collaborative effort, a French business school, the ESC Rennes School of Business, and Indian advertising agency JWT have come together to estimate how far international luxury brands can leverage the opportunities thrown up by the Indian market. The research conducted by the two will identify insights and pathways that will drive and expand luxury consumption in India.
The global luxury goods market has an estimated value of approximately $1 trillion and is forecast to double by 2010. India has been identified as an important source of this growth with an approximate potential of $14.4 billion. Luxury brands from a diverse range of sectors, including fashion, automotives and leisure, have been found to be investing heavily to capture a share of the Indian luxury rupee.
However despite the massive potential of the Indian luxury market, there has been very little research to understand how international brands can leverage this market opportunity. Through the research, the ESC Rennes School of Business and JWT India seek to bridge this gap in understanding. The research will be focused on specific topics such as 'What is the perception of luxury within an Indian context?', 'What motivates luxury consumption in India?', and 'Is there a concept of Indian luxury?'
Shaziya Khan, vice-president and strategic planning director, JWT Mumbai, says, "This is an exciting project that will generate important learnings for the Indian luxury industry. With this collaboration, we will tap into each other's resources and share our knowledge, experience and expertise."
The study is still under way and the preliminary findings of the research will be presented at the 16th Asia Brand Congress on September 26-27, 2007, in Mumbai.