The Italian fashion giant had also shown keen interest in the Indian market back in 2008 but things did not turn out as planned. Presently Armani Casa is designing homes for the Lodha Group under the ‘World One’ project.
The Indian homeware and furnishing market is estimated at Rs 80,000 crore and has an annual growth rate of 10-12%. A recent study found that the luxury segment in the market is growing even faster at 20% over the last 1 year.
Rapidly growing, dynamic market
According to Prof A Ramaswamy Iyengar, faculty - Retail, Welingkar Institute of Management Development and Research, Mumbai, “India is one of the largest and most dynamic markets in the world today. The high aspirations of the middle class make it the ideal market for international luxury brands as the average Indian consumer has a fascination for everything new and luxurious.”
US based fashion designer Jyoti Khaitan Goel says, “Georgio Armani is a brand that is synonymous with luxury and opulence globally. Its entry into the Indian market bears testimony to the dynamic and rapid growing retail market in the country.”
Armani Casa already enjoys massive retail presence globally and retailed through both exclusive and shop-in-shop formats. In India, the opening of single brand retail has been one of the biggest draws for the international brands as they no longer have to bear the cost and hassle of having an Indian partner for their businesses in the country. The mandatory sourcing of 30% from the MSME sector however continues to be a deterrent. Armani Casa witnessed robust growth over the last few years, buoyed by the Asian markets.
Tias Chakraborty |
With FDI cap in retail sector set to be removed or lifted, more and more international brands are showing a keenness to enter the market. Recently, Italian luxury giant Armani announced its plans to enter the market with its high-end homeware and furnishings retail stores. The group is presently looking for retail spaces to open its Armani Casa outlets in the country. Reports indicate that the retail giant will not be tying up with DLF Retail for the Casa venture. Presently Armani’s existence in the retail market is facilitated by the partnership with the retail arm of the DLF Group.
