French luxury retailer Galeries Lafayette said, on Wednesday, October 15, that it would open its first store in India, aiming to tap into the country's rapidly expanding market for high-end goods.
The flagship store, a sprawling 90,000-square-foot outlet in Mumbai, India's financial capital, will feature 250 luxury and designer brands and is scheduled to open in early November.
The launch in the world's fifth-largest economy follows a partnership with the fashion arm of the Aditya Birla Group, a major Indian conglomerate. The two companies signed an agreement three years ago to establish the Galeries Lafayette brand in India.
Galeries Lafayette executive chairman Nicolas Houze described the store as a "new chapter in our international journey," adding that the partnership with Aditya Birla provides a "strong foundation" for success. "We are proud to introduce an experience that brings together French heritage, creativity, and innovation, while embracing the energy and cultural richness of India," Houze said, in a statement.
Aditya Birla Group chairman Kumar Mangalam Birla said the partnership marked a "coming-of-age moment for Indian luxury retail."
"For the first time, India will welcome a luxury department store, housed in landmark real estate, executed with precision, and infused with the elegance of Indian sensibilities," Birla said in the statement.
India's luxury market remains relatively small, but has been growing swiftly, fueled by a booming economy that continues to mint tens of thousands of new millionaire households each year. These consumers are increasingly splurging on everything from Lamborghini cars to Louis Vuitton bags.
The market for high-end goods is expected to grow from $7.7 billion in 2023 to $12 billion by 2028. With its India entry, Galeries Lafayette and Aditya Birla are looking to secure a share of this growth.
A global shift towards online shopping, accelerated by Covid restrictions, hurt Galeries Lafayette's business model, which has long relied on footfall in brick-and-mortar stores.