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The global luxury industry is facing a quiet but powerful disruption. Once seen as invincible, iconic Western brands are struggling to retain relevance in a world that’s rapidly evolving. As global luxury brands grapple with unprecedented challenges, India stands at the cusp of a rare opportunity. The dominance of European luxury powerhouses like Gucci, LVMH, and Kering is increasingly in question. Sales are slipping, with Gucci experiencing a 25% decline and Kering’s profits falling by 50% in 2024. Meanwhile, luxury spending in China—once a key driver—has dropped by more than 20%. According to a 2024 study by Bain & Company, the global luxury goods market has seen a decline of approximately 50 million customers, primarily due to steep price increases and a shift in consumer preferences towards more meaningful and personalized luxury experiences.
The message is clear: the global luxury industry is ripe for reinvention. With its rich cultural heritage and a rapidly expanding, luxury-seeking domestic market, India is uniquely positioned to seize this moment and build world-class brands that resonate with the next generation of local and global consumers
According to Bain & Company, India’s luxury market was valued at approximately $75 billion in 2022 and is projected to triple to $200 billion by 2030—spanning both goods and services. What’s more, luxury consumption is no longer confined to major metros. Non-metro consumers now account for 55% of Tata CLiQ Luxury’s sales, with Tier 2 and 3 cities recording average order values on par with urban counterparts. This signals a nationwide appetite for luxury, supported by the rise of digital commerce and changing consumer aspirations.
India – Where tradition can meet Innovation in Luxury
India has long been a land of luxury, known for its fine textiles, hand-cut gemstones, intricate jewelry, and rich traditions of hospitality and wellness. But in the realm of modern luxury, it has yet to fully translate these assets into globally recognized brands. As the world shifts towards more authentic, values-driven luxury, India has an opportunity to become a leader in this new era.
In the past, luxury was synonymous with exclusivity, often embodied by brands rooted in European traditions. Today, it is about authenticity, storytelling, and a deep connection to culture—values India can deliver in abundance. With its centuries-old craftsmanship, spiritual traditions, and a consumer market hungry for sustainable, ethical products, India is primed to develop a new breed of luxury brands that resonate globally.
Leading the Charge: Emerging Indian Luxury Brands
Encouragingly, a new wave of Indian brands is beginning to emerge in the luxury space—still in its early stages but offers promise. Titan’s luxury jewelry and Saree brands, Zoya and Taneira respectively, has seamlessly blended Indian heritage with modern sensibilities. Zoya offers a sophisticated, understated Indian luxury that stands apart from the more flamboyant Western brands. In Sarees, the approach presents a refreshing new take on an age-old tradition, positioning Titan’s offerings as a blend of heritage and luxury in a rapidly changing market.
Mokobara, a travel accessory brand, is another shining example. In a market dominated by global names like Tumi and Samsonite, Mokobara is trying to carve a niche with its minimalist design, premium materials, and focus on the experience of travel. The brand’s rise shows that Indian brands don’t have to mimic the West to succeed—they can carve out their own space.
In the beauty and wellness sector brands like Forest Essentials, Kama Ayurveda with focus on skincare are redefining the perception of Ayurveda, offering traditional wellness solutions in formats that cater to modern consumers. Kapiva is attempting to take Ayurveda to a broader audience by presenting traditional remedies in convenient, modern forms that Gen Z and young professionals can easily integrate into their daily lives.
India’s Untapped Edge: Experiential Luxury and Weddings
Indian luxury buyers are looking for more than just products. They want brands that stand for something. They want authenticity, sustainability, and a connection to culture. While India is globally known for its hospitality, the country still lacks a luxury hospitality brand that resonates on the scale of Aman, Four Seasons, or Mandarin Oriental. Brands like Taj and Oberoi already offer superlative luxury experiences that reflect India’s distinctive cultural ethos. However, there remains significant untapped potential to scale these offerings that consistently represent India on the world luxury stage.
India’s hospitality sector could redefine the future of luxury. Imagine a brand that combines world-class service with Ayurveda, yoga, Indian architecture, and organic cuisine. A brand that offers an experiential journey grounded in Indian culture while adhering to global luxury standards. This is an opportunity that has yet to be fully realized—and one that could position India as a leader in the global hospitality market.
India has a unique opportunity to lead in experiential luxury, particularly through its globally admired wedding industry. Known for their scale, cultural richness, and opulence, Indian weddings are natural expressions of luxury. By curating high-end, destination-style wedding experiences, India can offer a differentiated, immersive luxury product to global high-net-worth consumers. These celebrations could serve as powerful showcases of Indian craftsmanship, hospitality, and storytelling.
The Time to Act is Now
The moment to build a global luxury brand rooted in India has never been more opportune. Indian brands today benefit from a sizeable and growing domestic luxury consumer base, with new affluent segments emerging across urban and semi-urban markets. But this opportunity extends far beyond India’s borders. It is not about imitating Western luxury models—it is about defining a new language of luxury, grounded in Indian traditions yet articulated with global sophistication. With the right vision and ambition, Indian enterprises can shape the next LVMH—not by replication, but through innovation anchored in identity.