How to Start a Boutique in Pakistan

This article provides information on key facets of starting a boutique business for women designer wear. In reference to Pakistan, the Boutique business is quite in vogue and very much organized now. Few years back the market of this enterprise was quite scattered and unorganized. There were a few major players in Boutique business and those entrepreneurs have also taken an initiative based on their caprice and experience in the field of fashion design. However, the scenario is pretty different now, as boutique sector (women design wear) has mushroomed over the last few years, mostly in posh areas of big cities of Pakistan such as Lahore, Islamabad, Karachi, Peshawar, Quetta, Faisalabad, Sialkot, Multan, etc.

Growing number of boutiques have become an emblem of successful clothes business in Pakistan. Most people especially women prefer them over ordinary garment brands. There has been a mushroom growth in women designer wear boutiques since the last decade as they offer versatility and sophistication. This trend is not confined to metropolis alone but has also spread to small cities and towns. The rise is attributed to a growing middle class, exposure to media, entertainment, movies, internet and also to a fleet of qualified fashion designers graduating from fashion schools every year. Aspiring fashion graduates or potential entrepreneurs may find this growing sector a good prospect to capitalize on their potential, talent and market opportunity. In order to facilitate the potential investors, this article provides the basic information regarding business operations of apparel designing, manufacturing, marketing and selling of women wear in Pakistan.

The proposed boutique in this article will be able to produce and sell around 5,824 dresses and will entail a total investment of about Rs. 5.25 million. The boutique will offer a wide choice of clothes to its clientele ranging from traditional dresses, pret a porter casual, semi casual to formal / bridal wear. Both traditional and western dresses tailored to local needs will be offered to the customers. There is also a good potential for exports of Pakistani dresses abroad also as there is a large population of Pakistani expatriates in Canada, KSA, EU, UAE, USA and UK.

Steps of Designing Dresses for Your Boutique

The process of converting fabric into designer wear garments mainly follows the below mentioned 9 steps:

  1. Purchasing Raw Material
  2. Design
  3. Pattern Making
  4. Stitching
  5. Cutting
  6. Embroidery
  7. Finishing
  8. Presentation / Display
  9. Market / Clientele

Factor for Success of Boutique Business in Pakistan

Following are the factors critical for the success of this business venture;

  • Selection of a good location for the outlet.
  • Ability to produce / acquire unique designs and safe guarding such design from piracy.
  • Selection of affordable and quality raw materials i.e. fabric, accessories, etc.
  • Emphasis on quality i.e. stitching and finishing, appropriate labeling, display and packaging.
  • Marketing and promotion through various channels i.e. catalogs / pamphlets, outdoor advertisement, hoardings / flex signs, TV & cable ads, fashion shows, participation in exhibitions, promotion through social media (Facebook etc.).
  • Right product mix, proper inventory management, emphasis on customer services.
  • Employing and retaining skilled labor.

Higher return on investment and a steady growth of business is expected if you have some prior experience in the related field of business.

Investment Required for Boutique Business in Pakistan

Opening a boutique in Pakistan requires a total investment of about Rs. 5.25 million. This includes a capital investment of Rs. 2.02 million and a sum of Rs. 3.23 million as working capital. Projected IRR, NPV and Payback period of the proposed project are 35%, Rs. 5.41 million and 3.72 years respectively. A detailed financial model has been developed to analyse the commercial viability of boutique (Women Designer Wear). Various costs and revenues related assumptions along with results of the analysis are outlined in the pre-feasibility study of a opening a boutique in Pakistan.

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