Swarovski’s India growth shines as more consumers spend on themselves

MUMBAI: With more Indians spending on themselves and widening their jewellery collection beyond gold, growth for Austrian brand Swarovski is finding new sheen in the country, over two decades since its launch here. India is among the fastest growing markets for the maker of crystal jewellery, watches and accessories this year alongside Japan and the US, said global chief commercial officer Kolja Kiofsky. “India as a market in the past was very occasion and gifting driven. While gifting is still very important, self-purchases are growing at a higher rate. In the past, the split between gifting and self purchases would have been around 80-20 (%) but now it is getting closer to 50-50. The Indian consumer market has really evolved significantly,” Kiofsky said in an interview.Swarovski has a play in the accessible luxury market, a space that has seen an entry of new shoppers on the back of higher disposable incomes. Some of its products across watches and jewellery at the entry level, for instance, are priced between Rs 13,000-25,000. The brand’s fastest growing consumer cohort in India are those born post 1990–millennials in their early 30s and well into their second or third jobs. Having different pricing tiers has worked for the brand and it will double down on this strategy, Kiofsky said, adding that the brand’s design and craftsmanship is what sets it apart from competitors in a crowded local market. “Our products are a reward for hard work, it is feeling good about yourself…..not really a daily necessity. Our jewellery lends to experimenting and expressing one’s personality…here’s an opportunity beyond gold and cultural relevance,” Kiofsky said.India’s luxury market is driven by a strong appetite for jewellery, analysts at Kearney said in a report published last year. “Jewellery and watches are Indian consumers’ favourite luxury segments, and their popularity has grown as displays of affluence are becoming more accepted…..moreover, India’s lower cost of living compared with Western countries means that discretionary spending starts at lower income levels,” analysts at the firm said, estimating the broader luxury market to touch $12 billion in revenues by 2028 from $7.7 billion in 2023.With the bulk of its sales coming from brick-and-mortar outlets, Swarovski will open new stores in India, besides being open to exploring new delivery formats, Kiofsky said. The brand expects to record a bigger Diwali season this year. “We don’t believe that there’s a slowdown to the (consumption) trend we have seen year-to-date. Our LFL growth has been showing double-digits,” Kiofsky added. The company also expanded its offerings in the market with the launch of lab-grown diamonds in 2024.You use AI every day. Now get your AI Quotient. Take the AIQ test.