India emerges the new frontier for global fashion brands
13 December 2024, Mumbai
India is emerging as a focal point in the global fashion map, with its dynamic economy and aspirational middle class attracting a wave of international retailers. In 2024 alone, 24 global brands entered the Indian market, reveals JLL India, signalling the country’s growing stature as a global fashion hub.
Young consumers, rising affluence the lure
The influx of international brands highlights a strategic shift as retailers seek to tap into India's growing consumer base. Several factors have led to this interest.
With a large and increasingly trend-conscious youth population, India presents a vibrant market for global brands looking to capture the preferences of Gen Z and Millennials. Coupled with this is India’s growing middle class that is driving demand for premium and luxury fashion, as disposable incomes rise and consumers seek global-quality products.
Today’s Indian shoppers are discerning, prioritizing quality, uniqueness, and brand value, making the market ripe for international players. What’s more, the Indian government’s pro-business initiatives, including relaxed foreign direct investment (FDI) norms and infrastructure improvements, have smoothed the entry of foreign brands.
It terms of growth poles its Delhi-NCR and Mumbai that are the hotspots for international retailers, with to their affluence, dense population, and well-developed retail ecosystems. Premium malls and high streets in these cities are prime locations for flagship stores. However, Tier II cities too are attracting global brands and they are opening stores to lure the upwardly mobile consumers in these cities.
Brands catering to the premium and luxury market, such as Lululemon Athletica and Eternal Journey, are particularly bullish on India, aiming to target the country’s wealthier demographics. In fact, the arrival of global brands is enriching India’s retail landscape with diverse offerings, spanning apparel, footwear, beauty, and accessories. Consumers now have access to products that align with international trends and quality standards.
Market full of opportunities
India’s ascent as a global fashion hub is far from accidental—it is backed by its demographic and economic strengths. The entry of brands like Jamba further exemplifies the optimism surrounding the market. As international retailers continue to expand, the country’s retail environment is likely to evolve further, with enhanced competition benefiting consumers through better choices and experiences.
However, challenges persist. Brands must navigate India’s complex regulatory framework, diverse regional markets, and price-sensitive consumers. Additionally, the country’s underdeveloped retail infrastructure in smaller cities could pose hurdles for growth beyond Tier I markets.
The bottomline is, India’s transformation into a global fashion hub is gaining momentum. The combination of a young, brand-conscious population with rising affluence and supportive policies, the nation offers fertile ground for international retailers. As more brands flock to India, the country fast emerging a hot spot in the global retail landscape, shaping trends and influencing the future of fashion.
