Indian Women Steer $9 bn Luxury Brands Industry
Who do you think is the major customer base of global luxury brands like Gucci, Dolce and Gabbana, Pucci, Louis Vuitton etc? Of course they manufacture male-oriented products too, but did you know that Indian women make up 15% of the $9bn worth luxury brands industry, claims a survey by Associated Chambers of Commerce and Industry of India (Assocham).
The modern Indian working woman is not just fashion-conscious but has also become brand-conscious.
Indian women make up 15% of the $9bn worth luxury brands industry
“A growing number of young working women (with high-paying jobs) with increased awareness of global fashion and beauty trends are driving up the demand for high-end luxury products and accessories across various segments–be it jewellery, watches, apparel, footwear, cosmetics and others,” noted Assocham, as reported by Business Standard.
With the advent of technology and internet, everything that is available globally can be seen, researched and purchased easily sitting in any part of the country. Shopping on the internet has also helped in bringing Indian women closer to having luxury goods. About a decade ago, global luxury brands could be procured only when relatives went abroad and bought goods for the family back home. Today, more luxury brands are coming to India because of a large customer base here.
According to Assocham, currently, over a whopping 1200 ultra-rich women are a part of the Indian population. The total net worth of these women is about $100bn and they mostly come from cities like Delhi- NCR, Mumbai, Bengaluru, Chennai, Pune, Kolkata, Jaipur, Ahmedabad and Hyderabad.
“As professional women are emerging as the new decision makers and make most of their household purchases, it is imperative for luxury brands to open dedicated women’s stores and expand their product offerings to build long-term relationships with this new breed of luxury spenders. Luxury industry is becoming more female dominated as women’s brands have experienced a steep rise,” said D S Rawat, Secretary General of Assocham.
It is no surprise that luxury brands put more effort in coming up with a women’s collection and that it is always in the news rather than the men’s collection. Though luxury goods are also targeted at men, women’s products just give more space for innovations to happen.
There is also a speculation that since the market is still small for women-oriented luxury products or there is more scope for brands to cash in, more brands are coming to India.
The survey covered 500 Indian working women within the salary range of Rs 5 lakh to Rs 10 lakh in cities like Ahmedabad, Bengaluru, Chennai, Delhi-NCR and Mumbai between August-September. It found out that 20% women buy luxury products because of their easy availability and high quality.
The survey finds, within this socio-economic bracket, women have a wish list of luxury products to buy, and also apparently buy at least one luxury item whenever they go shopping.
Feature image credit- Luxepolis