Tushar
Jain, Founder & Managing Director of High Spirit Commercial Ventures Pvt
Ltd (HSCVPL) and his father Mulchand Jain, started selling bags from Mumbai’s
streets in the early 90’s to later build up their own company. Today, the
company has offices in 10 major cities in India and has a distribution network
of 10,000 points of sale spread across the country. The company announced plans
to set up two bag manufacturing facilities in Bihar and Gujarat or Maharashtra
with investment of ₹35 crore. HSCVPL has registered revenues of Rs. 250 crores
in the FY ended in March 2018.
Jain, Founder & Managing Director of High Spirit Commercial Ventures Pvt
Ltd (HSCVPL) and his father Mulchand Jain, started selling bags from Mumbai’s
streets in the early 90’s to later build up their own company. Today, the
company has offices in 10 major cities in India and has a distribution network
of 10,000 points of sale spread across the country. The company announced plans
to set up two bag manufacturing facilities in Bihar and Gujarat or Maharashtra
with investment of ₹35 crore. HSCVPL has registered revenues of Rs. 250 crores
in the FY ended in March 2018.
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| Tushar Jain |
Traworld-
premium luggage brand for the elite traveller from the house of HSCVPL has
recently roped in Sonam Kapoor Ahuja as the brand ambassador. The brand
caters to the urban elite consumers for whom travel is a way of life and a
luggage bag is more than just a bag.
Today
HSCVPL is one of the leading manufacturers and exporters of bags which has on-
board brands like Priority, Humpty Dumty, Hashtag and Traworld. It is also the
sole licencee to manufacture cartoon bags.
HSCVPL is one of the leading manufacturers and exporters of bags which has on-
board brands like Priority, Humpty Dumty, Hashtag and Traworld. It is also the
sole licencee to manufacture cartoon bags.
In
a exclusive interaction with Startup Terminal; Tushar Jain, Managing Director
& Founder of High Spirit Commercial Ventures Pvt Ltd (HSCVPL) shares more
insights about his entrepreneurial journey and future plans.
a exclusive interaction with Startup Terminal; Tushar Jain, Managing Director
& Founder of High Spirit Commercial Ventures Pvt Ltd (HSCVPL) shares more
insights about his entrepreneurial journey and future plans.
Excerpts:
ST: How has been the journey
of HSCVPL and its various brands so far?
of HSCVPL and its various brands so far?
Tushar
Jain: The
company was started in 2012, whereas the promoters of the company have more
than 16 years of experience in manufacturing and retailing of bags. The company
has set up factory and warehouse facility in Bhiwandi near Mumbai for
manufacturing of backpack bags.
Jain: The
company was started in 2012, whereas the promoters of the company have more
than 16 years of experience in manufacturing and retailing of bags. The company
has set up factory and warehouse facility in Bhiwandi near Mumbai for
manufacturing of backpack bags.
High Spirit Commercial Ventures is the largest player in the backpack
space the company had sold 7 million bags last year. We sell backpacks bags
under three brands like Priority, Humpty Dumpty and Hashtag. Hashtag brand name
is very unique and positioned towards backpacks for youth. Our revenues for the
last year was at Rs. 250 crore and is expected to grow at 30% for the next
three to four years.
space the company had sold 7 million bags last year. We sell backpacks bags
under three brands like Priority, Humpty Dumpty and Hashtag. Hashtag brand name
is very unique and positioned towards backpacks for youth. Our revenues for the
last year was at Rs. 250 crore and is expected to grow at 30% for the next
three to four years.
ST: How
has HSCVPL been able to change the retail/manufacturing industry
landscape in India?
has HSCVPL been able to change the retail/manufacturing industry
landscape in India?
Tushar
Jain: We are the fourth largest bags brand in the country. High Spirit
Commercial Ventures has emerged as a leader in backpack space in the price
range of Rs. 399 to Rs. 799.
Jain: We are the fourth largest bags brand in the country. High Spirit
Commercial Ventures has emerged as a leader in backpack space in the price
range of Rs. 399 to Rs. 799.
The current size of the Indian bag packers and luggage bags market is at
Rs. 20,000 crores, whereas China’s market is more than Rs. 1,00,000 crores for
domestic market and Rs. 2,00,000 crores 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 is expected to increase
substantially in the years to come.
Rs. 20,000 crores, whereas China’s market is more than Rs. 1,00,000 crores for
domestic market and Rs. 2,00,000 crores 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 is expected to increase
substantially in the years to come.
Additionally, the introduction of GST has also eased the business
playfield for the organised players in the segment to reach out to unchartered
territories it had not ventured before. Our current turnover stands at Rs. 250 crores
for the FY18 and are expected to grow at a CAGR of 30% in next three years. Our
offices are spread across all major cities with having presence at more than
3,500 MBOs across the country. We certainly would like to become leading
luggage bags manufacturing company in the country with a turnover of Rs. 1,000 crores
within 5 years.
playfield for the organised players in the segment to reach out to unchartered
territories it had not ventured before. Our current turnover stands at Rs. 250 crores
for the FY18 and are expected to grow at a CAGR of 30% in next three years. Our
offices are spread across all major cities with having presence at more than
3,500 MBOs across the country. We certainly would like to become leading
luggage bags manufacturing company in the country with a turnover of Rs. 1,000 crores
within 5 years.
ST: What is HSCVPL’s
strategy towards online retailing?
strategy towards online retailing?
Tushar
Jain: We believe in today’s day and age online retailing has a huge potential.
With our brands idea of making the brands more relevant to customer’s and be
their lifestyle accessory it is important for us to bring the styles to their
shopping disposal.
Jain: We believe in today’s day and age online retailing has a huge potential.
With our brands idea of making the brands more relevant to customer’s and be
their lifestyle accessory it is important for us to bring the styles to their
shopping disposal.
We are currently retailing Traworld across leading retail stores in the
country and is also available through general trade through large distribution
network of 3500 MBO’s spread across India. Apart from that the brand is also
retailed online through Amazon, Flipkart, Myntra, Snapdeal, Paytm Mall,
Shopclues, Indiamart and others.
country and is also available through general trade through large distribution
network of 3500 MBO’s spread across India. Apart from that the brand is also
retailed online through Amazon, Flipkart, Myntra, Snapdeal, Paytm Mall,
Shopclues, Indiamart and others.
ST: How big is the team
strength of HSCVPL at present? Do you plan to hire in the next year?
strength of HSCVPL at present? Do you plan to hire in the next year?
Tushar
Jain: We currently have 500 people on our pay rolls and we hire another 500
people on job work basis. Currently we
are focusing on strengthening our marketing team and will be adding senior
resources to empower our leadership team.
Jain: We currently have 500 people on our pay rolls and we hire another 500
people on job work basis. Currently we
are focusing on strengthening our marketing team and will be adding senior
resources to empower our leadership team.
ST: How was the market trend in
2018?
2018?
Tushar
Jain: Luggage is no longer viewed as a utility item but it is now a lifestyle
accessory which is more of a style quotient. To cater to this mobile sector who
are mostly on a move either for holiday or for business or even both the
various brands are coming up with innovative offerings for their customers and
offer products that resonates with their customer’s personality.
Jain: Luggage is no longer viewed as a utility item but it is now a lifestyle
accessory which is more of a style quotient. To cater to this mobile sector who
are mostly on a move either for holiday or for business or even both the
various brands are coming up with innovative offerings for their customers and
offer products that resonates with their customer’s personality.
There are several factors pushing the luggage industry towards
stupendous growth. The foremost amongst them being the outbound travel for both
business and leisure. Since, these luggage bags have become lifestyle accessory
than just mere utility, it has resulted in increased consumption to one person
owning several bags than just few bags being used by an entire household.
stupendous growth. The foremost amongst them being the outbound travel for both
business and leisure. Since, these luggage bags have become lifestyle accessory
than just mere utility, it has resulted in increased consumption to one person
owning several bags than just few bags being used by an entire household.
The current market size of the bag industry stands at 20,000 crore and
has been growing at 17 to 19%, where as we at High Spirit Commercial Ventures
are growing at 30%.
has been growing at 17 to 19%, where as we at High Spirit Commercial Ventures
are growing at 30%.
