The Indian Footwear Industry -

A Sectoral Analysis
• Pegged at INR 10,000 Crore in value terms

• Expected growth at a CAGR of over 20% for the

period spanning from 2008 to 2011

• Men's footwear occupies nearly 58% of the total

Indian footwear retail market.

• Casual footwear occupies nearly 70% of the total

Indian footwear retail market

• Untapped opportunity in an exclusive women, kid or

other functional category
Market Share of Key Players
Future market of Sports Footwear-
Key Drivers
Future market of Sports Footwear-
Key Drivers
Future market of Sports Footwear-
Key Drivers
 Porter’s Five Forces Model

• Bargaining Power of Suppliers

-Subcontracts to more than 500 small scale factories

-Low bargaining power due to Nike’s big volume

• Bargaining Power of Buyers

-Competitive products all compete on differentiation

-Low switching costs

• Threat of Substitute Products

-Non-existent
 Porter’s Five Forces Model
• Threat of Potential New Entrants

-Economies of Scale
-Strong and Well Established Brand Name
-High Capital requirements
-Low threat

• Intensity of Rivalry between Firms in the Industry

-High competitive in an Oligopoly (other leading

firms include Adidas, Puma, Fila, New Balance)
-Strong brand identity and product differentiation
-Intensity of Rivalry is moderate
 Porter’s Five Forces Model
High Moderate Low

Bargaining Power of
Suppliers

Bargaining Power of
Buyers

Threat of Substitutes

Threat of New Entry

Intensity of Rivalry
Between Firms
Segmentation , Targeting
and Brand Positioning
Segmentation , Targeting
and Brand Positioning
Segmentation , Targeting
and Brand Positioning

• Sense of belonging to the

Indian and global Sporting,
Fitness and Youth legacy
• Confluence the Passion of
Sports and subtle Fashion … A
genre of “ Sports Fashion”
 4Ps – Price , Place , Product,
Category
Promotion
Cluster Price Range Mode Price
( in INR ) Range
( in INR )

Sports Shoes Bata / Liberty 800 - 1600 1000-1200

(Multi category / Action /
Retailers) Lotte

Sports Shoes Vishal 700 – 1400 800-1000

( In House Megamart /
Labels) Shopper’s
Stop /Big
Bazaar
Sports Shoes Reebok 1200 – 2800 1800 -2200
( Sportswear /Adidas
Brands)
Sports Shoes /Puma
Reebok 1200 – 2800 1800 -2200
( Sportswear /Adidas
Brands) /Puma
4Ps – Price , Place ,
Product, Promotion
4Ps – Price , Place ,
Product, Promotion
Location Median Property Value (in
INR/sq feet)

Chandigarh 6500

Ludhiana 1600

Surat 2000

Lucknow 2250

Mumbai
-Marine Drive 20,000
-Opera House 26,000
-Malabar Hill 38,000

Delhi
- Pitampura 10,000
-Ashok Vihar 11,000
-Rohini 12,800
4Ps – Price , Place ,
Product, Promotion
4Ps – Price , Place ,
Product, Promotion
 4Ps – Price , Place ,
Product, Promotion
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 4Ps – Price , Place ,
Product, Promotion
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4Ps – Price , Place ,
Product, Promotion
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 4Ps – Price , Place ,
Product, Promotion
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4Ps – Price , Place ,
Product, Promotion