Opportunity In Disguise

The leather accessory market is one of the emerging markets in India today. With up-grading lifestyles, increase in number of corporates, rising purchasing powers, Indian leather accessory industry is witnessing enormous growth. The market mainly caters to the surging demands of the upper strata of the society and youth (that constitutes a major part of the population). Even with the rising force of working women, the demand for trendy leather accessories have also risen. Indian leather market accounts for four billion dollar. The leather accessory market has a share of 20.53 per cent in the Indian leather industry and is successfully maintaining its average growth of 11 per cent from the past five years.

The Indian leather accessory market has undergone a huge transition. Earlier, people used to buy tried and tested designs. But recently, people are more willing to be experimental and innovative. Leather accessories with exclusive designs, trendy stuffs and value for money pricing are some of the reasons for gaining popularity in markets today and thus, providing new franchise opportunities to the aspirant franchisees through franchising. To meet the rising demands, a number of well established brands are heading towards franchising. Franchising plays a key role in driving the sales and brand presence. As Sahil Malik, MD, Da Milano (India) says, “Franchising gives an opportunity to the company to get coverage in the entire nation. It helps in catering to the rising demands of the particular brand in the nation.” Therefore, it can be an ideal choice for the aspiring entrepreneurs to explore this domain and grow with it.

Major franchising brands

The Indian leather accessory market comprises hand bags, watches, wallets, purses, jackets, pouches, folders, covers, portfolios, travel ware, backpacks, small leather items etc. The renowned names in the leather accessory market include Da Milano (currently supports five franchised outlets in India), Dandy Collections (supports 32 franchised outlets across the nation), Gold Filled Leather Works (approximately two outlets). Even, some of the notable luxury brands have endeavoured into the leather accessory industry by introducing stylish products such as Satya Paul Accessories, Gucci etc.  The presence of such brands in franchising have strengthen the positioning of the leather accessory market in India and worldwide. Thus, this market provides ample opportunities to the aspiring entrepreneurs to start a franchise business in this burgeoning sector, which is yet to be explored.

Requisites to own a franchise outlet

If you aspire to get started in a leather accessory business, franchising is an apt way to do so. These are the following requirements supposed to be met :

• Investment: An entrepreneur must be financially sound. Leather accessory market requires huge investment, though the returns on investment are also relatively higher. Thus, a franchisee must have a reliable resource to fund the franchise business to achieve the desired goals.
• Location: Having a good location is another requisite to run the franchise profitably. Location is the foremost important part to run a of a franchise leather accessory business. For instance; if you have decided to own a franchise in leather accessory industry, you have to search for an area where you will receive footfall comprising affluent class. One must be highly cautious in selecting the site for the franchise outlet.
• Knowledge: An entrepreneur must have a good knowledge and know-how of the leather industry. Being a well informed entrepreneur, one can take the franchise business to new heights by catering to the needs and demands of the customers.  

The franchisee can also take the franchisor’s help in establishing the franchise successfully. In franchising business, the franchisors usually offer their franchisees with complete support in the company’s growth. They provide the franchisees and representatives with training on products, visual merchandising, commercial features, service and selling skills.

Points to consider

Being a part of an expensive and exclusive market, at times, it may be difficult on part of the franchisees to meet target sales. Therefore, the aspirant must prepare a market plan as per the local needs to inspire the local customers to buy genuine leather products. Finally, the franchisees have to keep themselves up dated as per the latest trend in the market catering the desires of the customers.

India is poised to emerge as one of the major destinations for leather accessories. This market, offers a great potential for the aspiring entrepreneurs for remarkable growth and success via franchising. Even the rising demands of the youngsters, corporates and fashion conscious consumers have taken the industry to a great height. Besides this, absence of organised players has increased the chances for entrepreneurs and aspiring franchisees to make profitable business in this market.