Traworld expected to growth at a CAGR of 30 pc in next 3 years: Tushar Jain
Q. 1. What is the current size of your company and the addressable market for both back pakers bags and luggage bags?
High Spirit Commercial Ventures, was started in the year 2012 and has emerged as leading backpackers and luggage bags manufacturer and exporter. We currently have sales of Rs 250 crore and expected to growth at a CAGR of 30 per cent in the next three years. Our offices spread across 10 major cities of the country and has a distribution network of 10,000 points of sale spread across India. This makes us pan India player and we have presence in every single district of the country. The company is also the sole licensee of all top cartoon characters for its backpackers bags.
The current size of the Indian bagpackers and luggage bags market is at Rs 20,000 crore, whereas China’s market is more than Rs 1,00,000 crore for domestic market and Rs 2,00,000 crore for export market, there is long way to go for India to reach the level of Chinese market, this also shows that the penetration level is very low in India and expected to increase substantially in the years to come.
Q. 2. Can you elaborate on your expansion plans?
The company has set up 1,31,000 sqft wherehouse in Bhiwandi to take care of future expansion plans of the company. We are also setting up large backpacks bags manufacturing plant in Patna, which is going to be started in the next three to six months’ time. The capacity of the plant is 20,000 bags per day, which will result in 22 to 25 lakhs bags per annum. The total capital investment made was at Rs 85 crore.
We are the largest sellers of backpackers in the last year with more than 7 million bags sold across India.
Q3. How many brand offerings are there from your company as of now to cater to various segments of the consumers?
We own premium luggage bags brand ‘Traworld’. The brand has achieved sizable business and has presence across all major metros and other major cities in the country. The brand has very strong presence on the online platforms like Amazon, Flipkart, Myntra, Shopclues, Snapdeal, Indiamart and Paytm Mall to name a few. The addressable market for Traworld luggage brand is Rs 6,000 core.
The company also owns leading other brands like Priority, Humpty Dumpty and Hashtag under backpackers segment.
Q4. What kind of branding and other advertising campaigns are you currently running to gain volume in your premium brand Traworld?
We have recently launched our advertising campaign for our premium brand ‘Traworld’, ‘The World is Your Ramp’ featuring Sonam Kapoor Ahuja, the much adored fashion icon from the Indian film industry as the face of their brand.
The ad-campaign reflects the positioning of the brand as a fashion brand rather than plain luggage brand. The campaign is to tap the consumers who are regular travellers for many occasions and also look for fashionable luggage bags. Traworld’s bags look and feel is more like a fashion accessory than a bag.
The brand is focussing on print ad-campaign across national and other regional dailies spread across 10 leading cities reaching out to consumers across India. Besides very strong BTL activities have been planned with all the MBOs across India, to deliver the essence of the brand and enhance visibility. After looking at the success of the campaign, the company may also look at TV campaign in the years to come.
Q. 5 Why Sonam K Ahuja as a brand ambassador, is it first time a luggage brand has signed women?
We are delighted to sign Sonam K Ahuja as a brand ambassador for our brand ‘Traworld’ as she is the true embodiment of what the brand stands for. We see a deep connect with regards to her style and the elite urban population who can easily relate to her as their fashion icon. We couldn’t have had a better choice to represent the brand than her.
We have taken women as our brand ambassador, which is first of its kind in Indian luggage brand Industry. The fashion goes well with women and this would give us edge over others in the industry.
