Exclusive | Way forward for us, to move up: Skechers' Sanjeev Agrawal

Global leader in the lifestyle footwear industry, Skechers develops and markets more than 3000 styles for men, women & children. The $.150 billion Skechers is known for its high quality and varied product offerings. In India, it is available in large format stores, home grown majors like Planet Sports, Reliance Footprint, Lifestyle, Central, Pantaloons, Metro, Mochi and select e-commerce portals. Skechers sells in more than 100 countries.

In conversation with Adgully, Sanjeev Agrawal, MD, Skechers South Asia shared some insights about the company. As MD, Sanjeev is focused on building a strong distribution network and preference for the brand amongst the Indian consumers.

Sanjeev has 25 years of experience in marketing and general management across various industries. Prior to Skechers, he was the Jt. CEO at Future Value Retail, part of the Future Group (comprising of Big Bazaar, Food Bazaar, Fashion@BigBazaar). Sanjeev also headed Pantaloons as CEO between 2007 and 2010.
Following is the excerpt of the conversation.

Adgully: You are a new player in the industry, what is your business rationale to start this activity? Why now and why not earlier?

Sanjeev Agrawal: Brand Skechers started its journey in 1992; it’s just two decades old. Being a relatively young brand we are expanding in US and other international markets. As for India, with the economy opening up this is the right time to enter. The per capita shoe consumption has gone up from 1.4 shoes in 2004 to 2.5 in 2012. In fact the Indian footwear industry is estimated to be around $3.94 billion which will move up to $6.89 billion by 2015. Skechers believes India is an important market and is committed towards building a strong brand in India.

AG: What are your business plans and strategy to emerge as a frontrunner in this industry?

SA: Internationally Skechers is known as a fashion & lifestyle brand. It makes a wide range of shoes which cater to men, women & children. The range consists of Performance footwear which offers shoes for running & walking, Sports shoes and the company’s flagship Lifestyle range. The women’s range has been created with feminine sensibilities in mind rather than knock down versions of men’s shoes. Touches of glitter, a dash of color or beautifully printed insole are some of the examples. The kid’s range of shoes comes with features like spring for extra bounce, colorful lights fitted in the shoe or a disk embedded in the sole so that the kids can twist & turn around.

AG: Shed some light on the range of products you have in your kitty?

SA: Skechers not only has the right range of shoes but is being offered at attractive prices to the Indian customers. In addition to this we are focused on building a pan India distribution & franchise network. Currently the brand is available in over 200 multi brand outlets (MBO) like Planet Sports, Reliance Footprint, Metro, Mochi, Lifestyle and e-commerce sites like Myntra & Jabong. We will aim to occupy a higher share of mind recall through consistent & focused advertising.

AG: Can you mention a couple of milestones achieved within the short period of your presence in India?

SA: Skechers was honored with, “IMAGES Most Admired Fashion Brand Launch of the Year” at Images Fashion Award 2013. This was a testament to the brand launch. Within six months of its launch the brand is being retailed through 200 MBO.

AG: What is your view on competition and how do you intend to manage the same? What factors give you an edge or a sustainable advantage?

SA: Competition can be viewed from two angles, consumers and trade. Grabbing share of consumers mind is relatively simple as it’s directly proportional to the advertisements one does. On the other hand occupying a share of shelf and laying out the distribution network is much more complex and time consuming.
Being a starter the only way forward for us is to move is up. The progress Skechers has made in a short period gives a glimpse of things to come. Factors which will continue to drive the brand are its wide range of products, increasing reach via distributors & franchise and consistent & focused advertising.

AG: Share some of the challenges that you faced up till now?

SA: Our biggest challenge has been meeting the increasing demand for Skechers footwear. Being a marketing driven company Skechers has been generating demand for its products. Now the challenge is to meet the increasing demand through increased distribution.

AG: How would you use digital in your business or are already doing so? Some examples?

SA: We are looking for partners in developing the digital strategy.

AG: How is your future roadmap like? Can you mention some of your important clients?

SA: We are in a growth phase and all our partners are important, Planet Sports, Reliance Footprint, Metro, Lifestyle and e-commerce sites like Myntra & Jabong. Going ahead Skechers will continue to expand its reach via its franchise & distributor network. Plus it shall continue to reach out to the customers through targeted media vehicles. | By Aanchal Kohli[aanchal(at)adgully.com]