Indiantelevision.com Team

(27 March 2008 8:00 pm)

MUMBAI: With 35 per cent of Indians in a Nielsen Global Luxury Brand study agreeing to buy designer brands, the global market analyst has placed the country third in in rank among brand-conscious countries, just behind Greece (46 per cent) and Hong Kong (38 per cent).

An improving economy and the rapid opening up of the Indian market has given rise to a group of affluent consumers who are more than eager to adopt the latest fashion trends, the report holds.

Despite the prevalence of imitation designer-branded goods in some markets, surprisingly, more than three-fourth of Indians surveyed do not think that imitation products match up to the real deal.

The top brands that Indian consumers spend on are Calvin Klein (34 per cent), Gucci (25 per cent), Diesel (24 per cent), Christian Dior (16 per cent), and DKNY (10 per cent).

India has also made it to the top ten markets globally for some of the brands. India ranks third highest globally for people who buy Gucci products. It ranks sixth for Calvin Klein, ninth for Diesel, and tenth for Fendi for buying these brands globally.

Indians are travelling overseas more frequently now and quite likely their interactions with foreign brands have increased considerably, the report says.

Moreover, foreign brands are synonymous to status and the survey finds that 57 per cent of Indians surveyed buy designer brands as a status symbol.

The number of outlets that these brands have opened up in the country in recent times is a testimony in itself of the increasing fashion consciousness amongst Indians.

The study reveals that if money were no object, Gucci (41 per cent), Calvin Klein (31 per cent), Christian Dior (26 per cent), Versace (25 per cent), Diesel and Giorgio Armani (both 22 per cent) are the most coveted brands among consumers in India.

Local designer brands are also quite popular here, with a whopping 40 percent respondents buying these brands. This is the sixth highest percentage globally for a country that buys local brands.

India (41 per cent), the Philippines (39 per cent) and Indonesia (37 per cent) top Asia Pacific with people most aspiring to the Italian brand Gucci.

At 41 per cent, India tops the world with most people wishing to buy a Gucci product if money were no object.

It's worth noting that the level of desire among Asian consumers to buy Chanel and Christian Dior increased by six and four percentage points respectively compared to two years ago when the Nielsen survey was last conducted.

With the flourishing Indian economy and greater disposable incomes of consumers, India has become a potential hub for designer brands from across the world. The increasing experimental nature of consumers in India has also helped the fashion industry to spread its roots in the country."

Though 73 per cent Indians feel that designer brands are usually overpriced for what they are, 35 percent also believe that designer brands are of a significantly higher quality than standard brands.

India stands eighth globally which thinks designer brands are quality products and invest in it in spite of the price. 45 percent Indians think that only fashion conscious people consider buying designer brands.

According to the Nielsen survey, consumers in India 'approved' the potential of a crossover product between a designer fashion brand and a new technology gadget - 56 per cent Indians surveyed would buy a mobile phone that was co-branded with a luxury brand - an area already tapped into by fashion giant like Prada.

40 per cent said they would buy a co-branded designer laptop computer, 32 per cent a "designer" flat screen TV, 26 percent would go for a designer branded MP3 and 24 per cent would buy a designer kitchen appliance.

There seems to be a huge market potential for luxury brand line extensions into every corner of the home and office and cross-over between brands and products is certainly an opportunity to drive the demand for these products.