India’s retail market is expected to reach to US$ 1 trillion by 2020, driven by income growth, urbanization and attitudinal shifts. While the overall retail market is expected to grow at 12 per cent per annum, modern trade would expand twice as fast at 20 per cent per annum and traditional trade at 10 percent. Toyam Industries is launching K1L merchandise through direct selling and Licensing.
The increasing numbers of smartphone users are fueling the mobile gaming market in India. Approximately 4 to 5 Crore people play games on their smartphones and feature phones, with an annual growth rate of 40 per cent to 50 per cent. Mobile gaming revenues are currently estimated at Rs. 1300 Crores across all revenue models and is expected to cross Rs. 2500 Crores by 2022. The cyber cafe market is currently estimated at 3,000 cafes in India with games, of which 1,500 have five machines or more dedicated to games. It’s estimated that there are 250,000 active PC/MMO players. An average Indian game developer company makes around Rs. 10.4 Crores within two years of startup as per a latest report by Nasscom. In 2016, India joined the world leaders in the gaming industry. In Q2 2016, India ranked fifth globally by game downloads. According to the report, it is expected to surpass both Russia and Brazil in the coming years.
Experts say that increasing adoption of smartphones has enabled mobile gaming to leapfrog in a big way and India is well positioned to be the next major gaming market. They say that the lower-tier Indian cities also have a large contribution in the rising market.
Toyam Industries Limited management wants to cash in on this segment of Rs. 1300 Crores per year considering fighting games are one of the most popular segment in mobile and internet gaming and having a game based upon an Indian fight league will attract a large base from young generation. Toyam Industries has already registered K1L logo for mobile and online gaming development.
The size of modern retail in India is expected to double to Rs 171,800 crore (US$ 25.7 billion) from Rs 87,100 crore (US$ 13 billion) in three years driven by omni-channel retail.
Toyam Industries is launching K1L merchandise through direct selling in the first and second year operations, and plans to start L&M third year onwards. With a global industry size estimated at $251.7 billion in retail in 2015, licensing is a force to reckon with. In India though, licensing is a much smaller market of about R4,500 crores, which shows tremendous potential as it is growing at the rate of 15% per annum. With India’s appetite and love for entertainment, entertainment licensing is the biggest slice of the licensing business. However, the space is changing dynamically and there are a lot of new genres like sports, fashion and celebrity licensing which will eventually become turning points for the industry in India.
Trends in licensing across the world are shifting focus on youth and adults with TV shows such as Breaking Bad, Game of Thrones and movies like Star Wars, Superman, Batman and other big franchises. Sports licensing over past years has been picking up market in India tremendously. While cricket continues to rule the viewership market in sheer numbers, football is turning out to be a bigger force in L&M. In the past two-three years, youth fashion has really started to pick up and we are seeing a very strong growth there. With internet reaching tier II and tier III cities, youngsters are able to buy merchandise of the brands they associate themselves with. It is not possible for a brand to physically reach these towns.
Merchandise is any consumer product on which an image or text can be affixed. In general, merchandise has some utility or function, for example a T-shirt or ceramic cup