Luxury franchise sector looks forward to tier II and III cities as emerging markets for the category. According to a CII-IMRB report, aspirational class in non-metros acquires higher spending capacity; growth in the country's luxury market will be driven by those living in tier II and III cities.
Thus, luxury franchise brands like Truefitt & Hill, Juicy Couture, Toni & Guy, Roberto Cavalli and others have a huge scope in India.
The report further stated it is clear that Indian men in non-metros continue to seek power and status to validate their position in life, just like their urban counterparts. It further said that while non-metro women were happily indulging themselves, encouraged by the exposure to international fashion and fascinated by the easy availability of inaccessible luxury products, they seek high fashion and style and are ready to pay for it. Indian market’s share of the luxury segment is yet to capture the top 50 for most categories, though globally India is the fifth largest consumer.
High net worth individuals in non-metropolitan cities, men and women in the age group of 20-55 years, with an annual household income of over Rs 1 crore is the basis of the report. They were surveyed about luxury product categories owned by them and how do they currently access and engage with luxury products/brands in India. Chandigarh, Ludhiana, Kanpur, Coimbatore, Bhopal, Patna, Kochi, and Rajkot were the tier II and III cities where the research was conducted.
