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The fast fashion company, Brand Studio Lifestyle aims to achieve net revenue of Rs 1,600 crore, compared to last year’s Rs 1,300 crore. The company plans to open an additional 100 retail stores across the country this fiscal year. The house of fashion brands, which operates brands like Highlander, Tokyo Talkies, Vishudh, Ketch, and Locomotive, is aggressively adopting an omnichannel approach.
In 2024, fast fashion has emerged as a standout performer in India’s retail market, according to data from Redseer Strategy Consultants. While the overall fashion sector in India experienced modest year-on-year growth of approximately 6 percent in FY24, fast fashion surged ahead, growing at an impressive rate of 30-40 percent.
However, this rapid growth is just the beginning for fast fashion in India. Despite its current market size of around $10 billion, it remains more than three times smaller than Shein, one of the largest fast fashion brands globally. Driven by vast growth potential, fast fashion in India is projected to become a massive $50 billion-plus opportunity by FY31.
Competition Drives Efficiency
Shyam Prasad, CEO of Brand Studio Lifestyle, spoke with Storyboard18 about the company’s growth and the increasing competition in the Indian market. He also discussed expansion plans for the house of fashion brands.
Popular fast fashion retailer Shein is set to enter India via Reliance Retail Ventures. According to the agreement between Reliance and Shein, the Chinese label will use India as a supply source for its global operations and escalate exports of textiles and garments from India. Shein will provide technology and expertise to Reliance Retail to integrate a network of 25,000 MSMEs to create a parallel global supply chain from India.
When asked if Shein’s entry into India’s fast fashion market would challenge existing players, Prasad said, “Competition is a part of any business. It’s very obvious. If you look at the Indian ecosystem in the fashion space, we’re competing with most international brands. Indian brands are doing very well in the market.”
Elaborating further, Prasad said, “As a fast fashion company, we need to build an ecosystem encompassing design, sourcing, manufacturing, logistics, and supply chain. We have to be very well-coordinated to build that ecosystem. Today, we work with 360 dedicated vendors and have 4 lakh square feet of warehousing to manage our supply chain. We launch 1,200 to 1,500 fashion styles every month, much higher than the industry average of launching 600 styles per season, such as spring, autumn, and summer.”
He added, “We are a fast fashion company, not just in name. We have created an extensive supply chain ecosystem across various functions. So, we’re really not worried.”
Talking about competition from existing fast fashion brands in the country, Prasad said, “All other brands in the market are good competition for us, and more competition will push us to deliver better products to the market and consumers. More competition will make us more efficient. Competition brings efficiency into the system.”
Revenue Growth & Expansion
Brand Studio Lifestyle, which operates Highlander, Tokyo Talkies, Vishudh, Ketch, and Locomotive, has expanded its offline presence with Highlander and Tokyo Talkies.
Prasad said, “This year, in terms of revenue, we are expecting around 20-25 percent growth. Last year, we aimed to reach Rs 2,000 crore in revenue and ended up with Rs 1,300 crore. This year, we expect to close at ₹1,600 crore in net revenue. Last year’s fourth quarter wasn’t good for the entire industry, but we’re very hopeful for revenue growth this year. During the festive season, we expect around 20 percent growth compared to last year.”
The company plans to open 100 stores by the fiscal year-end—50 stores of Highlander, 20 stores of Tokyo Talkies, and 30 combined stores offering products from both Tokyo Talkies and Highlander.
By the end of this fiscal year, the company aims to open 70 company-owned and franchise-operated stores, 15 company-owned and company-operated stores, and the remaining 15 stores will be franchise-owned and franchise-operated.
With 85 percent of its advertising budget dedicated to digital platforms, Brand Studio Lifestyle focuses on IPs related to the Gen Z audience. Prasad said, “Sixty-five percent of our revenue comes from Highlander and Tokyo Talkies.”
When asked if the company plans to acquire new brands or expand its brand portfolio, Prasad said, “We do not want to increase our brand portfolio now. We’re focusing on nurturing existing brands and creating a larger distribution network for them. We’re concentrating on our offline channels and building our distribution network and consumer base. We already have a substantial online presence.”
Brand Studio Lifestyle began entering the retail space in May 2024, with 13 stores already established, including a strong presence in Gujarat with 10 stores, a flagship store in Hyderabad, and two stores in Bengaluru.
“In phase one, we’re planning retail expansions in Maharashtra, Delhi, Uttar Pradesh, Karnataka, Andhra Pradesh, and Telangana. We’ve also recently entered the Middle East market and are seeing encouraging growth there. The GCC business is in a nurturing stage, and while market conditions are similar to India, consumer preferences differ,” Prasad said.