Salman’s Being Human to walk franchise route

Textile and apparels firm Mandhana Industries Ltd, which partners actor Salman Khan’s Being Human Foundation to manufacture and market the Rs 300 crore Being Human clothing brand, has plans for deeper penetration into domestic and international markets using the franchise route. It already has a licensing agreement with the foundation for a global presence.

Mandhana said it will add new products to its portfolio from April with the introduction of a boys wear line and a sportswear sub-brand called Being Active. Between 8-10 per cent of the Being Human sales revenue goes to the foundation. In the next three months, it will demerge its retail business and hive it off as Mandhana Retail Ventures to add more brands and scale up business.

“We have aggressive growth plans,” said Manish Mandhana, Managing Director, Mandhana Industries, in an interview with The Hindu . “We want to become a complete family clothing brand, and grow 40-50 per cent per year until 2020. We will be available at over 2,000 outlets in India and abroad, compared to 700 now.” International sales in 16 countries contribute 25 per cent of Being Human’s revenue.

“The concept of charity via retail sales is popular in advanced countries,” Mr Mandhana said. “When they buy our clothes, they know a part of it will help educate a child or meet someone’s medical expenses. This brings us more international customers.” This year Being Human will flag off a store in France, in addition to one in Mauritius and two in Nepal, where it already has one.

In 2012-13, Being Human was a Rs 60 crore revenue brand. By 2014-15, sales had risen to Rs 235 crore, and this year, it will clock in Rs 300 crore in retail earning.

The Being Active clothing line is aimed at the fitness market, currently dominated by Puma and Adidas. “Our first year sales target is Rs 50 crore,” Mr Mandhana said. “Salman Khan has a strong online presence with 40 lakh Facebook fans. Therefore, online sales are high. Over 10 per cent of the total revenue comes from online sales.” Incidentally, Mr Khan’s Twitter handle has 16.8 million followers, while his Instagram account has 3.5 million followers, and he promotes Being Human on both accounts.

Being Human to take its style to Nepal

Being Human Clothing by Mandhana Industries is planning to open eight stores which consist of five franchise stores, two exclusive brand outlets (EBOs) in India and one franchise store in Nepal by March 2015. The stores will be targeted in cities like Hyderabad, Kolhapur, Mohali, Noida, Lucknow, Pune and Jalandhar in India and Pokhra in Nepal.

As part of their development strategy, the brand has added 18 exclusive stores, including six franchise outlets in the FY 13-14 and five EBOs in FY 12-13 to their expansion portfolio. Holding 29 exclusive stores including six franchisees, Being Human Clothing keeps its promise of offering global fashion and helping the twin causes of education and healthcare through the Being Human – The Salman Khan Foundation. Being Human Clothing’s target is to increase the number of stores to 50 by end of 2015.

Manish Mandhana, Managing Director, Mandhana Industries Ltd said, “We continue to grow in new and existing markets with focus on quality, sustainability and profitability. Our aim is to grow in double in the coming years and reach out to as many people as we can. We are grateful for the response we have received”.

Kunal Mehta, VP - Marketing and Business Development, Being Human Clothing said, “Before we move into any new city or country an assessment is made of the markets potential. After a thorough research on demographic structure, purchasing power, competitor analysis, infrastructure etc the decision is made. We are very delighted with the announcement, we are hoping for the continued great response.”