A report by consulting firm RedSeerestimates the female innerwear market to become a $12 billion opportunity in the next five years in India.
Titled ‘Female innerwear’s USD $12 billion opportunity’, says, the women’s innerwear market in India is expected to rise by twofold to reach $12 billion by 2025
The report explained that there the growth of the female innerwear market in Tier II+ cities is significant and is estimated to be 1.5x that of the metro cities. In Tier II+ cities, the major growth factors aredigital penetration growth with a projected user base of over 975 million internet users and 800-850 million smartphone users by 2025.
As brands penetrate deeper into smaller cities, there will be overall more awareness about products and offerings, leading to higher growth of these brands in the smaller cities. The brands will see consumers buying economical products but relying on the brand image. This will benefit the brands as they onboard new customers.
The report stated that within the branded segments, there are a few breakout categories that are likely to witness the highest growth, and is estimated to be a $2.5+ billion opportunity by 2025. These include branded mid-premium lingerie, branded athleisure and branded ancillaries (includes swimwear and shapewear).
The reason for this shift towards these categories is that new-age brands have been innovative around product design and have optimised supply chains to bring very high-quality products (comparable to premium brands) at affordable prices.