Tiffany returns to India for its second innings

The famous American jeweller, Tiffany & Company is gearing up to launch its stores in India. Dubai’s Tarz Lifestyle which runs the Tiffany franchise in the UAE together with Damas is bringing the brand in India. The first Indian store will be located in DLF’s Emporio Mall in Delhi, followed by a smaller 1,000 sq ft store in Bangalore’s UB city. Both stores should open by August, confirms Rusi Motiwalla, Tarz’s Managing Partner, who is a veteran of marketing luxury goods. He also co-owns the franchise for Saks Fifth Avenue in the Middle East. After the failure of the earlier venture in India, this will be Tiffany’s second attempt at establishing itself here. The company’s previous franchising arrangement with a local jeweller, under which a store was opened in Mumbai’s Oberoi Hotel couldn’t see the success that resulted in complete closure. The failure can be pointed to the lack of suitable retail space available for luxury goods except in five-star hotels, as reasoned by Motiwalla. The new, upcoming malls provide world-class retail platforms, whose availability rekindled the jeweller’s interest in entering India. James Quinn, President, Tiffany & Company, highlights another reason why the timing is right for a second coming. The surging population of young customers with high spending capacity and preference for international brands is the key driver for such venture. They will be Tiffany’s primary target market. However, Tiffany is going to face tough competition here since domestic brands too have solid bondage with the customers and exploiting all the tools of branding to attract young customers. To name few Gili and Tanishq is ruling the roost. Quinn said that they will take time to understand the Indian customer on the ground. India has a large gifting market, which Tiffany hopes to target with its younger, trendier designs and its signature blue box. Though Indian luxury market is at nascent stage, Motiwalla feels it has the potential to be larger than anyone can imagine. Says he: “In the luxury segment, all of us are still students of India. We’ll learn as we go along and earn one customer at a time.”