Covid-19 creates a massive hole in India’s fashion and beauty industry.
The Indian apparel industry with sales turnover of USD 74 billion might take a hit of 10-15% in 2020. Demand in apparels may shrink by almost 40% in 2020.
Some brands might need to temporarily shut down stores, creating an opportunity for business restructuring and store network reorganisation.
The existing online (8%) to offline (92%) buying of apparel may tilt in favour of online apparel purchases up to 12% in the coming years.
The demand for beauty and grooming products is expected to fall as people focus more on essentials.
Source: Economic Times, 2020; Clothing Manufactures Association of India, 2020; Kantar Report, 2020.
Since there are bound to be more work/meetings from home, residual behaviour might persist as to what we wear in near future.
Right now, most people have three set of clothes - home wear, casual wear and office wear. There might be a need for another sub-category.
People may be looking out for clothes that are comfortable and look good. Smart home wear range that are comfortable to wear, make you look not-overdressed for an office video call might become the consumer preference.
The rest of 2020 may be a year of social distancing and almost no large gatherings.
People may spend more time with their close friends and family and less time in sharing social space with strangers like in pubs and clubs.
The party wear range, especially for women, might evolve to a house party lounging range. Innovations like easily washable, anti-bacterial might be key talking points.
Fabrics which are easily washable and can offer more hygiene may be sought after. Cottons might be the focus rather than cheaper, synthetic fabrics.
Wash ability in accessories like washable bags, shoes may be preferred.
There’s a sentiment that the earth is trying to undo what humans did to it. This may encourage people to adopt environment friendly products.
Since India mobilized as one because of the outbreak, there might be a resurgence of the Great Indian Pride.
People may want to focus on learning how to deal with beauty needs themselves as threading, waxing, haircuts become the new grooming challenges.
There may be a renewed focus on natural ingredients, natural remedies, ayurvedic recipes and herbal products.
Deprivation, forced austerity, repressed hedonism might create a strong drive to revenge shop but they might get rationalized with the need to be healthy, and for some, the need to be internally driven.
Brands may need to think of the new changed behaviour and what matters to people now. Work from home wear may be a new and upcoming segment.
Anti-bacterial, easily washable, cotton fabrics should be the focus.
The color palettes that are likely to dominate are the ones that will be optimistic connoting freedom, hope and assertiveness like bright yellow, purple or no-frills minimalists like whites and greys.
People are exercising at home or walking in their society’s park, so activewear may be an important need.
Multifunctional nomadic wear like cargo pants with exaggerated storage or two-in-one products where you can tuck in your mask, gloves and sanitizer may get more popular.
People may be on the lookout for more affordable price-points.
Sustainable clothing that benefits everyone around may be appreciated more by people.
Indian casuals might be cool again as the memory of fighting off COVID-19 as a nation will be fresh and evoke strong sentiments. Work by local artisans and Made-In-India will be loved and more sought-after.
Contactless deliveries and pre-paid deliveries may see an uptick in adoptability.
As sanitation and cleanliness become key concerns, pouches will need to get rebranded as sanitizing kits just like beauty and shaving pouches exist. There may be a need to focus on smaller, travel friendly SKUs of cream.
Creams might evolve to have germ protection and sanitizers might evolve to offer moisturization.
Do it yourself beauty kits. Eyebrow threading, waxing strips, trimmers at home may rise.
Salon at home with certified experts may go up. Using the same expert builds trust relationship with the clientele. Hair cuts at home might go up.
Dual benefit packaging. Sanitizer and cream. Portable cosmetics for everyday needs.