Benetton launches activewear in India to revive fortunes

By

Maverick Martins

Published
Jul 26, 2017

United Colors of Benetton (UCB) has launched its active wear collection within its Undercolors portfolio in India's fast-growing sports market and is hoping this segment leads to a revival in its fortunes.
 

Benetton was one of the first foreign companies to enter India’s booming fashion market but somehow is struggling to compete with the onslaught of other foreign brands in the country. Benetton India’s profits fell a sharp 79% to Rs 2.3 crore (approx $340,000) in FY16 with sales rising by just 2.2% to Rs 735.3 crore (approx $114 million).
 
Benetton had then attributed the drop to stiff competition and adverse weather conditions which had resulted in slow sales growth. The company said FY16 had been a tough year due to poor market sentiment and the launch of several new fashion brands which had led to keen competition.

The company is now hoping for a revival of sorts with the launch of its active wear collection that aims to cater to the growing fitness casual wear market in India and will offer high octane styles to match a higher intensity workout. The company is also planning to launch two exclusive Undercolors stores in the metros of Gurugram and Kolkata this year
 
Managing Director & CEO, Benetton India, Sundeep Chugh in a statement said: “Benetton, with this latest range of active wear has made a conscious approach to bring inspiration and innovation in the world of smart working out, truly building itself as a leisure brand. With the launch of the collection, we would also like to announce the launch our first two exclusive Undercolors stores at Gurugram and Kolkata by end of this year.”
 
The range comprises of seamless leggings, sports bras, hoodies, shorts, tees and body shorts for men and women respectively. The collection is priced between Rs 699 to Rs 1,899 and will be available in all leading stores across India.
 
Benetton has also approached the government to convert its existing venture into a single brand retailer, which allows foreign-funded companies selling only their own brands to build e-commerce channels to offer the products.

Currently, Benetton operates a wholesale business in India that supplies products to be sold through a network of franchisee outlets.