Formal wear, smart casuals re-enter shopping carts

As the omicron wave ebbs and more and more offices open up, colleges resume offline classes, and restaurants and theatres operate without restrictions, there’s an unmistakeable surge in mobility. Not only are workplace visits on the rise, flights are also operating at full capacity. Add to this the steady revival of on-ground events, whether corporate meets and summits, or entertainment gigs.

All of this augur well for the ailing apparel sector, which had taken a serious hit in the last two years of the pandemic. With people staying at home during lockdowns, consumers refrained from buying formal clothing or occasion wear, switching to athleisure and lounge wear. After reporting a 40% decline in revenue in 2020-21, brick-and-mortar apparel retailers are expected to grow 20-25% year-on-year in FY22, according to a note by Crisil Ratings.

Obviously, there’s a sense of relief among those in the business of selling clothes. Online fashion marketplace Myntra admits to a notable surge in demand in the formal wear segment for both men and women. The company has seen formal wear grow more than 2X in the last three months and expects a further increase as people return to offices.

“We are ramping up our portfolio and offerings for the fashion-forward consumers who are eagerly waiting to have a refreshed wardrobe,” said Padmakumar Pal, vice president and business head, apparel, Myntra. The company has added 5,000 new options to its workwear portfolio in the last three months. These include fashion basics like white and black shirts, khakis and trousers as well as the latest Spring-Summer collections from popular domestic and international brands. “We will continue to expand the portfolio and widen the spectrum of selection and brands for the category,” Pal said.

Formals and back-to-office clothing are gaining traction, admitted Manish Singhai, chief operating officer, Peter England, and head – e-commerce, lifestyle brands, Aditya Birla Fashion and Retail. With covid on the decline, consumers want some level of normalcy in their lives, he said. But one needs to be mindful of the fact that styles that were earlier considered only semi-formals are acceptable as formals today in a post-covid world, Singhai added. “We need to accept these shifts and adjust our merchandise offering accordingly.” The company will offer a contemporary take on formals which are more appealing to the younger, modern consumer.

The workplace is definitely moving towards being more casual, and hybrid work is the order of the day, said Satyen Momaya, chief executive at French menswear brand Celio, adding that power dressing is a no-no. “We are working on fabrics and styling in shirts which are semi-formal and comfortable. Knit shirts and Tencel shirts, combined with cotton are examples of products we are launching to address this consumer need.”

According to Momaya, casualization is here to stay and new fits are helping replace the wardrobe from skinny to more relaxed fits. “Consumers are also looking forward to smart casuals in pants and tees, and our 100% linen tees made from the most natural and sustainable fabric, are getting even better response,” he said. Celio’s smart 24-hour pants are helping revive demand for trousers.

Similarly, Peter England consumers are expecting soft formals, that is, garments that have a soft handfeel and are flexible, said Singhai. Even in casuals, the brand is seeing increased demand for premium casual wear in lighter tones, smaller checks and linen. Slim, super slim, active formal shirts, as well as whites, blacks and pastel shirts are drawing sales. The demand can partly be attributed to an uptick in jobs at all levels, Singhai said. While “last mile” jobs are increasing, consumers with white collar jobs are returning to offices.

With covid receding for now, customers are keen to socialize and connect. They want to spend more time outside their homes, evident in increasing visits for retail and recreation, attending weddings, resuming physical and hybrid mode of office and travelling.

Singhai sees miscellaneous consumer behaviour leading to increased demand for casual, semi-casual, and semi-formal apparels along with formal wear. To cash in on this demand, Myntra said it is working on putting together the best selection and providing a superlative shopping experience to consumers, enabling them to get back to work in style.