Designer Brands Allure Fashionist Indian Shoppers

Love of shopping conquers all, even the global downturn, and high value designer wear market sprints ahead...

It appears that the love of shopping for designer products does conquer all, even the economic slump. Despite the deepening recession, and soaring unemployment, market for luxury designer brands is cruising. Fashion in India is a growing industry with international events and annual shows by renowned designers being held at the major cities in India. The consecutive victory of Indian beauties in international beauty contests, has initiated the desire in the minds of Indian shoppers to favor the purchase of luxury brands. They tend to shop for designer brands to advertise their status.

Indian Shoppers Prefer Designer Brands:

There was a time, when the designer brands boasted of 'quality' as a point of difference in their products and used it as their USP. Now, with the increasing number of private label products entering into the market everyday, and competition getting tougher, the focus has shifted to 'Brand and its Values', the image a particular brand name has created in the minds of the consumer. Despite, a vast majority of consumers consider that branded items are generally overpriced than what they really are; still a fragment of people believe that designer brands offer a better quality than standard brands. India stands eighth in the rank; globally, for considering designer brands as quality items.

A study by Nielsen on the Global Luxury Brands has revealed that almost 35 percent of the Indians who participated in the survey confirmed that they prefer to buy luxury brands. India stands third in the global luxury shoppers list next to Greece leading by 46 percent and Hong Kong with 38 percent. The study further reveals that Indian shoppers prefer brands like Louis Vuitton and Gucci which have an international; high profile. (Source: Nielsen Report, April 2008)

Prominent Designer Brands:

The top brands dominating the Indian market are Calvin Klein with 34%, Gucci with 25%, Diesel with 24%, Christian Dior with 16% and DKNY with 10%. Indian customers prove to be the third largest purchaser of Gucci products, sixth for Calvin Klein and ninth for Diesel and tenth for Fendi products.

Brands manufactured in India are Giorgio Armani, Louis Vuitton, Dolce Gabana, Roberto Cavalli, Calvin Klien, Hugo Boss, Galeries Lafayette, British India, Hoss Intropia, and Roberta Freymann. Indian designer brand exporters witnessed an average growth of 40% during 2008 with a projected growth rate of 15-20%.

Designer Apparel Market:

The Indian apparel market is estimated to be around Rs. 20,000 crore of which branded apparel market is of about Rs. 5,000 crore. Designer wear, it turn comprises only about 0.2% of the branded apparel market. 66% of the shoppers for designer wear are men and 57% are women. Western designer wear occupies 5% of the Indian designer wear market. Profit margin for these apparels and very tempting and vary anywhere from 30 to 50% depending on the work. Hand painting, patchwork, embellishments, embroidery are a few works that make the brand exclusive. Since they are handmade, the lead time is longer around 90 to 120 days.