It has been almost two years since people around the world packed away their shoes and decided to stay back home in order to contain the ongoing pandemic and this ultimately meant losing on sales for the footwear brands. While the year 2021 was hoped to be the year of stabilisation, of revival, or getting back to the revenue generation bit, the second Covid wave led to further losses of various segments across the industry. Well, we are definitely past that and with every passing month, the overall retail industry is strategising and getting back to what we now call as the ‘new normal’. In fact, the 21st edition of the Retail Business Survey by the Retailers Association of India (RAI) indicates that retail sales in October 2021 signalled 14 per cent growth over the pre-pandemic levels (October 2019) and 34 per cent (Y-o-Y) growth (compared to October 2020). The optimism is quite visible as retail brands and start-ups have resumed expansion across the country.
One such impacted industry which is on its revival stage now is the footwear industry, a category which had already made a move from being basic need-based to pre-eminent part of the overall fashion and lifestyle market. One of the most rapidly augmented industries globally, the footwear industry has come a long way. According to Statista, revenue in the footwear market amounts to US $ 5,655 million in 2021 and is expected to grow annually by 24.73 per cent (CAGR 2021-2025) and this growth is attributed to changing living habits, growing economies and even demand for fashionable, trendy, athletic and sports shoes by today’s discerning consumers. “The Indian footwear market is the second-largest consumer and producer of footwear globally, China being the largest producer, according to Invest India’s report on the ‘Non-leather Footwear Industry in India’. Though unorganised, it is projected to increase 8 folds by 2030. Thus, brands are innovating and producing footwear that weighs higher on both appearances and all-day comfort,” says Amar Preet Singh, Co-founder and COO, Neeman’s.
Tip-toeing with the best offering
Neeman’s is a sustainable footwear brand that was conceptualised in the US and started its India journey in 2017 and is known for launching merino wool shoes. The sustainable D2C start-up offers varied footwear styles at different price points. The product range includes Merino Wool Joggers at Rs. 5,850, the ReLive Knits for Rs. 3,299, Eco Flips priced at only Rs. 699 and the Cotton Classic Sneakers at Rs. 2,399. Amar Preet Singh informs, “We are a ‘Made in India’ brand, and our focus is to drive sustainable measures to reduce waste. We use natural and renewable fabric which thereby reduces carbon footprints and offers supreme comfort. Neeman’s footwear is designed with a view of changing how India wears shoes. Since inception, we’ve been working with the designated suppliers who we are confident keep quality as their priority. At Neeman’s, we don’t believe in bulk production but crafting right, so our customers get nothing short of superior comfort and quality. For this, we have a thorough process that the QC team follows, and every piece of footwear is checked and re-checked for the colour, stitch, seam to properties like being anti-skid and sturdy. Our every shoe ought to be perfect before it gets shipped out of the warehouse and reaches the customers.”
Having started as an online brand, Neeman’s recently entered offline retail scene with Centro Grande, one of the largest retail, distribution and franchising companies in South India. The start-up retails its products through its own website, social media or other online platforms like Amazon, Nykaa, Flipkart and CRED. “Our digital and omnichannel initiatives are designed to meet consumers at their convenient place, that is, wherever they are in the digital world. Thus, we thrive on data and analytics and use them to understand our customers, demographics, likes, etc. This enables us to deliver a unified experience across our various touchpoints. Basis this learning, we also devise marketing strategies and outline new launches. Neeman’s hugely invests in technology, R&D and machinery. Moreover, being predominately an online player, we ensure that tech supports us in providing a seamless customer experience,” avers Amar Preet Singh.
The right steps for growth
Neeman’s was born out of necessity by Taran Chhabra and Amar Preet Singh. But the duo never wanted to be another shoe brand and thus, Neeman’s was created to craft shoes that were good for both people and environment. “In India, sustainable footwear is a new space, and hence, the scope is enormous. We have launched products with unexplored fabrics like Merino Wool and Recycled Plastic bottles and are excited with the response we have received from customers. Since our inception, we have seen over 6X growth in the demand for our footwear and thus can confidently say that more people will demand sustainable footwear in times to come. We are committed to providing people with superior quality, comfortable, eco-friendly and stylish footgear. People, today, are more aware about the sustainable and eco-friendly products and this is working out perfectly for us,” maintains Amar Preet Singh.
recycled plastic bottles
Besides being an environmentally conscious brand, Neeman’s is leveraging the rising popularity of D2C market in India and has ensured that it connects and engages with its consumer base in the right way for them to resonate with the brand. The Co-founder of this sustainable start-up avers, “Being transparent is fundamental. Our distribution strategy from the beginning has been D2C. It has worked wonderfully for us because rather than asking our customers to come to us, we tried to reach them by being available at a click of a button. D2C is reasonably popular in India, and we can see this from the presence of various online brands. To become a successful D2C company, it is essential to interact, inspire and interact with consumers at every step of their shopping journey. Also, for D2C brands, listening to your customers and analysing and combining all available information that can help them strategise and enhance customer experience will give them an edge over other players.” For this, Neeman’s uses the power of effectively communicating the brand story through content and heavily relies on content marketing and creates image posts and videos to showcase its products and features. The D2C start-up also works with influencers who further connect with more people on social media platforms and spread the word about its various products.
Jumping right out of the Covid crisis
While there have been many innovations in the category with brands offering eco-friendly footwear options, Neeman’s strength is crafting unisex, sustainable comfortable shoes for all-day wear, using materials like recycled PET bottles, natural cotton, Merino wool and renewable products.
All things and the best of USPs aside, like all businesses, Neeman’s too was impacted by the pandemic caused by COVID-19. “It hit us the first time around, and we too saw a dip in our sales. But rather than worrying about it, we used our time in making ourselves better. We improved our existing products, improved our internal processes, delivery mechanism and planned our future by focusing on product development that helped us heighten the customer experience. As a result, we have indeed become more proactive and are committed to delivering value. However, with this we saw retail rules re-written. To keep afloat, businesses moved online, and with the pandemic on the ascent, the customers were waiting for such a move. This change in customer habits required every business to be present in the online arena and make the customer experience smoother and simpler than before. This enabled companies to regain momentum and sustain themselves,” asserts Amar Preet Singh.
Even with the challenges, Neeman’s registered 3X growth during the pandemic. The start-up had raised its seed round of funding worth close to a US $ 1 million from Anicut Capital last year and then received US $ 2.7 million (Rs. 20 crore) from Sixth Sense Ventures as part of its Series A funding round, in August 2021. “We will be directing the influx of funds towards intensive product development, launching Neeman’s in international markets, expanding categories, and further strengthening our commitment to the planet by developing eco-friendly products. As champions of sustainability, we strive to keep disrupting the footwear market by keeping innovation as our core,” concludes Amar Preet Singh.
