Max Fashion shifts to faster fashion, targets 60-80 new
Max Fashion is pivoting from a discount-led model to one driven by faster product launches and improved store experience.
Max Fashion will open 60 to 80 new stores annually as it shifts its strategy from discounting to faster fashion cycles. The Landmark Group-owned retailer now operates 540 stores and expects its core business to grow in the mid-teens this fiscal year, according to CEO Sumit Chandna.
Chandna told the Economic Times that the company's strategy now hinges on product freshness replacing promotions as the main traffic driver. Max has increased its new range launches from four or five per year to twelve. This acceleration demands greater agility from its buying, design, and supply chain teams.
The payoff is in full-price sales. "Fresh fashion trumps discount, at least for me," Chandna said. The retailer now has less leftover stock for end-of-season sales because its full-price sell-through rate has improved. For a value-focused chain, this marks a significant departure from the traditional reliance on promotions.
The Supply Chain Challenge
Maintaining twelve launch cycles a year across a 540-store network is a complex operational task. Chandna acknowledged that keeping this pace is "not easy" from a supply-chain perspective. However, the company believes the effort is yielding stronger results.
Max sells almost 10 garments every second across its stores. Its like-for-like sales growth has been in the teens for both the current and previous financial year.
Redefining Value for the Consumer
The faster fashion cycle is part of a broader repositioning. Chandna stated that Max's definition of "value"has evolved from simply offering low prices to balancing price, value, and quality. The retailer has upgraded its stores and revamped its product assortment."Consumer frequency is going up. Our basket size is also going up,"Chandna said. He attributed this to greater product freshness and an improved in-store experience, which increases dwell time."A consumer actually is ambivalent between online, offline," he said. Shoppers discover products online via the website, Myntra, or influencers before buying in-store, or they browse in stores and later order through the app.
The company expects online sales to reach a double-digit contribution within the next couple of years. Max does not currently fulfill quick-commerce orders from its stores, but Chandna confirmed the company is evaluating the opportunity.
