The jewellery market in India at present is characterized by high fragmentation and dominated with a strong preference for gold. The diamond market on the other hand, consists of just 15 per cent of the total market share, but ORRA has witnessed double digit growth within the next decade with a rise in income levels. This growing affluence will lead to an increased preference for diamonds and a larger recall in the mind of the consumer.
While, the current retail market sees traditional jewellers making a push for gold on one hand while steadily trying to introduce diamond on the other going forward, the brand can expect an independent push solely for diamonds which will go beyond the tier 1 cities as well. In an interaction with Retailer media, Vijay Jain, CEO, Orra states they expect trade to move towards being in the more organized space and healthy growth.
How has the consumer’s mindset changed for jewellery over the years?
Yes, we see a change in the consumer’s mindset towards precious jewellery as it is no longer about just that one big set or wedding jewellery, but it has rather become an integral part of the wardrobe, whether it is at a social gathering, functions, meeting up with friends or even for work.
For the today’s consumer, the focus lies both on the internal as well as external drivers be it status, beauty or love! At every level, there is a need to stand out from the crowd and establish one’s own identity as distinct from the rest and assert one’s individuality. We have therefore understood the changing perception of the consumer with regards to precious jewellery and have therefore moved beyond just looking at the 4c’s (which is an industry norm) to focus on brilliance in our product (which is a consumer insight). We have therefore matched a consumer insight that is the need to stand out to a product innovation of the most brilliant stone, which is the ORRA Crown star featuring 73 facets vs. the regular 57 facets.
Tell us about your business model?
Our rich diamond heritage and a presence across 15 countries has helped set us apart from other jewellery brands. Not only are we cutting and polishing our own diamonds as a group but also manufacturing and selling jewellery across a number of cites across the globe and even other retail chains. We therefore bring to the table not only diamond and jewellery expertise but also over a decade of expertise of successfully running 32 company owned stores across 24 cities and having won several awards including the award for India’s Most Trusted Brand Award for Diamond Jewellery by International Brand Consulting Corporation, USA for the second time in a row. This expertise has helped us get a clear understanding of various modalities of this intricate business including the ideal store size, ROI models across different format stores, merchandizing and the kind of capital investment required. Armed with this knowledge, we today can offer an almost "plug and play" franchise model with a clear path to break-even and return on investment within 15 to 18 months of operations. The systems and processes for successfully managing a premium jewellery store(s) have been fine-tuned by ORRA over the years.
Typically what kind of investors shows interest in your brand?
Investors who are more interested in luxury and premium brands often show higher levels of interest. We have also seen a good response from automobile dealers, builders and even retail businessmen.
What strategies do you adopt to make value for high priced product such as yours?
We focus on design, craftsmanship, quality of diamonds and consumer experience.
What are your expansion plans?
We are looking at Delhi, Hyderabad, Kolkata, Agra, Kochi, Bhubaneshwar, Guwahati, and key states like Punjab, Bihar, UP, Maharashtra, etc.