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Coming from the Sanskrit phrase Deepavali, which means ‘row of lights’ Diwali is a Hindu, Jainism, and Sikh celebration of the triumph of excellent over evil. 

With its emphasis on abundance and luck and rituals of lighting candles, it is an opportunity to bask in consuming sweets, dressing up and gift-giving. 

Usually happening between late October and November, this 12 months’s Diwali festivities will occur between 10-15 November, with the principle day falling on 12 November – the darkest day underneath the Hindu lunar calendar of the month “Kartika”.

While the standard alternative of clothes for Diwali are saris, lehengas and salwar kurtas, the strategy is altering, with India and its diaspora seeing a rising variety of high-spending prospects.

This pattern has proved to be an enormous alternative for luxurious manufacturers, equivalent to Jimmy Choo, Swarovski and Gucci who’ve jumped on it and produced restricted version ranges for the event.

“We’ve noticed that our clients are style-forward and experimental, pairing international brands with their traditional outfits, blending the best of both worlds,” Cecilia Morelli Parikh, co-founder of Le Mill, a leading luxury concept store in Mumbai told Vogue.

Demand for luxurious items

Earlier this 12 months we reported how demand for luxury goods from the wealthiest parts of society has soared.  

In April, French company LVMH became Europe’s first company to break the $500 billion barrier.  LVMH, which owns 75 luxury brands including Dior, Louis Vuitton and Tiffany also became one of the top 10 best-valued companies in the world.

This interest in luxury shopping does appear to be reflected in India where 70 per cent of Indians are ready to spend more this Diwali, representing a marked 35 per cent increase from last year. 

According to research by Mileu, this is due to more than half of consumers viewing their financial situation as improved (53 per cent), and just under half being eager to celebrate a lot more this year (49 per cent). 

A significant majority also said they were interested in purchasing luxury goods and apparel (84 per cent) and gold (80 per cent).

Luxury slowdown

This upbeat mood amongst Indians ahead of Diwali is good news for luxury brands, such as LVMH which have experienced a vibe shift over the last few months.

Shares in LVMH fell seven per cent in October due to a slowdown in the sales of spirits such as Hennessy cognac. Following several record years for the conglomerate, the post-pandemic luxury spree bubble may be bursting.

“In an unsure financial and geopolitical setting, the Group is assured within the continuation of its progress,” LVHM mentioned in a statement.

The STOXX Europe Luxury 10 index (.STXLUXP) additionally posted its biggest quarterly slide since 2020 earlier this month, which it put down to uncertainty over the European economy and also the uneven growth outlook for the Chinese economy.

Retailers have noted a growing gulf in spending patterns between the wealthy and so-called “aspirational” shoppers, who lack the means to regularly shell out on high-priced items.

India’s luxury market

India’s middle class is fast growing and represents 31 per cent of its population. 

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According to a report by Bain & Company, “youthful prospects and an increasing higher and center class can propel the luxurious market”, which is projected to expand to 3.5 times by 2030 in India.

Indian cultural website,“The Established” argues that culturally impressed collections are the important thing and types have to tailor their strategy to Indian shopper’s tastes. 

Capitalising on Indian festivals, particularly Diwali, is an efficient solution to go. However, whereas a number of luxurious labels launched collections for the Chinese New Year which could possibly be bought globally, the identical can’t but be mentioned about India.

Rarely do you see luxurious manufacturers’ web sites releasing collections for the pageant outdoors of India and even regionally, the Diwali editions are restricted.