With a network of over 200 stores and 1,500 retailers spread across the country, Monte Carlo, a home-grown brand from the house of Oswal Woollen Mills, has become firmly entrenched in the Indian market. It positions itself as a premium mass brand that relates to the lifestyle of people, especially in Tier II and Tier III towns of North India, where the population experiences the winter chill every year. Devansh Sharma spoke to Swapan Dutta, President, Retail, Monte Carlo Fashions Ltd about the regions that have become significant for the brand and its strategy in these markets
Q] North India is an important market for Monte Carlo. How has it emerged as a significant market for the brand?
The states of North India have great potential for the brand. It is not surprising as it is the fastest growing and most rapidly developing part of our country now. It’s any brand’s dream market with a large population, huge market size and scope for deep penetration. This region contributes approximately 25% to our total annual sales. It plays an important role in contributing to the bottom line of brands. Monte Carlo has an iconic image and carries with itself an aspirational appeal. We cannot afford to overlook this market and take it very seriously when working on our business expansion plans. It took some time to make people aware about the benefits of branded knitwear, but once they understood the value of quality, there was no looking back. The demand for the brand has only grown over time. We have immense brand recall and our equity is high in North, Central & East India. Our thrust has been on these areas to optimize opportunities. Gradually, we have forayed to other parts of the country in addition to North India.
Q] How have you managed to spread awareness about the brand in this region?
With the onslaught of Digital, one can see many changes in the advertising patterns of most brands. But in this region, the conventional media and methods are still a big hit as a large chunk of the population has just begun to explore Digital media. Conventional methods are more convenient and preferred in the Hindi-speaking market. Television, Radio and Outdoor hoardings as well as vernacular Press are quite impactful here. In fact, vernacular Press has a deeper reach and circulation as compared to leading national dailies. It plays a very important role as it not just helps in connecting directly to consumers, but also in giving a personalized feel to the communication. For example, in order to tap the Bengali audience especially during Durga Puja, we prefer advertising in the vernacular Press to reach the right audience and hit the right chords. We have several engagement activities in this region to connect with our customers as well. Every campaign and activity is equally important as it helps build the brand in that particular area. For example, the Fashion Show we conducted at the launch of our store at P&M Mall, Patna was remarkable. It was witnessed by a massive crowd and we were highly appreciated for that particular event. It brought about instant recall for the brand and eventually led to sales.
Q] What percentage of your marketing spends is allocated to Print media?
Our total marketing budget ranges from 5-8% of our annual turnover. Within this budget, spends are allocated to different categories of media. Until a few years back, Print received the major share of the advertising budget, but that is now squeezed with new advertising media eating up its share. We now spend around 25% of marketing spends on Print advertising. It’s important to mention that Monte Carlo has always been doing innovative advertising like Gatefold, Jackets, Tabs, Earmark, Multifold, etc.
Q] What is the strategy you have adopted for the Hindi speaking market?
Our strength is our penetration into deep pockets. ‘Think global, act local’ is our motto while devising the strategy for these states. We customize the advertisement on the basis of medium, region and language for a better connect with consumers. Although Monte Carlo campaigns always revolve around international locations and themes, we use local language to give it the required customized touch and feel. Going forward, Monte Carlo plans to open some flagship stores in North India which will possess an international ambience and look. Stores at Elante Mall in Chandigarh, North Country Mall at Mohali and Alpha Mall at Amritsar are some examples. We are planning to increase the number of stores in North India from 65 to 77.
Q] How is Monte Carlo perceived as a brand in this market and what makes it appealing for the population here?
The Hindi belt treats us at par with top international brands in terms of positioning, styling and quality, all at an affordable price point. We are a brand with a style statement.
