Prada is reported to be in talks for an India entry. Alexander McQueen, Dolce & Gabbana, and Stella McCartney are exploring real estate for stand-alone stores. After opening his first boutique in New Delhi last year, Christian Louboutin is readying himself for a Mumbai launch. This year marks the tenth anniversary of Louis Vuitton’s presence in India—it was the first luxury brand to set foot in the country. Is India finally reawakening to luxury? Historically, it’s a country familiar with all things luxe. After all, in 1925, India’s Sir Bhupinder Singh, the Maharaja of Patiala, granted Cartier its single largest commission: the remodeling of his crown jewels, a collection that included an exquisite 234.69-carat De Beers diamond. Vuitton’s gilded links with India go back well over a century, when the Maharajas of Jammu and Kashmir, Bikaner and Baroda, ordered customized trunks from the company.

Then came freedom. For almost forty-four years after Independence, socialist India snapped all ties with luxury. It’s only in the last decade that the romance has rekindled. And it has to do with math. With a population surpassing 1.22 billion, and 81 million households falling into the upper middle class and high-income bracket, India is a serious market for luxury players. In fact, statistics show that India is one of the fastest-growing and largest luxury markets, with sales expected to touch $15 billion by 2015—nearly double what they are today. In November last year, Gucci opened its fifth and largest India store, spanning 4,220 square feet across two floors in Gurgaon, Delhi’s satellite city. Patrizio di Marco, president and CEO, noted, “The flagship store underscores Gucci’s commitment to India. This is our fifth store in this unique country, where we have been operating directly since the end of 2009, and it is a testament to the importance that we are placing on this fast-growing and competitive market.”

But Kalyani Chawla, vice president of marketing and communications at Christian Dior, insists India is taking baby steps. And she is right. The Western notion of luxury hit Indian shores only ten years ago. It’s still a country of salwar kameezes and saris. But the Indian buyer has grown interested in fashion, investing small but precious sums in brands. “Dior has seen a steady and encouraging growth. As is the case globally with most brands, accessories are doing very well [and] clothing is picking up,” she says, noting that this is partly due to the fact that Western wear has finally slipped into a bride’s wedding trousseau. And for Indians, marriage is the occasion for which discerning buyers splurge. Dior launched in 2006, and has three stores across the country. Continue Reading “Is India The Next Big Player in Luxury Retail?” »