Aditya Birla Group Announces Partnership With Galeries Lafayette To Open India’s First Luxury Department Store.

India’s gems and jewellery market contributes approximately 7 per cent to the gross domestic product (GDP). The jewellery market is projected to grow to approximately USD 90 billion by 2025.

• India is the latest overseas market for department stores from Europe and the US to consider after opening in other countries in Asia and in the Middle East.
• Early movers are encouraged by the growing footprint of Indian multi-brand retailers and under-penetration of global brands’ mono-brand store networks.
• Some analysts are sceptical about the market’s readiness to accommodate a wave of department stores but others believe there is room for more than just one chain.

Aditya Birla Group’s Strategic Portfolio

“This foray is a strategic portfolio choice that allows us to tap into new growth engines and expand our presence in the vibrant Indian consumer landscape. With rising disposable income, discerning and aspirational consumers are leaning more towards design-led, bespoke, and high-quality jewellery,” said Kumar Mangalam Birla, Chairman, Aditya Birla Group.

Aditya Birla Group is ranked no. 4 in the list of global top companies. The $60 billion conglomerate’s flagship companies include Grasim Industries, Hindalco, Aditya Birla Fashion and Retail and Aditya Birla Capital among many others. At group level, it has about 140,000 employees. With revenue of Rs. 8,136 crore as on March 31, 2022, ABFRL’s fashion brands and retail formats operate across a network of 3,487 stores and over 30,000 multi-brand outlets. Birla said in an address at the company’s AGM that its projected revenue of Rs. 21,000 crore for year 2026 would surpass that target and set even higher milestones for the business going forward.

ABFRL portfolio includes several brands such as Louis Philippe, Van Heusen, Allen Solly and Peter England established for over 25 years. Pantaloons brand caters to men, women and children with a mix of private labels and licensed brands in apparel and accessories.

Aditya Birla Group has entered the Branded Jewellery Segment. The brand’s plan is to launch in-house branded jewellery targeting various price-points and rivaling Tata’s Tanishq. The new venture will involve setting up large-format, exclusive jewellery retail stores. Aditya Birla is also planning to launch in-house jewellery brands across daily-wear and premium price points and tie-up with mid-sized jewellers.

Recently, ABFRL has announced their joint venture with Christian Louboutin and Christian Louboutin focused on the transfer of the existing Indian business into a newly incorporated subsidiary of ABFRL.  Earlier, ABFRL had announced a partnership with French fashion giant Galeries Lafayette to open luxury department stores and set up a dedicated e-commerce platform in India.

“The flagship stores in Mumbai and Delhi will bring more than 200 luxury and designer brands under one roof,” the company said in a statement at the time. At present, the company has around 3,200 stores across the country for brands including Van Heusen, Allen Solly, Louis Philippe, and Peter England.

Apart from this, Pantaloons has another 396 stores. ABFRL has long-term exclusive partnerships with international brands like Ralph Lauren, Ted Baker, Hackett London, Forever 21, Fred Perry, American Eagle, Reebok and Galeries Lafayette. Aditya Birla Group has committed to to invest Rs 5,000 Cr. into the luxury retail segment in India.

Luxury retail crime differs from mass-market retail crime mainly due to the nature and value of the products. This changes the type of crimes committed and increases the safety risks in ways that are unique to the sector.

What worries is that are the Luxury Stores owners and operators fully prepared to provide full-proof security for their expensive merchandises. ?

The need of the hour is more sophisticated security devises and systems. The regular security practices include; High-definition IP cameras, 360-degree fish-eye cameras, Infrared night vision and Video analytics software. However, Electronic Article Surveillance (EAS) tags and detectors are increasingly being used in luxury retail stores to prevent shoplifting. Radio Frequency Identification (RFID) technology enables luxury retail businesses to track and manage inventory efficiently.

ExpoAlert a pioneer and innovator of a unique devise system that provides Store owners with the latest and advanced protection of their valuables in Stores. With EXpoAlert, preventing theft with design & innovation comes easy to display valuables with absolute confidence.

Compiled by SecuritySkillsWorld. Opensource References.