Trident is an organisation is driven by best global practices and a vision for bringing about a positive change. With its determination and perseverance, the company has been able to catapult itself into one of the world’s largest vertically integrated home textile manufacturers, with clientele spanning across 100 countries in six continents.
Apart from establishing an entrenched presence in the terry towel segment, Trident has built a world-class bed linen facility in Budni, Madhya Pradesh, which has further bolstered its home textile portfolio. Leveraging the changing demographics of the domestic market, several branding initiatives, coupled with premium product launches, have helped the company gain a prominent share on leading domestic shelves.
With changing times it is imperative for the business to constantly innovate. Forward looking ideas are therefore the premise of initiatives and projects undertaken by this organisation.
Mr. Rajinder Gupta, Chairman, Trident Group, says: “We have been able to transform unconventional ideologies into many first-time concepts in home textiles as well as paper. All these concepts are backed by sustainable and environmental friendly practices. For the coming year, our clear focus is on sweating our global scale capacities in the home textiles segment. We anticipate a notable pick-up in volumes as a result of our marketing team’s well-planned strategy”.
Home textile business
Trident exports its textile products to nearly 70 countries across the globe and has recorded revenues of Rs. 29,043 million, out of which 70 per cent is earned through export business. The home textile products are positioned at various price points and are marketed under brand names like Trident Everyday (for the opening price point consumers), Trident Home Essentials (for the consumers who do not mind spending a little extra), Trident Classic (for premium consumers), Trident Indulgence (for the luxury segment), Trident Organica (eco-friendly product range), Trident Play (youth/sports range), Trident Bath Buddy (kids range) and Trident Cuddles (infants range).
Trident’s towel manufacturing facility at Budni in Madhya Pradesh is the largest standalone terry towel facility globally. Presently, the company has installed 688 looms with a production capacity of 88,775 metric tonnes of towel per annum at optimum utilisation with a balanced product mix.
The company commenced production at its integrated bed Linen facility capable of producing 43.2 million meters of bed linen per annum and ~1.9 lakh yarn spindles to produce 14,400 tonnes per annum of high count compact yarn for captive consumption at Budni.
Trident has an installed capacity of 5.55 lakh spindles and 5,500 rotors capable of manufacturing 1,15,200 tonnes per annum of cotton, compact and blended yarn per month. It has 10 manufacturing units with state-of-the-art technology sourced from globally-renowned suppliers. The product range services the needs of the knitting, weaving, denim, hosiery, shirting and suiting segments.
Agenda for FY17
In FY16, Trident had commissioned a bed linen facility with a capacity of 500 looms. This facility envisages production of 43.2 million metres of bed linen at optimum utilisation with targeted revenues of Rs. 12,000 million. By FY17, this facility is estimated to operate at 40-50 per cent utilisation and by FY18 at 70-80 per cent utilisation with balancing preparatory, processing and cut stitch pack equipment.
In FY16, the company commissioned a new yarn unit (integrated with its bed sheet project for captive consumption). In FY17, this unit is expected to operate at a 90 per cent utilisation (against 40 per cent utilisation of bed linen capacity), generating a surplus for merchant sale. In FY17, Trident expects to increase its terry towel volume offtake by 15-20 per cent over FY16.
At Trident, it is not as important to be the biggest as it is to be the best. Business was transformed from being a standalone yarn manufacturer to one of the largest integrated home textile manufacturers in the world. Yarn used to account for 60 per cent of its total revenues, whereas in FY16 higher margin home textiles accounted for 60 per cent of its total textile revenues. By the next two years, the group expects high margin bath and bed linen products to contribute about 80 per cent.
The company extended the value-addition philosophy across its bath and bed linen range. In FY16, it expanded its value-added towels range following the launch of niche towel products (air rich, low-lint towels, fade-resistant towels and cotton tencel towels). In FY17, Trident intends to launch a larger basket of soft, fluffy towels and jacquard designs.
Home Textiles – International
Trident has incorporated a wholly-owned subsidiary company, Trident Europe Ltd. in the UK, which will strengthen its marketing channels in Europe. The company has strengthened the marketing and design team in the US for better market research and customer service.
Trident has strengthened its product range by including the bed linen range to strengthen the long-term relationships with its existing customers across the US, Europe, Australia and the Middle East. The company has expanded its value-added range such as air rich, low tint, fade-resistant bed and bath linen products to cater to the premium segment.
Trident has established its footprint in the growing markets of the Middle & Far East and APAC for marketing textile products. It regularly showcased its home textiles at international exhibitions, which were well received. Trident also supplies yarn to top corporates such as Pacific, Esquel, Yongour, Monti and WPH, etc.
Domestic market
In the Indian domestic market, Trident has enhanced its brand presence in more than 260 MBOs to address customer needs pan-India. The company has ramped up its business volumes in the general trade and institutional segment, besides modern retail.
Trident has also established its presence across all major e-commerce market place. The company has entered into a partnership with the French firm, Lagardere Active Group, to launch a premium range of home textiles under the renowned French lifestyle brand Elle Décor in India.
Trident has extended the licensed brand merchandise to cater to the growing children’s segment. The company supplies yarn to top corporates such as Page Industries, Raymonds Ltd., Arvind Ltd., etc. It realised increased revenues from value-added yarn such as Platinum, Roving Grindle and Blends – Tencel, Modal, Micromodal, etc.
Trident has a strong client list comprising global retail and institutional brands across 60 countries, like J.C. Penney, Wal-Mart Stores Inc., Ralph Lauren, Calvin Klein, Carrefour S.A., H&M, IKEA, Marks & Spencer, ITC Hotels, Taj Hotels Resorts and Palaces and Oberoi Hotels & Resorts, among others.
Way forward
Trident will focus on optimally utilising its global scale capacities. It is expecting significant free cash flows with major capex cycle getting over. Trident’s fully integrated operations, Cotton-to-Terry Towel and Cotton-to-Bed Linen, are to deliver sustainable performance over the years. The company’s branding strategy to target the premium customer segment in home textiles. The focus is on value-added products to improve contribution over the coming years.
Trident is strengthening its presence in new markets like the UK, Italy, France, Japan, Australia, South Africa and Canada. It continues to target new markets to diversify customer base geographically and is leveraging the existing customer relationships to ramp up Bed Linen marketing and improve brand presence through multi brand outlets MBOs & Modern Retail across India. The company’s emphasis is on emerging e-commerce platforms to market home textile brands.
By Rajeswari Prasad