evident that the most dominant fits are straight

(41%) and slim fits (36%). In denim low rise, slim fit and straight fit are in

vogue. These Fits are the most popular and covers majority of retail sales of

customer choice.

On the other hand skinny (12%) and regular fits (11%) least preferred and

are having low in demand. Boot cut fit is out of fashion now.

Slim fit is major in all brands except for pepe jeans. Pepe jeans covers mostly

straight fits. Levis and Lee also have some regular fits.

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WOMENS FIT (in %)

  REGULAR SKINNY SLIM STRAIGHT BOOT

CUT

KILLER 6 36 34 16 8

SPYKER 5 45 30 20 0

LEVIS 16 38 30 16 0

LEE 15 45 33 7 0

WRANGLER 2 65 30 5 0

PEPE JEANS 0 45 55 0 0

Fig- Women`s Fits brand wise

On the other hand in women`s section from above the observation reveals that

women choices move towards skinny fit (46%). Slim fit (35%) capture the

second. Straight (11%) and regular (7%) fits are least preferred by women.

Skinny and slim fits are the major fits in Women`s section for all brands.

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Since low rise jeans can be in fits like skinny, slim and straight. So its graph has

been drawn separately.

The demand of low rise jeans is rising in these days and is more in case of

ladies segment (25%) than in Men’s (20%). Killer and Levi’s contribute most

in low waist jeans and Pepe add lowest.

To Compare MRPs and their brand wise analysis

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For our analytical study we are classifying the brand segmentation as below:

Super Premium Segment (2000+) – Levi’s, Pepe jeans

Premium segment (1500+) – Lee, Wrangler

Middle segment (1000+) – Killer, Spykar

Today Indian consumers are no longer price conscious rather they are willing to

spend money on high-end denim brands. Spykar and killer offer many great

styles at an affordable price as national brand. These denim players are not

only catering to the premium class, but are also catering to the upper-middle and

mid-segments as well.

Lee and Wrangler are the upper middle segment brands range from 1500 to

2500. Pepe and Levi’s are amongst the premium brands in India having price

from 2000 to 3500. From the table majority of branded jeans (35%) range from

1500 to 2000.

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In case of Women’s section MRP of different brands same as in Men. But the

relative price is lower in case of Women’s segment w.r.t Men. This may due to

quality or weight of fabric used or some other factors.

Fabric trends used in jeans

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Fabric weight in oz (ounce)

Men’s Women’s

In Men’s In Women’s

Heavy – 55% Heavy – 12%

Medium – 30% Medium – 53%

Light- 15% Light – 23%

Heavy denim (12- to 14-ounce) tends to work best when made into jeans to

designs with straight lines and little or no gathering or easing. It can undergo

heavy and distress washings otherwise fabric become lumpy and loose. From

above it is clear that heavy denim is used mainly in Men’s jeans.

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Medium - weight, 10- to 12-ounce denim. Medium denim can handle softer

styling and some curved seams that require easing or gathering. Most of

Women’s jeans weight is from 10 to 12 ounce (from the graph). Since

majority of fabric are stretch and women prefers light and comfort in the jeans

in medium weight category.

Light weight denim (6- to 8-ounce) .This denim is the easiest to sew and can

be handled like any woven cotton fabric. Light weight denim usage is very rare

in these days and is mainly used in jackets, shirts etc.

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Slub Character

A yarn that is spun purposely to look irregular in shape (length and

diameter).Usually slub yarns are very regular in repeat and size. Denim made

with slub yarns have the benefit of showing white streaks after denim is

stonewashed, so it provides a garment with more character and interest.

Men’s Women’s

Slubs used in jeans can be vertical or horizontal. Graph shows that there is

trend in vertical slubs both in Men’s and Women’s section. There is no

particular variation in this trend between different brands. 75% garment

observed to have vertical slub in Men’s segment. Similarly in women’s it covers

73%.

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Density of slubs

Men’s Women’s

Contrast look of fabric is depend upon the concentrations of slubs. So slub

density has a great effect on the denim jeans. It is clear from the graph that low

dense slubs are more popular than high dense.

Jeans with low dense slub covers 65% in men’s side and 62% in women’s section.

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Length of slubs

Men’s Women’s

Graph shows that short slubs dominate the long one. In men’s section expect

spykar and killer, all brands have majorly short slubs fabric. In women’s also

trend of short slub is going on. This observation reveals that about 63% of

denim garments have slubs long in nature in both segments.

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Coated/od

Mens Womens

From above it is evident that coated or over dyed fabric is out of trend in both

Men’s and Ladies section. Only a very small portion is filled by coated fabrics.

About 9% of garment observed to have coated fabric.

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Stretchiness/rigidity of denim

Men’s Women’s

The demand of stretch jeans is continuously rising. From the graph Spykar and

Levi’s contributes most in stretched denim. 80% of spykar total denim is

stretched. Similarly killer, Levi’s, Lee, Wrangler, Pepe have 40%, 60 %, 30%,

20%, 25% share in stretched denim. However the demand of stretched denim is

more in case of women’s section.

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Shades of Fabrics

Men’s Women’s

Here SBIT means sulfur top indigo bottom and IBST means indigo top sulfur

bottom. In real ample of variations are present in the shades of fabrics. But in

this study many shades are considered to be included in these two shades which

is somewhat related.

The findings from above are:

In Men’s section % share in fabric shades of SBIT is 30%, IBST 22%, Black

7%, Indigo 21%, and Greenish blue 20%. Similarly in Women’s SBIT 31%,

IBST 26%, Black 7%, Indigo 20%, and Greenish blue 16%

It clearly shows that SBIT and ISBT are the preferred shades. Black is still

confined to small portion of Production. Indigo and Greenish blue shades are

also in trend.

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To examine different category of washings

Men’s Women’s

From above these observations are found:

In Men’s segment % share of Rinse wash 15%, Enzyme wash 35%, bleach 38%

and others 11%.

Similarly in Women’s Rinse wash 15%, Enzyme wash 38%, bleach 43% and

others 8%.

It is clear that bleach wash is mostly preferred by consumers in summer.

Enzymes wash capture second. Rinse wash is least popular.

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Designing & embroidery techniques

Mens Womens

With changing lifestyles, the organized players are coming up with

contemporary designs to target the youthful, stylish, trendy and fashionable

consumers.

In this study only two variables are taken. Jean with extra design or embroidery

is considered as complex otherwise it will be taken in simple category.

From above it is evident that Spykar and Killer have most complex design jeans

which are followed by Wrangler and Lee brand.

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Part-B

To know the likings and buying behavior of the customers

Data was collected through survey. The questionnaire was prepared asking

respondent about their behavior towards jeans. Only those wearing jeans were

taken as respondent. The ages of respondents ranged from 17 to 29 with mean

age of 24. 150 respondents were surveyed for research.

Sample Profile:

Gender No. Percent Male 90 60Female 60 40

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To determine which variety (FITS) of jeans is preferred by customers

From Graph it is clear that the Slim fit is most popular among the Varieties of

jeans with 54 responses out of 150.Staright fit is second most preferred with

48 responses out of 150.Skinny fit and Regular fit got 24 and 18 responses

respectively. Boot cut is least popular fit among the varieties of jeans. Low Rise

Jeans which can be form of any Slim, Straight or skinny fits got 36 responses

out of 150.

Whereas among the female slim fit and skinny fit are most popular with 27 and

18 responses out of 60.

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To assess which brands of jeans are most preferred by customers

Brand Preference

Graph- suggests that among masses, Spykar is the most popular brand of jeans

(51 out of 150 responses) followed by Lee (39) and killer (33).

Whereas among the female Lee, Levi’s and Spykar are equally preferred brands

of jeans with 15 out of 60 responses each.

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To determine how much a customer is ready to pay for one jean.

Fig- price rangeStudy shows that customers are more willing to buy jeans at price below

1000 Rs.(63 out of 150 responses) and 36 % of respondents can go up to

range of Rs 1000-1500.Only 6% of respondents can buy jeans having price

above Rs. 2000.

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To determine which attribute is preferred most by customers while buying jeans.

QUALITY STYLE FIT PRICE BRAND1 51 54 57 21 272 39 24 45 27 183 18 21 30 42 364 27 24 15 21 365 15 33 3 39 33

Fig- Jeans attributes

Above fig- shows ‘fit’ is first priority for most of respondents followed by

“style”. Third highest priority is given to ‘quality ‘of jeans.

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CONCLUSIONS & RECOMMENDATIONS

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In Men’s the most dominant fits are straight (41%) and slim fits (36%).

while women choices move towards skinny fit (46%).

The demand of low rise jeans is more in case of ladies segment (25%)

than in Men’s (20%).

Spykar and killer offer many great styles at an affordable price. Lee and

Wrangler are the upper middle segment brands range from 1500 to 2500.

Pepe and Levi’s are amongst the premium brands in India having price

from 2000 to 3500.

Heavy denim is used mainly in Men’s jeans. Women prefer light and

comfort in the jeans in medium weight category.

There is trend in vertical slubs both in Men’s and Women’s section. 75%

garment observed to have vertical slubs. Low dense slubs are more

popular than high dense. Jeans with low dense slub covers 65% in men’s

side and 62% in women’s section.

Coated or over dyed fabric is out of trend in both Men’s and Ladies

section. About 9% of garment observed to have coated fabric.

Spykar and Levi’s contribute most in stretched denim. 80% of spykar

total denim is stretched. Similarly killer, Levi’s, Lee, Wrangler, Pepe

have 40%, 60 %, 30%, 20%, 25% share respectively in stretched denim.

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% share in fabric shades of SBIT is 30%, IBST 22%, Black 7%, Indigo

21%, and Greenish blue 20%.

Bleach wash is mostly preferred by consumers in summer. Enzymes wash

capture second. Rinse wash is least popular.

Spykar and Killer have most complex design jeans which are followed by

Wrangler and Lee brand.

Spykar is the most popular brand of jeans (51 out of 150 responses)

followed by Lee (39) and killer (33).

customers are more willing to buy jeans at price below Rs.1000.(63 out of

150 responses) and 36 % of respondents can go up to range of Rs 1000-

1500.

‘fit’ is first priority for most of respondents followed by “style”. Third

highest priority is given to ‘quality ‘of jeans

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Recommendations

To make /produce future sampling on these value factors.

Since the demand of stretch denim is rising. Company should produce

more stretched denim.

Research says that men prefers to wear ‘straight fit’ and ‘slim fit’ and

women prefers ‘skinny fit’ more than any other variety so add this variety

in the collection.

According to study among the attributes like “fitting” and “style” are

considered first while purchasing a jean so this attributes should be

highlighted in promoting jeans.

According to research, spykar brand of jeans tops the preference chart,

other than that Lee and Killer are also preferred , so it is advisable to add

these brands into the collection instead of current collection of Pepe,

Wrangler brands.

They need extensive market research for forecast the consumer

preference in fashion and styles to be able to meet such demands.

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ANNEXURE:

FITS: Men’s Ladies Regular

Skinny

Slim

Straight

Boot cutLow Rise

Others

Total

Fabrics: Men’s Ladies Weight (oz)

Heavy

medium

light

Heavy

medium

Light

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Slub character V

H

V

H

Density of Slub High

low

High

Low

Length of Slub Long

Short

Long

Short

Shades/casts

SBIT

IBST

Black

Indigo

Greenish blue

others

Washings:

Rinse

Enzyme

Bleech

Resin

Others (tint)

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Stretch/rigid

Coated

Od

MRPs

1000-1500

1500-2000

2000-3000

Any discounts

AXX: Mens Ladies

Thread:

colour

combination

Design /embroidery techniques:

Complex

simple

Packaging material:

Hanger packing, Polythene,

Carry bag

Certification:

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QUESTIONNAIRE

PERSONAL DETAILS

1. Name : ………………………………………………………………...

2. Email :

……………………………………………...............................

3. Mobile Number :

4. What is the average monthly income of your family (in Rs.)?

< 10000 10000 – 20000 20000 – 30000

>30000

5. Gender : Male Female

BRAND PREFERENCE

6. Select one Brand which you like most for buying jeans.

SI Brand

1 Spykar

2 Killer

3 Levi`s

4 Lee

5 Wrangler

6 Pepe

7. How much you ready to pay for one jean.

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<1000 1000-1500 1500-2000 2000-3000

8. Which fit of jeans you preferred the most.

Slim Straight Skinny Regular Boot cut

9. Rate the following parameters in choosing your preferred brand. ( on scale of 1

to 5 starting with 1 as their first priority )

RATING QUALITY STYLE FIT PRICE BRAND12345

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