Ambani heiress leads Reliance’s sales pitch for the super-rich with its first premium fashion store

The market for luxury items is growing in India with high demand for high-priced products during Diwali, even as the demand for affordable smartphones and two-wheelers dropped. Despite the glaring inequality, the fact is that India’s luxury goods market is expected to clock an 8 per cent growth, and hit $200 billion by 2030. It’s only natural that India’s biggest firm with interests in diverse sectors, Reliance Industries wants a major slice of the pie. Headed by Isha Ambani, Reliance’s first premium fashion and lifestyle store is gearing up to challenge chains such as Zara and Mango.

Reliance broadens the horizon for retail push

With eyes on the mid-premium section, Reliance Retail is betting on the demand for the latest in Indian and global fashion among Gen Z consumers. Reliance has already invested Rs 30,000 crore to scale up the number of stores to 2,000 and boost its e-commerce operations in FY22. It has also bagged global luxury brands such as GAP and Balenciaga for its portfolio, which now has 40 international fashion labels.

The heiress leads the way

The first premium retail store called Azorte under Mukesh Ambani’s daughter has been launched in Bengaluru. At the same time Reliance is also developing a luxury mall at the $1 billion Jio World Centre in Mumbai, that will provide space to the likes of Louis Vuitton, Gucci and other premium brands. As part of the retail expansion, Reliance is also focusing on groceries that picked up pace during the pandemic and eyes a collection of 60 brands in the household segment.

The bigger picture

Reliance’s focus on the premium segment comes after the luxury goods market in India crashed 33 per cent during the pandemic. A Euromonitor report also shows that despite robust growth, India’s luxury sales only account for 2 per cent of the global luxury trade. But the conglomerate seems to be banking on the fact that the number of dollar millionaire households in India went up by 11 per cent in 2021, even as the income for 67 crore Indians increased by just 1 per cent.