Bengaluru, Nov. 18 -- South India is fast becoming the next battleground for value fashion retailers, as they aim to focus on a largely untapped market with high demand for affordable and organized apparel in states with rising income, consumption patterns that support the format, and favourable store economics.

Take, for instance, the country's fastest-growing value retailer, Trent's Zudio. The brand has 833 stores nationwide. While Maharashtra hosts the highest number, about 118 stores, Zudio has around 282 stores across Tamil Nadu, Andhra Pradesh, Karnataka, Kerala, and Telangana-making up roughly 34% of its network.

Its newer rival, Reliance Retail's Yousta, which was launched in August 2023, has 120 stores overall, with 49 in the s...