Home / Knowledge / News / Apparel/Garments / Indian luxury market to skyrocket in 2014 – ASSOCHAM
Indian luxury market to skyrocket in 2014 – ASSOCHAM
07
Jan '14
Be it a family holiday to exotic locations in Europe or US, sporting branded jewellery, driving around in top-end SUVs, going out for a fine dining in five star hotels, India’s luxury life style market has remained largely affected by the economic slowdown in 2013 and touched around $8.5 billion, according to an ASSOCHAM recent paper.

“A young demographic profile, growing number of millionaires and billionaires and aspirational integration with the globe are all among the driving factors for the luxury markets which see a big potential in India.  Since the high-end products and life styles are not price elastic, they don’t get much affected by the slowdown, says Mr. D S Rawat, Secretary General ASSOCHAM.

ASSOCHAM recent paper on “Luxury Industry in 2013-14” reveals that the despite continued global economic slowdown, the luxury market in India has touched around $8.5 billion with growth rate of 25-30% in 2013 as against $6.5 bln in 2012 and estimated to cross $14 bln during the course of next three years.

Some of the significant players across various verticals who performed well in 2013 included – GUCCI, Christian Dior, Louis Vuitton, Ocean Style Yachting, Canali India, L’Oreal Luxe India, LVMH India, Judith Leiber, The Phenix Mills, The SPA Group, Geetanjali Group, The Bauers, Starwood Asia Pacific Hotels & Resorts, Da Milano Leathers, Reliance Brands, Hidesign and others.

While releasing the ASSOCHAM paper its Secretary General said the  luxury market is poised to expand three-fold in next three years and the number of millionaires expected to multiply in another four years.

“With increasing brand awareness among the youth and purchasing power of the upper class also in Tier-II & III cities in India where luxury cars, jewellery and exotic holidays and destination weddings are no strangers”, said Mr Rawat.

The chamber paper segregated the luxury sector into products: apparel and accessories, pens, home décor, watches, wines & spirits and jewellery, services: spas, concierge service, travel & tourism, fine dining and hotels and assets: yachts, fine art, automobiles.

The Associated Chamber of commerce and Industry of India (ASSOCHAM) further stated that 2014 will be a good year for the Indian luxury market though the country will be facing general elections and not much economic reforms may take place. The market will take off due to a good economical context and the increase of consumers' spending pattern and the craze increasing for branded products especially amongst the youth.

“Luxury jewellery, electronics, SUV cars and fine dining have grown beyond expectations, while apparel, accessories, wines and spirits have continued their strong growth in 2013, according to the ASSOCHAM assessment. Consumption of branded wine is likely to register over 30% increase in the metro cities.

The combined effects of economic growth, globalization, and internet/social media diffusion have created boom in the luxury industry. However, as the dominant luxury consumers have changed, their consumption habits are also expected to evolve over time, added Mr. Rawat.

ASSOCHAM

Must ReadView All

Apparel/Garments | On 23rd Feb 2017

NAFTA renegotiation puts Mexico-US jeans trade at risk

The almost imminent renegotiation of the North America Free Trade...

Rick Helfenbein (left), president and CEO of AAFA, with Juan Estrada, chief of party, Hub; Courtesy: Hub

Apparel/Garments | On 23rd Feb 2017

AAFA inks agreement for best manufacturing in East Africa

The American Apparel & Footwear Association (AAFA) has entered into a ...

Mango vice-chairman and member of the board of directors Daniel Lopez (L) with Ananth Narayanan, CEO, Myntra & Jabong. Courtesy: Myntra

Apparel/Garments | On 23rd Feb 2017

Mango awards distribution & management rights to Myntra

Mango, the Spanish fast fashion brand, has awarded its master...

Interviews View All

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Jurgen Gauger
Spreadshirt

‘Buying crowdsourced or creative designs are much more appealing to the...

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search