Inaugurated in 2016 under the ownership of TATA, Zudio aimed to transform the landscape of Indian fashion. How? By offering fashionable, high-quality clothing at affordable prices tailored to the middle-class youth.
➡ Initially facing stiff competition from V-Mart and StyleBazaar, Zudio not only survived but also outshone its rivals without any significant expenditures.
➡ Surpassing even Westside, another TATA-owned retail chain, Zudio expanded its footprint, entering 46 new cities and strengthening its presence in 48 others in FY24.
➡ With an impressive tally of 545 stores in 164 cities, Zudio witnessed a meteoric rise in revenue, exceeding ₹4000 crore within just seven years.
➡ A staggering statistic reveals its popularity: 90 T-shirts sold every minute and 20 denims every hour.
The question arises: How did Zudio achieve this extraordinary feat?
Recognizing the demand for fashionable yet affordable clothing among the majority of Indians, particularly the lower and middle classes, Zudio became the pioneering fashion startup to cater to this segment. Most of its products fall within the price range of Rs 99 to 999, establishing Zudio as a distinctly budget-friendly venture.
Embracing a low-cost business model, Zudio sources inexpensive raw materials and employs cost-effective manufacturing techniques to keep prices down. By focusing on high-volume sales of reasonably priced items, Zudio prioritizes profitability over extravagant margins.
Expanding its offerings to include women’s and children’s wear, Zudio maintains its commitment to affordability and accessibility, eschewing the temptation to chase high profits at the expense of broader market reach.
Competing with Yousta, an affordable retail apparel brand associated with Isha Ambani, Zudio distinguishes itself through strategic social media campaigns promoting ethical and eco-friendly practices, thereby cultivating trust and credibility among its target audience while minimizing marketing expenditures.
Operating within a larger retail conglomerate that includes brands like Westside, Zara, and Star, Zudio contributes significantly to the group’s consolidated revenues, reflecting its substantial impact on the Indian retail landscape.
