101 Guide: LILILO’s Founder Breaks Down How To Build a Successful Bag Brand

India’s bag industry has undergone a quiet revolution. What began as a category dominated by global names like Aldo, Steve Madden, and Charles & Keith has now opened its doors to a wave of Indian bag brands that deeply understand the modern Indian woman’s life, style, and aspirations. From fashion-led labels inspired by global runways to functionality-first brands designing for work, commute, and everyday hustle, the category has become more relevant—and more exciting—than ever.

So what’s the hype about? A rising workforce of financially independent women, a growing appetite for self-expression, and a genuine gap in thoughtful, design-led everyday bags have fuelled the space. Entrepreneurs are now exploring this category not because it is “easy” or “low investment”, but because it is passion-driven, problem-solving, and full of untapped niches that reward originality and purpose.

Introducing the Brand and the Founder

LILILO was born out of a simple observation at home—overflowing closets, several occasions, but no single bag that truly adapted to a woman’s ever-changing day. With a background in fashion and experience at Coach, followed by tech consulting for EU and US consumer brands, founder Sumer Gehanireturned to India with clarity that the handbag space needed a fresh, intelligent aesthetic.

“The idea came from home. My mother and sister always felt they needed a new bag for every part of their day. That gap made me realise India needed bags that actually understand women—not the other way around", says Sumer Gehani. Over the years, the brand has reached major milestones—from perfecting its material standards to celebrities like Mira Kapoor and Tina Datta being spotted wearing its designs. Their unexpected bestseller, the Threesome Bag, marked a turning point that validated their problem-solving philosophy.

What You Need to Know Before You Start

What kind of person is drawn to this business?

Someone who sees bags as deeply personal objects and is comfortable navigating endless opinions. You need thick skin, sharp intuition, and the ability to filter feedback without losing your voice.

What skills or tools help?

• Design
• Sourcing
• Marketing
• Brand communication

Brand Identity

A clear differentiator is essential. In this brand's case, it is versatility—designing bags that transition seamlessly across the many roles a woman plays. Every product begins with a real-life inconvenience: heavy totes, disorganised interiors, work-to-evening switches.

“Every bag starts with a real problem. If it doesn’t make a woman’s day easier, it has no place in our collection, says the founder. Identify your audience early. Sumer calls customers “co-founders” because they shape every iteration. Through surveys, conversations, and real-time feedback, the brand zeroed in on modern, multitasking urban women who value both beauty and functionality.

The Setup 101

Initial Setup Requirements 

• Basic design tools
  

• Manufacturing partners or artisans
  

• Hardware, fabrics, trims, and premium materials
  

• Registrations (GST, MSME if applicable), agreements, documentation
  

• Packaging, logistics, and storage setup
  

Investment Range

Entry-level brands can start with a limited collection at a modest investment, while premium or complex designs require a higher budget. Costs scale with materials, craftsmanship, and production volumes.

Pricing & Positioning

How to Price Your Bags

Price is based on the product’s quality and offering, not just consumer expectation. Maintain robust unit economics. “Profitability is non-negotiable. You can’t serve your customer if you’re losing money—authenticity doesn’t work without sustainability", opines the founder. 

Common Mistakes

• Inflating MRPs to show unrealistic discounts
  

• Underpricing at launch
  

• Ignoring packaging, sampling, or logistics costs
  

• Compromising on materials to cut costs
  

Where to Sell

Ideal Sales Channels

• Instagram and founder-led content
  

• Online marketplaces
  

• Pop-ups for direct interaction
  

• Retail collaborations (like LILILO x Bokka Coffee)
  

How Long Until the First Sale?

It varies from a few days to weeks. For LILILO, the first sale came within days—driven by one-on-one interaction and a strong product narrative.

Early Visibility Tips

• Honest and consistent content
  

• Conversational engagement with early adopters
  

• Small interactive offline experiences
  

Marketing Playbook for Bag Brands

Low-Cost Marketing Ideas

• Quick feature explainers
  

• Unboxing clips
  

• Testimonials
  

• Flea markets and small exhibitions
  

• Word-of-mouth via strong customer service
  

Role of Story and Community

A compelling brand story builds trust. LILILO treats customer delight as non-negotiable. “We operate like a customer-service company first and a handbag brand second. If someone needs their bag at midnight before a flight, we’ll make it happen, says the founder.

Mistakes to Avoid

• Misleading discounting
  

• Overordering raw materials
  

• Skipping user testing
  

• Launching too many designs at once
  

• Spending heavily on branding before perfecting the product
  

• Chasing trends blindly
  

Growth and Scale

When Can This Become Full-Time?

Once you start seeing organic traction, returning customers, and consistent demand. Many founders choose to go all-in from the beginning.

What Scaling Looks Like

• Improving and optimising bestselling designs
  

• Select stockists and brand collaborations
  

• Controlled expansion into new styles
  

• Building a committed team

A thoughtful bag brand can scale into a global label—with clarity, craftsmanship, and community. “I’m not trying to build 100 SKUs. I’d rather make 10 styles that women genuinely love and perfect them over time", Gehani expresses. 

Are you a founder or entrepreneur ready to spotlight your homegrown brand? Nominate them now for Local Samosa’s third edition of Brands to Watch Out For in 2026 Now!