Luxury Product Market

Trained Manpower A Constraint In Luxury Product Market

 Luxury Product MarketIn the 14-billion US Dollar Indian market for luxury goods, which is growing at 20 to 30 per cent per annum, trained manpower is a constraint. That, perhaps, explains why many global brands prefer to hire overseas professionals to cater to the discerning consumers of such products.

“Lack of trained staff is a well-acknowledged challenge that the Indian retail industry faces. The problem intensifies when it comes to the luxury sector that requires greater discretion and knowledge on the part of a salesperson,” a KPMG-Assocham study said.

Abhay Gupta, the founder and chief executive of the Luxury Connect Business School (LCBS) said, “It is estimated that by 2022, Indian luxury products and services market will have manpower needs to the tune of 1.76 million heads”. “Dealing with luxury also requires an independent education stream,” he said.

A luxury brand from overseas, which sees a market potential worth 100 million US Dollar in India, prefers expatriates to manage their operations. “This shows their trust deficit over Indians managing their business. But global corporations don’t seem to have such issues.”

The KPMG-Assocham said the Indian luxury market includes apparel, accessories, home decor, pens, watches, wines, spirits and jewelry, services like fine dining, concierge, travel, hotels and spas, and assets such as art, yachts, and automobiles.

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