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MarketLine Industry Profile

Footwear in India
August 2016

Reference Code: 0102-0619

Publication Date: August 2016

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EXECUTIVE SUMMARY
Market value
The Indian footwear market grew by 11.8% in 2015 to reach a value of $4,978.1 million.

Market value forecast

In 2020, the Indian footwear market is forecast to have a value of $8,950.4 million, an increase of 79.8% since 2015.

Category segmentation
Men's footwear is the largest segment of the footwear market in India, accounting for 54.3% of the market's total value.

Geography segmentation
India accounts for 5.5% of the Asia-Pacific footwear market value.

Market rivalry
Competition is increasing with foreign retailers and footwear specialists entering the domestic market and introducing
more styles and brands. A large number of players often leads to intense rivalry on price.

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TABLE OF CONTENTS
Executive Summary......................................................................................................................................................... 2

Market value ................................................................................................................................................................ 2

Market value forecast .................................................................................................................................................. 2

Category segmentation ............................................................................................................................................... 2

Geography segmentation ............................................................................................................................................ 2

Market rivalry ............................................................................................................................................................... 2

Market Overview.............................................................................................................................................................. 7

Market definition .......................................................................................................................................................... 7

Market analysis............................................................................................................................................................ 7

Market Data ..................................................................................................................................................................... 8

Market value ................................................................................................................................................................ 8

Market Segmentation ...................................................................................................................................................... 9

Category segmentation ............................................................................................................................................... 9

Geography segmentation .......................................................................................................................................... 10

Market distribution ..................................................................................................................................................... 11

Market Outlook .............................................................................................................................................................. 12

Market value forecast ................................................................................................................................................ 12

Five Forces Analysis ..................................................................................................................................................... 13

Summary ................................................................................................................................................................... 13

Buyer power .............................................................................................................................................................. 14

Supplier power........................................................................................................................................................... 15

New entrants ............................................................................................................................................................. 16

Threat of substitutes .................................................................................................................................................. 18

Degree of rivalry ........................................................................................................................................................ 19

Leading Companies....................................................................................................................................................... 20

Bata Shoe Organization ............................................................................................................................................ 20

Liberty Shoes Ltd....................................................................................................................................................... 21

Metro Shoes Ltd ........................................................................................................................................................ 24

Relaxo Footwears Ltd................................................................................................................................................ 25

Macroeconomic Indicators............................................................................................................................................. 28

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 Country data .............................................................................................................................................................. 28

Methodology .................................................................................................................................................................. 30

Industry associations ................................................................................................................................................. 31

Related MarketLine research .................................................................................................................................... 31

Appendix........................................................................................................................................................................ 32

About MarketLine ...................................................................................................................................................... 32

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LIST OF TABLES
Table 1: India footwear market value: $ million, 201115 ...............................................................................................8

Table 2: India footwear market category segmentation: $ million, 2015 .........................................................................9

Table 3: India footwear market geography segmentation: $ million, 2015 ....................................................................10

Table 4: India footwear market distribution: % share, by value, 2015 ...........................................................................11

Table 5: India footwear market value forecast: $ million, 201520 ...............................................................................12

Table 6: Bata Shoe Organization: key facts ..................................................................................................................20

Table 7: Liberty Shoes Ltd: key facts ............................................................................................................................ 21

Table 8: Liberty Shoes Ltd: key financials ($)................................................................................................................21

Table 9: Liberty Shoes Ltd: key financials (Rs.) ............................................................................................................22

Table 10: Liberty Shoes Ltd: key financial ratios ...........................................................................................................22

Table 11: Metro Shoes Ltd: key facts ............................................................................................................................ 24

Table 12: Relaxo Footwears Ltd: key facts ...................................................................................................................25

Table 13: Relaxo Footwears Ltd: key financials ($).......................................................................................................25

Table 14: Relaxo Footwears Ltd: key financials (Rs.) ...................................................................................................26

Table 15: Relaxo Footwears Ltd: key financial ratios ....................................................................................................26

Table 16: India size of population (million), 201115 ....................................................................................................28

Table 17: India gdp (constant 2005 prices, $ billion), 201115 .....................................................................................28

Table 18: India gdp (current prices, $ billion), 201115 ................................................................................................28

Table 19: India inflation, 201115 ................................................................................................................................. 29

Table 20: India consumer price index (absolute), 201115...........................................................................................29

Table 21: India exchange rate, 201115 .......................................................................................................................29

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LIST OF FIGURES
Figure 1: India footwear market value: $ million, 201115 ..............................................................................................8

Figure 2: India footwear market category segmentation: % share, by value, 2015.........................................................9

Figure 3: India footwear market geography segmentation: % share, by value, 2015....................................................10

Figure 4: India footwear market distribution: % share, by value, 2015..........................................................................11

Figure 5: India footwear market value forecast: $ million, 201520 ..............................................................................12

Figure 6: Forces driving competition in the footwear market in India, 2015 ..................................................................13

Figure 7: Drivers of buyer power in the footwear market in India, 2015 ........................................................................14

Figure 8: Drivers of supplier power in the footwear market in India, 2015 ....................................................................15

Figure 9: Factors influencing the likelihood of new entrants in the footwear market in India, 2015 ..............................16

Figure 10: Factors influencing the threat of substitutes in the footwear market in India, 2015......................................18

Figure 11: Drivers of degree of rivalry in the footwear market in India, 2015 ................................................................19

Figure 12: Liberty Shoes Ltd: revenues & profitability ...................................................................................................22

Figure 13: Liberty Shoes Ltd: assets & liabilities ...........................................................................................................23

Figure 14: Relaxo Footwears Ltd: revenues & profitability ............................................................................................26

Figure 15: Relaxo Footwears Ltd: assets & liabilities ....................................................................................................27

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MARKET OVERVIEW
Market definition
The footwear market consists of the total revenues generated through the sale of all types of men's, women's and
children's shoes. Includes all footwear categories for men, women, boys and girls; excludes sports-specific footwear.

The market is valued at retail selling price with any currency conversions calculated using constant annual average 2015
exchange rates.

For the purposes of this report, North America consists of Canada, Mexico, and the United States.

South America comprises Argentina, Brazil, Chile, Colombia, and Venezuela.

Europe comprises Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Greece, Ireland, Italy,
Netherlands, Norway, Poland, Portugal, Russia, Spain, Sweden, Switzerland, Turkey, and the United Kingdom.

Scandinavia comprises Denmark, Finland, Norway, and Sweden.

Asia-Pacific comprises Australia, China, Hong Kong, India, Indonesia, Kazakhstan, Japan, Malaysia, New Zealand,
Pakistan, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam.

Middle East comprises Egypt, Israel, Saudi Arabia, and United Arab Emirates.

the global market consists of North America, South America, Europe, Asia-Pacific, Middle East, South Africa and Nigeria

Market analysis
The Indian footwear market has been growing at a robust rate and this trend is expected to continue in the forecast
period.

The Indian footwear market had total revenues of $4,978.1m in 2015, representing a compound annual growth rate
(CAGR) of 10.0% between 2011 and 2015. In comparison, the South Korean and Chinese markets grew with CAGRs of
9.4% and 11.9% respectively, over the same period, to reach respective values of $7,042.5m and $56,836.3m in 2015.

The overall Asia-Pacific clothing and apparel sector is expected to grow rapidly over the next five years. Annual average
expenditure growth on clothing and footwear is forecast to outstrip that of any other region as rising incomes lead more
Asian households towards middle class income brackets and discretionary purchases. Growing demographics are also
contributing towards fast growth. The world's two most populated countries alone, China and India, together constitute
about 37% of the world's population. This means that the overall market size for footwear is also larger than that of any
other region.

The men's footwear segment was the market's most lucrative in 2015, with total revenues of $2,704.8m, equivalent to
54.3% of the market's overall value. The women's footwear segment contributed revenues of $1,541.5m in 2015,
equating to 31.0% of the market's aggregate value.

Spending on footwear and clothing in India, although large in aggregate and rising quickly, comes from a low base in per
capita terms. The market is competitive, with custom tailoring still prevalent. However, retail sales are rising rapidly,
driven by a growing young population and greater awareness of Western fashion.

The performance of the market is forecast to accelerate, with an anticipated CAGR of 12.4% for the five-year period
2015 - 2020, which is expected to drive the market to a value of $8,950.4m by the end of 2020. Comparatively, the South
Korean and Chinese markets will grow with CAGRs of 9.2% and 10.2% respectively, over the same period, to reach
respective values of $10,921.6m and $92,527.3m in 2020.

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MARKET DATA
Market value
The Indian footwear market grew by 11.8% in 2015 to reach a value of $4,978.1 million.

The compound annual growth rate of the market in the period 201115 was 10%.

Table 1: India footwear market value: $ million, 201115

Year $ million Rs. million million % Growth

2011 3,405.8 218,392.2 3,069.7
2012 3,638.0 233,282.5 3,279.0 6.8%
2013 4,003.3 256,706.6 3,608.2 10.0%
2014 4,451.9 285,468.7 4,012.5 11.2%
2015 4,978.1 319,210.5 4,486.7 11.8%

CAGR: 201115 10.0%

SOURCE: MARKETLINE MARKETLINE

Figure 1: India footwear market value: $ million, 201115

SOURCE: MARKETLINE MARKETLINE

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MARKET SEGMENTATION
Category segmentation
Men's footwear is the largest segment of the footwear market in India, accounting for 54.3% of the market's total value.

The Women's footwear segment accounts for a further 31% of the market.

Table 2: India footwear market category segmentation: $ million, 2015

Category 2015 %
Men's footwear 2,704.8 54.3%
Women's footwear 1,541.5 31.0%
Children's footwear 731.8 14.7%

Total 4,978.1 100%

SOURCE: MARKETLINE MARKETLINE

Figure 2: India footwear market category segmentation: % share, by value, 2015

SOURCE: MARKETLINE MARKETLINE

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Geography segmentation
India accounts for 5.5% of the Asia-Pacific footwear market value.

China accounts for a further 62.3% of the Asia-Pacific market.

Table 3: India footwear market geography segmentation: $ million, 2015

Geography 2015 %
China 56,836.3 62.3
South Korea 7,042.5 7.7
Japan 6,962.8 7.6
India 4,978.1 5.5
Taiwan 2,497.8 2.7
Rest of Asia-Pacific 12,846.2 14.1

Total 91,163.7 99.9%

SOURCE: MARKETLINE MARKETLINE

Figure 3: India footwear market geography segmentation: % share, by value, 2015

SOURCE: MARKETLINE MARKETLINE

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Market distribution
Clothing, Footwear & Accessories Specialists form the leading distribution channel in the Indian footwear market,
accounting for a 79% share of the total market's value.

Department Stores accounts for a further 7.1% of the market.

Table 4: India footwear market distribution: % share, by value, 2015

Channel % Share
Clothing, Footwear & Accessories Specialists 79.0%
Department Stores 7.1%
Hypermarkets, Supermarkets & Hard Discounters 5.2%
Online Retail 3.3%
Other 5.3%

Total 100%

SOURCE: MARKETLINE MARKETLINE

Figure 4: India footwear market distribution: % share, by value, 2015

SOURCE: MARKETLINE MARKETLINE

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MARKET OUTLOOK
Market value forecast
In 2020, the Indian footwear market is forecast to have a value of $8,950.4 million, an increase of 79.8% since 2015.

The compound annual growth rate of the market in the period 201520 is predicted to be 12.4%.

Table 5: India footwear market value forecast: $ million, 201520

Year $ million Rs. million million % Growth

2015 4,978.1 319,210.5 4,486.7 11.8%
2016 5,567.7 357,020.6 5,018.2 11.8%
2017 6,241.3 400,209.7 5,625.2 12.1%
2018 7,029.7 450,769.6 6,335.9 12.6%
2019 7,930.6 508,536.2 7,147.9 12.8%
2020 8,950.4 573,926.7 8,067.0 12.9%

CAGR: 201520 12.4%

SOURCE: MARKETLINE MARKETLINE

Figure 5: India footwear market value forecast: $ million, 201520

SOURCE: MARKETLINE MARKETLINE

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FIVE FORCES ANALYSIS
The footwear market will be analyzed taking footwear retailers as players. The key buyers will be taken as individual
consumers, and footwear manufacturers as the key suppliers.

Summary
Figure 6: Forces driving competition in the footwear market in India, 2015

SOURCE: MARKETLINE MARKETLINE

Competition is increasing with foreign retailers and footwear specialists entering the domestic market and introducing
more styles and brands. A large number of players often leads to intense rivalry on price.

With more people living and working in cities, populations will become more familiar with diverse cultures, products and
trends, including those related to footwear. This is causing a shift in consumption, which is becoming increasingly
focused on design, and fashion is influencing purchasing decisions more than functionality or necessity.

For buyers in this market, footwear purchases are a necessity, substitution therefore is limited in this market. Second-
hand shoes, or shoe repairs are more common substitutes in less developed areas. Substitution in the form of online
footwear sales channels is a fast growing threat for traditional brick and mortar stores. A potential threat for domestic
suppliers lies in increasing overseas purchases.

Rising costs of raw materials continue to trouble the footwear market. Increasing costs of leather are affecting footwear
sales and product mix.

To avoid price competition with established, large size retailers, entering the market as a niche player and fighting for
particular clientele may be a more beneficial option. Ethical footwear presents growing opportunities. There is also a
greater demand for womens footwear, as more females are completing their education and choosing to work.

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Buyer power
Figure 7: Drivers of buyer power in the footwear market in India, 2015

SOURCE: MARKETLINE MARKETLINE

For buyers in this market, footwear purchases are a necessity, so overall sales are high. Only China and the US
compete with India in terms of overall footwear consumption volumes. Together, India and China account for about 37%
of the worlds population, which means that the number of footwear buyers is also larger than that of any other region. A
large number of buyers reduces the power of individual consumers considerably.

Current demand growth is becoming increasingly centered on fast fashion trends. Because footwear is a seasonal
accessory, new styles and trends lead to faster sales than would be the case for other products. Shifting fashion trends,
and the wide variety of functional-footwear available, result in a high degree of differentiation in this market. High
differentiation allows each product to target a different subsection of the market. This drives up the power of market
players, as consumers cannot easily switch products without losing some attractive feature of the product they currently
own.

Overall, buyer power in the footwear market is assessed as moderate.

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Supplier power
Figure 8: Drivers of supplier power in the footwear market in India, 2015

SOURCE: MARKETLINE MARKETLINE

India provides a low-cost manufacturing environment for footwear producers. The country is the second largest producer
of footwear next to China. This allows them to meet the demand of retailers for cheaply manufactured goods. As a result,
the country is home to a large number of relatively undifferentiated footwear manufacturers. This weakens supplier
power.

With the exception of very popular brand name producers, it is difficult for manufacturers to establish themselves in retail,
and so forward integration is rare.

Sourcing dynamics are one of the key challenges of the footwear market. Going forward, footwear suppliers are
expected to take the near-sourcing approach and move production closer to the demand centers. As labor costs have
recently been increasing in the low-cost production areas, e.g. China and Indonesia, these countries risk losing their
status as go-to suppliers. While costs of labor and raw materials are increasing, retail prices are falling, which is caused
by excess manufacturing capacity. Due to technological development, the manufacturing capacity is growing, but
demand is not keeping up, affecting market revenue.

Major raw materials used in the production of footwear include synthetic rubber, plastic compounds, nylon, leather,
polyurethane and canvas. Rising costs of raw materials continue to trouble the footwear market. Increasing costs of
leather are affecting footwear sales and product mix. For example, while the price of rubber and plastic shoes grew 2.7%
from 2003-2013, the leather footwear prices increased by 7.5% during the same period. Consumers will adjust to higher
costs by buying fewer pairs of leather shoes, and by seeking ways to extend the life of shoes they already own which
may benefit shoe care products companies and repair businesses.

Overall, supplier power in the footwear market is assessed as moderate.

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New entrants
Figure 9: Factors influencing the likelihood of new entrants in the footwear market in India, 2015

SOURCE: MARKETLINE MARKETLINE

Fixed costs for retail operations are relatively low, and new entrants are fairly common. The environment in India is
competitive, with custom tailoring still prevalent, which may discourage new entrants to some extent. This market is also
home to a number of large, well-established retail groups that can leverage significant economies of scale through bulk
purchasing and the pooling of back office operations. As a result, it is often difficult for new entrants to substantially
expand their operations.

To avoid price competition with established, large size retailers, entering the market as a niche player and fighting for
particular clientele may be a more beneficial option. There is a greater demand for womens footwear, as more females
are completing their education and choosing to work. Womens participation in Indias workforce is currently low, but their
enrollment in different levels of education indicates that the country will see a significant increase of females in the
workplace within the coming decades. As more women gain economic independence, their power as household
decision-makers will also increase. Brands are beginning to build brand loyalty within this consumer group now. In some
instances, footwear brands are going directly to the female consumer. For example, the report highlighted Bata, which
has implemented a door-to-door sales strategy, hiring female traveling salespeople to reach consumers in remote areas
of Bangladesh. The saleswomen earn a commission from each sale.

Among Asia-Pacific consumers, there is a rising and insatiable appetite for the quick and trendy brands that are
proliferating. As incomes and aspirations are rising, young affordable brands have rushed in to win the consumers who
want to stay chic but cannot yet afford luxury items. The speed of turnaround on fast fashion collections also ensures
high volume demand.

The rapidly growing popularity of online sales channels can be seen as both an opportunity and a threat for new entrants
and smaller market players: while large incumbents can easily exploit e-commerce opportunities to drive revenue growth,
players with weaker brand recognition and less technological know-how risk finding themselves crowded out of the
online marketplace before they take advantage of it.

Given the large number of low cost-manufacturers in the market, it is relatively easy for new players to establish viable
supply chains.

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With the exception of certain specialist products, such as athletic footwear and high-end designer shoes, brand
recognition in the footwear market is relatively low, further facilitating the entrance of new players.

The level of government regulation differs from country to country. Some countries introduce protectionist measures to
support their domestic industries; these include high import tariffs and non-tariff barriers. Such regulations can have a
huge impact on retailers importing their products from foreign suppliers. In other cases, there are trade agreements in
place that allow more footwear into the country at very low prices, increasing imports from the low-cost producing
countries, notably from Asia. This in turn forces local producers or other international companies to lower their prices in
order to compete, driving down prices for the entire market. In India, liberalization of restrictions on foreign investment in
single brand retail is helping foreign retailers, such as H&M and Inditex, enter the Indian market by forming joint ventures
with local retail groups.

Footwear retail sales are rising rapidly, driven by a growing young population and greater awareness of Western trends.
The increasing diversification of products into other footwear by domestic manufacturers will support this growth in the
forecast period. Furthermore, the penetration of regional and domestic brands into rural India will support overall retail
growth during the forecast period, encouraging newcomers.

Overall, the threat of new entrants in the footwear retail market is assessed as strong.

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Threat of substitutes
Figure 10: Factors influencing the threat of substitutes in the footwear market in India, 2015

SOURCE: MARKETLINE MARKETLINE

As footwear is a basic necessity, the threat of substitutes to the market is limited.

In less developed economies it is more common for consumers to wear second-hand shoes, or repair a piece of
footwear that they currently own in order to extend its lifespan. These trends act to limit the sale of new products in
certain deprived areas.

There is also a significant degree of substitution between segments of the market. For example, athletic footwear is often
worn as a substitute for other more traditional footwear types.

Substitution in the form of online footwear sales channels is a fast growing threat for traditional brick and mortar stores.
However, majority of traditional footwear retailers are recognizing this threat and moving into multi-channel sales to stay
competitive.

Also, a potential threat for domestic suppliers lies in the increasing value and volume of directly purchased footwear from
overseas.

Nonetheless, the threat of substitutes is assessed as weak overall.

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Degree of rivalry
Figure 11: Drivers of degree of rivalry in the footwear market in India, 2015

SOURCE: MARKETLINE MARKETLINE

Although footwear retailing is highly fragmented, the market is dominated by large retail groups, between whom there is
a high degree of rivalry. Indian footwear is mainly dominated by regional and domestic players. Bata India Ltd is one of
the oldest footwear manufacturers in India.

There is a high degree of diversity between retailers, with dedicated shoe retailers competing with apparel retailers and
large supermarket chains. In order to stay competitive and gain larger client base, shoe retailers are also expanding into
other retail categories such as handbags and small leather products. A large number of players often leads to intense
rivalry on price. The competition is increasing with foreign retailers and footwear specialists entering the domestic market
and introducing more styles and brands. The traditional footwear delivery, based on two seasons is changing towards
the fast fashion environment, as more consumers are buying shoes on impulse and expect to see a more rapid change
of assortment with diversity. As more sales can be generated this way, manufacturers respond to this trend further
intensifying the competition.

The Indian footwear market is segmented between organized and unorganized segment. The organized segment caters
to about one third of the market while the rest is targeted by small unorganized players. The organized sector is
represented by major domestic and international players like Bata, Liberty, Adidas, Metro etc. and the unorganized
comprises of small cottage industry based manufacturers.

However, fixed costs for retail operations are not prohibitively high, and so smaller companies can easily co-exist within
the market. Furthermore, this allows relatively easy expansion of output capacity, which enhances rivalry.

Overall, rivalry between footwear retailers is assessed as moderate.

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LEADING COMPANIES
Bata Shoe Organization
Table 6: Bata Shoe Organization: key facts

Head office: Avenue De Rhodanie 70, Lausanne, 1007, CHE

Telephone: 41 21 613 80 40
Website: www.bata.com

SOURCE: COMPANY WEBSITE MARKETLINE

Bata Shoe Organization is a manufacturer and retailer of a range of branded footwear. The company was founded in the
Czech Republic in 1894, by Thomas Bata.

Bata is now organized into three business segments comprising Bata Europe, based in Italy; Bata Emerging Market
(Asia, Pacific, Africa and Latin America), based in Singapore, and Bata Protective (worldwide B2B operations), based in
the Netherlands.

Bata operates a range of 18 brands, including Bata, Ambassador, Technology, Comfit, Industrials, Bubblegummers,
Marie Claire, North Star, Patapata, Power, Safari, Sun Drops, Toughees, Weinbrenner, Tomy-Takkies, Accessories, and
Shoe Care.

Bata has in recent years made a point of improving its green credentials; initiating a sustainability program which
operates in four key areas: Manufacturing & the Workplace, Eco-Efficiency & Environment, Eco-Innovation &
Development, and Community Involvement & Social Development.

Since 2005 the company has also pioneered a novel business model aimed at gaining a foothold in some of the world's
poorest markets: by working with village-based vendors in Bangladesh, Bolivia and Colombia, the company brings low
cost footwear to locations unreached by its competition. The hope is that in the long term, as the wealth of these
consumers' increases, they will remain loyal to the Bata brand.

Elsewhere, the company retails its merchandise in over 4000 stores 70 countries, and has manufacturing facilities in 26
countries, currently serving over 1m customers each day.

Key Metrics
As a private entity, Bata Shoe Organization is not legally obliged to release its financial results.

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Liberty Shoes Ltd
Table 7: Liberty Shoes Ltd: key facts

Head office: Liberty House, Liberty Road, PO Box 103, Karnal, 132001, IND
Telephone: 91 18 4225 2533
Fax: 91 18 4225 5636
Website: www.libertyshoes.com
Financial year-end: March
Ticker: LBS, 526596
Stock exchange: India, BSE

SOURCE: COMPANY WEBSITE MARKETLINE

Liberty Shoes Limited (Liberty) is a manufacturer of leather footwear. The company produces 50,000 pairs of footwear
per day covering every age group. Its products are sold in approximately 25 countries including France, Italy, Germany
and Finland through a distribution network of 150 distributors. The company operates in India and the UAE.

The company offers its footwear products under various brands: Coolers, Fortune, Force10, Gliders, Windsor, Senorita,
Tiptopp, Footfun, Prefect, Warrior, Freedom and Workman.

Liberty operates around 400 exclusive showrooms as well as 6,000 multi-brand outlets. Liberty Foot Fashion Middle East
FZE is a wholly owned subsidiary of the company.

Key Metrics
The company recorded revenues of $86 million in the fiscal year ending March 2015, an increase of 8.7% compared to
fiscal 2014. Its net income was $3 million in fiscal 2015, compared to a net income of $2 million in the preceding year.

Table 8: Liberty Shoes Ltd: key financials ($)

$ million 2011 2012 2013 2014 2015

Revenues 50.9 58.5 59.1 79.3 86.2
Net income (loss) 1.0 0.7 0.9 2.2 2.8
Total assets 54.0 54.5 57.7 60.5 66.5
Total liabilities 32.2 32.9 35.2 37.9 42.6

SOURCE: COMPANY FILINGS MARKETLINE

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 Table 9: Liberty Shoes Ltd: key financials (Rs.)

Rs. million 2011 2012 2013 2014 2015

Revenues 3,104.9 3,563.9 3,602.6 4,834.9 5,256.8
Net income (loss) 61.8 43.8 53.9 132.7 169.2
Total assets 3,289.4 3,321.0 3,515.5 3,690.0 4,056.2
Total liabilities 1,962.9 2,003.2 2,148.1 2,307.7 2,600.0

SOURCE: COMPANY FILINGS MARKETLINE

Table 10: Liberty Shoes Ltd: key financial ratios

Ratio 2011 2012 2013 2014 2015

Profit margin 2.0% 1.2% 1.5% 2.7% 3.2%
Revenue growth 16.7% 14.8% 1.1% 34.2% 8.7%
Asset growth 46.0% 1.0% 5.9% 5.0% 9.9%
Liabilities growth 94.7% 2.1% 7.2% 7.4% 12.7%
Debt/asset ratio 59.7% 60.3% 61.1% 62.5% 64.1%
Return on assets 2.2% 1.3% 1.6% 3.7% 4.4%

SOURCE: COMPANY FILINGS MARKETLINE

Figure 12: Liberty Shoes Ltd: revenues & profitability

SOURCE: COMPANY FILINGS MARKETLINE

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 Figure 13: Liberty Shoes Ltd: assets & liabilities

SOURCE: COMPANY FILINGS MARKETLINE

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Metro Shoes Ltd
Table 11: Metro Shoes Ltd: key facts

Metro Shoes Ltd., 401, Kanakia Zillion, 4th Floor, LBS Marg & CST Road
Head office:
Junction Kurla(West), Mumbai-400070, IND
Telephone: 91 22 26547700
Website: www.metroshoes.net

SOURCE: COMPANY WEBSITE MARKETLINE

Formed in 1947 and based in Mumbai, Metro Shoes Ltd. is one of the leading fashion footwear retailers in India. Metro
Shoes outlets can be found in 160 locations in over 80 cities around the country.

The company's retail offering comprises a range of footwear styles, including casual wear, traditional footwear, formal
shoes, sandals and slip-ons.

Metro Shoes stocks a range of footwear brands, including DrScholl's, Fila, Reebok, Clarks, Crocs, Puma, and Skechers,
as well as its own private label products.

On top of footwear, the company also retails a range of foot and shoe care products and accessories.

Key Metrics
As a private entity, Metro Shoes Inc. is not legally obliged to release its financial results.

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Relaxo Footwears Ltd
Table 12: Relaxo Footwears Ltd: key facts

Aggarwal City Square, Plot Number 10, Mangalam Place District Centre
Head office:
Sector 3, Rohini, New Delhi 110085, IND
Telephone: 91 11 4680 0500
Fax: 91 11 4680 0598
Website: www.relaxofootwear.com
Financial year-end: March
Ticker: RELAXO; 530517
Stock exchange: National, BSE

SOURCE: COMPANY WEBSITE MARKETLINE

Relaxo Footwears (Relaxo) is engaged in the manufacturing of footwear products in India. The company manufactures
around 300,000 pairs of footwear per day.

The company offers a range of footwear products such as slippers, sandals, casual shoes, sport shoes, bellies, flip flops,
flats, wedges and school shoes under Hawaii, Flite, Sparx, Schoolmate, Bahamas, Elena and Casualz brands.

Relaxo's Hawaii brand offers slippers in three ranges including, the Hi-Fashion range, the Hawaii range and kids range.
The company's Flite brand offers footwear for women in three ranges, including the Flite EVA range, the Flite PU range
and Flite Junior range. Relaxo's Sparx brand offers casual and sports shoes for adults and kids, sandals and SFG range
footwear. The company's Schoolmate brand offers school shoes for boys and girls. Relaxo's Bahamas, Elena and
Casualz brands offer casual footwear for women.

Relaxo manufactures footwear products through its nine manufacturing units, of which, seven are located in
Bahadurgarh, Haryana; and one each in Bhiwadi, Rajasthan and Haridwar, Uttarakhand.

Key Metrics
The company recorded revenues of $243 million in the fiscal year ending March 2015, an increase of 22.2% compared
to fiscal 2014. Its net income was $17 million in fiscal 2015, compared to a net income of $11 million in the preceding
year.

Table 13: Relaxo Footwears Ltd: key financials ($)

$ million 2011 2012 2013 2014 2015

Revenues 113.4 141.8 165.6 198.8 242.9
Net income (loss) 4.4 6.5 7.4 10.8 16.9
Total assets 72.0 77.9 96.3 107.7 138.2
Total liabilities 50.0 49.6 61.1 62.4 77.9

SOURCE: COMPANY FILINGS MARKETLINE

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 Table 14: Relaxo Footwears Ltd: key financials (Rs.)

Rs. million 2011 2012 2013 2014 2015

Revenues 6,916.1 8,646.7 10,098.3 12,118.3 14,808.1
Net income (loss) 267.9 399.1 448.1 656.4 1,030.5
Total assets 4,391.9 4,747.0 5,870.2 6,568.2 8,428.0
Total liabilities 3,045.7 3,022.6 3,725.8 3,802.6 4,749.8

SOURCE: COMPANY FILINGS MARKETLINE

Table 15: Relaxo Footwears Ltd: key financial ratios

Ratio 2011 2012 2013 2014 2015

Profit margin 3.9% 4.6% 4.4% 5.4% 7.0%
Revenue growth 24.9% 25.0% 16.8% 20.0% 22.2%
Asset growth 59.6% 8.1% 23.7% 11.9% 28.3%
Liabilities growth 84.2% (0.8%) 23.3% 2.1% 24.9%
Debt/asset ratio 69.3% 63.7% 63.5% 57.9% 56.4%
Return on assets 7.5% 8.7% 8.4% 10.6% 13.7%

SOURCE: COMPANY FILINGS MARKETLINE

Figure 14: Relaxo Footwears Ltd: revenues & profitability

SOURCE: COMPANY FILINGS MARKETLINE

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 Figure 15: Relaxo Footwears Ltd: assets & liabilities

SOURCE: COMPANY FILINGS MARKETLINE

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MACROECONOMIC INDICATORS
Country data

Table 16: India size of population (million), 201115

Year Population (million) % Growth

2011 1,192.5 1.3%
2012 1,208.1 1.3%
2013 1,223.6 1.3%
2014 1,238.9 1.3%
2015 1,254.0 1.2%

SOURCE: MARKETLINE MARKETLINE

Table 17: India gdp (constant 2005 prices, $ billion), 201115

Year Constant 2005 Prices, $ billion % Growth

2011 1,326.2 6.6%
2012 1,389.0 4.7%
2013 1,485.7 7.0%
2014 1,595.4 7.4%
2015 1,716.1 7.6%

SOURCE: MARKETLINE MARKETLINE

Table 18: India gdp (current prices, $ billion), 201115

Year Current Prices, $ billion % Growth

2011 1,880.1 10.0%
2012 1,858.7 (1.1%)
2013 1,876.8 1.0%
2014 2,045.6 9.0%
2015 2,337.2 14.3%

SOURCE: MARKETLINE MARKETLINE

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 Table 19: India inflation, 201115

Year Inflation Rate (%)

2011 9.1%
2012 10.2%
2013 9.5%
2014 7.7%
2015 7.2%

SOURCE: MARKETLINE MARKETLINE

Table 20: India consumer price index (absolute), 201115

Year Consumer Price Index (2005 = 100)

2011 165.8
2012 182.8
2013 200.1
2014 215.6
2015 231.0

SOURCE: MARKETLINE MARKETLINE

Table 21: India exchange rate, 201115

Year Exchange rate ($/Rs.) Exchange rate (/Rs.)

2011 46.8466 65.1733
2012 53.6119 68.6802
2013 58.4859 77.7676
2014 60.9620 80.8938
2015 64.1233 71.1453

SOURCE: MARKETLINE MARKETLINE

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METHODOLOGY
MarketLine Industry Profiles draw on extensive primary and secondary research, all aggregated, analyzed, cross-
checked and presented in a consistent and accessible style.

Review of in-house databases Created using 250,000+ industry interviews and consumer surveys and supported by
analysis from industry experts using highly complex modeling & forecasting tools, MarketLines in-house databases
provide the foundation for all related industry profiles

Preparatory research We also maintain extensive in-house databases of news, analyst commentary, company
profiles and macroeconomic & demographic information, which enable our researchers to build an accurate market
overview

Definitions Market definitions are standardized to allow comparison from country to country. The parameters of each
definition are carefully reviewed at the start of the research process to ensure they match the requirements of both the
market and our clients

Extensive secondary research activities ensure we are always fully up-to-date with the latest industry events and
trends

MarketLine aggregates and analyzes a number of secondary information sources, including:

- National/Governmental statistics

- International data (official international sources)

- National and International trade associations

- Broker and analyst reports

- Company Annual Reports

- Business information libraries and databases

Modeling & forecasting tools MarketLine has developed powerful tools that allow quantitative and qualitative data to
be combined with related macroeconomic and demographic drivers to create market models and forecasts, which can
then be refined according to specific competitive, regulatory and demand-related factors

Continuous quality control ensures that our processes and profiles remain focused, accurate and up-to-date

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Industry associations
Japan Shoe Retailer's Federation
1-6-17 Kaji-cho, Chiyoda-ku, Tokyo, JPN
Tel.: 81 3 3252 5656
Fax: 81 3 3252 5657
www.kutsu-kouri.jp

Related MarketLine research

Industry Profile
Global Footwear

Footwear in Asia-Pacific

Footwear in Australia

Footwear in China

Footwear in Japan

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APPENDIX
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