Why people of India are not buying underwear, sales of Jockey to Rupa have fallen.

Why people of India are not buying underwear, sales of Jockey to Rupa have fallen.There has been a huge decline in the purchase of underwear in the country. There has been a huge decline in the sales of Jockey, Dollar and Rupa. In such a situation, the question arises whether people have stopped buying underwear due to increasing inflation? Let us know what is the reason for cell fall.

In the festive season, people have once again started shopping for clothes. But meanwhile a shocking thing is coming to light. People are buying all types of clothes, shoes and beauty products from party wear to normal and office wear. But, not buying underwear or innerwear. Due to which the sales of leading innerwear brands Jockey, Dollar, Rupa have fallen. During the festive season shopping, the sale of fashionable clothes has increased but the sale of underwear has not increased. Then, no matter which segment it belongs to, the sales of this category of clothes are negligible in all segments like children, women and men. In such a situation, are the people of India not buying innerwear now? So let us know what is the reason behind this.

Why are people not buying underwear?

Inflation has increased so much in India that people have stopped buying their innerwear. In the last quarter of December 2022, the use of underwear decreased by 55 percent. Whereas in the first quarter of FY24, Jockey's total revenue has increased by 28% and volume growth has increased by 31%. During the quarter, macro headwinds and market conditions posed some challenges. Due to which there was a slight decline in the purchase of underwear year-on-year. This has emerged as a decline of 7.5% in revenue and 11.5% decline in quantity as compared to the first quarter of last year.

The reason for the decline in sales could also be that due to rising inflation, people are not having enough money left to spend. Also, Indians are giving more importance to online marketing. The reason for this is that they are getting more discounts on online stores.

At the same time, local shopkeepers say that Multi Brand Outlets (MBOs) are not buying as much stock as they used to buy earlier. They are also delaying the payment for what they are purchasing, due to which the working capital of the producers is also being affected.

Sales of these companies decreased

In the quarter ending December 2022, there was a quarterly decline in the sales of Page Industries, the parent company of Jockey and Lux ​​Industries. Whereas, Rupa & Co. Has reported a 52 percent decline in volume. In the last one and a half year, Rupa's shares have fallen by more than 52 percent. The volume of Page Industries has decreased by 11 percent and the share price has decreased by five percent.

The times ahead may be challenging

If the decline in underwear sales continues in the future, it will indicate that everything is not going well in the economy. Jockey underwear is generally sold in the urban market. In such a situation, when there is a decline in the sales trend in this market, it indicates that the times to come may be challenging.

How big is the innerwear market in India?

According to Euromonitor International, the innerwear market in India is estimated to be $ 5.8 billion or Rs 48,123 crore. The contribution of innerwear for men and women categories is 39% and 61%.