- 17 Oct 2022
- ICICIdirect Research
TITAN ENTERS LADIES BAGS SEGMENT WITH LAUNCH OF BRAND ‘IRTH’
TITAN - 3399 Change: 42.10 (1.25 %)News:
As per media reports , Titan Company announced its foray into the women’s handbag segment, a new lifestyle category, by introducing the brand, IRTH. It would compete with brands such as Lavie, Baggit and also international labels.
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The women’s handbag segment offers a fairly large opportunity for the company as the market has mostly remained under-penetrated. The country’s ladies’ handbag market is pegged at more than Rs 4,500 crore of which the organised portion at present accounts for Rs 1,600 crore and is expected to close to double in the next five years. Titan is aspiring to reach Rs 1,000 crore revenue from ladies bags in the the first five years from IRTH as well as Fastrack girls’ bags. The company is planning to tap value to mid premium segment with products ranging between Rs 500-6000 with focus on providing quality at affordable price points. Titan Company expects 40% of its women’s bags sales to come via fashion verticals of top e-com platforms and the rest through exclusive outlets and department chains. By March 2023, it plans to open IRTH brand exclusive outlets and flagship stores in three metros including Bengaluru. The entry into ladies bag segment would provide an opportunity to enhance its presence in newer lifestyle categories and provide thrust to its revenues.
Impact:
Positive.