Why Dollar’s Vinod Kumar Gupta is bullish on the purchasing power of Bharat
Leading hosiery brand Dollar recently underwent a brand revamp and unveiled it fresh vision of ‘Wear the Change’ during the lockdown period. According to Dollar Industries, this re-branding exercise is aimed at creating a youth friendly image, along with an improved brand architecture and user friendly interface. The reinvigorated brand identity will assist in creating a synchronised brand portfolio and create a brand recall value amongst its end consumers and stakeholders.
Founded back in 1972, Dollar Industries is now gearing to keep up with the changing market trends and the need to innovate. Therefore, the re-branding would ensure the brand responds to the market need for youthfulness and vigour.
Today, Dollar claims to have a 15 per cent share of the hosiery market. The brand is present in 29 states across India, besides claiming to be the highest selling Indian brand in the UAE and the Middle East. Dollar also claims to have a growth rate of 11.8 per cent on a year-on-year basis.
Adgully spoke to Vinod Kumar Gupta, Managing Director, Dollar Industries, to know more about the rebrand strategy as well also understand about how the Government’s focus on local brands and products will help the industry, besides his insights on India’s economic revival.
What was the need for undergoing this brand revamp during the lockdown period?
Dollar’s rebranding exercise was planned almost a year ago. We wanted to revise our brand architecture and also present a new identity to our consumers. Since we are focusing on ‘Wear the Change’ as our vision, what better time could it have been to adopt changes than in this unforeseen times? We opted for a digital launch keeping in mind the Government’s social distancing and lockdown norms. We felt it was the right time to bring about the change and present our new identity to our consumers and stakeholders.
How do you think this rebranding is going to benefit the brand, especially in the current situation?
With this new brand identity and architecture, we aim to reach out to our existing consumers and stakeholders and also spread our horizons to a new audience. We have revamped our website and simplified our product categories to enhance consumer experience. Moreover, the reason behind the rebranding is also that Dollar Industries identifies the changing market trends and wants to keep up and innovate with the changing times. Hence, the new logo will make sure that the brand responds to the market’s requirements and needs for youthfulness and vigour.
What will be your communication strategy with this revamp?
Hosiery is considered as an essential item and the industry is expected to recover faster than others. We are positive that once the impact of the COVID-19 pandemic subsides, we shall witness growth in sales. Currently, we are focusing only on educating/ informing our consumers about the new brand architecture and identity. We are also trying to reach out to the youth and we want them to accept Dollar as their very own brand.
With changing times and our brand identity, I must say that we have been associated with Akshay Kumar for the last 10 years. Akshay is identified as the “Bigg Boss” of Dollar, so I can say that he is the best name to acclaim Dollar nationwide.
What positioning and perception are you envisaging for Brand Dollar with this revamp?
Currently, we are focusing only on educating/ informing our consumers about the new brand architecture and identity. We are also trying to reach out to the youth and we want them to accept Dollar as their very own brand.
How are you looking at converting PM Modi’s ‘Vocal for Local’ call into a successful business strategy?
We are already a local company with our roots in every part of the country. However, with the PM’s vision and push for ‘Local for Vocal’, we are expecting a boost and grabbing more eyeballs for our business.
Are you revisiting your media mix with the COVID-19 disruption? How are you looking at leveraging digital, print and TV in the new normal?
With the prevailing conditions, a vast number of people/ consumers have shifted their focus to online purchasing. However, in India we still have huge consumer bases that still prefer experiencing the ‘Look and Feel’ of the product and then buy it. So, both the factors will co-exist.
What is your outlook for the innerwear industry in the next 2 years?
The innerwear industry will always thrive, and with the growing aspirations and purchasing power, consumers are opting for branded products, even in smaller cities and towns. People connect with what their favourite celebrities are wearing and that will only help brands like us to grow. There will be no dearth of business and the sector with flourish in the next 2 years.
What advantages do you think local/ indigenous brands will have over global brands in the post-COVID-19 world?
In the coming times, consumers will want to primarily focus on savings for medical emergencies and products like insurance. Therefore, the purchasing pattern will be need based. They will look for brands that are budget-friendly and value for money rather than investing in a high-end purchase. Additionally, the PM’s push for ‘Vocal for Local’ will assist in grabbing eyeballs and creating a support system for homegrown brands.
How are you gearing up to resume manufacturing as lockdown restrictions are being eased?
Transport is still a major issue and we do not enforce our workers to travel during these tough times. We have in-house provisions for our workers, where the organisation has made lodging and boarding arrangements. The workers are provided with hygienic places to stay and basic essentials such as food have also been provided. This has enabled our manufacturing units to continue operations.
Do you think that Tier 2, 3 and 4 markets will fuel India’s recovery in the next few months? How is Dollar strategising for these markets?
There has been a tremendous growth in Tier 2, 3 and 4 markets, including villages. In the last few years, e-commerce platforms have gained extreme traction and have enabled people even in remote areas to purchase products/ goods online. With the current prevailing pandemic, people are sceptical about going to brick and mortar stores or crowded market places as they are extremely concerned about their health and safety. This will also be a contributing factor to the growth of digital purchases from the comfort of their houses, which will lead to immense growth.
We have always been a local company, and with our massive presence across all e-commerce platforms, we ensure that there is no demand-supply gap in our supple chain. We ensure our communication with our partners is concrete and our products are reaching the ‘last mile’. We have opened up new channel partners like semi-wholesalers to make the process smooth.
We recognise the potential and purchasing power of the lower segment of the pyramid, while many brands only look at the top the pyramid. The shift in focus will create more brand awareness and we expect a lot volume in terms of sales from the bottom of the pyramid.