Kolkata, 6 September 2024: Indian Chamber of Commerce organised India Luxe Lifestyle Forum, a Gateway to the Eastern Luxury Market on Wednesday, 4th September at Kolkata. The forum featured several sessions including The Lux Bazaar: Curating finer things & market experience on competition and partnership in Indian market in the age of AI; Luxury Redefined: The evolution of exquisite living; and CEO’s Roundtable on Global Trends Reshaping Indian Retail, Lifestyle, Fashion Sustainability and Innovation. Other sessions included, Success Factors of Food Retail in India and an Interactive Session with Celebrity Chef, Ranveer Brar. The event also hosted an exhibition showcasing exclusive products from the emerging brands of Kolkata. The first session was graced by Swaminathan Ramachandran, Chief Supply Chain Officer, Aditya Birla Fashion & Retail Limited; Vinod Bamalwa, Partner, Nemichand Jewellers & Sons; Vijay KG, Founder, Luxepolis.com; Samesh Duga, CEO, Webbies, Google Awarded Company; Anuj Singh, MD & CEO, Spencer Retail; and Dr Rajeev Singh, Director General, Indian Chamber of Commerce.
Discussing the trends and opportunities especially regarding technology adoption, Swaminathan Ramachandran, Chief Supply Chain Officer, Aditya Birla Fashion & Retail Limited, said, “System technology has provided significant opportunities, though capitalising to create lasting value remains a challenge. Long-term trading benefits from these technologies are still uncertain, making it a journey that will continue into the next year. The process of integrating these advancements into operations is costly but essential for businesses to stay competitive. One particular technology stands out for its potential to revolutionize the way banks interact with their customers, especially in America. Over time, as these systems become more refined, they will improve customer service and communication, although challenges remain in ensuring a seamless technology interface. The difficulty lies in allowing machines to handle complex tasks, while ensuring that human oversight remains in place. As technology evolves rapidly, the government and other entities must adapt quickly. One of the biggest challenges in the production business is balancing quick, short-term changes with longer, more organized cycles.”
Vinod Bamalwa, Partner, Nemichand Jewellers & Sons , said, “In the jewellery industry, enduring designs have always been a hallmark. Reflecting on the evolution of technology in our field, it's noteworthy that our industry was among the first to integrate 3D printing in jewelry manufacturing. We even used the same software as NASA to design space equipment, showcasing the seamless blend of science, technology, and art in our creations. In the past, customers would visit multiple times to browse through physical catalogs, some of which we've been collecting since the 1960s. They'd spend time looking at designs, bookmarking their favorites, and carefully deciding on their purchase. Today, however, the landscape has drastically changed. Customers now walk in with a phone in hand, showing us the designs, they've found online and asking if we have something similar. Despite having 2,000 designs in our store, they have already browsed through hundreds of thousands, if not millions, of designs online. This shift presents a significant challenge. Creating something truly new and distinct is becoming increasingly difficult. With AI now generating around 37% of all online content, the task of distinguishing our offerings from others is more complex than ever. While tools like ChatGPT can assist in designing jewelry, they lack the human touch and aesthetic sense that only a skilled artisan can provide. Yet, these AI tools are just in their early stages, and as they advance, the distinction between human and machine-generated art will blur, presenting a daunting challenge for artists and creators. As we move forward, we must work harder to carve out a unique space for ourselves in this rapidly evolving landscape. Customers are now more informed than ever, often knowing exactly what they want before they even step into our store. This reality demands that we not only meet their expectations but also find innovative ways to stay ahead in a world increasingly dominated by AI and digital influences.”
Addressing challenges such as cross-border issues and quality concerns that often hinder online luxury retail, Vijay KG, Founder, Luxepolis.com, said, “At the time, the e-commerce penetration in India’s beauty category was less than 0.2%, and major marketplaces like Myntra, Amazon and Flipkart were not focused on this segment. As a result, we had to innovate significantly to establish Nykaa as a leader in the online beauty space. My experience with these brands over 12 years taught me the importance of authenticity, which became a core principle of our strategy. Initially, the online luxury market was underdeveloped, with many e-commerce platforms struggling or failing. However, post-COVID, e-commerce penetration has surged globally, particularly in Asia, with China and India leading the way. Today, about 40% of luxury e-commerce happens online, emphasising the critical role of technology in this sector. My journey also highlighted how the blending of physical retail, online content, and social media has blurred traditional boundaries. Customers now research online, experience products in physical stores, and make final purchases based on convenience, often influenced by price and availability. With AI and technology playing a crucial role, luxury brands are now able to innovate more rapidly, optimise their supply chains and even embrace sustainability through new materials like plant-based leather. The future of luxury retail is increasingly online, driven by personalisation and the sophisticated use of data to enhance the customer experience.”
Addressing AI, a pivotal role in shaping both the front-end and back-end aspects of our industry, Samesh Duga, CEO, Webbies, Google Awarded Company, said, “Companies are leveraging AI to create exceptional digital experiences, and I’d like to share a few examples to illustrate this. One significant project involved using AI for luxury visualisation. We developed a tool for a client that allowed customers to visualise paint colours in their own homes, rather than just selecting from colour swatches. This not only improved the customer experience but also increased conversion rates. Similarly, for India's first AI-powered model for home interiors, we trained our system on 10,000 images of Indian homes, resulting in highly accurate predictions. AI is also revolutionising the retail space. For example, the ads you're seeing around the city—many of them are generated by AI, allowing companies to quickly produce and iterate on various options while reducing production costs. Additionally, AI is enhancing in-store analytics, such as understanding queue times and optimising product placement to improve customer experience. Interestingly, AI is even impacting everyday communication. I’ve noticed that many emails I receive are now written in perfect English, even from those who previously struggled with the language. This rapid change shows the power of AI, though it will take time for us to fully adapt to these new realities.”
During the welcome address, Dr Rajeev Singh, Director General, Indian Chamber of Commerce, said, “The luxury market is evolving rapidly, attracting interest not only from Indian companies but also globally. Today, we have some of the most eminent experts with us, and I’m confident you’ll benefit greatly from their insights. The retail landscape, especially post-COVID, has seen significant shifts, with e-commerce gaining a prominent share in both the global and national markets. While physical stores still hold a larger market share, online retail is growing steadily, driven by trends like AI and augmented reality. These technologies are reshaping customer experiences, offering highly personalised and engaging shopping experiences. Social commerce is also playing a vital role with platforms like Instagram and Facebook influencing purchasing decisions through AI-driven recommendations. The rise of Gen Z’s impulsive buying habits, especially in aspirational goods, presents both opportunities and challenges for companies. While the physical retail experience remains irreplaceable for many, particularly for certain products, the convenience and efficiency of online shopping are increasingly winning over customers, even those previously hesitant. Sustainability is another key trend with the next generation valuing and demanding sustainable practices. This shift is evident in the growing popularity of green and sustainable products. The luxury market in India is also expanding, fuelled by a growing middle class with increasing disposable income. Both global and local brands are finding ample opportunities in this space.”
While moderating the session ‘The Luxe Bazaar’, Anuj Singh, MD & CEO, Spencer Retail, said, “We've personally experienced how technology impacts almost every aspect of our lives. If any organisation becomes oblivious to the evolving needs of the consumer, it risks becoming irrelevant. Technology must be appreciated, embraced and integrated into every facet of business. It can range from simple to complex but its importance is undeniable.”
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