Despite trends of an economic slowdown in major markets including China, the top 100 luxury companies of the world have posted robust growth, according to a new worldwide study by Deloitte. Indian luxury companies have particularly registered high growth beyond metro cities and by aspirational shoppers, the study finds.
As per the Global Powers of Luxury Goods 2019 report by consultancy major Deloitte, five Indian luxury/lifestyle brands appear in the list of the world's top 100 fastest growing luxury goods companies. This included Titan which registered the highest growth among Indian companies. PC Jewellers, Joy Alukkas, Kalyan Jewellers and Tribhovandas Bhimji Zaveri were the other Indian brands to make it to this global list.
The report particularly points out to how the next few years could see dynamic growth and competition in the Indian luxury segment, especially in the bridge-to-luxury segment. “India continues to experience a high growth rate on the back of growing markets beyond the major metros and the emergence of HENRYs (High-Earners-Not-Rich-Yet),” commented Deloitte partner Anil Talreja, adding, “Indian luxury brands that wish to be profitable by targetting the affluent need to revisit strategies in a way that their products are inclusive and personalised and demonstrate a strong value proposition through authenticity. One critical index that deserves to be watched is the retail inflation index as this has a direct bearing on the luxury segment.”
“In an age of fast changing trends, luxury companies are re-examining the value of brand heritage and history and are adopting an omni-personal approach focusing solely on the new age consumer,” said Patrizia Arienti, Deloitte EMEA fashion and luxury leader.
The world’s top 100 luxury goods companies together generated revenues of $247 billion in 2017, up from $217 billion the previous year. Seventy-six per cent of these companies reported sales growth, with nearly half claiming double-digit growth.
