Indian luxury poised for global takeover, says Business Standard Manthan Summit
The Indian luxury market is on the cusp of a major transformation, with experts at the Business Standard Manthan 2024 summit predicting the rise of an Indian luxury brand to rival giants like Chanel within the next five years.
Alexis de Ducla, director of Mathieu Lustrerie, a renowned lighting company, believes India has all the ingredients for success: a rich heritage of craftsmanship, a growing economy with rising aspirations, and increasing investment in homegrown brands.
This optimism is backed by data. India is currently one of the fastest-growing luxury markets globally, projected to reach a staggering $200 billion by 2030 according to Bain & Company.
Shifting consumer preferences and corporate backing fuel growth
Consumers are also playing a crucial role. Pushpa Bector, a senior executive at DLF Retail, highlights a growing self-confidence among Indian customers who now value quality and design over mere brand names.
This shift has attracted significant investment from corporate houses like Reliance and Aditya Birla, who have taken stakes in established Indian luxury designers like Sabyasachi and Manish Malhotra. These investments have fueled global expansion, with several designers opening stores overseas.
India's Competitive Advantage: Skilled craftsmanship
Abheek Singhi, from Boston Consulting Group, emphasizes India's abundant skilled labor as a key advantage. He believes India's rich heritage of craftsmanship, coupled with readily available capital and land, positions the country perfectly to become a leader in global luxury.
Collaboration, not replication, is key for global brands
While Indian brands are rising, global luxury houses are not sitting idle. Ducla emphasizes the importance of collaboration, urging international brands to showcase Indian artisanship in their collections. This sentiment is echoed by Dior's recent decision to showcase its Fall 2023 collection in Mumbai, featuring Indian craftspeople.
Making Luxury Accessible: The road to global recognition
Nikhil Sethi, a partner at KPMG India, highlights the need for Indian luxury brands to become more accessible to everyday consumers, similar to established brands in developed nations. This, along with strategic pricing, will be crucial for achieving global recognition.
India's hospitality sector, already renowned for its luxurious offerings, serves as an inspiration for the future. Kapil Chopra, founder of Postcard Hotels, points out that Indian hotels have consistently ranked among the world's best, demonstrating the country's long-standing potential in the luxury space.
The Business Standard Manthan Summit paints a bright future for Indian luxury, with homegrown brands poised to take center stage on the global stage. With continued investment, collaboration, and strategic planning, the "Next Chanel" might just be Indian, and it could arrive sooner than we think.
