Amit

Ankit
Anjusha
Bushra
Rati
Vickey
Retail Management
LUXURY RETAIL
Luxury
Related to -
Status,
Ego and
Psychogenic needs; (mental needs)
it is not necessary for survival
LUXURY
Defining Luxury
The emotionalism of luxury
Purchase of luxury items gives the buyer an immense amount of
joy which surpasses the economic value of the product.



Luxury brands live in peoples hearts & minds

Luxury brands have range
Can be teamed with many products

Luxury brands have permanence
Dont go out of style/are classic

Characteristics
Luxury Goods
Associated with-
high quality,
craftsmanship,
uniqueness,
creativity,
exclusivity and
innovation
What Consumer Get
Psychological Benefits
esteem,
prestige
sense of a high status
that reminds them and others that they belong to
an exclusive group who can afford these
expensive goods.
The overall sales of luxury goods in the year
2009 is expected to be more than US$150 billion
and Asia contributes 10% to it.
The concept of luxury is now not confined to
only to Europe and US, the Asian subcontinent
contributes major to it, with India and China as
the newly emerging markets.

A trip to the mall can mean stocking up on
thousands of dollars worth of designer
goodies before eating a three-course meal
at one of its fine dining establishments

Fine Living Top 10: Luxury Malls
10
The Grand Canal
Shoppe's offer visitors
world-class dining
and elegant shopping
in a unique, inspired
surrounding.
The Grand Canal
Shoppe's are
guaranteed a truly
European shopping
experience.
The Grand Canal Shoppe's
Las Vegas, USA


9
With a focus on big-
name fashion houses
such as Alexander
McQueen, Bulgari
and Chanel --
complemented by
weekly fashion shows
Galleries Lafayette
Paris, France

8
Blue water in the British
county of Kent combines
high-end international
designer outlets
(such as A/X Exchange,
Lacoste and Storm)
Theres plenty else to keep
shoppers entertained too,
such as a multiplex cinema,
a luxurious fitness center
and an extensive food court
Blue water
Kent, England


7
Ranked the No. 1
shopping center in the
United States, Bal
Harbour Shops in Miami.
Stores with an outlet in
the complex include-
Tiffany & Co.,
Vilebrequin, Yves Saint
Laurent, Jimmy Choo,
Just Cavalli, Harry
Winston, Fendi, Emilio
Pucci, Escada, Bulgari,
and Saks Fifth Avenue
Bal Harbour Shops
Miami, USA

6
Having all the usual
designer store suspects --
Harvey Nichols, D&G,
Gianfranco Ferre, and
Ermenegildo Zegna,
The Landmark boasts the
113-room Landmark
Mandarin Oriental Hotel
as well as the chic
Oriental Spa.
The Landmark
Hong Kong, China

5
Armed with their Black
Amex, shoppers here are
able to flit in and out of
100 designer stores such
as Tommy Hilfiger, Yves
Rocher and Diesel.
The three-story wonder is
built underground near
Red Square and is, quite
simply, one of the
grandest malls in the
world.
Okhotny Ryad Shopping Center
Moscow, Russia

4
The bustling buildings
here combine luxury
shopping and fine
dining with office and
residential space
With outlets including
Cole Haan, Dean &
Deluca and Sisley, the
mall also features an
Equinox Fitness Club.
The Shops At Columbus Circle
New York, USA

3
The Walk also houses
outlets by designers such
as Louis Vuitton, Calvin
Klein), Emporio Armani,
Mulberry, and Links of
London.
The mall also provides
residents and visitors to
the capital with a
complete shopping and
leisure experience.
The Walk
Edinburgh, Scotland

2
With the DFL Group
finishing construction at
the end of 2007, The
Emporio shopping mall
in New Delhi
Consist of 90 high-end
Indian and international
stores, such as Kimaya,
Ensemble, Ashish N Soni,
Rajesh Pratap Singh, and
Abraham & Thakore
The Emporio
New Delhi, India

1
Packed with designer boutiques,
including Harvey Nichols,
Debenhams, Bois & Chiffon,
Reiss, Missoni, and Marc Jacobs
The mall also encapsulates
several world-class restaurants
and bars, including Lebanese
cuisine at Karam, brasserie-style
food at St Maxims, seafood at
Salmontini, international fare at
Sezzam, and fondue at Aprs
Mall Of The Emirates
Dubai

LUXURY
The Luxury retailing in india
Reasons for emergence of luxury
retail in India.
Hike in the salary .
High Standard of living .
Luxury becoming a status symbol.
stylish appearance
increased durability
better performance & advanced features
Luxury in India has become more accessible.
Bollywood is an influencer
LUXURY
Luxury Products & Services
Cars:
Jaguar, Mercedes Benz, Lamborghini, Rolls Royce, Bentley, Ferrari, Bugatti
Couture: Versace
Indian couture designers: Rohit Bal, Tarun Tahiliani May not include prt designs
Hotels & resorts
Amar Vilas (Oberoi), Four Seasons
LUXURY
Luxury Products & Services
Accessories

Footwear: Jimmy Choo


Handbags: Louis Vuitton, Aigner, Leiber, Hermes, Prada


Small leather goods: Dunhill


Watches: Piaget, Tag Heur


Eyewear: Armani, D&G, Chanel
LUXURY
Luxury Products & Services
Perfumes: Channel
Jewellery & Gems: Cartier, Tiffany
Writing instruments: Mont Blanc
Luggage: Louis Vuitton
Liquor: Henessy (vodka), Blue Label, rare wines Art
Not Luxury: Mango
LUXURY
The Sachdev Group Priya Chatwal & Charu Sachdev
Brands: Lanvin, Alberta Ferretti, Jean-Paul Gaultier, Moschino,
Stella McCartney
Promoters of Luxury in India
Genesis Colors
Sanjay Kapoor of Satya Paul fame
Brands: Aigner, Canali, Kenzo, Paul Smith, Just Cavalli
Murjani Group
Gucci, Jimmy Choo, Calvin Klein, Bottega Veneta
Brandhouse Retail (S.Kumar Group)
Escada, Dunhill
JVs in the pipeline
DLF with Armani
Hermes with Neelam Khanna (PRS Oberoi clan)
Reliance Retail
TSG International Marketing Pvt Ltd
LUXURY
Emporio
The first Indian luxury destination:
Officially inaugurated: Sunday, 30th Aug
Developer: DLF
130 luxury brands
Apparel: Dolce & Gabana, Canali, Louis Vuitton, Chistian Dior
Jewellery: Cartier, Harry Winston,
Leather Goods: Tods
Men: Paul Smith, Armani
Watches: Piaget, Chopard, Jaegar
Indian designers: Rohit Bal, Tarun Tahiliani, JJ Valaya
LUXURY
The story in India
Luxury is not new to India but the modern form is yet to evolve
Branding
Lasting customers relations
Signature look
Virgin market
LUXURY
The story in India
Ermenegildo Zegna
First store opened at Crossroads in 1999. Closed in 2005
A 3000sqft store opened at Taj, Mumbai in 2007
Third store to come up at Emporio
Jimmy Choo
Launched India store through Murjani Group in Sep08
Located at Nariman Point, Mumbai
Worn by Aishwarya Rai, Preity Zinta
Internationally launching sunglasses, fragrances & handbags
LVs association goes back to the Maharajas for luggage
First store opened in 2003 at Oberoi Hotel, New Delhi
Second store opened in Mumbai in 2004
Now opened at Emporio

Louis Vuitton
Luxury Market Spend
Allocation

LUXURY
Limitations of luxury in India
Lack of appropriate space
Adjacencies important nightmare McDonalds
Started with use of hotel space
Makeshift space in malls/markets
Emporio perhaps the first luxury mall in India
Expensive real estate
Lack of trained manpower
Specialized programs in Institutes
Lack of Indian products & brands
FDI restrictions
LUXURY
Scope for Indian brands
Can you think of an Indian luxury brand?
Acquiring Western brands: Tata acquires Jaguar from Ford in the UK
Oberoi hotels: Rajvilas, Udaivislas, Amarvilas
Indias strengths: excellence in craftsmanship, heritage, business potential
Some suggested areas: hotels & hospitality, spas, jewellery, meditation
(Mahesh Yogi), art, Indian fashion
Challenges to overcome

Limited scope
-Though Indian has become brand
conscious and are ready to invest in
luxury goods yet the scope of
international luxury retail is limited, as
there is still a percentage of people who
do not see luxury retail as a necessity.


Lack of retail space
-Except for five star hotels Indian retail
space has still failed to match international
standards. For an international brand to
find a large retail store space is still a
dream, as apart from high rentals,
shortage of retail space still exists.
Lack of High Fashion Street
-There is no street that is coming up as a
high fashion street. Like New Yorkss Fifth
Avenue and Londons fashion streets,
India has a long way to go before it can
compete in both space and name, to call its
retailing spaces as fashion streets.

Providing services
-When consumer is ready to spent huge
amount of money in buying a luxury
product he would not like to compromise
on the quality and services provided by
the brand. Being a foreign brand satisfying
the consumer becomes little difficult.

LUXURY
Thank You