FitWear India Cas

Case study | IIM Raipur | Version 03.10.
24 (Not to be circulated)
FitWear India: Navigating the Digital Marketing Landscape

Arunima Shah1
Background
Launched in 2019 in the city of Bengaluru, FitWear India has emerged
as a beacon of innovation in the country's burgeoning fitness apparel
industry. With a rapidly growing middle class and increasing
awareness around health and wellness, the Indian fitness apparel
market is projected to grow from $674 million in 2022 to around $1.2
billion by 2029, reflecting a CAGR of 16.4%. This expansion is driven
by the rise of fitness influencers, a growing gym culture, and the
increasing popularity of athleisure.
Founded by two dedicated fitness enthusiasts, Maya and Ravi, the brand aimed to deliver high-
quality, stylish activewear designed to meet the diverse needs of fitness lovers in India. Both were
batchmates at a prestigious business school in India and shared a deep passion for sports. Despite
the demanding schedule of their MBA program, they actively participated in various sporting
events and maintained strict fitness regimens. They often discussed the idea of launching a
company in a field they were passionate about. After gaining valuable experience in the corporate
world, where they honed their skills in managing and scaling businesses, they finally decided to
take the plunge and bring their vision to life.
The fitness apparel industry features a multitude of players, both large and small. In this crowded
landscape, where product differentiation is minimal and marketing budgets can be substantial,
the founders recognized the challenge of building a brand that truly stands out. They aimed to
identify the ideal target segment for FitWear, one that would allow them to effectively compete
with established athleisure brands in the market. Maya and Ravi recognized the importance of
creating a nuanced marketing strategy to stay ahead of the competition and chose to rely on the
unique opportunities presented by the Internet. Building a digital campaign for a digital first
audience was FitWear’s primary marketing strategy.
The Rise to Success: FitWear’s Marketing Strategies

Within a few short years, FitWear India has transformed from a local startup to a notable name in
the Indian fitness apparel market. The company experienced a remarkable 150% growth in sales
over two years, driven by marketing strategies that focused on community-building and user-
generated content. They leveraged on the importance of word-of-mouth in online brand building
and launched interactive fitness challenges that encouraged customers to share their fitness
journeys, creating a sense of belonging among their audience. The founders were convinced of
the impact of relatable content being proliferated through paid and organic methods of digital
1. This caselet has been developed by Dr Arunima Shah, a Faculty at IIM Raipur, solely to provide material for
classroom discussion. It does not intend to illustrate either effective or ineffective handling of the situation.
Case for Class discussion | FitWear India | Version 26.09.24 | Not for circulation | IIM Raipur
marketing. Hence, they built their company on the philosophies of a typical D2C e-commerce
brand.
FitWear's digital marketing strategy relied heavily on data-driven insights, utilizing analytics tools
to track consumer behavior across various touchpoints. Targeted ads on google search, google
display network, and social media ensured their content reached the right audience at the right
time. The brand's website featured engaging content, including fitness tips, customer testimonials,
and product showcases, enhancing the shopping experience and encouraging repeat visits.
Maya often took to social media to connect with customers personally, sharing her fitness journey
and the inspiration behind FitWear’s designs. This personal touch built a loyal customer base, but
as FitWear expanded, the leadership team started noticing troubling trends hinting at underlying
challenges.
A Turning Point
Despite soaring sales figures, the FitWear team became aware of rising customer concerns
regarding their purchasing experiences. Feedback indicated that while products were well-
received, some customers faced issues with shipping delays and sizing discrepancies, leading to
dissatisfaction. This feedback raised alarms within the team, prompting discussions about the
importance of not just acquiring customers but also retaining them through positive experiences.
The team believes they have done well in the past with their customer acquisition but now need
to work on their retention strategies.
Navigating the Digital Landscape

In a pivotal strategy meeting, Maya and Ravi gathered their marketing team to discuss the future
direction of FitWear. A growing thought for FitWear is market expansion as data has been showing
that conversions in the same market are becoming tougher due to reasons like market saturation,
competition etc. Their CTRs are falling, and CACs are rising!
As the digital marketing landscape evolved, so did consumer expectations. Indian customers
demanded transparency, personalized experiences, and seamless interactions across channels.
Maya and Ravi realized that to remain competitive, they needed to deeply understand their
audience's evolving preferences and adapt their strategies accordingly.
With the enforcement of the Personal Data Protection Bill in India, the complexities surrounding
data collection and usage became more pronounced. Customers were becoming more aware of
their rights, and the denial of cookies on websites was becoming a common practice. This shift
raised critical questions for FitWear: How could they effectively gather consumer insights without
compromising privacy? If they considered expanding internationally, they would need to navigate
an even more complex regulatory environment, where data protection laws could vary
significantly from region to region.
Maya and Ravi understood that failing to address these concerns could jeopardize customer
loyalty and expose the company to potential legal repercussions. As discussions evolved, the team
Case for Class discussion | FitWear India | Version 26.09.24 | Not for circulation | IIM Raipur
contemplated innovative approaches to enhance their marketing strategies. They recognized the
need to adopt a more integrated, omnichannel approach that would provide a seamless customer
experience across various touchpoints.
Looking Ahead
The leadership team concluded their meeting with a renewed sense of purpose. They envisioned
a future where FitWear thrived in the competitive Indian fitness apparel market and set industry
standards on customer retention strategies. They understood that addressing these challenges
would require collaboration and innovation across all levels of the organization.
In this pivotal moment, the future of FitWear hung in the balance, with opportunities waiting to
be seized. They needed fresh perspectives and innovative solutions to navigate the complexities
of the digital landscape and ensure their continued success.

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Case study | IIM Raipur | Version 03.10.

FitWear India: Navigating the Digital Marketing Landscape

The Rise to Success: FitWear’s Marketing Strategies

Navigating the Digital Landscape

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