After operating the business since 2011, the fashion commerce service Hijup claims to continue to experience positive business growth. Even though there were several obstacles during the pandemic, the company was able to survive and continue to present new innovations. Hijup’s Founder & CEO, Diajeng Lestari revealed to DailySocial that Hijup has currently developed three main pillars.
“Previously, Hijup only focused on the marketplace, Hijup now has a new revenue stream in the form of a social media agency and Hijup Growth Fund.”
To date, Hijup claims to have nearly 400 thousand registered users with a total of nearly 400 partners. Meanwhile, its social media followers also experienced positive growth up to 1.2 million. The company’s next target is to become the main goal of the Indonesian people for an ecosystem-based end-to-end solution for modest Muslim marketplaces.
“We believe our focus on transformation will put Hijup at a stronger position in the minds of the Indonesian people, both in terms of creative producers and the market,” Diajeng said.
Hijup Growth Fund
Hijup has also launched the Hijup Growth Fund. This is a business financing program up to a maximum of Rp100 billion, aimed at business players in the local Muslim and modest fashion industry. One of the reasons to generate this program is the trust from Hijup’s board of shareholders with their continuous support.
“Especially due to several innovations that we continue to present to develop business capital. Hijup Growth Fund is one of Hijup’s proud innovations,” Diajeng said.
In addition to capital for business scale-up, this program also provides direct assistance from Hijup in business, branding and marketing aspects. In the future, Hijup will also offer a repayment scheme through sales and loan profit sharing up to 0%. The funding scheme will be adjusted to the characteristics and conditions of each brand.
In order to participate in the program, you must first become a tenant and sell products on the Hijup website. The brand will further go through several stages before getting funded. For example, starting from the submission stage, verification, approval, disbursement, to the stage of the refund agreement.
Moslem fashion industry
According to a report by Thomson Reuters and DinarStandard in 2018, Muslim consumers spent around $270 billion on modest clothing in 2017. The report also projects 4.8 percent year-on-year growth for the sector and estimates that sales will reach $402 billion by 2024. .
Fashion brands have taken note of this growing trend, and many of them are starting to tap into this industry to catch up with the growing demand.
According to the Islamic Fashion & Design Council, Turkey still led the modest fashion consumption with more than $25 billion per year, followed by Iran, Indonesia, Egypt, Saudi Arabia, and then Pakistan.
The report also shows that food and beverage is the largest revenue sector for the halal market. According to a report from DinarStandard, Muslims have spent about $2.2 trillion on the halal and Islamic lifestyle sector, 10% of which is accredited to the modest fashion sector.
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Original article is in Indonesian, translated by Kristin Siagian