Snitch: Competitors, Future Plans and Innovations

Snitch, a men’s apparel fashion firm, has raised Rs 110 crore in a Series A fundraising round led by SWC Global and IvyCap Ventures Advisors Private Limited. Key angel investors also participated. 

The new funding will support Snitch’s expansion objectives in talent acquisition, technology, and the implementation of an offline retail strategy to improve its market performance.

Snitch began in offline shopping with its first location in Bengaluru. Its app has received over two million downloads and serves numerous states in India, largely through its website and app.

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Snitch, a modern fast-fashion brand, competes with both direct and indirect competition. Here’s a summary of the competitive climate, including financial growth, expansion initiatives, and trends observed among competitors:

1. H&M and Zara: These international behemoths dominate the fast-fashion industry in India. They have a large store network and a strong web presence, which allows them to appeal to urban, trend-conscious customers. Zara India reported consistent growth, leveraging premium pricing and quick trend adaption. H&M, which prioritizes affordability and sustainability, continues to aggressively grow into tier 2 and tier 3 cities.
2. Bonkers Corner: It is an Indian fashion company headquartered in Mumbai. It is an online lifestyle store that sells inexpensive, unisex premium apparel, such as designer items, casual and nautical attire, and pop culture-inspired pieces. They are recognized for their distinctive designs and urban style. It collaborated with labels like Smiley Originals to develop special streetwear collections.
3. The Souled Store: known for its particular concentration on pop-culture-inspired casual clothes, has quickly acquired popularity. To keep customers engaged, the brand uses influencer marketing and frequent product releases. In FY23-24, it saw considerable growth by diversifying into new categories such as sportswear and strengthening its offline presence.
4. Bewakoof: Bewakoof’s eccentric designs and affordable prices appeal to budget-conscious young buyers. The brand is highly reliant on e-commerce and has been developing its unique branded stores across key urban centers, resulting in a strong 30-40% year-on-year sales growth.
5. Urbanic: It has mostly taken a digital approach, capturing the young Indian demographic with Instagram marketing and inexpensive, fashionable designs. It competes directly with Snitch in online sales, and its rise has been spurred by Gen Z and millennial consumers.
6. Indie brands and D2C startups: New-age companies such as NewMe and small-scale designers are emerging as significant competitors. They prioritize sustainability, customisation, and agile manufacturing cycles, which have gained popularity among specific consumer groups.

With aggressive offline expansion, the company claims it is close to accomplishing its goal of opening 40 locations in India by FY25.

Snitch, a fashion brand, has announced the inauguration of its 25th store in Dehradun, reinforcing its commitment to offline expansion. The business began its offline development in Bangalore, and in the last eight months has launched 25 stores in cities such as Pune, Ahmedabad, Gandhinagar, Bangalore, Indore, Dehradun, Surat, Mumbai, and many more, according to the company.

The company reports that it accomplished this achievement in just the first two quarters of the fiscal year, with the goal of expanding its reach countrywide by the conclusion of FY25. 

“With a new store opening every second week, Snitch is quickly approaching its target GMV of 600 crores, with offline income estimated to account for around one-third of the total. Snitch’s offline stores improve the customer experience by combining modern urbane and immersive experiences, resulting in 50-60% conversion rates in stores. By putting the brand closer to customers, these outlets enable Snitch to better understand their requirements, ensuring that fashion stays accessible to all while deepening client relationships across multiple countries,” according to the corporate statement.

As part of its overall business strategy, Snitch intends to expand into rising markets such as Delhi, Madhya Pradesh, Bhubaneswar (Odisha), and Rajasthan. 

Siddharth Dungarwal, Founder of Snitch, commented on the huge achievement, saying, “Opening our 25th store in such a short period of time is a wonderful milestone for us. This trip is about more than just growing our physical presence; it’s about establishing Snitch as a dominant force in men’s fashion. We’ve always envisioned reaching every corner of the country, staying close to our clients, and providing the most fashionable, high-quality clothes at an unbeatable bargain.”

Snitch has announced the launch of its 32nd and 33rd stores, located on the ground floor of Kalyan Metro Junction Mall in Kalyan West, Maharashtra, and LuLu Mall in Bangalore, respectively. The new Kalyan West store, which measures an astounding 2,070 square feet, is intended to change men’s fashion shopping in the neighborhood.

Snitch’s ascent in the fashion industry is distinguished by its dedication to quality and innovation, which has set new standards in fast fashion and established it as a go-to brand for contemporary, affordable clothes.

• Innovative Business Model: Snitch’s direct-to-consumer (D2C) strategy distinguishes it from traditional retail approaches. This technique provides greater control over the consumer experience, from manufacturing to purchase, ensuring quality and consistency. By cutting out intermediaries, Snitch can adapt fast to fashion trends and consumer desires, providing fresh and relevant products with speed and efficiency.
• Focus on Quality and Affordability: Despite being a fast-fashion brand, Snitch prioritizes product quality. Snitch expertly mixes modern designs with durable materials, guaranteeing that customers get high-quality fashion at a reasonable price. This combination is especially appealing in the Indian market, where buyers value flair without sacrificing quality or money.
• Strong Digital Presence and Customer Engagement: Snitch’s robust digital presence, which includes a user-friendly website and a large social media following, enables effective engagement with its target demographic. Snitch delivers a seamless online buying experience through the use of digital marketing and e-commerce platforms. This digital savvy, along with a thorough grasp of its consumer base, allows Snitch to cultivate a devoted community and sustain a competitive advantage in the market.
• Snitch 2.0 app: This app features a video commerce area called SnitchIt, where users can create and view videos regarding Snitch items. The app also includes virtual try-ons, early access, and incentive programs.
• Digital experience stores: Snitch plans to establish digital experience stores in India, combining online and offline buying experiences.
• Virtual try-on hauls: Snitch provides virtual try-ons for clothing and accessories online and in-store. Virtual try-ons are a major focus for Snitch, both online and in shops. Customers will be able to view how clothing and accessories appear on them without having to physically try them on, improving their discovery and shopping experience.