Aditya Birla Fashion to convert Style Up stores to OWND! in fight to chase GenZ

Mumbai: Aditya Birla Fashion and Retail Ltd (ABFRL) is rebranding its value fashion format Style Up to appeal to younger, fashion-savvy Gen Z shoppers as competition intensifies in the apparel and footwear market.

The retailer will gradually convert its existing 49 Style Up stores to OWND! over time. It plans to open 100 stores by the end of this fiscal year and expand to 400 outlets over the next 3-5 years, Sangeeta Tanwani, chief executive officer, Pantaloons and OWND!, said in an interview with Mint on the sidelines of MAPIC, a retail-focused event in Mumbai.

The company has already opened five new OWND! stores in markets such as Ahmedabad, Bengaluru and Aurangabad.

“This brand is very sharply targeted to Gen Z. It's a brand which is built with a deep understanding of the youth culture. We were testing Style Up over the last couple of years, which has given us the confidence that we need to go deeper with this segment, but with a sharper proposition,” Tanwani said.

The brand will be a top “priority” within ABFRL. Tanwani declined to share investment details. Gen Z shoppers, born between 1997 and 2012, are considered fashion-forward consumers. India has around 60 million Gen Z shoppers who actively shop online, accounting for 20-25% of the online lifestyle market, valued at about $4 billion in gross merchandise value (GMV), according to a 2024 report by Bain & Co. and Myntra.

ABFRL launched Style Up in 2019, focusing on tier-II and tier-III cities. The chain offers menswear, womenswear, kidswear, and accessories. The first Style Up store opened in Bihar. The chain has since grown to 49 stores.

With its new positioning, the brand will now expand into metros and mini-metros.

“It is a value format with a focus on metros and mini-metros,” Tanwani said.

The stores will sell clothing priced under ₹1,200. By comparison, Zudio sells jeans and shirts starting at ₹299, with cargos priced up to ₹899.

Growing competition is prompting brands to sharpen their offerings.

“One of the reasons for us, therefore, is to sharpen the axe in terms of our brand strategy defined by its positioning, styles and store experience. Value fashion has a potential to go across pop strata in India. Obviously, every company has to prioritize their strategy. Our strategy for the next couple of years will remain mini-metros and class one towns,” she said.

The value retail market has become increasingly competitive, with both online and offline players carving out distinct positioning and assortments.

Among them, Trent-backed Zudio has surged ahead with more than 750 stores across India. Launched in 2016, Zudio crossed the ₹1,000-crore sales mark in FY25. Trent recently introduced a new brand, Burnt Toast, targeting Gen Alpha (aged 15-25 years).

Other entrants include Reliance Retail’s Yousta and Shoppers Stop’s InTune. Additional players in the value retail space include Max Retail, Style Bazaar, and V2 Retail.

ABFRL’s portfolio spans value and premium fashion, including Pantaloons and Style Up; ethnic wear, comprising Jaypore, Tasva, and TCNS brands; and designer labels such as Shantnu & Nikhil, Tarun Tahiliani, Sabyasachi, and House of Masaba.

As of 31 March, ABFRL operated 1,167 stores. In the June quarter, the company reported revenue of ₹1,831 crore, up 9% year-on-year.

Earlier this year, ABFRL announced plans to aggressively expand—tripling its business and doubling the scale of its newly formed lifestyle brands subsidiary, Aditya Birla Lifestyle Brands Ltd over the next five years.

Shares of ABFRL ended Tuesday’s trade at ₹86.69 on BSE, down 0.74%.