Fashion takes center stage in India's $130 bn worth wedding industry
India's wedding industry, valued at almost $130 billion – nearly twice the size of the American market is a force to be reckoned with. With 8-10 million weddings taking place annually, it's no surprise that Indians are pulling out all the stops for their big day. As Jefferies investment bank reports, "In an otherwise value-conscious society, Indians love to spend on weddings, which could be disproportionate to their level of income or wealth."
This lavish spending creates a massive opportunity for various sectors, with fashion and apparel taking center stage. But just how big is this slice of the wedding pie, and who are the key players vying for a piece of the action?
Fashion's share of wedding industry
While precise figures on fashion's share within the Indian wedding market are hard to pin down, anecdotal evidence and expert opinions suggest it's significant. Consider this: a typical Indian wedding involves multiple events, each requiring a different outfit for the bride, groom, and close family members. From intricately embroidered lehengas and opulent sherwanis to dazzling saris and tailored suits, the demand for wedding attire is insatiable.
While the Ambanis and other ultra-rich families may set the bar with their multi-million dollar extravaganzas, the Jefferies report highlights a fascinating trend: Indians across all income levels prioritize wedding spending, often exceeding what might be considered proportionate to their wealth. The average luxury wedding can cost anywhere between $240,000 to $360,000, with the upper end of the spectrum soaring into millions . A significant chunk of this undoubtedly goes towards fashion.
The designer vs. branded conundrum
The Indian wedding wardrobe is a playground for both designer and branded garments. Designer wear, with its bespoke creations and intricate craftsmanship, caters to the affluent segment willing to splurge on exclusivity. Branded garments, on the other hand, offer a blend of style and affordability, making them accessible to a wider audience. Both segments present lucrative opportunities, with the choice often dictated by budget and individual preferences.
Ethnic wear commands a lion's share of the market, estimated to be upwards of 80 per cent. While western wear has made inroads, particularly for pre-wedding events, ethnic attire remains the heart and soul of Indian wedding fashion.
Metros lead, Tier II cities catching up
Metros like Delhi, Mumbai, Bangalore etc are home to a large concentration of high-net-worth individuals and are major drivers of luxury spending in the wedding industry. Designer boutiques and flagship stores of leading brands thrive in these cities.
Tier II cities like Chandigarh, Jaipur, Lucknow among others too are witnessing a rapid rise in disposable incomes and a growing aspiration for upscale weddings. This presents a significant opportunity for both designer wear and branded garment players to expand their reach and cater to this emerging market. While weddings in smaller towns and rural areas may be more budget-conscious, there's still a strong emphasis on traditional attire and festive dressing. This segment is primarily catered to by local artisans, smaller boutiques, and regional brands.
Despite the booming market, the Indian wedding fashion industry faces many challenges. Since the market is highly fragmented with a mix of established players, emerging designers, and local artisans competition is tough among them. While Indians are willing to spend on weddings, price remains an important consideration, especially for budget-conscious consumers. What’s more now there's growing awareness of the environmental impact of fast fashion, prompting a shift towards sustainable and ethical practices in the wedding industry.
However, the fact is, Indian wedding industry is a goldmine for the fashion and apparel sector. With its sheer size and growth potential, it presents a unique opportunity for designers, brands, and retailers to cater to a diverse and aspirational market. As Indians continue to splurge on their big day, the wedding fashion scene is poised for even greater heights.
