India’s luxury boom: Why global brands are racing to enter the market

 

Rank 7 | Country: France | GDP ($ billion): 3,132 | GDP Per Capita ($ thousand): 47.36 | France maintains its position with a diverse economy spanning aerospace, agriculture, and luxury goods, while addressing issues like labor market reforms and sustainability goals amidst global economic shifts. (Image: Reuters)© CNBCTV18

India’s luxury market is having a moment. From Dior’s grand pre-fall showcase at Mumbai’s iconic Gateway of India in 2023 to British fashion house Vivienne Westwood making its India debut at the same venue in 2025, the message is clear—India is now a must-have destination in the global luxury playbook.

With deep-pocketed shoppers, a surging ultra-rich population, and exclusive collections designed specifically for Indian buyers, the country’s luxury boom is impossible to ignore. The world's biggest high-end brands are racing to establish a presence, launching flagship stores, India-exclusive lines, and star-studded events to tap into this fast-growing market.

The Numbers Behind India's Luxury Boom

The statistics make the case even stronger. India’s luxury retail market, currently valued at $8 billion, is projected to hit $14 billion by 2032. The broader luxury sector spanning, fashion, watches, automobiles, and jewellery, is expected to grow to $85-90 billion by 2030. Meanwhile, the number of high-net-worth individuals (HNIs) is set to double by 2027, providing a massive consumer base for premium brands.

Even Swiss watch exports to India have surged 20% in 2024, a clear sign of increasing demand for high-end timepieces. Luxury giants like Valentino, Louis Vuitton, Chanel, and Balenciaga have expanded their footprints in India, with more global names expected to follow.

Luxury, Tailored for India

What’s setting India apart is not just its spending power but how brands are adapting to local tastes. International labels are no longer just selling in India; they’re creating for India.

  • Bvlgari’s Mangalsutra, a fusion of Italian craftsmanship with Indian tradition, was designed exclusively for Indian brides.
  • Christian Louboutin’s Diwali Edit and Louis Vuitton’s Rani Pink collection celebrate India’s festive spirit through luxury design.
  • Jimmy Choo’s Diwali capsule reflects the growing trend of tailoring global luxury to regional aesthetics.

These India-focused offerings signal a strategic shift—luxury brands are no longer treating India as just another market but as a core cultural and economic powerhouse in their global strategy.

Why India is Now a Luxury Powerhouse

India’s rise as a luxury hub boils down to three key factors:

Blockbuster Fashion Shows: International luxury houses are leveraging high-profile events—like Dior and Vivienne Westwood’s Mumbai showcases—to establish a stronger presence in India.

India-Exclusive Collections: Luxury brands are creating customised product lines tailored to Indian sensibilities, ensuring deeper engagement with local buyers.

A Rapidly Growing Ultra-Rich Population: With more millionaires and billionaires than ever, India's demand for high-end goods is outpacing traditional luxury strongholds.

From Paris and Milan to Mumbai

As India cements itself as the next big luxury frontier, the world's biggest brands are making their moves. From Dior and Vivienne Westwood to Louis Vuitton and Chanel, luxury players are betting big on India’s growing elite.

With strong economic growth, an expanding affluent class, and a cultural affinity for luxury, India is no longer just an emerging market—it is a global luxury powerhouse in the making.

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