How Zudio Became India’s Budget Fashion Giant

In a mall, a teenager picks up a graphic tee, a young professional grabs a crisp shirt, and a college student eyes a kurta. On the surface, it's just another shopping day. Behind the scenes, Zudio sells 90 T-shirts a minute—129,600 a day, fueling a retail empire built on affordability, accessibility, and an uncanny ability to predict what India wants to wear.

Somewhere along the way, the Zudio price tag became more than just a number. It turned into a flex. College kids, office-goers, even your neighbourhood aunty—everyone's got a Zudio piece in their wardrobe.

Some revolutions make noise. Others slip in unnoticed—until suddenly, they’re everywhere. Zudio is the latter.

But this isn't an overnight success. It’s a story decades in the making—one that started long before fast fashion even became a thing in India.

But how did we get here? 

How did Zudio, a brand that doesn’t even sell online, become a dominant force in Indian fast yet value fashion? 

Why did Tata, the global business giant, decide India needed another clothing brand when it already had Westside?

Let’s rewind. Way back. 

To a time when India had no beauty brands of its own, Tata decided that it needed to change.

Tata Built Lakmé... Then Came Trent

The Tata Group has built everything—steel to salt, cars to coffee, software to satellites. But fashion? That’s a plot twist no one saw coming.

Yet, the seeds of Tata’s retail empire were sown way back in the 1950s when Prime Minister Jawaharlal Nehru had an unusual request for JRD Tata:
"India needs its own beauty brand. We can’t rely on foreign imports forever."

Challenge accepted. Tata got to work and birthed Lakmé—a homegrown beauty brand tailored for Indian skin tones and budgets. And just like that, Lakmé became every Indian woman’s go-to, dominating the beauty industry for decades.

But the story didn’t end there.

Fast forward to the 1990s—India’s economy was opening up, and the retail market was screaming for disruption. Beauty was booming, but apparel retail? That was an untapped goldmine. The Tata Group spotted the gap and decided to make its next big move.

In 1998, Lakmé did something bold—it ditched the cosmetics business and pivoted to fashion retail. 

The company acquired Littlewoods International (India) Private Limited (LIIPL), a brand dealing in ready-made garments. Soon after, Lakmé Exports Limited merged with LIIPL, rebranding the new entity as Trent Limited. Just like that, Tata’s fashion ambitions took shape.

Lakmé bowed out, and Trent rose to take centre stage.

Its first creation? Westside—a department store catering to India’s aspirational middle class. Stylish, premium, yet affordable, Westside quietly built its presence while everyone else was busy chasing international labels.

Trent was now a force in retail. But something was still missing—an ultra-affordable, fast-fashion brand for the masses.

Then, in 2016, Trent pulled another ace from its sleeve. A brand that would redefine shopping for young India.

Enter Zudio: It Didn't Knock. It Kicked the Door Down

If Westside was the older sibling with a stable corporate job, Zudio was the rebellious, free-spirited younger one—bold, experimental, and utterly uninterested in the rules of traditional fashion retail.

Tata had studied the market. International giants like H&M and Zara targeted India’s upper-middle class. At the same time, Reliance Trends and Max Fashion were busy capturing value-conscious buyers. 

But there was still a gap—young consumers who wanted fast, trendy fashion at dirt-cheap prices.

Thus came Zudio.

Its formula was simple: fresh fashion, dirt-cheap prices, and no online store. 

Wait, what? No e-commerce? In a world where everyone was scrambling to go digital?

Yes. And that was its biggest flex.

By keeping it offline, Zudio ensured two things:

1. Impulse buying at its peak: Walk into a store, see a trendy hoodie for ₹799, and grab it before it’s gone. No time to think. No cart abandonment. Just pure retail adrenaline.
2. Lower costs, bigger margins: No delivery costs. No returns. No endless discounts online. What you see is what you get.

And it worked. 

But how exactly does it fit into Trent's grand plan?

The Stealthy Disruptor That Took Over Your Wardrobe

Zudio entered the market and crashed the party. While brands like H&M, Zara, and even Westside focused on urban malls, Zudio had a different plan: affordable, trendy fashion for EVERYONE, EVERYWHERE.

Noel Tata-led Trent opened the first independent Zudio store in 2018, and there was no turning back. 

But they tested the waters first. How? By using existing Star Market supermarket stores to assess product demand. Only after years of fine-tuning store economics, did they open the first standalone Zudio store in FY18. 

This patience paid off. In just a few years, it has become the fastest-growing fashion retailer in India. 

Over 545 stores have popped up across the country, from metros to small towns, making Zudio one of the most aggressive retail expansions India has ever seen. 

And here’s where it gets interesting— Zudio doesn’t advertise much. It doesn’t even sell online. Yet, it’s pulling in customers by the millions.

How?

The Strategy Behind Zudio's Market Domination

What do cricket and Zudio have in common? A killer strategy and an audience that never stops growing.

According to Zudio’s CEO, Venkatesalu P, the brand thrives on accessibility.
“Zudio is all about accessibility. It’s accessibility in terms of fashion, accessibility in terms of price, accessibility in terms of location.”

This accessibility fuels Zudio’s three-pronged strategy:

• Location: Be everywhere the customer is.
• Price: Make fashion ridiculously affordable.
• Trendy Styles: Keep the collections fresh, always.

Let’s break these down.

1. Location: The Science of Picking the Perfect Store Spot

When Zudio picks a location, it’s not random. It follows a laser-focused strategy that prioritises:

• High Footfall Areas: Malls, bustling markets, and crowded city centres.
• Proximity to Young Shoppers: Students, professionals, and families.
• Expansion into Tier II & III Cities: Bringing fashion beyond metros.

Why does this work?

Because India’s fashion market isn’t just in Delhi, Mumbai, and Bangalore anymore. It’s in Indore, Lucknow, Surat, Dibrugarh, and Coimbatore. Smaller cities are hungry for stylish, affordable fashion, and Zudio is feeding that demand like no other brand.

And the numbers say it all — while Westside operates 232 stores across 91 cities, Zudio has more than 545 stores spread over 164 cities. It’s not just a brand—it’s a full-blown retail invasion.

Fun Fact: Most of Zudio’s new stores are opening in smaller towns.

2. Price: Why Zudio is Unbeatable on Affordability

Zudio has mastered the art of low prices without compromising on style.

• T-shirts from ₹199
• Jeans from ₹599
• Dresses under ₹999

The pricing is aggressively competitive, often undercutting big brands by 30-40%.

But how does Zudio keep prices this low?

• No middlemen: Everything is sourced directly.
• Fast-moving inventory: Nothing stays on shelves too long.
• Minimal advertising spend: Let word-of-mouth do the magic.

The result?

A pricing model so effective that Zudio stores sell out of stock faster than they can refill.

3. Fashion: Fast, Fresh, and Value For Money

Zudio drops new styles every few weeks. No waiting for “seasonal collections” like traditional brands.

This means:

• Regular inventory refreshes keep customers coming back.
• Global trends meet Indian preferences - a mix of street style, casual, and ethnic.
• Beyond clothes - Zudio also sells accessories, fragrances, and skincare.

And guess what? These fast fashion tactics are paying off BIG TIME.

So, How is Zudio Supercharging Trent’s Retail Domination?

Let’s talk numbers.

Trent’s on fire. In FY24, sales shot up 50% to ₹12,375 crore. Net profit? A jaw-dropping ₹1,477 crore—nearly 4x from last year. 

And guess who’s leading the charge? Zudio. 

The budget-friendly fashion giant just crossed ₹7,000 crore in revenue, making up over 56% of Trent’s earnings.

Let that sink in. A brand that didn’t even exist before 2016 is now bigger than Westside, which has been around for 26 years.

And it’s not slowing down. With a market capitalisation of ₹1,00,000 crore+, Trent’s revenue has compounded at 45% CAGR over the past five years, leaving Shoppers Stop and Pantaloons in the dust. 

Meanwhile, Trent’s stock? Growing fast 50%+ CAGR in the past 5 years. Now, if Trent’s market moves have your attention, keep up with its real-time stock action on Ticker.

Meanwhile, if you are curious about building a portfolio that lets you sleep peacefully instead of stress-scrolling at 2 AM, check out Finology 30.

Coming back to Zudio.
Zudio’s rise isn’t slowing down. What started as a value fashion brand has evolved into a retail force that has reshaped India’s apparel market. 

But Trent isn’t stopping at clothes. With the launch of Zudio Beauty in Bengaluru in 2024, Trent has entered the affordable beauty segment. 

The idea? Replicate Zudio’s success in fashion by offering trendy, low-cost beauty products. 

Given how Zudio transformed Trent’s revenue, this move makes perfect sense. The company is set to open more Zudio Beauty stores in top cities, reinforcing its dominance in India’s value fashion retail space.

Why Zudio? Wasn't Westside Enough?

A fair question. 

Westside was doing well. But it had one big problem—it was too premium for Tier II and Tier III cities.

Westside’s price points? The Average Selling Price is ₹1,500 per item.

Westside’s store locations? Posh areas in big cities.

While India’s middle class was growing, Westside wasn’t affordable enough for fashion-conscious shoppers in smaller cities.

Trent saw an opportunity—an entirely new market segment that wasn’t being served properly.

Zudio was explicitly designed for:

• Customers in Tier II, III, and IV cities.
• Affordable, trend-driven fashion (Average Selling Price ₹499).
• A mass-market, fast-fashion model.

Think of it this way: Westside is a fine-dining restaurant, and Zudio is a street food stall selling the tastiest chaat in town. Both thrive because they serve different needs.

And it worked brilliantly.

The Secret Sauce: What Makes Zudio Tick?

Some brands spend crores on marketing. Others rely on celebrity endorsements. Zudio? It’s got a different playbook. Here’s what makes it tick:

1. Speed Over Everything: Unlike traditional brands, which take months to launch a collection, Zudio rolls out fresh designs every few weeks. 
2. Minimalist Stores, Maximum Impact: No fancy décor, no elaborate displays. Just piles of trendy clothes at rock-bottom prices.
3. Hyperlocal Strategy: It doesn’t rely on big malls alone. You’ll find Zudio in high streets, standalone locations, and even tier-2 and tier-3 cities.
4. Bulk Manufacturing: Cuts costs while keeping styles fresh.
5. FOCO Model: Franchise-Owned, Company-Operated (FOCO) stores help Zudio expand fast without high upfront costs.
6. Zero Advertising, 100% Word of Mouth: Ever seen a Zudio ad? Exactly. It doesn’t need one. The prices do the talking.

While brands like H&M and Zara burn millions on marketing and unsold inventory, Zudio’s lean business model keeps it ahead of the game.

And speaking of competition…

Zudio vs The Rest: Who's Winning India's Budget Fashion War?

Zudio isn’t alone in this game. It has some tough competitors—Reliance Trends, Max Fashion, and even global players like H&M. But here’s why Zudio is pulling ahead.

Brand	Pricing	Store Count	Target Audience	Online Presence
Zudio	₹ 199 onwards	545+	Budget-conscious, Gen Z, College Students	No Online Stores
Reliance Trends	₹ 299 onwards	2,117+	Middle Class, Families	Yes
Max Fashion	₹ 399 onwards	500+	Middle-class, working professionals	Yes
H&M	₹ 799 onwards	64+	Urban millennials, premium fast fashion	Yes

With the lowest prices, a rapidly growing store count, and a laser focus on budget-conscious shoppers, Zudio is making the competition sweat.

But what really sets Zudio apart?

The Moat: Why Zudio is Unbeatable (For Now)

Trent has built Zudio like a fortress. Here’s why it’s tough to beat:

1. Tata’s Deep Pockets: With Tata’s capital and supply chain muscle, Zudio can expand aggressively.
2. Private Labels, Higher Margins: Unlike Trends and Max, which stock multiple brands, Zudio sells only in-house labels, giving it 60-65% gross margins.
3. Obsessive Cost Control: No unnecessary frills. Every rupee saved goes back into keeping prices low.
4. The Offline-Only Advantage: By staying out of e-commerce wars, Zudio avoids deep discounting and maintains its brand perception.

Will it ever go online? Maybe. Maybe not.

For now, Zudio is betting big on its offline model. But if trends shift and digital demand skyrockets, don’t be surprised if Tata flips the switch and takes Zudio online.

Until then, the brand is happy letting customers do what they do best—walk into a store, grab an armful of clothes, and leave with the thrill of a bargain.

Fast, Furious, and Unstoppable Trent

What began with Westside has now expanded into a lineup of brands and partnerships covering everything from fashion to supermarkets. Today, the brands under the Trent umbrella are:

Owned Brands:

• Westside: A diverse collection of fashion, home décor, and beauty products.
• Zudio: Affordable, trend-led fashion and home essentials.
• Misbu: Misbu is a budget-friendly cosmetics brand with a focus on quality. A New Tata Enterprise Entering the Fashion World
• Utsa: Contemporary-traditional ethnic wear.

Alliances:

• Star Market: A supermarket chain for daily needs.
• Zara: Zara is bringing global fashion trends to India through a strategic partnership.
• Massimo Dutti: Sophisticated, upscale fashion and accessories.

With plans to open 200+ new stores by FY25, Zudio is set to become India’s largest fast-fashion brand. 

The real question is—can competitors catch up?

For now, the answer is highly unlikely.

As long as young India wants stylish clothes without overspending, Zudio will remain their top pick. And with every ₹199 tees flying off the racks, Tata has another reason to celebrate.

The Secret Ingredient? 420 million young shoppers.
That is 29% of the total Indian populace - all looking for budget-friendly, trendy fashion.

Zudio is tapping into more than a trend—it's riding the biggest demographic wave India has ever seen.

And if you love deep dives into India's biggest businesses across industries, Finology Insider has plenty more in store!