Deloitte’s fifth annual Global Powers of Luxury Goods report highlights Indian brands featured on the fastest growing Top 20 chart.
The report also states 5 brands in the top 100 list including Titan Company Limited (#28), Kalyan Jewellers (#37), PC Jewellers(#43), Joyalukkas India(#49) (and) Tribhovandas Bhimji Zaveri (#89)Limited.
According to the report, the world’s 100 largest luxury goods companies that generated sales of US $217 billion in FY 2016 and the average luxury goods annual sales for a Top 100 company is now US $2.2 billion.
The report examines and lists the 100 largest luxury goods companies globally, based on the consolidated sales of luxury goods in FY 2016 (defined as financial years ending within the 12 months to June 30, 2017). It also discusses the key trends shaping the luxury market and provides a global economic outlook.
Commenting on the socio-economic scenario and the development of Indian luxury goods sector a Deloitte India spokesperson said, “India is currently undergoing a rapid digital transformation, whilst battling the challenges of high import duties, introduction of GST and unstable price parity. However, with a positive economic outlook, the demand for luxury goods segment is poised to rise in 2018. An aspirational and tech-savvy urban consumer with a higher disposable income continues to invest in newer experiences that are now available digitally and thus augments the growth of luxury products.”
“The luxury market has bounced back from economic uncertainty and geopolitical crises in 2016, edging closer to annual sales of US $1 trillion at the end of 2017,” said Patrizia Arienti, EMEA Region Fashion & Luxury Leader, Deloitte Italy.
“Whether total global market growth is in single or double digits will depend on many factors, including larger geopolitical factors and their impact on tourism. Growth in the luxury goods industry will continue, unlike in several other industries.”
Italy is once again the leading luxury goods country in terms of number of companies, while France has the highest share of sales.
While 9 of the top 100 luxury brands are headquartered in China, India is not far behind with five of its own home-grown luxury brands.
38 luxury brands in clothing and footwear segment dominate the list of top 100 closely followed by Jewellery and Watches (31 brands), including 5 India brands as part of Top100 as well
China, France, Germany, Italy, Spain, Switzerland, the UK and the US together made up 83 percent of the Top 100 luxury goods companies and 90 percent of Top 100 luxury goods sales. Spain and France reported the highest growth rates of luxury goods sales.
The average luxury goods sales for the 11 companies in the multiple luxury goods sector was US $6.3 billion and together they accounted for 32.2 percent of the Top 100 luxury goods sales.