Acme Clothing is planning to reposition its Provogue brand as an umbrella brand for an array of products which include readymade garments for men and women as well as a host of accessories such as shoes, watches and sunglasses. So far, the brand was used only for men's wear in the premium segment.
"In order to offset loss of volumes in readymade garments, the company is increasing its product lines to shoes, watches, sunglasses and ladies wear. The new products would hit the market by the first quarter of next calendar year," Nikhil Chaturvedi, managing director, said.
The Provogue brand of shoes will hit the market next week and the price range will be Rs 1,700 to Rs 2,300. The company would launch its first Provogue range of watches by April 2001. The watches will be priced between Rs 1,000 and Rs 3,000. It will be outsourcing its watches from Europe. "Unlike conventional watches, these will be very funky and is aimed at capturing the Rs 200-crore fashion watch market," Chaturvedi said.
The company will launch its sunglasses by February next year. The total market for sunglasses is estimated to be around Rs 700 crore. "We will be launching our sunglasses in Rs 500-Rs 1000 range. These glasses will be based on the western model of use and throw," said Chaturvedi. The company will be outsourcing sunglasses and shoes from the Far East and Italy.
Acme Clothing plans to invest around Rs 20 crore in the production of shoes and watches. "Provogue aims a market share of 20 per cent by next year and will spend Rs 15 crore for advertising and brand-building activities," Chaturvedi said.
At present, Provogue's product range include men's readymade garments, belts and ties, targeting the premium market. Its ladies wear will be in the semi-formal category and will have tops, trousers and skirts. It is also exploring the possibilities of venturing into kids wear.
In recent times, the branded women's wear has been receiving lot of attention and many leading textile companies are entering this segment.
Acme Clothing has decided to give a push to the retail side of the business by expanding its distribution network from six retail outlets to 60 by the end of the current fiscal. Besides, the company will own four exclusive showrooms.
The company's turnover stood at Rs 11 crore for the financial year 1999-2000. "We expect to increase our balance sheet size to Rs 40 crore by 2000-01," Chaturvedi said.
