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US Firm Plans 60 Outlets In UAE, Mideast
Global innerwear manufacturing firm Jockey International is foraying into the UAE and Middle East with plans to open 60 outlets across the region.
Anil Pagarani, Managing Director of Yellow Flower Trading – the distributor of Jockey products in the UAE, told Emirates 24l7 in an interview that the firm is “looking forward to add 7 more stores to existing 3 stores in next 12-18 months and in the long term plans to have close to 50 stores in the region.”
The company opened two outlets in Dubai – including one in Mirdiff City Centre – and one in Abu Dhabi.
Yellow Flower Trading has been appointed distributor by India’s Page Industries which is exclusive licensee of US-based Jockey International in India, Sri Lanka, Bangladesh, Nepal and UAE.
Pagarani said the company is investing “substantial” money in the expansion and will add 50 employees to meet its expansion needs.
The UAE retail sector – particularly in Dubai – is witnessing stiff competition and tighter margins due to the presence of majority of international brands here. Dubai has been occasionally positioned among the most important international retail destinations globally at par with London, New York, Paris and other global cities.
Pagarani believes that there is a consumer section which is untapped by the other players.
“We have always believed that competition is a healthy thing to have in any market. While UAE has many international brands operating as of now, we do not see any direct competition as such. Most of these brands operate in price bands that are either too low, catering to the mass market or designer brands which are priced very high; catering to a different set of customers,” he added.
Sunder Genomal, Managing Director of Page Industries, said: “I went around to analyze the UAE innerwear market, it’s either very mediocre quality or very expensive designer brands. There is a big void of quality premium brand that offers value for money. There is this space that is begging to be filled. That’s where we’re going to go strongly to occupy that space.”
He said there are “no independent sources that measure the UAE market size but our estimate is that the premium men’s wear market here is nearly half a billion dirham and a little bit more for the women.”
Commenting on the regional expansion, Pagarani said: “We are talking to the principals in this regard, we are quite sure that we will be adding few more countries to our portfolio in the region shortly.”
Genomal said the firm is starting with the UAE and once the ball gets rolling, then it could possibly get into the other neighbouring countries.
Page Industries turnover last year reached in the region of $200 million, 17,000 employees and 10 factories with production volume of 400,000 pieces a day.
In India, the company opened 40 outlets last year, taking its tally to 150 exclusive stores.
“We plan to double outlets in 2 year by March 2107; that is our plan, whether we are able to make double or close to that remains to be seen; we command 18 per cent market share for menwear and 12 per cent for womenwear. That is the market which is ballooning.”
Emirates 247
Waheed Abbas