FILA continues to invest in India
On Thursday, FILA Spa revealed that it was continuing its expansion in India, where it had started investing in 2012.
India is one of the most important markets for the FILA group’s future growth, with more than 350 million kids in the 0-14 age range, a population of about 1.4 billion, and an investment in education of more than 3.4 percent of GDP.
The group entered this market in 2012 through the company DOMS Industries Pvt Ltd, of which it first purchased 18.5 percent with an investment of EUR5.4 million, when the company was billing approximately EUR10 million. Since 2015, it has increased its share to 51 percent, fully integrating it, following an investment of EUR36 million, when the company was billing approximately EUR7.0 million.
Additionally, it has a well-established national distribution network, including more than 100 wholesalers who cover all 28 states and 8 “unions,” more than 3,500 distributors across India, and a sales team of more than 500 people who reach more than 150,000 points of sale. It also has a growing presence in the e-commerce sector, high brand recognition for DOMS in the Indian market, which accounts for 30% of the market share in the pencil segment, and a targeted branding and advertising strategy.
According to Massimo Candela, CEO of FILA, “India today represents the second largest market in the world for the FILA group. It has recorded a double-digit CAGR since 2012, has accelerated in recent years, and forecasts for 2022 a progress of about 50% compared to the pre-Covid values of 2019 for over EUR110 million in sales, with the highest profitability figure in the Indian market.”
We plan to double the industrial footprint in 2023 with an investment in Capex of about EUR15 million to support a significant expansion of the company. Our goal is to continue in this direction by enhancing our presence and supporting the company’s growth in the upcoming years, in what represents the most important country where to do business in the next 10 years.