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India's luxury goods market is undergoing a major transformation driven by technological advances and increased focus on sustainability, according to a new report.
According to Deloitte's 2023 Global Luxury Industry Report, India has contributed significantly to the global luxury industry, which has soared to USD 347 billion in FY22. This growth is due to the strategic integration of technology, particularly GenAI, which facilitates personalized customer experiences and real-time support.
According to the report, a growing middle class and an increase in weddings will make India the second largest gold jewelery market in the world, with traditional gold retailers giving way to modern retail chains with well-known luxury brands. It is said that they are handing over the We also feature six Indian luxury goods companies that specialize in vertically integrated jewelery and are among the top 100 luxury goods companies in the world. Malabar Gold & Diamonds, Senco Gold Limited and Thangamayil Jewelery Limited are new entrants joining Titan Company Limited, Kalyan Jewelers India Limited and Joyalukkas India Limited. These companies reported sales growth of more than 20% in fiscal year 2022 and contributed to the industry's overall growth of 32.8%.
Additionally, luxury brands are promoting sustainability initiatives in the fashion sector, emphasizing circularity and environmental awareness. This report highlights the pivotal role emerging technologies play in driving this green transition, while fostering consumer trust and strengthening brand relationships.
“Luxury brands are rapidly adopting green and circular economy models based on evolving consumer preferences and regulatory imperatives.Digital technologies such as artificial intelligence, machine learning and the Internet of Things are “Brands play a key role in driving this green shift while increasing consumer interest.”We look forward to these innovations revolutionizing the luxury goods market around the world.” said Anand Ramanathan, Partner, Consumer Products and Retail Sector Leader, Deloitte India.
Furthermore, with a surge in discretionary spending, Indian consumers are increasingly inclined towards purchasing luxury goods, highlighting India's key role in shaping the future of luxury retail, he added. Ta.
The report further states that as the luxury goods sector continues its upward trajectory, companies are increasingly adopting circular economy principles and increasing sustainability initiatives such as net-zero targets and supply chain traceability. ing. At the same time, increasing consumer awareness of ESG issues is impacting luxury goods companies' product strategies.
“With the help and advances of technology, in 2022 the world's top 100 luxury goods companies will be larger and more profitable than ever before. 2022 saw the strongest recovery in 2022,” said Evan Sheehan, Global Consumer Products and Retail Sector Leader at Deloitte.
