- Università: SDA Bocconi Asia Center
- Docenti:
Sandro Castaldo
- Studenti:
Anushua Nath, Gauri Magan, Mohd Mohib Khan, Neerav Shah, Nikita Kumari, Shreyansh Mittal
We define E-Vastra as “a bespoke one-stop clothing solution for the techies of this age.” We offer one of its kind visual 360-degree try-on for our products facilitating a hassle-free shopping experience for our clients. We achieve this via Innovative Designing & 3D visualization tools. In all we believe in revolutionizing the way you shop! We strive to provide an easy-breezy shopping experience to our clients as we adopt the latest try-on technologies in store. With our stores located in the metropolitan we intend to take the first-mover advantage in the Indian market. With the growth of the Artificial Intelligence (AI) sector and an emerging market there lies a lot of untapped potential. Our store offers three main services based on the need of the hour- social distancing in this new post COVID-19 world.
Indian fashion retail market is set to grow to US $ 115 billion by 2027. However, understanding customers’ ever-changing demands and to speed up time to market have been arduous tasks even for a big apparel retailer, but the situation is taking a positive turn due to rise in technology use in fashion retail. Lately, several apparel retailers in India have tried their hands out in 4.0 technologies to pace up with the rapidly changing retail landscape. Use of AI, ML and data analytics has increased which are being used in functions like BOPIS, Click & Collect and Self-Kiosk.
Exciting in-store experiences, combating online shopping challenges, personalized shopping experience and better data-driven decisions are some of the benefits that the retailers have been able to deliver with the help of these technologies. AI-based personalized shopping experience and customer-centric merchandising.
Positioning & Targeting
E-Vastra positions is a unique concept store revolutionizing clothing and footwear shopping with a visual 360-degree try-on. We achieve this via Innovative Designing & 3D visualization tools. We place all our clothing and footwear range in a medium-high price segment. A one-stop clothing solution for the techies of this age which helps you virtually visualize different combinations and facilitates buying decisions and hassle-free shopping experience. We offer hygienic & dirt-free premium quality clothing to Attracts clientele who prefer not to try cloths which someone else worn.
Our Exclusive stores targets of all age group mainly 16 to 80 years, with middle and upper-middle-income, who are willing to shop for multiple choices of apparels and looking for convenience to shop online and offline. Customers who looking for suggestion based on previous tried outfits and wants to save time and avoid queue to trial room.
The store
E Vastra will be located at Mumbai, India and New Delhi, India. Being the financial and commercial capital of the country, as well as the hub of Bollywood, Mumbai is a perfect choice for a high-tech fashion store finding an affinity with the consumers. Delhi, on the other hand, due to its central location and connectivity has high inflows of domestic as well as foreign tourists creating an additional customer segment. The national capital is also one of the largest garment’s hub in the country.
A free-flowing pattern will be adopted for the store to allow the customer free movement and explore the store. The layout is formed keeping in mind the customer buying behavior and pattern. There is an increase in impulse buying as your customers are exposed to merchandise more thoroughly. In the third and fourth year of operations, we plan to open stores at Bangalore, India as well as Hyderabad, India.
Communication
The main aim of our communication strategy is to build brand awareness. We aspire to do that via offline and online channels. After the store opening, we will launch engagement campaigns like #PerfectFit to drive traffic to our physical stores. We will leverage the Facebook Ads service to target segments near our stores to increases probability of conversion to sales. We plan to invest in newspaper/flyer advertisements and digitals ads via SEO/SEM.
We will also implement conversational marketing strategy to increase brand loyalty by making the customers aware about the brand through social media and email marketing. In terms of brand services communication, we will interact with our consumers via WhatsApp and Facebook to resolve queries and share their shopping experience.
Products & Services
We have three types of digital services, Try it On, Style Me, and Digi Tailor. Try it On is an augmented reality tool that allows customers to visualize themselves on the screen in the product they like. It accommodates every possible color and style option the company produces and may or may not have in stock and serves as a vast online inventory with zero overheads. Bridging the gap between the virtual and real worlds of fashion, StyleMe is a fashion app that helps users virtually visualize different combinations and facilitates buying decisions. Digi-tailor is an augmented reality-based interactive platform that can be used for bespoke clothing requirements. A simple user interface that can be an offline as well as online tailor store. It helps users select Cuffs, Collars, Plackets, Lapels, Fits and much more. The configurator enables combining the selected elements, and the garment is instantly visualized in a made-to-measure outfit of choice.
CRM
E-Vastra does extensive advertising and promotion of their products to stay connected to their customers and to increase loyalty towards their brand. It is always a top priority to attract new potential customers and at the same time retain the existing ones. Increasing foot falls and achieving higher sales remain priorities of both online and offline retailers hence to cater to these we implemented various Customer Relationship Management (CRM) software provides a mantra to achieve the above aim, with better customer analysis, increased customer satisfaction, and improved revenues.
Our 3-way relation program consisting of operations, analytics & collaboration arms us with information about our customers on fingertips. Marketing strategies can be designed depending on the results derived from different touch points. The relation program provides a 360-degree view of customers, leaving E-Vastra with ample amount of resources to analyse. It helps in building improved customer value, retaining old customers, lower costs of promotions, and increase revenues.
Financials
We will be selling a mix of merchandise, strategically ranging from medium to higher pricing. There will be accessories to be sold, in addition to garments. Average basket profit earned based on our sample demographics in our surveys helped us determine Net Revenues of about ₹528,000,000 in the launch year which gradually grows over the next five years.
We expect our growth rates to be 13% and 10% in year 2 and year 3 of our operations. The gross revenue witnesses a significant surge in year 3 due to new store locations being set up at Bangalore and Hyderabad.
We observe decreasing labour costs as percentage of total merchandise sold and increasing costs surrounding new visual tools. With new store opening the maintenance expenses also grow in line to almost double in year 3. Operating Income or EBIT is 4x in year 6 as compared to year 1.
