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1.

Introduction
Since long, Textile sector of Pakistan is remained a backbone along with provision of
employment and export revenues. Pakistan Textile sector actually contributes 57% in
country’s export where this sector has been a second largest which provides employment.
Textile sector of Pakistan has share of 8.5% in Pakistan GDP and the 8th largest country
which exports the more textile commodities in Asia. Pakistan is 4th large country which
produces cotton and 3rd large in consumption of cotton. Clothing and Textile Industry have
been remained major driver forces of economy since last 50 years and in future, it will be a
main engine for Pakistan’s economy’s future growth. Overall Textile sector in Pakistan is
doing its best but at somewhere it lacks such as no proper department of Research &
Development in cotton sector, no adaptably of modernized equipment, energy and electricity
crisis, On the other hand, Pakistani textile sector is working to overcome these issues.

Sapphire Textile Mills Limited is one of the biggest Textile producer with their 24 production
units in Pakistan. It was started in 1960 from Calcutta and move towards Pakistan in 1969.
They have deep-rooted infrastructure in textile industry. It has 15000 skilled employees.
They provide their products in 35 countries like Europe, North America, Asia and Australia.
They import their machinery from Europe, Japan and USA. Their annual turnover is 850
million US dollar. And from last three consecutive years they are achieving 40% growth rate.
They have product portfolio of different businesses include Spinning, Knitting Weaving,
Dyeing & Finishing, Stitching, Home Textile, Power and Dairy. They have 11 Yarn spinning,
1 Yarn dyeing, 1 fiber bleaching, 1 Knitting, 1 knit fabrics dyeing, 3 woven fabric, 1 woven
fabric finishing, 1 home textiles sewing, 1 knitted fabric garment, 1 power energy generation
plants and Sapphire Diaries (Pvt)Ltd. They have 50 years’ experience in Textile industry.
Well, the products of Sapphire are exported internationally around 35 countries and
Sapphire Group has an employment of 16000 people.

Mission
Sapphire Textile Limited has mission to become excellent suppliers by providing best quality
of Products like Yarn, fabrics and other textile products and also of services like customer
service, sales and manufacturing teamwork by showing their honesty fairness and integrity
towards their stakeholders, employees and public.

Purpose of the Report

This report will conduct a proper analysis of Sapphire Textile Industry. This report
would intend to:

1. Market Positioning Analysis: Analyzing Sapphire's position in the textile


industry, focusing on strengths, weaknesses, opportunities, and threats
(SWOT analysis).
2. Product Specialization Analysis: Examining the types of fabrics and
clothing made by Sapphire, such as unstitched suits, stitched garments,
specific materials like lawn, silk, and chiffon.\n\n
3. Target Market Segment and Audience: Define Sapphire's target market
groups and audience through psychographic and demographic data
gathering.
4. Performance Evaluation: With the help of trends in revenues, profitability,
and growth, the overall stability of the finances and the invest ability will be
gauged.
5. Strategic Insights: Strategic recommendations will be provided on
innovation, market growth, and competitive differentiation related to growth
and development.
6. Operational Efficiency: This part will analyze the operational elements of
Sapphire. Some of the elements to be assessed entail the techniques of
production, the process of quality control, and supply chain management.
7. CSR and Sustainability: To understand Sapphire's commitment toward
moral behavior and the environment, an analysis of its CSR programs and
sustainability policies will be conducted. Customers' Views: What do
customers say about Sapphire products, and how the company meets a
variety of choices to satisfy its customers?.

Comparative Analysis: Whenever applicable, compare Sapphire with


other top brands in the textile industry to understand areas of growth and
competitive advantages. Situation If these goals are met, the report will
help the readers gain an accurate comprehension of the sapphire textile
industry and serve academia, investors, business analysts, and
consumers.

2. Company Background
Sapphire Textile Mills Limited started in 1960 in Calcutta. In 1969 Sapphire Textile Mills
Limited become a public listed company. In 1970 they invest their first spinning plant in
Pakistan. But later in 1980’s they decide to go for expansion by focusing on Yarn Spinning.
Now they have become major yarn producers in Pakistan They vertically integrate
themselves by their textile unit, yarn production process and also by their garments and
fabrics. Sapphire Fabric Limited is their main and important company which was registered
on Pakistan stock exchange in 1979. They have their production plants in Lahore,
kharianwal district shekhupura. In 1980 they take a new step for value addition by
introducing their first weaving plant in Pakistan. They have 700 and more looms which has
capacity of 9 million meters greige fabric per month. In June 1990 they are listed as private
limited company on Karachi and Lahore stock exchange with 350000 spindles which has
Yarn production capacity of 65000 Kgs per month. In 1995 they moves towards Knit fabric
and Yarn Dyeing process. Their Knit and Dyeing units has capacity of Knitting fabric up to
500 tones and 300 tones fabric dyeing capacity and produce 43000 pieces of clothes per
month In 2002 they establish their Woven Fabric Dye house in which they perform their
process of bleaching dyeing finishing and stitching of products related to textile which has
capacity of 6 million meters per month. Their stitching plant can intake up to 450 GSM and
71-inch heavyweight fabrics. Then they started to work has Sapphire Holding Limited in
which they invest on the shares of Associated Companies. And in 2003 they expand them in
Home textile products. Under their home textile they produce Bed Sheet sets, covers,
facades, pillows covers, quilts, curtains, table covers and aprons In 2008 they started their
Energy Plant by this plant they produce and supply power. The Sapphire Electric Company
is located in Muridke and provide 234MW. In 2009 they took initiative towards different field
of Diary which is Sapphire Diaries limited. They have largest dairy farm on 100 acres land
which is located in Lahore and there they have 10000 milking cows which provide 300000
liter milk per day. In 2014 they took step towards retailing and started their Sapphire Retail
Limited. Under their clothing brand, they sale clothing products for men, women and kids,
beauty products, accessories & home décor related products. Now they have their retail
outlets in Karachi, Hyderabad, Lahore, Islamabad, Rawalpindi, Faisalabad, Multan, Sialkot,
Gujranwala, Bahawalpur, Mandi Bahauddin and Sheikhupura. they take a new initiative
towards E-Commerce. By analyzing the need of modern age and providing comfort to their
customers they started selling their products online through their website. Now they provide
their products through online mediums and also by their retailer stores. They are also
participating in community welfare programs by running primary and secondary by providing
education to rural community. They also have an eye camp for treating cataract diseases.
They also provide donations to health and educational institutes. Chairman of Sapphire
Limited is also awarded Sitara-eImtiaz by the Pakistan government for their donations
towards betterment of country. Now Sapphire Textile Mills Limited has become one of the
major Textile producer of Pakistan.

Sapphire Textile Limited has vision to become market leader in technology, innovation,
quality, flexibility, and manufacturing and also in services by providing customers with
efficient product and services according to their expectations worldwide. They also want to
engage in environment safety and security programs by improving their production process
and taking initiatives for improving environment safety for their public community

Product portfolio:

Unstitched Suits:

● Lawn: Sapphire is well known for its superior lawn collections, which are particularly
well-liked in the summer. These suits are a mainstay in Pakistani wardrobes during
the hot season because of their elaborate prints, vivid colors, and assortment of
styles.
● Cotton: They provide a selection of cotton garments that are appropriate for semi-
formal and casual attire. Cotton suits are highly valued due to their breathability and
comfort.
● Silk and Chiffon: These opulent materials are used to create unstitched suits that
are perfect for formal events and holiday attire. These suits are frequently
embellished with intricate embroidery and details.
● Karandi and Khaddar: Known for their warmth and often found in rich, deep hues
and classic motifs, Sapphire offers karandi and khaddar fabrics for the colder
months.

Stitched Clothes:

● Ready-to-Wear Collections: Sapphire offers a broad selection of women's casual,


semi-formal, and formal clothing items, including tunics, kurtas, shirts, pants, and full
suits.
● Western Wear: They also sell apparel in the western style, aimed toward a younger,
more stylish clientele. This includes dresses, jeans, and blouses.
● Accessories: To go along with their apparel lines, Sapphire offers a variety of
accessories such as stoles, shawls, and scarves.

Specific Materials:

● Lawn: Known for being light-weight and airy, lawns do well in hot, humid climates.
● Jacquard: This fabric, used in both ready-to-wear and unstitched clothing, is
renowned for its intricate woven motifs.
● Linen is known for its durability and softness, and it works well for both formal and
informal settings.
● Velvet: Used to create exquisite and gorgeous winter and holiday apparel collections.

Market Division:
● Middle to Upper Class: Sapphire markets their products as high-end but reasonably
priced, aiming to attract customers in this demographic. This enables them to be
accessed by a diverse group of clients that value style and quality.
● Customers that Care About Fashion: The company appeals to people who are
passionate about modern, chic, and current designs, with collections that capture the
newest trends in clothing and seasonal variations.
● Shoppers for Festive and Occasion Wear: Draws clients with opulent and elaborate
ensembles ideal for special events, particularly during wedding and celebration
seasons.
● Urban and Semi-Urban regions: Sapphire serves semi-urban markets as well, where
there is an increasing need for stylish, well-made apparel, even if its main clientele
resides in urban regions.

To summarize, Sapphire Textile Industry is a manufacturer of various textiles and apparel,


specializing in unstitched suits composed of lawn, cotton, silk, chiffon, karandi, and khaddar.
They also have a wide range of accessories and sewn clothing available. Their target market
consists mostly of middle-class to upper-class fashion-conscious women, with a secondary
focus on men and kids. Their target market consists of people living in urban and semi-urban
areas who are interested in purchasing clothes for special occasions as well as daily use.
3. Sapphire Today
The basic competitive advantage of Sapphire Textile limited is that they are their own
suppliers as they easily have access to cotton which they us to produce cotton yarn, than
from this yarn they produce fabric and then fabric use in production of further products like
clothes, home and textile accessories and goods. They don’t have to spend extra cost on
getting inputs for their operations. And due to this reason they have retained their profit
margin and they can cover their cost by controlling their raw material production this is
biggest reason of their sustainable profitability. They provide unique designs and guidelines
about trending and styles. They also have launched fabric like coffee and bamboo which is
body friendly which help in absorbing sweating and their competitors are not providing any
such kind of facilities. So all of these are the advantages which are making Sapphire Limited
different in market.

Analysis of Sapphire Textile Industry’s Current Market Position

Market Share and Brand Recognition

● Market Share:

Sapphire Textile Industry holds a significant market share in Pakistan's textile and apparel
industry, particularly in the ready-to-wear and unstitched fabric segments. While exact
figures can vary, Sapphire is consistently ranked among the top brands in the country,
competing closely with other leading textile companies.

● Brand Recognition:

Sapphire enjoys strong brand recognition across Pakistan and among the Pakistani
diaspora. Its reputation is built on high-quality fabrics, contemporary designs, and a blend of
traditional and modern aesthetics. The brand is well-known for its seasonal collections,
particularly its summer lawn collections, which are highly anticipated each year.

Production Capacity and Facilities

● Production Capacity:

Sapphire boasts extensive production facilities capable of handling large-scale


manufacturing. The company’s vertically integrated operations allow for efficient control over
the entire production process, from spinning to weaving, dyeing, printing, and finishing. This
integration ensures consistent quality and the ability to quickly adapt to market demands.

● Facilities:

Sapphire's production facilities are equipped with modern machinery and technology,
enabling high efficiency and productivity. These facilities include state-of-the-art dyeing and
printing units, as well as advanced stitching and finishing units. The company’s commitment
to maintaining high standards in production is evident in its substantial investments in
technology and infrastructure.

Distribution Channels

● Online Store:

Sapphire has a robust online presence, offering a comprehensive e-commerce platform that
caters to both local and international customers. The online store features a wide range of
products, including unstitched fabrics, ready-to-wear garments, and accessories.

● Physical Outlets:

Sapphire operates numerous physical retail outlets across Pakistan, located in major cities
and urban centers. These stores are designed to provide a premium shopping experience,
with well-organized displays and knowledgeable staff.

● Franchises:

In addition to company-owned stores, Sapphire has expanded its reach through franchising.
This approach helps the brand penetrate deeper into regional markets and semi-urban
areas, increasing its accessibility to a broader audience.

Recent Achievements, Awards, and Successful Campaigns

● Achievements:

Sapphire has achieved several milestones in recent years, including substantial growth in
sales and market expansion. The brand’s innovative designs and commitment to quality
have earned it a loyal customer base.

● Awards:

Sapphire has received numerous awards for its contributions to the textile industry, including
recognition for its design excellence, brand innovation, and sustainability efforts.

● Successful Campaigns:

Sapphire’s marketing campaigns are known for their creativity and effectiveness. Notable
campaigns include their seasonal lawn collections, which feature high-profile fashion shows
and collaborations with top designers. These campaigns generate significant buzz and drive
sales.
Competitive Landscape

● Main Competitors:

Sapphire's primary competitors in the textile and apparel market include Gul Ahmed, Khaadi,
Alkaram Studio, and Nishat Linen.

Comparative Analysis:
● Gul Ahmed:

Product Offerings: Wide range of fabrics, including lawn, cotton, and silk, as well as ready-
to-wear garments and home textiles.

Target Audience: Middle to upper-middle-class consumers.

Brand Positioning: Known for its rich heritage and quality, Gul Ahmed blends traditional and
modern designs.

● Khaadi:

Product Offerings: Ready-to-wear garments, unstitched fabrics, accessories, and home


décor items.

Target Audience: Young, fashion-forward consumers.

Brand Positioning: Trendy and contemporary, with a focus on vibrant colors and innovative
designs.

● Alkaram Studio:

Product Offerings: Unstitched fabrics, ready-to-wear garments, and home textiles.

Target Audience: Broad demographic, focusing on affordability without compromising on


style.

Brand Positioning: Versatile and accessible, catering to everyday wear and special
occasions.
● Nishat Linen:

Product Offerings: Unstitched fabrics, ready-to-wear garments, and accessories.

Target Audience: Middle-class to upper-middle-class consumers.

Brand Positioning: Emphasizes elegant and sophisticated designs, with a strong focus on
quality.

Sapphire vs. Competitors:


Sapphire differentiates itself through its premium quality, innovative designs, and strong
seasonal collections. While Gul Ahmed and Alkaram focus on a balance of tradition and
modernity, Khaadi targets a younger, more fashion-conscious audience. Nishat Linen, like
Sapphire, emphasizes elegance and sophistication but often at a slightly higher price point.
Sapphire's extensive distribution network and strong online presence also give it a
competitive edge.

In conclusion, Sapphire Textile Industry maintains a strong market position through its high-
quality products, effective distribution channels, and innovative marketing strategies. Its
commitment to excellence and ability to adapt to market trends ensure its continued success
and competitiveness in the textile industry.

4. Brand Values and Mission

Sapphire Textile Industry: Core Values and Brand Philosophy


Core Values and Brand Philosophy
● Quality:

Commitment to Excellence: Sapphire is dedicated to delivering products of the highest


quality. This commitment is evident in their careful selection of fabrics, meticulous attention
to detail, and investment in advanced manufacturing technologies.

Consistency: Maintaining consistent quality across all products, from unstitched fabrics to
ready-to-wear garments, is a cornerstone of their brand philosophy.

● Tradition:

Cultural Heritage: Sapphire embraces Pakistan's rich cultural heritage by incorporating


traditional designs and techniques into their collections. This blend of tradition with modern
fashion appeals to a wide audience.

Craftsmanship: Skilled artisans play a vital role in creating Sapphire’s products, ensuring that
traditional craftsmanship is preserved and celebrated.
● Affordability:

Value for Money: While Sapphire offers premium products, they are also committed to
providing value for money. This balance ensures their products are accessible to a broader
range of customers without compromising on quality.

Competitive Pricing: By optimizing production and distribution processes, Sapphire can offer
competitive pricing in the market.

● Customer Satisfaction:

Customer-Centric Approach: Sapphire places a high priority on customer satisfaction,


continually seeking feedback to improve their products and services.

Personalized Experience: Efforts are made to provide a personalized shopping experience


both online and in physical stores, enhancing overall customer engagement.

Translation into Marketing Strategies and Customer Experience


● Marketing Strategies:

Seasonal Campaigns: Sapphire’s marketing campaigns are often centered around seasonal
collections, such as their much-anticipated summer lawn collection. These campaigns utilize
high-profile fashion shows, collaborations with renowned designers, and extensive media
coverage to generate buzz.

Digital Presence: With a strong focus on digital marketing, Sapphire effectively uses social
media platforms, influencers, and online advertising to reach a wider audience. Their e-
commerce platform is also robust, offering a seamless shopping experience.

Storytelling: Marketing efforts often include storytelling that highlights the brand’s
commitment to quality, tradition, and customer satisfaction. This storytelling approach helps
build a strong emotional connection with the audience.

● Customer Experience:

In-Store Experience: Sapphire’s physical stores are designed to offer a premium shopping
experience. Well-organized displays, knowledgeable staff, and a comfortable environment
contribute to a positive in-store experience.

Online Shopping: Their user-friendly website and efficient customer service ensure a smooth
online shopping experience. Features like easy navigation, detailed product descriptions,
and secure payment options enhance customer satisfaction.
Feedback and Improvement: Regularly soliciting and incorporating customer feedback helps
Sapphire stay attuned to customer needs and preferences, ensuring continuous
improvement in their offerings.

Brand Mission Statement and Reflection of Goals and Aspirations


Brand Mission Statement:

While the exact wording of Sapphire’s mission statement may vary, it typically focuses on
delivering high-quality, fashionable products that blend tradition with modernity, ensuring
customer satisfaction and accessibility.

Reflection of Goals and Aspirations:

● High-Quality Products:

Goal: To be recognized as a leading provider of high-quality textiles and apparel.

Aspirations: Achieving industry recognition and maintaining a reputation for excellence in


quality.

● Blend of Tradition and Modernity:

Goal: To preserve cultural heritage while innovating with modern fashion trends.

Aspirations: Becoming a brand that is both timeless and contemporary, appealing to diverse
customer segments.

● Customer Satisfaction:

Goal: To ensure customers are consistently satisfied with their purchases and overall
experience.

Aspirations: Building a loyal customer base that trusts and advocates for the brand.

● Accessibility and Affordability:

Goal: To make high-quality, fashionable products accessible to a broad audience.

Aspirations: Expanding market reach while maintaining competitive pricing.

By adhering to these core values and brand philosophy, Sapphire effectively translates their
mission into practical strategies and customer experiences, reinforcing their position as a
leading textile brand in Pakistan.
Additional points to consider:

· Sapphire’s Marketing Mix


1. Product:

● Range and Variety: Sapphire offers an extensive range of products, including


unstitched fabrics, stitched garments, and accessories. They specialize in
high-quality materials such as lawn, cotton, silk, chiffon, karandi, and khaddar.
Each collection is carefully designed to cater to different seasons and
occasions, ensuring year-round relevance.
● Innovation and Design: Sapphire continuously updates its collections to
reflect current fashion trends while incorporating traditional elements. Their
seasonal collections, particularly the summer lawn, are highly anticipated for
their unique and innovative designs.

2. Price:

● Competitive Pricing: Sapphire balances premium quality with competitive


pricing to offer value for money. This strategy makes their products
accessible to a broader audience, from middle to upper-class consumers.
● Pricing Tiers: Different product lines are priced to cater to various market
segments, from affordable everyday wear to more expensive luxury items.

3. Place:

● Physical Stores: Sapphire has a widespread network of physical retail outlets


in major cities and urban centers across Pakistan. These stores are designed
to offer a premium shopping experience with well-organized displays and
knowledgeable staff.
● Online Presence: Sapphire’s robust e-commerce platform offers an extensive
range of products, ensuring a seamless online shopping experience. The
website features easy navigation, detailed product descriptions, and secure
payment options.
● Franchises: Through franchising, Sapphire extends its reach into semi-urban
and regional markets, making its products more accessible to a wider
audience.

4. Promotion:
● Seasonal Campaigns: High-profile marketing campaigns around seasonal
collections, particularly summer lawn, feature fashion shows, celebrity
endorsements, and extensive media coverage. These campaigns generate
significant buzz and drive sales.
● Digital Marketing: Sapphire has a strong presence on social media platforms
(Facebook, Instagram, Twitter), engaging a large audience through influencer
collaborations, promotions, and interactive content. Digital marketing
strategies also include online advertisements and email marketing.
● Traditional Advertising: Use of traditional media such as TV commercials,
print ads in fashion magazines, and billboards to reach a broader audience
and reinforce brand visibility.

Corporate Social Responsibility (CSR)


Sapphire’s CSR Initiatives:

1. Environmental Sustainability:

● Sustainable Practices: Sapphire implements eco-friendly practices in its


production processes, such as reducing water and energy consumption,
minimizing waste, and using sustainable materials. They aim to reduce their
environmental footprint through continuous improvement in sustainability.

2. Community Engagement:

● Education and Training: Sapphire supports educational initiatives by providing


scholarships and funding for educational institutions. They also offer
vocational training programs to empower local communities with skills and
employment opportunities.
● Healthcare Initiatives: Health camps and medical aid programs are organized
to provide essential healthcare services to underprivileged communities.

3. Employee Welfare:

● Fair Labor Practices: Sapphire ensures fair wages, safe working conditions,
and benefits such as healthcare and insurance for its employees. They focus
on creating a positive and supportive work environment.
● Skill Development: Continuous training and development programs are
provided for employees to enhance their skills and career prospects.
Future Outlook
1. Future Plans:

● Expansion: Sapphire plans to expand its market presence both domestically


and internationally. This includes opening new retail outlets and strengthening
its online platform to reach a broader audience.
● Product Diversification: Introducing new product lines and expanding existing
ones to cater to evolving consumer preferences. This includes exploring new
fabrics and design innovations.
● Technological Advancement: Investing in advanced technologies to improve
production efficiency, product quality, and sustainability. This includes
adopting digital solutions for supply chain management and customer
engagement.

2. Potential Challenges:

● Market Competition: Increasing competition from both local and international


brands can impact market share. Sapphire needs to continuously innovate to
stay ahead.
● Economic Factors: Economic instability and fluctuations in raw material
prices can affect production costs and profitability.
● Sustainability Pressures: Growing demand for sustainable and ethical
practices requires continuous adaptation and investment in eco-friendly
solutions.

3. Opportunities:

● E-commerce Growth: Leveraging the growing trend of online shopping to


expand digital sales channels and enhance customer experience.
● Global Market Expansion: Tapping into international markets where there is a
demand for high-quality Pakistani textiles. This includes exploring new export
opportunities and establishing a global presence.
● Innovation in Design: Continuously innovating in design and fabric technology
to stay ahead of fashion trends and meet consumer demands. This includes
collaborating with designers and exploring new creative directions.

By focusing on these strategies and addressing potential challenges, Sapphire


Textile Industry can strengthen its market position and continue to grow in the
dynamic textile industry.

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