Offline sales is the only way luxury products should be retailed; Archna Kumari Singh

Riding on the changing trends of jewellery preferences amongst Indian consumers, the Jewelry Market in Indian is expected to post a CAGR of around 17-18 percent from 2014-2019. Though gold still dominates the market as its been considered as an investment rather than a purchase, the demand for other gems such as diamond, platinum and other kinds of jewelry is increasing too.

Talking on the same lines with Retailer Media, Archana Kumari Singh, President, Frazer and Haws, shared her views on the emerging inclination towards luxury jewelry preferences and how digitization has disrupted the industry as a whole. She also spoke on how tier II and III cities have taken up by tier 2 and 3 cities as the aspirational in non-metros have a higher spending capability.

Talk to us about Frazer and Haws and the journey so far?
Frazer and Haws is a British brand that began retail in India as early as 1993. It was when there was no imagination and innovation around sterling silver. In fact consumers are not even aware of something called ’sterling silver’ because local silversmiths insisted that all their products were made in 100% purity which intact is not possible at all. Silver is a soft metal and therefore very malleable. It needs an alloy for strength. Hence the 92.5% purity that makes for sterling silver.
F&H began retail of high design products in Delhi and the buzz went around ago the brand’s quality of design, finish and customer services, all of which goes a long way in luxury retail. Today we have almost every vendor as well reputed silversmiths who follow and recreate our innovations. Today, our challenge is to stay comfortably ahead in the game in terms of design and concepts. The journey is ever exciting with new ideas and customer preferences and we learn to tango with the times along the way!      

What are the recent trends in the India Luxury Market?
The term ‘luxury’ is much misused in the recent times. Anyone with expensive products thinks they can hop onto the luxury band wagon. And that’s what the Indian market is confused about. Consumers are very savvy and understand it better than the retailers.

Offline retailing has been the mainstream point of sale in luxury space. Do you think eCommerce has potential to disrupt this trend?
Personally, offline sales is the only way luxury products should be retailed. The touch, feel, see factor is of prime importance when buying a high ticket value item. E commerce works sometimes when the customer is very comfortable with the brand and its products. Convenience of receiving a door to door delivery because of time constraint is tempting but doesn’t always work favourably. 

Tier II and III cities have always dominated Indian Luxury Market. Share with us your views on the same.
Exposure to global trends and high disposable incomes in smaller towns is also proportionate to the aspirational levels. Yet the non availability of most coveted brands or products is what drives the luxury appetite of tier II and III cities. However, the percentage of these customers is way smaller than that in a metro. E-Commerce is a good option for these towns as opposed to a permanent presence.

What are major challenges in terms of growth and opportunities?
The dynamics of retail are constantly changing. The retailers must engage with the mindsets of the customers and create concepts that appeal to the moment else they get left behind. Opportunities are galore as more and more Indians are aware consumers and demanding too which itself is a conducive space for growth.

Where do you see the future of Luxury Market 3-5 years down the line?
The luxury market will be ever demanding and brands will have to think out of the box for innovations in designs. If too many people continue to do the same things the market will saturate. So while the demand will grow, the retailers will have to fill the gaps with fresh perspectives on product designs. Those who manage with originality will stay in the game and those who only feed off the original ideas of others may have to bow out of the arena.