The luxury goods and services industry in India has seen phenomenal growth in recent times, even as some of the big names in this industry, such as Saks Fifth Avenue, witnessed a slowdown in growth in the US and Canada. Hence, the focus has shifted towards India and China because of the high potential of these markets. Amitabh Kant, CEO, NITI Aayog, said, the luxury industry in India can witness tenfold growth between 2016 and 2025. The market was worth about $18.5 billion in the year 2016 and it may reach $180 billion by the year 2025. The luxury market is expanding and there is need for skilled and highly qualified professionals in this sector to lead the growth.
Luxury Industry – Current Trends and Future Prospects
Numerous analytical studies have reported the changing trend in the consumer base in the Indian luxury market. There has been growth in sales of luxury products across Tier I, Tier II and Tier III cities. Unlike the past, the consumer base for luxury products now comprises of growing number of youngsters and the trend is likely to continue in future. Online retailers also have played a significant role in enabling the growth of the industry.
Though India has a vibrant and growing market for luxury, the industry finds it a challenge to hire qualified and skilled manpower. There is need for qualified managers, who are trained in close proximity of the luxury industry and have hands-on experience of the operational side of the business. Thanks to interests of foreign institutions, some business schools, through partnerships, have started offering programs in luxury management in India. The career prospects for luxury management graduates are bright since the industry is currently in its growth stage.