Shoppers Stop to launch large-format standalone stores featuring brands like Gucci and Louis Vuitton: Report

Shoppers Stop, a department store chain, is set to venture into luxury retail with standalone large-format stores featuring high-end brands like Gucci and Louis Vuitton, according to The Economic Times. These new stores will also include The Collective, a luxury store from the Aditya Birla Group.

The company aims to launch two luxury outlets within this fiscal year, with potential locations in Kolkata and Mumbai, as reported by a source familiar with the matter.

According to a Bain & Co report, India’s luxury market is projected to reach $85-90 billion by 2030. This growth is driven by an increasing number of ultrahigh-net-worth individuals (those with net assets of $30 million or more), a rise in entrepreneurship, a robust middle class, greater ecommerce penetration, and demand from tier-2 and tier-3 cities.

The premium and bridge-to-luxury fashion market in India is currently valued at $7.86 billion. Global luxury brands are optimistic about the Indian market and are keen to enter and expand in the country, the report stated. Shoppers Stop aims to achieve 55% contribution from premium brands in the current fiscal year, up from 47% in FY24.

With 55 new stores opened in 2023-24, Shoppers Stop has made a substantial investment in expanding its footprint, with a capital expenditure of Rs 246 crore.

Additionally, the company renovated 13 stores, including seven department stores, five beauty stores, and one HomeStop, resulting in 71% of its department stores adopting its new brand identity.