ALDO India Expands into Tier 2 and 3 Cities with AI and Athleisure Focus, ETBrandEquity

Premium footwear and accessories brand ALDO, part of the Apparel Group, is sharpening its focus on tier 2 and 3 markets while leveraging AI-led insights and doubling down on athleisure to stay aligned with evolving consumer preferences in India, said a company’s official.

“While tier 1 cities remain core to our business, the next wave of expansion will largely come from tier 2 and tier 3 cities,” Arpit Kumar, assistant vice president at ALDO India told ETRetail in an interview.

The brand currently operates 73 stores across the country, including ALDO Accessories outlets, and plans to significantly scale its offline presence in the coming years. Presently, all of its stores are owned and operated, with no franchise model in place.

Speaking about balancing the online and offline channel growth, Kumar said offline continues to be ALDO’s strongest channel, consistent with Apparel Group’s larger retail strategy. However, online channels including both brand-owned and marketplaces are growing at a faster pace and are a critical part of the brand’s omnichannel strategy.

“The shift to digital post-Covid has been significant, but our strength lies in delivering consistent brand experience offline, which we are now extending to emerging geographies,” Kumar noted.

Athleisure Leads Category Momentum

Athleisure and sports-inspired footwear have emerged as top-performing segments for the brand across both men’s and women’s categories. “The contribution from this category has grown steadily and remains a major focus for our upcoming collections,” said Kumar.While the brand continues to serve demand for office and occasion wear, athleisure’s rising popularity reflects changing consumer lifestyles and increasing preference for casual comfort.

AI Adoption and Customer Experience

ALDO is working on deploying AI tools to enhance retail operations and customer experience. According to Kumar, the brand is investing in projects that will enable store-level heat mapping, gender-based footfall analysis, and behavioral data insights.

“There are ongoing AI projects aimed at better understanding who is walking into our stores and where they spend time,” he said.

“Consumers are increasingly seeking exclusivity, not just in products but also in how they are served. That’s an area we are investing in,” Kumar added.

• Published On Jul 25, 2025 at 02:40 PM IST

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