FABINDIA

HANDLOOM SECTOR

ININDIA

HANDLOOM SECTOR WAS A NATIONALIST ACTIVITY AND

IDENTIFIED COMPLETELY WITH GANDHIAN AGENDA. HANDLOOM WEAVING AND

RELATED ACTIVITIES BECAME SYMBOLIC FOR THE INDIAN INDEPENDENCE STRUGGLE

http://www.youtube.com/watch?v=zebmRYaAYhY&feature=related

Source: Magazine “YOJANA”

FABRIC,ARTISAN,BEAUTYHandloom forms a part of the heritage of

India and exemplifies the richness and diversity of our country with the

artistry of the weavers.

Hand weaving is the most creative expression through fibre interplay and

surface texture with patterns and colours.

http://www.youtube.com/watch?v=cyIXlmtYfko

INDIAN TEXTILESILK: Mulberry, Tusser,Eri and Muga Silks ,E.g.- Potola in Gujarat, Ikkat in AP,Orissa, Kota, Banarasi

WOOLEN: Pashmina, Shantoosh in J&K, shawls from Kullu

COTTON: Khadi, saree from Chanderi

JUTE: It is golden fabric found in eastern parts of India.

Source: fibre2fashion

OVERVIEWHandlooms in India are the largest cottage

industry.Nearly 4 million workers are engaged in

weaving fabrics of nearly 23 different varieties of cotton.

Industry provides direct/indirect employment to over 30 lakhs weavers i.e. 12.5 million people

In the entire country, there are more than 38 lakh handlooms.

In north-eastern States, there are more than 15 lakh domestic handlooms.

Source: Magazine “YOJANA”

OVERVIEWLargest second economic activity after

agriculture.This sector accounts for 19 % of the total

cloth produced in the country excluding wool, silk and hand spun yarns which was about 7352 million sq. metres in 1999-2000.

Textile industry is the single largest foreign exchange earner for India i.e. 38%

India has the 2nd highest spindle age in the world, after China.

Source: Magaz ine “YOJANA”

PROBLEMSThis sector is suffering due to its very nature

of being unorganised dispersedThere is absence of market intelligence, poor exposure to new technologies, product diversification, stiff competition with mechanized sector, inadequate infrastructure & common

facilities, lack of adequate working capital

S o u r c e : C O M P R E H E N S I V E H A N D L O O M C LU S T E R D E V E L O P M E N T S C H E M E ( C H C D S )

COMPANIES

INDIA-CRAFTSINDIANHANDLOOMSCLUSTERHANDICRAFTS AND HANDLOOM

EXPORTS CORPORATION OF INDIAHANDICRAFTS INDIAKVICHEPC: HANDLOOM EXPORT PROMOTION

COUNCIL OF INDIAFABINDIARANGSUTRA

FABINDIA“Fabindia was founded with the strong

belief that there was a need for a vehicle to market the vast and diverse craft traditions of India and thereby help fulfill the need to provide and sustain rural employment.”

“Our endeavour is to provide customers with hand crafted products which help support and encourage good craftsmanship.”

John Bissell Founder

4 Countries, 55 Cities, 135 StoresINDIA,NEPAL,U.A.E,ITALY

India the nation of colour with the magic of creativity and the work of artisans brings out the

fabric of India called the FABINIDA

HISTORY

Started as a village based industry in 1960 by John Bissell.As a counsellor for Ford Foundation he instructed the Indian villagers to make textile possessions for export.

He provided equitable job opportunities to the

traditional artisans and established Fabindia in 1960.

I t links over 40,000 craft based rural producers to modern urban markets, thereby creating a base for skilled, sustainable rural employment, and preserving India's traditional handicrafts in the process.

PROGRESS

1960

•John Bissel starts FabIndia as a whole sale export company

1975

•First retail store was opened in Greater Kailash, New Delhi.

Early 80’s

•Added ready to wear garments to the retail offering

1980

•Known for garments made from hand woven and hand printed fabrics.

1990

•Marketing focus shifts from exports to local Indian retail ,William Bissel takes over as MD, FabIndia

PROGRESS

2000

•The non-textile range was added.

2001

•Started 6 stores in metros

2004

•Organic Food products range launched., 20 stores across the metros, Started expanding from 2 Tier & 3 Tier.

2006

•Personal care products were launched

2008

•Handcrafted jewellery was introduced.  

2010

•4 Countries, 55 Cities, 135 Stores

FABINDIA PRODUCTS

TEXTILE The major portion of product range is

textile based, includes Ready-to-wear garments and

accessories for men, women, teenagers and children;

Bed, bath, table and kitchen linen; Floor coverings, upholstery fabric and

curtains. Basic fibres used are cotton, silk, wool,

grass, linen and jute. 

NON- TEXTILE Home Products range carries furniture,

lighting, stationery, tableware, cane baskets and a selection of handcrafted utility items.

Organics carries several types of cereals, grains, pulses, spices, sugar, tea, coffee, honey, fruit preserves and herbs.

Personal care products includes soaps, shampoos, hair oils, pure oils, moisturizers, body scrubs, face packs, hair conditioners & special skin care products.

STRENGHTS

Popular for authenticity of hand-woven fabric,

Word-of-mouthFocus on customer retentionSustainable employment opportunities

to rural skilled poorSourcing system from rural IndiaStrong supplier relationshipProvision of capital loans (in agreement

with banks)

WEAKNESS

Opportunity losses due to irregularityDifficult to predict quantity and time of

than coming from weaverDifferent stores are encouraged to order

different stockInsignificant spend on marketing

communicationsLosing out on attracting new customers

instead of depending only on repeat purchase

Not enough personnel for greater growthUntimely delivery of productsTransport, storage and shelf-life issues of

organic foods

OPPORTUNITIES

Promoting e-business channelOrganic food marketIn store merchandising and navigation

Utilize multi-brand retail outlets and construction groups

Tying up with matrimonial sites for designer fancy wedding wear

THREATS

Unorganized local operators: Regional pockets, lower prices

Entry of organized brands Foreign brands alter lifestyle choices

of the target market: “imported” or designer home furnishings have greater ‘flaunt value’ vis-à-vis fabindia

Development of government co-operatives: Boost in future to KVIC and state handloom units

Rising prices of real estate could hamper growth

ACHIEVEMENT

Awards Awarded “Best Retail Brand, 2004” by the

Economic Times of India.Got “Designer Promoting Indian Craft or

Technique award” as Hall of Fame reward.

Annual Report (2008-09) Annual turnover of the company is in the

range of Rs 500 croreProfit ranges between Rs 35- 40 crore. (2008-

09)Registered a *CAGR of about 58% in the

period 2006-2008Online Shopping & Exports to 34 countries

INCLUSIVE MARKETING

" ENLIGHTENED STRATEGY" to serve marketing by corporations as a long-term interests in growing the mass market.

It aims at triggering development at the BOP by partnering with change agents.

The challenge at the social sector is to increase incomes of the millions of poor engaged in the handicrafts, handlooms, dairy and other sectors.

These agencies will help the poor get better value for their products and earn higher incomes.

INCLUSIVE MARKETING

Lacking professional marketing, promoting marketing skills in agencies like Khadi, Handlooms, etc and NGOs that are engaged in the non-farm sector

Public-Private Partnership is one such approach that can benefit the poor and Offering benefits to all stakeholders equally.

Such equitable, market based models are more likely to be sustainable as they utilize the best strengths of each partner.

Microfinance model is one PP initiative that has achieved scale and sustainability because of the active involvement of the different stakeholders- the poor themselves, NGOs, government and financial institution.

INCLUSIVE MARKETING

The Fabindia School is managed by a non-profit organization Bhadrajun Artisans Trust (BAT). 

BAT was established by William and John Bissell to build social development programs with a focus on education and crafts. 

Private, non-profit, non-religious school with English medium of instruction

Located in Bali village, Pali district, Rajasthan, India

Established in 1992 with 11 students2007-2008 academic year: nearly 703

students with 35% girls enrollmen

VISION

200 stores and a turnover of Rs.1000 crore by 2011

THANK YOU