Brands thrive

LAHORE: Despite facing difficulties in textile exports, most large yarn and fabric producers are thriving due to their systematic development of the domestic market. In many cases, their domestic sales now exceed exports.

These manufacturers have successfully established their own brands. They produce a comprehensive range of textile products at their integrated units and market them under their brand name through hundreds of retail outlets established across Pakistan. A significant portion of their production focuses on fine fabrics for ladies' clothing.

They either have in-house stitching facilities or outsource their dressmaking requirements. These outlets also showcase their home textile products alongside shirts and trousers for men. Additionally, they market artificial jewelry bearing their brand name. These outlets are emerging as household names in Pakistan, offering a variety of products, including footwear, perfumes, and ladies' bags.

The companies' brand names are gaining increasing popularity in the domestic market, providing them with a sense of security. Some of them have also established branches in the UAE, US, Europe, and Canada, with the aim of establishing their brand on a global scale. All of them also engage in online sales.

These companies meticulously prepared for this expansion by evaluating customer preferences and enhancing their efficiencies and services. Initially, customer service appeared costly, and companies that considered reducing services soon realized the grave mistake that compromising service levels would be. For instance, companies are constantly striving to improve the average call center response time.

This improvement could only be achieved by increasing staff by at least 10%. Prioritizing exports and neglecting the domestic market proved to be a costly error for many companies. Most of the mills that closed in recent years were exporters.

The survivors are those that, alongside exports, created a niche market in the domestic sector. Textile sector laggards are now recognizing that marketing is an essential tool that determines the success and failure of an enterprise. They are also striving to strengthen their e-commerce presence, as establishing brick-and-mortar outlets has become prohibitively expensive.

Experts emphasize that marketing should be tailored to maximize sales while minimizing expenses. Savings in marketing can be achieved through rigorous analysis of customer experiences. Technology tools are available to assist marketers in identifying customer preferences. This exercise should be conducted in a structured manner, from gathering customer-level data to aligning survey responses with actual behavior. Statistical analysis then differentiates the possible correlations of facts that customers prefer.

Research has demonstrated that successful and mature companies prioritize retaining existing customers. It is now established that retaining customers is more cost-effective than acquiring new ones.

This is why banks, airlines, retailers, and telecom operators invest significant effort in satisfying loyal customers rather than solely focusing on attracting new ones. The practice of hiring emotionally intelligent frontline workers was pioneered by retailers and store chains, recognizing their ability to attract individuals innately suited for frontline roles. Banks have now also adopted this approach, seeking emotionally intelligent frontline retail store workers for their front desks.