The online fashion retail market in India is one of the fastest growing in the world. According to a research report by analysis firm Technavio, the worth of the sector is expected to increase by $22.97 billion between 2021 and 2026, growing at almost 19 per cent a year.
“The growth of online apparel shopping in India has been phenomenal in recent years,” says Akhil Jain, executive director at Madame, a fashion brand in India.
“Factors such as increased internet penetration, availability of affordable smartphones, and the convenience of e-commerce platforms have fuelled this trend.”
India is experiencing a seismic shift in the fashion industry with the rapid rise of online fast fashion, according to Raghav Mittal, chief creative director and managing director of the House of Surya, an Indian ethnic wear brand.
“The phenomenon, driven by technological advancements and changing consumer preferences, has revolutionised the way Indians shop for clothing and accessories,” he says.
The coronavirus pandemic gave the sector a boost as it pushed consumers towards making more purchases online. As a youthful country of 1.4 billion with rising middle-class incomes, India holds enormous potential for growth, industry insiders say.
“One of the key trends driving the growth of online fast fashion in India is the rise of social media,” says Chirag Taneja, co-founder and chief executive at GoKwik, a platform for addressing e-commerce website problems.
“Platforms like Instagram and global digital connectivity have made it easier for brands to reach a wider audience and show off their latest collections. This has led to an increase in demand for trendy and affordable fashion items.”
Access to the internet “has created a wave of aspiration among the young population of the country … and with the ease of access to digital content, social media and other channels the desire to be upbeat, cool and trendy has caught on pretty fast”, says Jasmeet Thind, co-founder of offline to online social commerce platform CoutLoot.
Underscoring the importance of the online apparel market and demand for fast fashion in India to companies, Mukesh Ambani's Reliance Industries last month struck a deal with Chinese online retailer Shein to bring the brand back to the country, according to local media reports.
Shein was banned from India three years ago after the government pushed out a number of Chinese online companies following deadly border clashes between the two countries.
The partnership could help Reliance to build a greater presence in the online fashion market in India, and gives it an opportunity to catch up with market leader Myntra, which was acquired in 2014 by e-commerce marketplace Flipkart – now owned by Walmart. Reliance has an online fashion platform called Ajio.
“The partnership between Shein and Reliance Retail is a significant development that indicates the potential for further growth and expansion in the Indian e-commerce market,” says Mr Taneja.
“It not only brings Shein back to India but also strengthens Reliance Retail's position in the online fashion segment.”
The collaboration is likely “to boost supply chain capabilities and facilitate the entry of Indian vendors into the global market, thereby creating export opportunities and contributing to the growth of the online fast fashion sector in India”, Mr Taneja adds.
Spotting an opportunity to tap the e-commerce apparel market, Beyoung is an online fast-fashion start-up that launched in 2018 “with the vision of providing trendy and affordable clothing options to young consumers”, says co-founder Shivam Soni.
The company, which focuses on menswear, caters to large and smaller cities across India, with a target market of youth and adults aged from 15 to 40 years.
The company now delivers to 25,000 postcodes across India and expects scope to grow as “the outlook for online fast fashion in India is promising”, says Mr Soni.
As the internet becomes a more popular option for fashion purchases, Mr Jain says his brand, Madame, has made significant investments in e-commerce. Its products are available on platforms such as Myntra and through its own online shopping portal, Glamly.com.
“Our online sales have experienced remarkable growth, with more customers opting for the convenience and accessibility of online shopping,” says Mr Jain.
“With the increasing adoption of digital payments and the digital transformation in India, we anticipate further growth in the online fashion segment, opening up new opportunities for fast-fashion brands.”
Consumers can now purchase fast-fashion products manufactured and marketed in any part of India thanks to convenient payment options, according to Siddharth Pandit, chief executive of StyleBuddy.
However, there is a downside and challenge to the growth of fast fashion in India: the environmental impact.
“The impacts are accelerated by superfast fashion retailers,” Mr Pandit says.
This comes as India is trying to reduce its carbon footprint, with the ultimate aim of having net-zero emissions by 2070.
India needs to do much more to be able to manage the environmental effect of its rising appetite for clothing trends and make the sector more sustainable, experts say.
“The increasing demand of fast fashion is definitely a major environmental concern,” says Poonam Bhagchandani, associate professor and head of the department, art and design at Sharda University.
“We all know that the textile industry is major polluting industry. Major pollutants are dyes, chemicals used in the processing, along with the large consumption of water, land and energy. We all talk about sustainable fashion nowadays but to be truly sustainable, it will take many more years.”
More effort is needed to boost India's circular economy as the industry grows, she adds.
“Very less brands are using sustainable measures,” says Professor Bhagchandani. “The government needs to make some strict laws keeping in mind the United Nations Development Programme sustainability goals.”
However, a number of brands are now adopting sustainable practices, with increasing consciousness among consumers regarding their carbon footprint and sustainability, according to Sudiksha Jain, co-founder of NeceSera, an online fashion retailer.
“This has led to the rise of home-grown brands focused on slow fashion, emphasising on ethical practices and sustainable production,”
NeceSera is a “slow-fashion” brand that is creating garments designed to last longer, Ms Jain says.
“We are taking measures to address the environmental impact associated with fast fashion,” she adds.
“We recognise the harmful effects of the use-and-throw culture, non-eco-friendly fabrics, excessive inventory, and frequent shopping patterns. To tackle these issues, we specialise in using higher-quality fabrics that are long-lasting.”
Another challenge for online fast fashion retailers is the high rate of returns.
“Indian consumers are often not satisfied with the fit or quality of the products they purchase online and they return them for a refund,” says Mr Taneja.
“Not only this, cash on delivery is incredibly prominent in India. Brands are also faced with the problem of orders cancelled before delivery, commonly known as return to origin, which further brings a challenge in terms of reverse logistics, product wastage and other added costs.”
Logistics is another area that is not easy in a country as large as India, where infrastructure still requires further development, online retailers say.
“Logistics and transporting goods have presented notable challenges for Beyoung, particularly being based in a tier-two city like Udaipur,” says Mr Soni.
Despite the challenges, the opportunity is enormous and the outlook for the online fast-fashion sector in India is positive, says Mr Taneja.
“With the increasing adoption of digital platforms and the growing fashion consciousness among Indian consumers, the demand for affordable and trendy clothing is expected to continue rising,” he adds.
“Brands that can address the challenges of size and fit, returns and logistics, and sustainability, are likely to thrive in this sector.”
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
T20 WORLD CUP QUALIFIER
Results
UAE beat Nigeria by five wickets
Hong Kong beat Canada by 32 runs
Friday fixtures
10am, Tolerance Oval, Abu Dhabi – Ireland v Jersey
7.30pm, Zayed Cricket Stadium, Abu Dhabi – Canada v Oman
Ferrari 12Cilindri specs
Engine: naturally aspirated 6.5-liter V12
Power: 819hp
Torque: 678Nm at 7,250rpm
Price: From Dh1,700,000
Available: Now
VEZEETA PROFILE
Date started: 2012
Founder: Amir Barsoum
Based: Dubai, UAE
Sector: HealthTech / MedTech
Size: 300 employees
Funding: $22.6 million (as of September 2018)
Investors: Technology Development Fund, Silicon Badia, Beco Capital, Vostok New Ventures, Endeavour Catalyst, Crescent Enterprises’ CE-Ventures, Saudi Technology Ventures and IFC
UAE currency: the story behind the money in your pockets
Our legal consultant
Name: Dr Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
Key changes
Commission caps
For life insurance products with a savings component, Peter Hodgins of Clyde & Co said different caps apply to the saving and protection elements:
• For the saving component, a cap of 4.5 per cent of the annualised premium per year (which may not exceed 90 per cent of the annualised premium over the policy term).
• On the protection component, there is a cap of 10 per cent of the annualised premium per year (which may not exceed 160 per cent of the annualised premium over the policy term).
• Indemnity commission, the amount of commission that can be advanced to a product salesperson, can be 50 per cent of the annualised premium for the first year or 50 per cent of the total commissions on the policy calculated.
• The remaining commission after deduction of the indemnity commission is paid equally over the premium payment term.
• For pure protection products, which only offer a life insurance component, the maximum commission will be 10 per cent of the annualised premium multiplied by the length of the policy in years.
Disclosure
Customers must now be provided with a full illustration of the product they are buying to ensure they understand the potential returns on savings products as well as the effects of any charges. There is also a “free-look” period of 30 days, where insurers must provide a full refund if the buyer wishes to cancel the policy.
“The illustration should provide for at least two scenarios to illustrate the performance of the product,” said Mr Hodgins. “All illustrations are required to be signed by the customer.”
Another illustration must outline surrender charges to ensure they understand the costs of exiting a fixed-term product early.
Illustrations must also be kept updatedand insurers must provide information on the top five investment funds available annually, including at least five years' performance data.
“This may be segregated based on the risk appetite of the customer (in which case, the top five funds for each segment must be provided),” said Mr Hodgins.
Product providers must also disclose the ratio of protection benefit to savings benefits. If a protection benefit ratio is less than 10 per cent "the product must carry a warning stating that it has limited or no protection benefit" Mr Hodgins added.
ESSENTIALS
The flights
Emirates flies from Dubai to Phnom Penh via Yangon from Dh2,700 return including taxes. Cambodia Bayon Airlines and Cambodia Angkor Air offer return flights from Phnom Penh to Siem Reap from Dh250 return including taxes. The flight takes about 45 minutes.
The hotels
Rooms at the Raffles Le Royal in Phnom Penh cost from $225 (Dh826) per night including taxes. Rooms at the Grand Hotel d'Angkor cost from $261 (Dh960) per night including taxes.
The tours
A cyclo architecture tour of Phnom Penh costs from $20 (Dh75) per person for about three hours, with Khmer Architecture Tours. Tailor-made tours of all of Cambodia, or sites like Angkor alone, can be arranged by About Asia Travel. Emirates Holidays also offers packages.
Essentials
The flights
Emirates, Etihad and Malaysia Airlines all fly direct from the UAE to Kuala Lumpur and on to Penang from about Dh2,300 return, including taxes.
Where to stay
In Kuala Lumpur, Element is a recently opened, futuristic hotel high up in a Norman Foster-designed skyscraper. Rooms cost from Dh400 per night, including taxes. Hotel Stripes, also in KL, is a great value design hotel, with an infinity rooftop pool. Rooms cost from Dh310, including taxes.
In Penang, Ren i Tang is a boutique b&b in what was once an ancient Chinese Medicine Hall in the centre of Little India. Rooms cost from Dh220, including taxes.
23 Love Lane in Penang is a luxury boutique heritage hotel in a converted mansion, with private tropical gardens. Rooms cost from Dh400, including taxes.
In Langkawi, Temple Tree is a unique architectural villa hotel consisting of antique houses from all across Malaysia. Rooms cost from Dh350, including taxes.
Paatal Lok season two
Directors: Avinash Arun, Prosit Roy
Stars: Jaideep Ahlawat, Ishwak Singh, Lc Sekhose, Merenla Imsong
Rating: 4.5/5
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
Abu Dhabi traffic facts
Drivers in Abu Dhabi spend 10 per cent longer in congested conditions than they would on a free-flowing road
The highest volume of traffic on the roads is found between 7am and 8am on a Sunday.
Travelling before 7am on a Sunday could save up to four hours per year on a 30-minute commute.
The day was the least congestion in Abu Dhabi in 2019 was Tuesday, August 13.
The highest levels of traffic were found on Sunday, November 10.
Drivers in Abu Dhabi lost 41 hours spent in traffic jams in rush hour during 2019
THE SPECS
Range Rover Sport Autobiography Dynamic
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Power: 518bhp
Torque: 625Nm
Speed: 0-100kmh 5.3 seconds
Price: Dh633,435
On sale: now
Day 2, Abu Dhabi Test: At a glance
Moment of the day Dinesh Chandimal has inherited a challenging job, after being made Sri Lanka’s Test captain. He responded in perfect fashion, with an easy-natured century against Pakistan. He brought up three figures with a majestic cover drive, which he just stood and admired.
Stat of the day – 33 It took 33 balls for Dilruwan Perera to get off the mark. His time on zero was eventful enough. The Sri Lankan No 7 was given out LBW twice, but managed to have both decisions overturned on review. The TV replays showed both times that he had inside edged the ball onto his pad.
The verdict In the two previous times these two sides have met in Abu Dhabi, the Tests have been drawn. The docile nature of proceedings so far makes that the likely outcome again this time, but both sides will be harbouring thoughts that they can force their way into a winning position.
UAE currency: the story behind the money in your pockets
UAE currency: the story behind the money in your pockets
Company%20profile
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Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates