IIPM Ranked No. 1 B-School In Global Exposre - Zee...
The luxury market in India is growing phenomenally & I want to trap this market in all the segments, be it watches or jewellery...
India is becoming home to millions of people from the affluent class and luxury players all over the world are mulling their strategies to bet big bucks on it. And if figures spoke all, then according to ‘Penetrating the Indian Wealth Management Market Report- 2006,’ the number of Indian millionaires is expected to grow annually at an exorbitant rate of 12.8%. No wonder, India has recently captured the fancy of the ritzy brands. And a survey conducted by AC Nielsen shows shoes, sunglasses, wallets, handbags and belts are the most ‘sought after’ designer accessories by the affluent Indians.
The world’s leading elite haute couture group, from Paris, the epicentre of fashion, identified this sizzling hot opportunity a decade back. Rightfully so then, Moët Hennessy Louis Vuitton (LVMH) will forever be considered as a pioneer among the bon ton brands in venturing into India. With the first movers advantage, this group has emerged to become the largest luxury group in India. Today, LVMH, to its credit, has as many as 50 of the world’s oldest elite brands (Louis Vuitton, Dior, TAG Heuer, Omas, Zenith) quite well established in the Indian market.
The man who’s buoyancy is keeping the group in sunny spirit in Asia and who has made India a lucrative market for LVMH, is its Group President, South Asia, South East Asia & Middle East - Ravi Thakran. An alumnae from the prestigious IIM Ahmedabad; Thakran, prior joining LVMH, has worked in a variety of challenging positions in Europe with Swatch Group, Nike and Titan. Equipped with such experience, Ravi joined LVMH’s Watches & Jewelry division in 2001 and in a span of five years, he has moved on to spearheading the group.
It was an evening appointment at his private suite at Maurya Sheraton, New Delhi, and as we entered his room, Ravi stood up to greet us. But apart from his warm welcome, there’s something more that makes this man create a lasting impression at first sight. And that was his polished personality supported by elegant corporate dressing. Well gelled hair, with French-cut bear and a dark suit matched the evening aura perfectly. And the question immediately came to mind – is aristocratic attire an essential ingredient of success in the luxury market? He smiles and replies, “No that might not be necessary but at the same time it shows that Indians are moving more into the high lifestyle bracket and we realised that long time back... Moreover, most of our brands are heritage brands, which have a legacy of their own.”
In 2006, however, many such legacy bon ton brands (like Versace) have forayed in India and many more have lined up for an entry. Especially in the luxury watch segment, Swatch and Longines are really giving tough competition to TAG Heuer. So is the monopoly pillar of LVMH being dented? Replies Thakran, “Amongst all the countries where we operate, India has the highest duty. In spite of that, we give to our customer the products at the same price, which is available in Italy or any other country.” He also speaks at length about how the company makes sure that if a TAG Heuer watch is available in Europe, it is there in India as well. He stresses on how it is immensely critical that a luxury brand company does not deprive its customer from global quality and collection and that’s why, according to him, LVMH stands out.
The retail fever has gripped the luxury segment as well and all premium brands are tying up with Indian partners to roll out exclusive out lets. By the end of 2007, Thakran is gung ho about unleashing 5 exclusive boutiques in the metros. Even he is testing the waters to tie up with the big retailers of the country. But he’s very fussy before entering into any agreement with any other retailers, which is against his concept of luxury retailing, as it requires a special level of commitment and expertise. He states, “When I say revolution, especially in the luxury segment, it means changes in every thing, even the salesman who is attending the customer needs to be perfect both in skill and attitude. My boutique will have sales people who can suggest what suits best to the customer and also can take care of all the aspects of customers.”
That’s also the reason why LVMH has always believed in solely walking the ramp in India, while quite a few other luxury brands are seeking Indian partners. So doesn’t tying up with the Indian partner help? “It does help, but at the same time, the Indian partner can govern in your activity and we, as a group, believe that it disturbs the growth of the company.” Due to the legal hassles involved with FDI restrictions, LVMH has decided to go the franchise route in India for now, which Thakran says will change when 100% FDI norms go through.
For more articles, Click on IIPM Article.
Source : IIPM Editorial, 2008
An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).
Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY
For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
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» IIPM ranked No1 B-School in India :: Education, Careers ...
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The luxury market in India is growing phenomenally & I want to trap this market in all the segments, be it watches or jewellery...
India is becoming home to millions of people from the affluent class and luxury players all over the world are mulling their strategies to bet big bucks on it. And if figures spoke all, then according to ‘Penetrating the Indian Wealth Management Market Report- 2006,’ the number of Indian millionaires is expected to grow annually at an exorbitant rate of 12.8%. No wonder, India has recently captured the fancy of the ritzy brands. And a survey conducted by AC Nielsen shows shoes, sunglasses, wallets, handbags and belts are the most ‘sought after’ designer accessories by the affluent Indians.The world’s leading elite haute couture group, from Paris, the epicentre of fashion, identified this sizzling hot opportunity a decade back. Rightfully so then, Moët Hennessy Louis Vuitton (LVMH) will forever be considered as a pioneer among the bon ton brands in venturing into India. With the first movers advantage, this group has emerged to become the largest luxury group in India. Today, LVMH, to its credit, has as many as 50 of the world’s oldest elite brands (Louis Vuitton, Dior, TAG Heuer, Omas, Zenith) quite well established in the Indian market.
The man who’s buoyancy is keeping the group in sunny spirit in Asia and who has made India a lucrative market for LVMH, is its Group President, South Asia, South East Asia & Middle East - Ravi Thakran. An alumnae from the prestigious IIM Ahmedabad; Thakran, prior joining LVMH, has worked in a variety of challenging positions in Europe with Swatch Group, Nike and Titan. Equipped with such experience, Ravi joined LVMH’s Watches & Jewelry division in 2001 and in a span of five years, he has moved on to spearheading the group.
It was an evening appointment at his private suite at Maurya Sheraton, New Delhi, and as we entered his room, Ravi stood up to greet us. But apart from his warm welcome, there’s something more that makes this man create a lasting impression at first sight. And that was his polished personality supported by elegant corporate dressing. Well gelled hair, with French-cut bear and a dark suit matched the evening aura perfectly. And the question immediately came to mind – is aristocratic attire an essential ingredient of success in the luxury market? He smiles and replies, “No that might not be necessary but at the same time it shows that Indians are moving more into the high lifestyle bracket and we realised that long time back... Moreover, most of our brands are heritage brands, which have a legacy of their own.”
In 2006, however, many such legacy bon ton brands (like Versace) have forayed in India and many more have lined up for an entry. Especially in the luxury watch segment, Swatch and Longines are really giving tough competition to TAG Heuer. So is the monopoly pillar of LVMH being dented? Replies Thakran, “Amongst all the countries where we operate, India has the highest duty. In spite of that, we give to our customer the products at the same price, which is available in Italy or any other country.” He also speaks at length about how the company makes sure that if a TAG Heuer watch is available in Europe, it is there in India as well. He stresses on how it is immensely critical that a luxury brand company does not deprive its customer from global quality and collection and that’s why, according to him, LVMH stands out.
The retail fever has gripped the luxury segment as well and all premium brands are tying up with Indian partners to roll out exclusive out lets. By the end of 2007, Thakran is gung ho about unleashing 5 exclusive boutiques in the metros. Even he is testing the waters to tie up with the big retailers of the country. But he’s very fussy before entering into any agreement with any other retailers, which is against his concept of luxury retailing, as it requires a special level of commitment and expertise. He states, “When I say revolution, especially in the luxury segment, it means changes in every thing, even the salesman who is attending the customer needs to be perfect both in skill and attitude. My boutique will have sales people who can suggest what suits best to the customer and also can take care of all the aspects of customers.”
That’s also the reason why LVMH has always believed in solely walking the ramp in India, while quite a few other luxury brands are seeking Indian partners. So doesn’t tying up with the Indian partner help? “It does help, but at the same time, the Indian partner can govern in your activity and we, as a group, believe that it disturbs the growth of the company.” Due to the legal hassles involved with FDI restrictions, LVMH has decided to go the franchise route in India for now, which Thakran says will change when 100% FDI norms go through.
For more articles, Click on IIPM Article.
Source : IIPM Editorial, 2008
An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).
Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY
For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
IIPM, GURGAON
IIPM - Admission Procedure
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...
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