10 Trends For Indian Middle Class Consumers Towards Luxury Products
- According to credit Suisse Indian middle class is 24 million.
The credit Suisse report has estimated Indian middle class on the basis of their wealth rather than their income.
- Another estimate put Indian middle class to be grown to 475 million by 2030.
- Affordable luxury
Middle class people always prefer affordable luxury because of compulsive behavior of comparing various products on the basics of cost and quality. A luxury brand targeting Indian middle class segment should always keep in mind that there should be varieties of entry level products. Affordable luxury primarily work on luxury fashion, Luxury auto-motives, gadgets and more.
An interesting innovation is something which will attract everyone in the society. Majority of Indian middle class wants to be center of attraction & is ready to spend any amount of money for these innovative products. Innovation primarily works on Luxury gadgets, Automotive ,fashion and more.
- What luxury they buy more?
After studying & surveying hundreds of middle class families across India. Frequently bought luxury products & services ranked sector wise are listed below
- 1st Luxury Hospitality
- 2nd Luxury Gadgets
- 3rd Luxury cosmetic and fragrance
- 4th Luxury auto-motives
- 5th Luxury fashion
- Show off culture
While studying the luxury purchase trends across India. North Indian states like Delhi, Punjab, Haryana, Uttar-Pradesh and Rajasthan were seen more indulged in strong show off culture. As northern states become maximum luxury consuming states in India with a 40% share followed by South India i.e. 25%.
- Educate about product details
80% people in the entire country don’t possess technical knowledge of luxury products especially in luxury fashion. Author collected this information after interviewing many sales executives from premium brands. During these interviews, one of the sales executives from a premium leather fashion brand gave an example that many of the customers cannot differentiate between calf and goat leather and are completely confused with the detailing.
It is imperative that the quality, uniqueness & rarity of the product is rightly put across to the customer which intern will increase the demand and importance.
Influence of Bollywood trends
Indian middle class is extremely influenced by Bollywood.Majority of middle class people spend there weekends watching cinema, which plays a huge role as latest trendsetter because people want to adopt the lifestyle played by their favorite actors.
This automatically generates the demand of luxury products & services shown in the movies used by their favorite stars.
Another stage where people lookup to follow luxury are award shows as every star will walk in designer clothing and driven in a luxury ride.
- Power of Logo on a product
India ranks number one when it comes to buying products with luxury logos. Wearing a luxury brand product with a logo boasts the image of the person silently and illustrates his/her status in the society.
- Made in Europe
In Indian middle class markets luxury buyers are ready to buy products, which are made in Europe over Indian manufactured goods, as there is belief that the quality of European goods is far better than Indian goods and they are ready to pay a price on a higher side.
- Special Treatment = Brand Promotion
Indian middle class has a very strong way of promotion i.e. word of mouth. If a customer leaves the showroom happily he/she will of course spread a good word across in his/ her society. For example special attention provided or a gift or greeting card is presented to the customer. These small gestures make a big difference when it comes to Indian middle class.