India’s luxury market to stagnate in 2012
The annual research by CPP Luxury Industry Management Consultants Ltd during the first 6 months of 2012 reveals India’s luxury fashion and accessories sector is likely to remain flat for 2012, in comparison with 2011. Despite changes in Foreign Direct Investment legislation, none of the major international luxury brands, presently absent from the market, plan to enter India before the end of 2013 (Prada, Ralph Lauren, Tiffany, Max Mara).
Despite the annoucements about the importance of the Indian market, many of the international luxury brands present in India have not expanded in 2012. Major international luxury brands such as French luxury maison Chanel or Hermes still have a limited retail presence – Chanel with one store and Hermes with 2 stores.
The only luxury sectors in India, which are likely to continue their growth path at a double digit rate are: cars, watches, yachts, furniture / interior design and travel. CPP will release the detailed Annual Luxury Market report on India during a business event in Milan, end of September 2012.
CPP has been actively covering India for 4 years, conducting extensive research on all luxury sectors, highlighting the potential of the market and the specifics of the Indian luxury consumer.