Texere 2022 Outlook From Industry Leaders - Indian Distributors Perspective

Feb 14, 2022

“With everything, a new year always brings hope and optimism, even if somewhat tempered by caution. In the luxury retail universe, there are already expectations that things will improve in the coming year and beyond. Luxury brands by all accounts have been on overdrive over the two Covid years, to become creative, inclusive and pivot to digital. With modern marketing, they have incorporated all the new codes to remain relevant and this has been so exciting. In all the noise of NFT, Metaverse and the fast-changing digital language, the retail brands have listened to the changing needs of the customers and incorporated those in their storytelling.

I remain very optimistic and here are my 3 top trends:

Ecommerce will be the central strategy for all luxury brands, this includes social commerce. Luxury brands have realised how much scale it brings to their business without setting up offline stores beyond the top 4-5 cities. The desires of the affluent in tier 2-3 towns across India has grown furiously, combined with the fact that Covid accelerated the embrace towards online shopping. The non metros cities of India have become a strong thrust areas and for some it has become almost 60% of their business.

Collaborations: Luxury brands & designers have realised that when two complimentary brands come together to create some degree of exclusivity with small collections, they not only create demand but also make a huge buzz. This signals relevance and greatly appeals to the Generation Z who are driven by pop culture. 2021 saw many great collaborations and I expect this trend to continue. Some collaborations to note- Gucci and Balenciaga, Indya Moore x Tommy Hilfiger, Converse x Telfar, Jil Sander x Birkenstock, LV x NBA.

Video content with storytelling that communicates the message authentically is key. Using influencers as brand ambassadors to carry this message on social media is something we have seen over the years. For instances, it’s undisputable, that TiK Tok followers have fueled this video content trend. Generation Z, now expect video advertising and related forms of content to be short, snappy, engaging, and multimedia in nature, all this is thanks to Tik Tok. Those brands who use short video content and combine it with immersive ads are particularly likely to experience success, although important continue to stay true to the brand’s identity.”

 

"2022 is going to be the first year in the post-pandemic world and will probably called Year 1 PP (Post Pandemic!) It’s going to be an exciting year for a number of reasons. Number one, there will be pent-up demand especially in case of travel and celebration (weddings, birthdays, and conferences). There will also be increased demand for discretionary goods – because people have in the last 2 years postponed their purchases. These trends will benefit the travel and luxury sector.

Number two, the world will be a lot more digital compared to the pre-pandemic era. We will see greater adoption of digital commerce, increased influence of social media, AI and use of bots in our everyday lives, and finally, we will see a lot of action in the Metaverse!

And finally, I believe that people will come back to physical stores also for the touch and feel experience. Companies and brands that can offer a superlative and seamless experience both - digitally and physically will greatly benefit in the PP world!"

 

"Uncertainty still looms large as Covid is turning more & more erratic and unpredictable. However, what is truly evident is that consumers need respite & retail provides the same. The consumer will continue to engage with the best in the trade. Better environments, secured protocols along with absolutely fascinating & delicious product offerings will keep the brands afloat only to emerge more victorious in the post-covid era. By using this time to improve on all parameters & by continually seeking & delivering innovation, will prove to be the key to successful retail in 2022."

 

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