VIP Industries has come a long way since its launch in 1971. With the onslaught of competition from Samsonite and with an ageing brand VIP, its market share declined from 70% in the late nineties and early 2000 to 50% currently. This paper deals with the segmentation adopted by VIP to cater to the changing needs of the different sets of market. On one hand, it has created Skybags as a youth centric brand with Bollywood celebrity endorser Varun Dhawan; while it targets the handbags market through Caprese with Alia Bhatt. Besides these brands, brands like Carlton, VIP, Aristocrat and Alfa of VIP Industries, are also making its mark in the luggage market with its distinct positioning and segmentation strategy. While Carlton is positioned as a premium brand, VIP remains a mass brand. Aristocrat is targeted towards Tier II markets, while Alfa is ruling the cheaper value for money segment. This paper also covers positioning strategies for various brands of VIP Industries.

KEYWORDS: Market Segmentation, Brand, Positioning, VIP Industries