Made-to-measure apparel brand INDOCHINO is launching its “designed by you” showroom experience in four southern United States cities this spring — Charlotte, Houston, Austin and Dallas — which will bring the company total to 24. The locations are four in a string of new showrooms slated for 2018 as the company continues to accelerate expansion, offering luxury custom clothing at accessible price points. INDOCHINO was originally launched online but started opening brick-and-mortar showroom locations in 2015.
The company was borne out of the belief that custom clothing should be available to everyone, says CEO Drew Green. "Each time we put down roots in a new city, there is an opportunity for millions of men to experience the shopping concept of the future,” he says.
INDOCHINO showrooms offer an immersive and engaging VIP experience, with customers assigned a personal stylist to assist in designing their suits or shirts and helping them choose from virtually endless possible combinations of top-of-the-line fabrics and personalization options. Garments are then made to the customers’ precise measurements and shipped directly to their door within three weeks.
Apparel recently checked in with Green to find out what's driving expansion. Excerpts of the interchange follow.
A: What is behind the growth of the company?
Between 2015-2017 we averaged close to 50 percent YOY growth, while dramatically improving gross margin and EBITDA. We believe we have become the largest custom apparel brand globally in this time. Looking forward to 2018, we predict further 50 percent growth and are on plan to have our most profitable year as we continue to expand into new markets and product categories.
There are five key strategies driving our growth, all of which place the customer as the number one focus:
- People: I couldn’t be prouder of the world-class team of talented, highly engaged and inspired individuals that we’re building.
- Product: We’re continuously innovating to improve our garments, expand into new categories and ensure that everyone receives an exceptional customer experience — through this we’re building a legion of loyal INDOCHINO brand ambassadors
- Price: The disruptive strategy around the price of our garments (we offer suits from just $399) makes the luxury custom suiting experience accessible to the typical ready-to-wear customer.
- Partnerships: We actively seek out strategic partnerships that will enable us to grow the business profitably by streamlining production processes, increasing economies of scale and expanding distribution capabilities. Our recent news of a strategic investment in INDOCHINO by Mitsui is a prime example.
- Profit: Profit is the main focus to support growth.
2. How is Indochino using analytics or other types of technology to improve its customer engagement?
One of the core values at INDOCHINO is that our business is driven by data. Metrics and analytics heavily influence decision-making and development and we have a core team of specialists dedicated to this.
An example of this is a very sophisticated Master Data Model that we’re building, which essentially connects the online world with the physical world to provide a 360-degree view of the customer and their journey with us, whether that's a touchpoint with an ad, on our website or in one of our showrooms. This will enable us to continuously innovate and iterate our marketing approach and improve customer engagement.
3. Where are INDOCHINO suits manufactured?
We produce our garments in Dalian, China, where The Dayang Group, our strategic partner and the world’s largest suit manufacturer, is based: https://www.indochino.com/press/news/march-9-2016