Though the centre for startups in India is Bangalore, a new startup wants to challenge the status quo for customised garments and pick up a significant pie in garment manufacturing in general. CustomBaba, based in Ludhiana, is a vertically integrated company that manufactures and prints its own garments for customised needs of organisations, schools, colleges and more.
This allows the organisation to sell the same products at a lesser price than its competitors and still earn more percentage profit.
Even though, customised garment rich has many startups, they are struggling as they all outsource their orders to manufacturers. They are completely dependent on them to deliver in time, which does not take place in majority of the cases. Also, manufacturers tend to use sub standard quality and prints to save costs, as these orders are not significant enough to earn money. Garment manufacturing is sustainable when the quantity is high, that enables workers to make the same piece again and again that increases production. Also, these orders are again sub contracted to small manufacturers like printers and embroidery units that makes it difficult to deliver in time.
The startup considers Almamaterstore, Inkmonk etc as its competitors however Akshay Jain, Co-founder, Custom explains,”All these e-stores outsource their orders to other manufacturers and earn commissions on every order. We manufacture ourselves. Also, we help people open their fashion brands by manufacturing for their labels. We have already started exports”.
The startup has hit 3 lakh revenue per month from our online sales and aims to completely dominate the custom clothing market in India. For the in house brands, the company had already established its retail supply chains in Delhi, Haryana and Uttar Pradesh.
CustomBaba is working on four revenue streams:
1)Manufacturing its own label of menswear and sports wear
The company has launched its in house label “YALI” that it sells in the local market in states like Haryana, Punjab, Delhi and Uttar Pradesh. The response has been great and the company’s research shows that there is great demand for sportswear in tier 2 cities that cannot be fulfilled by major companies as they are too costly for the users.
2) Manufacturing custom t shirts and hoodies:
The company through its website sells customised clothing to colleges and other organisations who require customised apparel. As it has experience in manufacturing sports jerseys, it also sells customised sports jerseys, the only one to do so in India.
3) Manufacturing apparel for people trying to set up their fashion brands:
The company manufactures clothing for small brands who have their own fashion labels. Being online adds credibility and the company already has five brands that it is manufacturing garments for.
The company does job work for other manufacturing units, when they get big orders that they
cannot fulfil. This itself allows them to keep the company running, all else are profits.
By the end of this year, the company wants to become one of the major players in custom garments.
It wants to set its foot deep in the local market for its in house brand. It wants to start a women fashion label to be sold online.To achieve this the company is constructing a new factory that would increase its capacity ten times, and plans to shift into the same in the next six months.