How Zudio Conquered The Indian Fashion Market
Zudio is a rising brand in the Indian Fashion Industry that was launched in India in 2016 as a fast-fashion brand. It is a daughter company of Tata Group called Trend Limited, which stands for Tata Retail Enterprise. Zudio has been able to grow to over 330 stores all over India in just five years generating the highest-ever quarterly revenue exceeding ₹2,100 crore in Q3 and ₹6,000 crore for the 9-month period till December 2023. Here are some marketing factors that were responsible for Zudio's success:
Low prices:
Indian consumers are price sensitive; they want good products at low prices, and Zudio was successful at targeting price-sensitive consumers by offering trendy products at cheap prices, especially targeting young consumers who want to wear trendy clothes but cannot pay for expensive prices. Low prices have not only been the key factor driving sales of Zudio but also the factor that created a lot of free marketability for the brand through word of mouth.
Free Marketing:
Zudio’s low prices and trendy designs have been two factors that increased its market share by enabling free marketing through word of mouth. Influencers are also promoting Zudio hauls on YouTube and Instagram about the latest designs free of charge because of the cheap price factor. Other fashion brands like H&M and Forever 21 spend a lot on marketing and commercials; Zudio, on the other hand, gets a lot of free marketing because of its price factor and trendy designs.
Store Branding:
Trent has launched Zudio Stores at premium locations to ensure maximum footfalls, acquiring maximum customers from the area. The interiors of every Zudio Store are uniform and premium, almost like a store in the mall, which is causing middle-class consumers to shop from a Zudio Store nearby rather than local clothing stores in the city because it gives them a premium shopping experience at cheap prices. Consumers in India often associate a well-designed, air-conditioned store with expensive prices. Zudio broke the preconceived assumptions about pricing by mentioning cheap price banners, bringing in maximum footfalls.
Wide range of Products:
Zudio offers a wide range of products, including cosmetics, clothing, footwear, accessories, innerwear, sportswear, etc., for women, men, and kids, targeting every type of consumer and thus increasing its sales. Customers at Zudio are diverse, coming from various social classes and groups, including middle-class and lower-middle-class people, unlike brands like Zara and H&M, where customers that shop there mostly belong to upper-class families.
Trendy Designs:
Zudio stocks fresh Fashion Designs in their stores as quickly as possible by using ‘Concept to Consumer time‘ by reducing this time gap between designing and launching the designs. You will find trendy designs for every season, which attract consumers repeatedly. New designs arrive in stores very frequently, thus increasing curiosity, footfall, and sales.
Zudio has done a great job at understanding Indian consumers; hence, it has witnessed heavy growth since its launch. India has a huge population that exists beyond tier one cities and needs to be catered to. Businesses can create tremendous market share if they enter tier two and tier three cities that are currently being dismissed by the majority of brands.
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