F e b r u a r y
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I n d i a’ s L u x u r y I n s i d e r
Editor-in-chief’s Note
Glossary All Things Nice pg18 American Express pg04
Contents The Big Stories
Apple pg22
Bain & Company pg28
Burberry pg23
Cartier pg08
to sustainable preoccupations because it is nourished by rarity and beauty and thus has an interest in preserving them.” So wrote Jean-Noël Kapferer, marketing guru and professor at HEC Paris, Europe’s premier research centre on luxury. As luxury brands transform into global behemoths, leaving their carbon footprints across several nations, they also
Chanel pg11 Charlotte Olympia pg14 Chivas Regal pg19 Christian Dior pg11 Christian Louboutin pg07 deGrisogono pg08 Diageo pg16 DLF Emporio pg23 Dom Pérignon pg18
leave huge impact on the environment and the local community in countries that are starkly different from where they
Ermenegildo Zegna pg29
began their journey. Often accused of ennui and apathy, the global luxury brands are now looking for new ways in which
Four Seaons Mumbai pg19
they can engage the community and implement sustainable policies. Who would have thought that in the 21st century,
Genesis Luxury pg29
luxury would be as much about sustainability and environment consciousness as about beauty, rarity, handcrafted luxury
Glenfiddich pg17
and heritage?
Glenmorangie pg18
Worldwide, as concerns about the sort of affect that beautiful luxury bag you just bought has left on the environment, or questions about whether that dazzling gown was made in a seedy sweatshop, grows, so does attempts by luxury brands to deal with and address these issues. Ultimately, issues of sustainability and community development are about reinforcing the fundamental values of luxury — timelessness and soul. With this issue, BlackBook launches a new series on the efforts made by luxury brands to engage the community
Grant’s pg17 Grey Goose pg19 Gucci pg08
Jean Paul Gaultier pg11
with farmers and people from marginalised groups.
Johnnie Walker Black Label pg19
demigods, Bollywood offers glamour and gravitas to luxury brands hoping to make inroads into the inscrutable Indian market. Bagwati, a name given to the classic orange Kelly bag in Zoya Akhtar’s road movie-cum-browmance, Zindagi Na
Milegi Dobara, is as much a character in the film as the five leading stars. Sonam Kapoor’s Aisha may not be about good
Omega pg13 Paul & Shark pg24
placements and via his personal wardrobe has inadvertently championed the cause of luxury brands in India. Our cover
Rémy Cointreau pg18
story looks at the symbiotic relationship that contemporary Bollywood shares with luxury brands.
Salvatore Ferragamo pg07 Six Senses pg05 Swarovski pg26 Tag Heuer pg15 Taj Hotels Resorts and Palaces pg26 Tarun Tahiliani pg23 Teacher’s pg17 The Balvenie pg17 The Oberoi Mumbai pg19 The St. Regis pg04
2 | BLACKBOOK | FEBRUARY 2012
Tiffany & Co. pg05
Cover Credit Karan Johar Photograph by Dabboo Ratnani
THE LAST IMPRESSION
Bollywood is increasingly becoming the medium for luxury brands to reach out to their consumers
Innovation is the need of the hour for luxury liquor brands
European luxury brands need to invest in Customer Relationship Management in countries like India
In Focus
Moët & Chandon pg08
Qatar Airways pg05
Deepali Nandwani deepali.nandwani@publicitas.com
IN HIGH SPIRITS
Marni pg07
The one man who has consistently promoted luxury brands on reel and off it, too, is Karan Johar, who through in-movie
Indians to avant-garde alcohol labels. Keep reading.
COVER STORY
Luxury Collection pg07
Piaget pg08
and the innovative marketing strategies used by them when it comes to introducing
28
Louis Vuitton pg04
cinema, but it was certainly about style and luxury, and put Dior right up the pantheon of luxury fashion brands in India.
Elsewhere, alcohol brands and restaurateurs examine the market for extravagantly expensive alcohol in the country
16
InterContinental Marine Drive pg19
Jimmy Choo pg22
In India, where the pop culture is dominated by the Hindi film industry, and where stars are not just icons but also
10
Hermès pg11
and implement sustainable development policies with an article on the work done by the Taj Hotels Resorts and Palaces If engaging the community is one way of leaving an impact, the other way is collaborating with popular culture.
Should luxury brands be selling products on discount?
Anaita Shroff Adajania recommends using luxury in films only when the character needs it
Canali pg05
“Luxury and sustainable development share two deep concerns: rarity and beauty. Luxury is, at its essence, very close
THE OFF-RACK
RENDEZVOUS
Belvedere pg19
The Timelessness of Luxury
22
14
Armani/Casa pg07
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8
9
25
26
NEWS & VIEWS
LUXE BUYS
ENGAGING THE COMMUNITY
LUXELICIOUS
GRASSROOTS
— CEO — MARZBAN PATEL — ED — ANITA PATEL — CFO — MANISH MEHTA — COO — INDU JOSHI
— Editorial — Editor-in-Chief DEEPALI NANDWANI
— Art — Creative Director FARUQUI MUHAMMAD JAAN
— Marketing Manager — RITCHA VERMA
Chennai (09841091288) J V NAVEEN
Managing Editor NISHANT BANGAR
Art Director SANJAY RANE
Jaipur (09828150706) PEEUSH GUPTA
Senior Editor SUJATA DUGAR
Senior Designer SHAMKANT MORE
— Advertising Sales — Mumbai (022-22850188 / 61377200) LAMONT DIAS MALLIKA JAMSANDEKAR
LETTERS TO THE EDITOR Write in with your comments, suggestions and ideas to blackbook@publicitas.com
Contributors MICHELA ORNATI UDITA JHUNJHUNWALA
Image Editor ATUL JANGAM
Delhi (011-23730873/74) ASHA AUGUSTINE NIKHIL MEHROTRA
Production Manager ELIDIO FERNANDES
Bangalore (080-25592714/82514) YOGEESHA A
Kolkata (09831131395) SUBRATA MAZUMDER Pune (09850086865) SHAILESH AMONKAR — Admin. Department — Manager Mktg. Services SALIM B
Tod’s pg06 Ulysse Nardin pg04 Veuve Clicquot Ponsardin pg06 Wendell Rodricks pg09
This Magazine is printed by and produced by Mediascope Publicitas (India) Pvt. Opinions herein are the writer’s and do not necessarily reflect the opinions of MSP. Editorial enquiries concerning the reproduction of articles, advertising and circulation should be addressed to: BlackBook, Mediascope Publicitas (India) Private Ltd, 51 Doli Chamber, Arthur Bunder Road, Colaba, Mumbai 400 005, India. Email: nishant.bangar@publicitas.com. Material in this publication may not be reproduced, whether in part or in whole, without the consent of the publisher. BlackBook is printed at Colorpoint, A-2, 436, Shah & Nahar Industrial Estate, Lower Parel, Mumbai – 400 013.
FEBRUARY 2011| BLACKBOOK | 3
News & Views ST. Regis to enter india in 2016 Starwood Hotels and Resorts Worldwide announced that their super luxury brand St. Regis will make its entry into the country in 2016, with the opening of The St. Regis Noida, Delhi NCR. This will follow a string of developments from the group: in 2015 the American hospitality group will bring down the ultra-luxury W brand with the opening of the W Mumbai and the W Retreat & Spa Goa, which will be followed by the opening of W Noida, Delhi NCR in 2016. Outpacing its competition in India, Starwood Hotels and Resorts Worldwide is looking at opening almost 20 additional hotels in the country by 2015. Post the opening the Le Méridien, Coimbatore in November 2011, the group will continue its expansion in 2012 with the ITC Grand Chola, Chennai; Westin Chennai Velachery; ITC Rajputana, Jaipur and two Aloft hotels in Ahmedabad and Chandigarh. “Starwood continues to widen our long-standing lead in India, which is second only to China in terms of our future global growth,” said Vasant Prabhu, Starwood’s Vice Chairman and Chief Financial Officer. starwoodhotels.com
The Matelier’s Teatro
Appointments The St. Regis, Bora Bora Resort
Chef James Reppuhn joins JW Marriott, Mumbai as the new Executive Chef of the property. Born and raised in the US, Reppuhn has spent the past 12 years of his career working in China and Thailand in hotel groups like Amanresorts, The Ritz-Carlton and Four Seasons. In January this year, Manishi Sanwal joined the travel retail arm of LVMH, DFS India as Managing Director. Prior to this ,Sanwal has worked for over nine years with LVMH Watch & Jewellery with his most recent profile being General Manager, Indian Subcontinent.
Indian Ocean’s winning paradise Platinum year for American Express American Express reports higher than expected earnings for the fourth quarter of 2011, concluding a record year that was marked by strong cardholder spending. The company reported a net income of US$1.2bn in the fourth quarter, up from US$1.1bn in the same period a year-ago. “Card members spent a record amount on their American Express cards, continuing a trend that has translated into overall share gains during the last two years,” said Kenneth Chenault, Chairman and Chief Executive. Source: The Financial Times
Italian luxury menswear brand Canali has picked up 51 per cent stake in a joint venture with Genesis Luxury Fashion, the brand’s Indian franchise.
American jewellery giant, and the world’s second largest luxury jewellery retailer, Tiffany & Co. is in talks with Reena and Ashok Wadhwa’s Luxury Goods Retail Pvt Ltd. to enter the Indian shore.
Travel in Luxury
Soneva Gili by Six Senses won the ‘World’s Leading Villa Resort and Spa’ at the prestigious World Travel Awards 2011 held in Doha, this January. “We work tirelessly on ensuring not only the highest possible quality of service and comfort for our guests but also a happy and fulfilled team. We are so pleased to have again received such an accolade from the World Travel Awards, which involves 213,000 votes from within our industry,” said Iain McCormack, General Manager, Soneva Gili. Dramatically perched on stilts on the Indian Ocean, Soneva Gili in Maldives, offers extraordinary luxury, space, privacy and 360 degree sea views. sixsenses.com
Qatar Airways opens its new premium lounge at London Heathrow airport, reinforcing Doha–London Heathrow as one of the busiest routes for the airline. Located at Terminal 4, this lounge is the airline’s first dedicated facility for first and business class passengers outside its Doha hub. With this opening the carrier also announced additional capacity on the London Heathrow–Doha route, increasing its number of flights from four to five a day, from March 25, 2012. “With the London 2012 Olympic and Paralympic Games taking place this summer, the international spotlight will be on the British capital and we look forward to the increase in capacity and to welcoming more premium travellers on our high demand services to London,” said Akbar Al Baker, Chief Executive Office, Qatar Airways.
Mid-January saw the launch of French matelier Louis Vuitton’s first maison in Rome. Once the address of the Italian heritage city’s first movie theatre, Roma Etoile, the space now houses, besides the Maison’s expansive product range, a 3-D screening room. The 19 seat mini-theatre is scheduled to show a series of short films by some of Italy’s finest, beginning with Handmade Cinema, a documentary lensed by Guido Torlonia. The maison, which has been designed by award-winning architect Peter Marino, hones a classic meets contemporary aesthetic. The heart of the store, an elliptical staircase, pays tribute to the baroque architecture of the Italian capital and provides an open view of the three levels. louisvuitton.com
POSTCARDS FROM THE FOREST
The Cricketer’s Choice
Swiss luxury watch brand Ulysse Nardin launched a timepiece, ‘Yuvraj’, dedicated to Indian cricket star Yuvraj Singh. The 62-pieces limited edition is an Executive Dual Time version that is renowned for its unique time zone quick setting system, and has a signature of the sportsman on its case-back. “Yuvraj is already a legend in the art to practice cricket. Ulysse Nardin has chosen to join this tradition in India, which is as important as watchmaking in Switzerland,” said Patrik Hoffmann, CEO, Ulysse Nardin. The watch goes beyond just being a limited edition. Part of the proceeds from the sale of the watch will be donated to the Yuvraj Singh Foundation that supports sports, education and health projects for underprivileged children. “As a child it was a dream to own a luxury watch. Now at 30, I not only own a watch but also have my name associated with the World’s most prestigious watch brand Ulysse Nardin,” said Singh. ulysse-nardin.com
4 | Blackbook | February 2012
In the news
Mosaic and Art On June 8, 2012, Italian luxury glass mosaic brand Bisazza will throw open the doors to its new cultural area: The Bisazza Foundation. Dedicated to design and contemporary architecture and occupying a space of over 6,000 sq. mt., the foundation will be located at the brand’s headquarters in Montecchio Maggiore, Italy. It will showcase works and installations in mosaic created by internationally renowned artists and designers, and will also serve as a location to host temporary art exhibitions. To mark the opening of this space, Bisazza will present British designer John Pawson’s Plain Space for the first time in Italy, an original site-specific work, especially for the Bisazza Foundation. fondazionebisazza.it
Sakshi Art Gallery, Mumbai and Seven Art Limited, New Delhi presents ‘Post Cards from the Forest’ by Siddharth Dhanvant Sanghvi, from February 24 to March 14. A meditation on love and the threat of its sudden retreat, the collection of nine photographs, accompanied with text stories has a stark resemblance to the techniques of the narrative genius of French writer and artist Sophie Calle and American photographer Duane Michals. The pictures are inspired by Sanghvi’s 2009 move from the populated Mumbai to the forest town of Matheran. The second part of the show, titled ‘The Toy Train’, is a collection of photographs that represent the magical and witty reconstructions of forest life as seen aboard Matheran’s toy train.
February 2012| blackbook | 5
News & Views
iN PriNT “Designers create these lines to stand alone and they earn the respect and purchases of stylesavvy consumers.” — Helen David, head of women’s wear at Harrods on why luxury designer
BreAKiNG BouNDArieS The capsule men’s and women’s collection, Tod’s No_Code has been developed in collaboration with Jefferson Hack, the editorin-chief of the British luxury publication Another Magazine. tods.com
brands are releasing a new wave of accessible alternative lines.
“Indians are moving away from our handmade textile traditions. This is why a brand like Hermès has the audacity to come in here and sell a printed sari for £5,500. The sad thing is that Indians will queue up to buy those Hermès saris but they will ignore our handcrafted weaves.”
NeW CAMPAiGNS MARNI FOR H&M
The Marni for H&M collaboration is making news with the release of the first Sofia Coppola-directed print ad. The collection, which launches in stores on March 8, seems to be peppy, and focuses on rich natural colours and dimensional prints. hm.com
LUXURY COLLECTION
Starwood Hotels & resorts’ über-luxe collection of hotels, Luxury Collection, is aiming to draw eyes to its properties through an original film titled Here, starring actress Agyness Deyn. Debuting through a private screening and pushed through digital networks, the film follows Deyn on a journey that takes her to three of the Luxury Collection properties in the US. thefilmhere.com
BURBERRY
ruNWAy LooKS For orDer italian fashion label Salvatore Ferragamo is innovating shopping for new collection by allowing customers to pre-order looks from its women’s Spring/Summer 2012 collection through an interactive digital trunk show on their microsite. The website features a new ‘Style yourself’ section that allows shoppers to see how different items from the collection look together, as well as runway videos and a look book. trunkshow.ferragamo.com
British lifestyle brand Burberry has unveiled its Spring/Summer 2012 campaign images and video, which has a youthful and fresh appeal, and features actor eddie redmayne and model Cara Delevigne as a playful couple. burberry.com
— Sabyasachi Mukherjee, owner, Sabyasachi, on the limited edition saris by Hermès.
FIVE QUESTIONS WITH JEFFERSON HACK “We are coming out from a jolly good 2011. Beside the good news in Asia, we finally have double digit increase in the United States — and Europe, too, is doing fine because of a lot of visitors, from Russia, from Brazil and incredibly strong from China.” — Gildo Zegna, Chief executive, ermenegildo Zegna, on the company recording a 14 per cent increase in sales in 2011, pushing total revenues to €1.1 billion.
“We see mobile as the true bridge between online and offline. Our customer carries her device with her at all times and enters our stores more informed than ever.” — Miki Berardelli, Chief Marketing Officer, Tory Burch, on how the brand’s in-store mobile strategy has been a success.
6 | BlackBook | FeBruary 2012
What connects you with Tod’s? As an independent publisher i relate enormously to the personal relationship that Mr Della Valle has with the brand, despite it having grown into a hugely globally successful business. As a successful Editor-in-chief of AnOther Magazine, what made you design shoes? i am not a designer. i respect the work of real designers too much to try and pretend to be one! This collection is the product of collaboration where i was invited to bring my point of view to Tod’s. i oversaw every element and worked closely with talented designers at Tod’s and an amazing support team of my own. What does the name No_Code stand for? To me No_Code is shorthand for an outsider perspective that exists beyond formal convention, living beyond rules that are imposed on you by social norms. it means breaking traditional thinking of behaviour, and so came about the idea of having men’s shoes that are also for women.
Where did the inspiration come from? Colour was really important to this collection. The inspiration came from one of my art heroes Joseph Albers, who, along with his wife Annie, founded the incredibly inspiring Black Mountain College. His colour theory work and his art gave me a lot of clues on how to approach colour. The second key element is texture. The subtle attention to detail on fabric, the softest calfskin leather that Tod’s took a year to source for me and the most incredibly smooth suede that feels like fur have been used. Any plans to develop the No_Code collection further? yes, of course. We are already working on season two and looking at expanding the line with some new styles and designs.
CHAMPAGNe uNDer THe HAMMer india may not yet be a market for wine auctions, but Hong Kong recently saw a fierce bidding war between bubbly aficionados when Sotheby’s auctioned three of LVMH-owned Veuve Clicquot’s most covetable vintages. The auction raked in HK$ 283,875 for a bottle each of Vintage 1921 Magnum, Vintage 1929 Magnum and Vintage 1947 Magnum from the label. “The three thrilling Magnums of Veuve Clicquot Champagne, 1921, 1929 and 1947, came direct from their cellars in reims especially for this auction,” said Serena Sutcliffe MW, international Head of Sotheby’s Wine.
Marni
Luxury Collection
Burberry
[Scan the Qr codes to view videos of the campaigns]
WeLCoMe THe reD SoLeS The first Christian Louboutin boutique is finally here. Located in the luxury shopping mall, DLF emporio, New Delhi, the store brings with it the famous shoe brand’s Spring/Summer 2012 collection, which also features a special Bollywood-inspired line. Designed by New York-based design firm 212box, the store’s concept was conceived to showcase the designer’s passion for travel through interiors that come from countries far apart as Syria and the uS, alongside signature brand elements. Multicoloured reclaimed tin from old New england buildings are employed to juxtapose the fresh gold edges of the entry door, creating a visually exciting façade to the boutique. The product displays include white arched shoe alcoves reminiscent of an old theatre, which gives each product a stage to showcase their personality. The new collection embraces distinctive metal hardware detailing, which is showcased through a number of new styles such as the statement spiked evening clutch, the Marquise, the twist on the Louboutin classic Pigalle Spikes and metal-toed Gareth men’s dress shoe. christianlouboutin.com
The World Towers is an all-encompassing undertaking that transforms our notions of architecture and technology, and is geared to create a new, highest-possible aesthetic experience. So i wanted to give this incredible city the style of Armani/Casa with a special quality: a play of light. Giorgio Armani, on why Armani/Casa tied up with Lodha Group’s World One residential tower in Mumbai FeBruary 2012| BlackBook | 7
Luxe Buys
Luxelicious
DE GRISOGONO
The Swiss watch and high jewellery brand launches its pre-Basel watch — the Tondo Tourbillion Gioiello. The watch features the brand’s new mechanical movement that has an off-centre tourbillon at 8 o’clock. It is the brand’s first women’s watch that features a tourbillon, and de Grisogono has a trilogy planned for this line. To be launched soon is a watch with black diamonds and another with brown ones. This watch reflects the brand’s contemporary baroque design aesthetic with its luminous motherof-pearl dial and the sophisticated and elegant curves of its bridges. degrisogono.com
MOËT & CHANDON Every year, for Valentine’s Day, Moët & Chandon brings out a limited edition product for the season. This year, the Champagne brand introduces a special ‘Tag Your Love’ shopping bag coffret that has been conceptualised and designed by wellknown Swedish graffiti artist André. The coffret includes a magnum of the Moët & Chandon Rosé Impérial, a pink marker and a sticker booklet to personalise the magnum. Only six of these coffrets are available in India. moet.com
In India’s Hamptons Goa may not be dotted with Dior, Zegna, Vuitton and Chanel, but luxury travellers to the balmy beach town ensure that they carry the latest season on their annual ‘laze-off’ trip. They definitely don’t want to be seen in anything less at the many designer cafes and art stores that Goa boasts By Marzban Patel
PIAGET Piaget’s SIHH 2012 launch, The Gouverneur, is a subtle balance between two shapes — round and oval. The new line, which falls under the Black Tie collection, is a concentrated blend of the skills and history of Piaget. Presented in three mechanical variations — automatic, chronograph and tourbillon — each style is available in diamond-set pink or white gold versions. The Black Tie collection of this Swiss brand features elegant cases with a unique and distinctive design, as can be seen in the Emperador, Emperador Coussin, Protocole, Rectangle à l’Ancienne, and now The Gouverneur. Fitted with leather straps, each model of the collection features decorated cases that have been manufactured in-house and incorporates some of the latest complications developed by the brand. piaget.com
CARTIER
Cartier’s watches have always given form a character. But at the SIHH 2012 in Geneva, this January, the Swiss brand showcased the Tank Folle watch, which gives creativity a free reign. Channelling the whimsical extravagance of the 1960s Crash watch, this new piece boldly asserts freedom with deconstructed yet harmonious lines. The watch features all the facets of the Tank collection: sun-style dial, Roman numerals and blue steel sword-shaped hands. All these have been reinterpreted in a bejewelled twist with sparkling white diamonds on the case. The 200 pieces limited edition watch is powered by a manual-winding mechanical movement. cartier.com
GUCCI The Italian luxury brand introduces the Gucci 1970 bag that characterises Creative Director Frida Giannini’s Spring/Summer 2012 collection. The name Gucci 1970 is inspired by the year when, for the first time, metal corners appeared on the House’s accessories. Taking its cue from the archives of the brand, the bag is a modern interpretation of a historic style. This season the shape is spacious, ultra soft and the bags are available in traditional leathers such as nabuck calfskin, nappa leather, glossy crocodile and lustrous handpainted python. The palette is as luxurious as the materials — emerald green, black, natural beige tones, white and cocoa. gucci.com
8 | BLACKBOOK | FEBRUARY 2012
C
ome November and suddenly Goa is back in conversation amongst the Louis Vuitton and Cartier set from Delhi, Mumbai and Bangalore. Plans are afoot. “Which Louis Vuitton trunk will withstand the Dabolim airport carousel? Will the new Dior night lift serum keep pace? How many Tarun-cut sarongs will block the sun this year? Are Louboutins saltwater proof? Now that Taj is Vivanta, we bought our own 100 room villa! Sunburn’s too mass darling, Vijay’s party is indefinitely postponed. What’s the post lunch plan? Know a good spa? What colour should my Shivan & Narresh swimsuit be? Where can I get a decent outfit? ” The chatter peaks in December and ebbs only in April. If there is one destination in India that attracts the Platinum-card totters, the rich and famous, the party hungry, the gourmet struck, the designer smart, the hip professional and the yacht owner industrialist — it’s Goa. And if there is one destination where, after a champagne breakfast or Bloody Mary lunch there is no luxury shopping worth its salt — it’s Goa. Beach holiday destinations like Florida, Ibiza, Bali, Caribbean, Dubai, Cannes, Mauritius and even Zanzibar make great business destinations for upmarket luxury brands. All of these extravagant locales have swanky streets in facing clear blue glimmering sea that attract the limousine heeled ultra rich, for an evening of splurge. The mood is right, the wallets brimming and the overworked number cruncher totally relaxed. Luxury brands could not ask for a better opportunity to entice. Then why doesn’t Goa offer this? Though Goa may not have picked up to become a destination to grab the latest collection from Dior or Vuitton’s runway, or to order the exclusive ‘for Goa store only’ Hermés, but what this lazy beach state offers is a number of quaint designer stores and European style cafés, a.k.a the Hamptons, that is hard to find anywhere else in the country. Take, for example, Delhi lawyer Diviya
Kapur who moved to Goa and set up Literati, an alternative café and bookshop located in a 100-year old home in a quiet bylane of Candolim; Claudia and Hari Ajwani, who set up Nilayas, a boutique resort in old Goa, frequented by Hollywood stars like Richard Gere, Sharon Stone and Goldie Hawn; Los Angeles-returned Satinder Singh, an architect who runs an art residency at the secluded village of Moira; or Jamshed and Ayesha Madon who bought old, decaying Portuguese-style homes and restored them. Most run cafes and restaurants and galleries in these spaces, besides using them as their home, of course. Goa boasts many luxe stores that cater to the international travellers and Indian’s who are looking for an arty touch to their homes or style. One can’t forget that designer Wendell Rodricks is not only known to be ‘the Goan to know’, but his collections also reflect a Goan laidback lifestyle, albeit luxury in its cuts and structure; and the same goes for Savio Jon, whose clothes can be found in the bohemian luxury store Sosa’s that also stocks other designers like Sarah Eapen, Gaurav Gupta and Aki Narula. “Goa has been known for its bohemian approach to life. It need not evolve the same way as Cannes or Florida as the typical Goan tourist is seeking a retreat from urban life, and not necessarily a buzzing brands-driven atmosphere,” says designer Priyadarshini Rao. Besides the clickety-click of red-soled heels for the Adega Camoens bar at the Taj Exotica resort, Goa is a place where Plexiglas Chanel flats with matching plastic multi-coloured tote is a must, as you hunt for the most exotic sculpture for your sprawling duplex back home. • Goa is all about handcrafted Indian luxury. CLOCKWISE FROM TOP LEFT: Soto Decor, which stocks handmade Indian design accessories; The Siolim House boutique hotel; Wendell Rodrick’s luxury Indian wear
FEBRUARY 2012| BLACKBOOK | 9
Cover Story
stars Romancing with the
By Udita Jhunjhunwala
Stills from Zoya Akhtar’s recent film Zindagi Na Milegi Dobara, where Kalki Kechlin wears a Chanel jacket and carries the Tod’s ‘D Bag’ (Top); Farhan Akhtar wears a pair of Dior Homme sunglasses (above)
10 | Blackbook | February 2012
In the 1961 Hollywood movie Breakfast at Tiffany’s, when Audrey Hepburn’s character Holly Golightly ate a pastry and drank coffee standing outside the American jewellery brand’s store, it immediately added dollops of glamour to its image. Ever since, luxury brands have prominently been a part of many of Hollywood’s boxoffice successes. The Indian film industry’s romance with luxury might have started long back, but was made popular with one of the chicest films of the ’90s, director Karan Johar’s Kuch Kuch Hota Hai, when actors Shah Rukh Khan, Rani Mukerji and Kajol flaunted clothes by American brands like Tommy Hilfiger and DKNY. They weren’t luxury brands, but at a time when India was still warming up to international brands, it made them aspirational to the masses. Today, when the Indian market boasts some of the most fashion forward brands like Dior, Yves Saint Laurent and Burberry Prorsum, it is inevitable that they surface on the silver screen and off it, on the backs of the country’s biggest stars
Sonam Kapoor sporting a haute couture wardrobe and Dior’s famous ‘Lady Dior’ bag in the movie Aisha
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here may be little else you will remember of Aisha, the 2010 Bollywood adaptation of Jane Austen’s Emma, but you might just remember Sonam Kapoor’s haute couture wardrobe and enviable collection of Dior bags. In the 1980s and early ’90s, if luxury was defined by opulent saris, palatial homes, foreign location shoots and vast canvases, in modern times, luxury is defined by the brands characters wear and their seven-digit price tags. In director Nikhil Advani’s 2003 hit movie Kal Ho Naa Ho, Saif Ali Khan’s character, Rohit, carried a Louis Vuitton briefcase. Producer Karan Johar, brand loyal to Vuitton, believes that the inclusion of the bag not only immediately defined his character’s social status but also converted to sales of the briefcase for the brand. In an interview with BlackBook, Kalyani Chawla, Vice President, Marketing and Communications, Dior India, says, “The age of models has passed. Bollywood is now the largest influencing factor in our lives.” She ensured that the brand was prominently seen in movies by strategically associating with one of the most stylish films of Bollywood: Aisha. More recently, the French luxury brand Hermès’ Kelly bag became a supporting character in Zoya Akhtar’s 2011 film Zindagi Na Milegi Dobara, fortifying the presence of the brand in India. The orange ostrich leather bag travelled through Spain dressed in a hat and sunglasses, belying its 12,000 euro price tag. The handbag, nicknamed ‘Bagwati’ in the film, became a household name, even co-hosting the recent Zee Cine Awards with actor Farhan Akhtar. In Don 2, Shah Rukh Khan subtly sported Gucci and Tag Heuer, among other brands; in Chalo Dilli, actress Lara Dutta’s character hung on to her Louis Vuitton bag, while producer-director Karan Johar’s cast is rarely seen without a series of luxury labels draped over them. “LV sold so many President Classeur briefcases after Kal Ho Naa Ho,” says Johar. “The characters in my film Kabhi Alvida Na Kehna were affluent Manhattan residents who live the branded life. The brand came on board because there was a perfect fit — of exclusivity and the high life. They later also associated with Koffee With Karan because it was aimed at an urban audience. In Dostana, Priyanka Chopra plays the editor of a fashion magazine, so for her to wear couture labels made sense. So the brands must fit into the narrative — of the urban high life. For instance, there is nothing like a Burberry trench coat for a winter location film.” Johar is in the minority of Bollywood filmmakers who is passionate about luxury brands off-screen as well. “It causes many dents in my savings,” he says. This relationship between Bollywood and international luxury brands is not confined to the screen, but translates off it as well. Shah Rukh Khan has
long been the brand ambassador for Tag Heuer just as Aishwarya Rai is one of the international brand ambassadors of L’Oreal and Longines, Abhishek Bachchan is associated with Omega, Anil Kapoor signed his first brand endorsement for Montblanc and Louis Vuitton dressed seven Bollywood ladies to mark the opening of its second store in Mumbai, at the Taj Land’s End, in 2010. Tikka Shatrujit Singh, advisor to the chairman, Louis Vuitton, says, “Louis Vuitton and Bollywood enjoy an enduring relationship. The stars are gracious enough to support Louis Vuitton. We have many celebrities who have over time become friends of the brand. Their support to us evokes a great deal of interest and creates a very strong presence of Louis Vuitton in Bollywood.” At the Golden Globe Awards, for the Oscar red carpet, at the Cannes Film Festival, international couturiers trip over themselves to dress the nominated actors and actresses. For his Cannes red carpet appearance last year, Saif Ali Khan wore a classic Tom Ford suit, while Sonam Kapoor stunned critics with her statement-making black-and-white Jean Paul Gaultier gown. “I wanted eyeballs on my outfit and Gaultier does that,” she said soon after the event. More than the event appearances, it is in-film placements that really benefit luxury brands — a paradox given the mass appeal of Hindi films and the niche accessibility of these luxury brands. But it is this very reach, and the iconic, demi-god status of Indian movie stars, which luxury brands are hitching their designs to. Further, these placements demonstrate a change in Indian cinema, and the growth of fashion consciousness from the days of tea brands and paan masala logos in the background — products that cost less than ` 50 — to aspirational brands used by HNI Indians, which cost nothing less than ` 50,000. So, does this celluloid partnership translate into sales? Reports following Bagwati’s cameo in Zindagi Na Milegi Dobara claim that the number of inquiries for the Kelly bag did increase at the Hermès boutiques in India. It is probably safe to assume that the 12,000 euro price-tag would have shocked many. But then, for most luxury brands, any sale is better than no sale, and once in the door, scarves, ties, wallets and accessories are available at prices more within reach. Director Zoya Akhtar wrote in the part of Bagwati before casting it. The brief to her costume designer was “to provide a bag that is so extremely high-end that Imran (played by Farhan Akhtar) feels the need to protect it”. It also needed to “be structurally hard so that I could put glasses and a hat on it,” says Akhtar. The costume designer then approached Hermès, which was amenable to sharing two Kelly bags. Akhtar concurs with Johar that
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Cover Story
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Brand Boy Bollywood’s King of Luxury, Karan Johar is as extravagant in his movies as in real life By Nishant Bangar
Photograph Dabboo Ratnani
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cenic locations, extravagant mansions, elegant designer clothes and swanky cars, Karan Johar’s films pack them all. Kuch Kuch Hota Hai (1998), Kabhi Khushi Kabhie Gham (2001), Kal Ho Naa Ho (2003), Kabhi Alvida Naa Kehna (2006), My Name Is Khan (2010)… every few years, Bollywood’s most sought-after director’s mega blockbuster is a theatre owner’s best investment and a cinema-goer’s ‘to look out for movie’. Son of the illustrious yesteryears filmmaker Yash Johar, it was inevitable that the magic of filmmaking and movies create an impact in the junior Johar’s life. Surrounded by films through his childhood and being actively involved with filmmaker Aditya Chopra in the scripting of his debut Dilwale Dulhaniya Le Jayenge, Johar was inspired to write his own script and finally debuted as a director in 1998, at the age of 25. His first movie, Kuch Kuch Hota Hai, was not just a box-office success but also was the talk of tinsel town for its fashion. DKNY and Tommy Hilfiger featured prominently on the backs of the most sought after stars of that era — the top-onscreen couple Kajol and Shah Rukh Khan and newbie Rani Mukerji, whose short skirts and London-returned glam-doll look recreated sexy in Bollywood. The premium international brands became the aspirations of India’s middle class and every person travelling abroad came back with clothes from these American brands. With his second movie, Johar broke all boundaries of opulence. The north Indian industrialist Raichand family of Kabhi Kushi Kabhie Gham owned everything that one could think of — palatial homes complete with a helicopter landing pad, sleek convertibles, another mansion-like house in the heart of London, sparkling jewellery weighed down by the large chunky diamonds, and rich designer clothes by Manish Malhotra. If couture was described as film-sets, Kabhi Khushi Kabhie Gham would give the best couturiers in the world a run for their money. Why wouldn’t then a European luxury brand want to be a part of a film like this, which though caters to a mass Bollywood audience, projects an image of what the rich want to own. Not surprisingly, Johar’s next movie, Kal Ho Naa Ho promoted the Louis Vuitton President Classeur briefcase, used by New York-based young and suave businessman Rohit Patel, played by Saif Ali Khan. And there has been no looking back for either Johar or his characters, who have willingly sported the best fashion brands from Italy, France and the US. Johar’s association with luxury goes beyond the reel. “The only luxury I can’t afford is ego,” he tweeted last month. He drives a sleek white S Class Mercedes-Benz and is a self-proclaimed fan of Louis Vuitton. Rumour also has it that he’s the man behind Shah Rukh Khan’s wardrobe, which includes luxe Italian labels like Giorgio Armani. Amongst his best friends is fashion designer Manish Malhotra, and as though his association with luxury and fashion wasn’t prominent enough, in 2009, he collaborated with designer Varun Bahl to launch a limited edition label for men, Karan Johar + Varun Bahl. It wasn’t surprising that to support him in his venture, Johar had the big names of Bollywood on the front row and the bigger names like Shah Rukh Khan, Gauri Khan, Imran Khan and Ranbir Kapoor on the runway. “Our fashion sensibilities are very similar, and he’s always been drawn to fashion,” said Bahl on why he partnered with Johar.
Left to Right: Kabhi Alvida Naa Kehna and Dostana
luxury brands should be used only when they fit into the script. The brands themselves carefully study the script before agreeing to such an association. Johar explains that most often the products are loaned to the production and must be returned untarnished. “If you are showing a person from a particular economic stratum then the things around that person define them. It works for the brand and it works for us to create an identity and an environment,” adds Akhtar. Hence actress Kalki Koechlin, who played a wealthy interior designer in Akhtar’s film, was seen sporting a Chanel jacket and the Tod’s D bag. Internationally, Hollywood star Anne Hathaway is the face of Tod’s. In India, Tod’s has taken a subtler stance and has befriended Bollywood but not yet succumbed to the brand ambassador route. When asked if these associations with films and celebrities help sales, a Tod’s spokesperson replied, “We do believe that product placement on international stars, or talking on Bollywood celebrities, is one of the most powerful tools for marketing and communication. Stars are all becoming opinion leaders and they are on international magazines on a regular basis. People consider them a lot and they pay a lot of attention to their look and suggestions. Many
“If you are showing a person from a particular economic stratum then the things around that person define them. It works for the brand and it works for us to create an identity and an environment” — Zoya Akhtar
The Five Golden Rules of Choosing a Celebrity Rule One: Credibility The celebrity must be credible. This means that s/he must have a high level of expertise and talent in their field. These merits bring value to the brand and indicate the intent of the brand in being associated with the very best. Actors Tom Cruise and George Clooney have star power because of their talent.
Rule Two: Global Appeal The celebrity must have global appeal. This means that the he/ she must not only be known worldwide but must also be appreciated and well liked by a majority of people in the consumer and fashion society. Charlize Theron and Halle Berry are two actresses that satisfy this criterion effortlessly.
Rule Three: Personality The celebrity’s personality must match the brand’s personality. Luxury brands often make the mistake of choosing a celebrity to endorse their brands based on their popularity and appeal. Although these attributes are important, it is essential to understand the significant role that a celebrity’s personality brings to the brand. A classic brand such as Hermés is most likely to give a clear brand message by using a celebrity who portrays this characteristic through their qualities and demeanor rather than one who exhibits non-conformism. Where a celebrity that portrays a different brand personality is used by luxury brands, it should be for a strategic purpose such as brand re-positioning, new product launch or brand extension. The personality of the celebrity should also reflect a positive brand image rather than a negative one. For example, there is a definite match between Nicole Kidman and Chanel, and between Uma Thurman and Louis Vuitton.
Rule Four: Uniform Power
times, people all around the world come to our stores asking specifically for Tod’s accessories worn by determined celebrities.” The marketing challenge for luxury brands is to create a demand for something that is not really a need. By using Bollywood celebrities and movies, these brands get instant brand awareness, mass contact and become defined by those celebrity values. A celebrity imparts credibility and aspirational value to a brand, but she needs to match the product. “We truly believe that celebrity branding is the most powerful marketing and communication tool used up to now by all the luxury fashion brands to spread their awareness around the world,” says Tod’s. The newest entrant into the luxury domain in India is shoemaker for the well-heeled, Christian Louboutin. As if to herald the opening of his first store in India, Louboutin launched a bright and bling Bollywood collection with suede and sequin styles called ‘Bollywoody’, ‘Devidas’ and ‘Mendoza’. Last year, when fashion house Salvatore Ferragamo hosted Abhishek Bachchan at their Florence headquarters as part of the ‘Shoes for a Star’ project, and Priyanka Chopra the year before, they became the first Indian actors to receive bespoke shoes from the Italian brand. “The Indian scene is defined by film. Mass audiences look to actresses and cinema for cues. Every fashion magazine has a Bollywood star on the cover. If the audience is only interested in actors, and that is what is selling, then that is what brands benefit from,” says Akhtar Movies and movie stars have become icons of style, change and extravagance. And they have proved that they can sell it all — coffee, satellite TV, cars, watches and even 12,000 euro bags. •
The celebrity must not overshadow the brand. This is particularly important for new and upcoming luxury brands. Several established luxury brands already have powerful brand personalities, making it a challenge for celebrities to outshine the brand. However, other brands that are yet to ascertain a high level of brand strength have to be careful in choosing a celebrity whose strength doesn’t surpass that of the brand.
Rule Five: Constancy The celebrity must have constancy and lasting appeal. This means that the celebrity should have sustainability and the knack to maintain their image and career accordingly. This is often based on how predictably successful a celebrity’s career and role as a star is projected to be. It is quite similar to the sales forecast projection that companies make using previous and current cash flows. Some stars might have been in the entertainment business for decades but wouldn’t be the appropriate choice for luxury brand communications because of their lack of constancy and lasting appeal. (Excerpted from Luxury Brands & Celebrities: An Enduring Branding Romance by Uche Okonkwo in Brandchannel.com. The author is the Executive Director & Co-founder of Luxe, E.t.c., a Paris based strategy and management consultancy specialised in the luxury industry.)
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Rendezvous “There are four things that I do in my life — I am a mother, Fashion Director of Vogue India, I work in films and advertising. They are all very different from each other,” says Anaita Shroff Adajania, India’s best known fashion stylist. And she juggles them all with ease and aplomb, dressing up stars in the best brands. Little do people realise that there’s a lot that goes on behind the scenes
Do brands approach stylists or do stylists approach the brands? I am pretty much familiar with all the brands but sometimes, it is possible that they feel that I didn’t want to ask them for their products, for a project. So they call and ask if there is anything that I am looking for. However, it also depends on who the stars of the project are as that is a big deciding factor on how much the brands are willing to give.
From Reel to Red Carpet By Nishant Bangar
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ith over a decade of experience with some of the best fashion magazines in the country — all international titles — Adajania is the woman behind trendsetting advertising campaigns for brands such as De Beers, Rado, L’Oréal, Tag Heuer and Longines. When it comes to films, whether it was the sizzling looks of Hrithik Roshan and Aishwarya Rai Bachchan in Dhoom 2 (2006), Deepika Padukone’s quirky girl next-door in Love Aaj Kal (2010), Abhishek Bachchan and Priyanka Chopra’s hip-hop style in the song ‘Right Here Right Now’ from Bluffmaster (2005) or the Marilyn Monroe metallic style showgirl dancers in ‘Rock and Roll Soniye’ from Kabhi Alvida Naa Kehna (2006), she’s ensured that each of her characters’ style adds to the story of the movie. Along the way, most of these fashion statements also became the country’s ‘mustfollow’ styles of the year. Adajania is a pure believer and promoter of fashion and luxury in her own way. Though she is not the ‘must get the brand’ shopper in her personal life, she believes in luxury and loves to promote it through her work. However, “I only use luxury brands in films if the character needs it for her look,” says the award winning stylist who insists that Bollywood is a win-win situation for brands, and definitely increases sales. How do you bring luxury into your personal life? I live a very non-luxurious and simple
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life with luxury being present only through my work. I am a part-time mother and part-time workaholic, and juggling the two is how I keep myself busy. However, working with a luxury magazine and on films, luxury does become a natural extension of what I do. I deal with the biggest international fashion houses, accessory designers and Indian designers. I also travel for the fashion weeks every season in Paris, Milan, London, New York, Delhi and Mumbai. In short, I live a very schizophrenic life because I follow the international fashion cycle, which is six months ahead of time. At the end of the day, my luxuries are sleep, holidays and quality time with family. Is that what luxury means to you? It doesn’t mean that completely because I have two facets to my life. But in my personal space that is what luxury is. When I am not travelling on work or not working, it is a luxury for me. Luxury to me can be very small things, like my home being the way I want it to be, my family being around and accessible when I want them, and being able to do the kind of work that I want to. Do you use luxury brands? Which are your favourites? I could never tell you the names, as I have to be ‘politically correct’. I use a lot of brands but more on the peripheral in terms of bags, shoes etc. I dress very simple and wear jeans almost 80 per cent of my life. Yes, I buy luxurious jeans but they’re still jeans and not gowns. I like my
luxury bags, jewellery and watches but at the end of the day, I buy what I like in terms of design and not necessarily the brand. So, you love to accessorise. I do love that, because what I wear is very straightforward and simple. My accessories do most of the talking. How do you bring luxury into the film you style for? When I am styling for films, everything depends on the character. I am not a designer, so I do not have to sell a line of clothes at the end of the movie. For example, I don’t have to give 70 anarkali kurtas in my films because my next collection consists of anarkali. I have an advantage over designers because I can take styles from various designers, without having to worry about whether the garments will sell or not. A lot of research goes into each character. We create character mood boards, which are passed by the producer, the director and everyone else on the creative force of that particular project. Only after that do we shop. If the character is someone who should carry a Dior bag, she will carry it. If she is someone who can never afford a Dior bag but will wear H&M, then the shopping will be done accordingly. I do not throw in luxury for the sake of having luxury in the film; it has to be relevant to the character. For example, in Love Aaj Kal I didn’t use any luxury brands for Deepika’s (Padukone) character, because that was not how she would dress. We took Hawaiian
dresses from a new Indian designer, Divya Mohta, and used them as kurtas. It was in a way using luxury because the clothes were from a designer, but we turned the luxury around to suit the character, without it being, ‘Oh I am wearing a Louis Vuitton jacket’. However, there are other films, which are yet to release, where it is relevant for the character to wear luxury and I have ensured that they wear a lot of luxury. How do you decide on a particular brand that the character requires? It is personality driven. For films we have a slight disadvantage as we don’t buy the products; they are loaned to you for the film and you either return them or the stars keep them, depending on the brand. From the fashion shows, we pick and choose what we like. However, we have to keep in mind that most people and characters fall within a certain bandwidth of brands that they use. There could be a character that uses the highest bandwidth like Louis Vuitton and Hermés, or one that is quirkier and would probably wear Charlotte Olympia shoes. It is well thought out and not ad-hoc. So, you do have options to choose from? Yes, lots of options. At the end of the day we generally have a lot of products and we take things that match the look the best. For example, if she is going on a vacation for two days then she will not carry her normal leather day bag. We’ll give her something that is more suited for a holiday, say in plastic.
How do you maintain a balance between the brands that the stars are associated with off-screen and what they sport on-screen? It has never been a problem with the stars that I have worked with but there are some strong associations. For example, because Shah Rukh (Khan) is the ambassador of Tag Heuer, he chose to use a watch from the brand for Ra.One, and they made a special watch for the movie. It helps in a good way because the brand is then enthusiastic about any project that the star is associated with and is willing to create something special for his projects. However, there is a flipside when stars are associated with mid-range brands and play rich characters. You may want the character to sport a much higher-end product, but it is then best to eliminate that item from his style completely. Nowadays a lot of films are also tying up with brands, where they work with the stylist to create collections that are used for the film. Such associations have become very common for jewellery, shoes, clothes etc. Doesn’t majority of Bollywood movies still cater to mass-market though? Associations with Bollywood help to sell products in the mass market! However, you will be surprised how much of society and people who have the money are interested in owning what the stars do. So the stars are still the style icons, whether we like it or not. I definitely love it. If Kareena (Kapoor) is seen carrying a bag in a movie, you can rest assure that the luxury brand will be called for a few bags the next day. Does that work better than giving Kareena a bag for an event? Both work. The public who may not be very well-informed about fashion getsbyknowledge of the Photograph Bajirao Pawar
brand. We recently gave Deepika (Padukone) an Alexander McQueen clutch for a La Senza store opening. The photograph was featured on the front page of newspapers and people were talking about it. Such associations create awareness and there is a lot of ‘me too’ happening. I get a lot of calls from the NRI audience asking me to create clothes that I have used to style films, and I have to turn them down because I don’t manufacture. What values do stars add to the brand? Visible association. Having a star carry your product is a huge endorsement. It works for both sides as stars also get the best, before anyone else and before it is available in the stores. And everything happens without money changing hands! Can it work on the flip side? Movies have a risk of not doing well, but rarely will anyone say that the actor gave a bad performance because of the brands that she was wearing. I think it is a win-win situation for the brands, with the only loss being less visibility if the film doesn’t do well. And they haven’t paid any money, so there is no financial loss for the brands… I don’t know how it works with other people, but I have been in this industry long enough to get a lot of things on goodwill. Fortunately, there is certain credibility with me and brands trust that I will not use the product in a bad light. When we call in for products it is very clear whom it is for. So if I have called in a bag for a particular character, someone else won’t be given the bag just because she had nothing to carry.
the focus on the bag definitely created awareness, which also coincided with the launch of the Hermès store in Mumbai, give or take a few months. It was a good platform for a lay person to know a Kelly. Whether they sold more Kellys or not, I don’t know, but I would think they did. Did it have an impact on the loyal Hermès customers? Yes, it did. Users of luxury are very protective of what they use. They don’t want everyone to have it otherwise it is not luxury anymore. How do you work with this dichotomy of the loyal and the new customer when you are working with luxury brands? You have to ensure that you cater to both. The purveyors really understand the brands, while there are other things that the ‘butterfly’ money luxury consumers are looking for, none of whom will ever buy a classic Céline shirt. For my films I never use a luxury bag so that my characters don’t look like they have ‘nothing’. In Race, Katrina (Kaif) played a secretary, but the secretary was sleeping with her boss, so she had the Fendi D bag, which was the ‘it’ bag. Those were subliminal messages but I don’t know if anyone even understood it. It wasn’t the other way round that she carried the D bag because the bag was an ‘it’ bag. •
Did associating with Zindagi Na Milegi Dobara really work for a brand like Hermès? Zoya’s (Akhtar) movie was a hit and
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The Off-Rack
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hen Apple launched the first edition of the iPhone in June 2007, hundreds of customers queued-up outside Apple stores in USA, waiting to buy what was known to be one of Apple’s best products. At USD 599 and USD 499 for the 8 GB and 4 GB models, these phones didn’t sell cheap, but that didn’t deter Apple lovers all over the country. Ever since, Apple has had a huge success with every model of the iPhone that it has released, not just in the country of its origin, but all over the world. Queues similar to the ones outside Apple stores were seen when luxury shoe brand Jimmy Choo tied up with the very fashionable highstreet brand H&M in 2010. Though bringing out a capsule, limited
edition collection in congruence with a luxury brand has now become one of H&M’s strategy to capture the aspirational group of shoppers, at that time, Jimmy Choo was doing something revolutionary — creating a collection of not just women’s shoes and bags like it’s known for, but also apparel and men’s shoes. Shoppers waited for the collection to launch at H&M stores and ensured that every item was sold out within days. Such rush and desire to acquire something is rarely seen anywhere else today. Unless, of course, it is a Louis Vuitton store in Southeast Asia, where serpentine queues outside the French brand’s stores is inevitable, irrespective of the time of the day or month of the year. Or,
The Details if Barneys New York is hosting its popular ‘Barneys Warehouse Sale’. “It is a kind of sale that you don’t see anywhere else. The deals are so good that you won’t mind waiting for the sale period to buy something,” says Karishma Shahani. An avid shopper and a luxury consumer, Shahani managed to catch the sale when she was travelling to New York in 2010 and ended up buying some of her favourite brands at a huge discount. The sophisticated multi-brand store stocks the best names in luxury and fashion, from Gucci, Dries Van Noten, Yves Saint Laurent, Maison Martin Margiela, Marc Jacobs, Christian Louboutin and Burberry Prorsum, among many others. It goes without saying that when a store like this marks down its
products 50 to 75 per cent off retail prices, it is a godsend gift for every person who relates herself even the slightest bit with Sophie Kinsella’s character Rebecca, Bloomwood in Confessions of a Shopaholic. “Every respectable closet in New York has one or seven items bought in haste at a Warehouse Sale,” writes Jon Carmanica in The New York Times. The Indian Scenario Indians have always been value hunters. This personality trait of Indians has prompted cities like Dubai and Singapore to attract a large number of ‘bargain-hunters’, by dangling a ‘sale’ signboard in front of our eyes. Every year in January, Dubai turns into a shopping oasis in the middle of a desert when
Marking Down Luxury Each season, luxury brands heavily discount the prices of their products to sell off leftover stock. Though these sales work well in recovering revenues, they do end up affecting the image of the brand
By Nishant Bangar
the city promotes its popular Dubai Shopping Festival. All flights coming into India from Dubai during this time of the year is packed with shoppers carrying back everything, from fashion brands to television sets and microwave ovens, all bought at a discount. With the rapidly increasing fashion industry, and especially the luxury segment, Indian shoppers now have the luxury of similar sales in their own city. Walk into malls like the hybrid Palladium at High Street Phoenix, Mumbai or the tony DLF Emporio in New Delhi every January and July, and there is a sea of shoppers carrying multiple shopping bags from various brands. The scene easily dispels any rumour of a recession and an economic slowdown. At these times of the year, almost every brand is celebrating the fin de la saison, with products marked down 25, 50 and sometimes even up to 70 per cent of the retail prices. And it isn’t just the high-street brands that are luring shoppers in with these large sales; brands like Burberry are not far behind with a discreet ‘Sale Up to 70 per cent off’ sign on their shop window.
“Our brand typically goes on sale twice a year, usually in January and July, at the end of the seasons, at par with international standards,” says designer Tarun Tahiliani. For his brand, the New Delhi-based designer marks off clothes based on the number of pieces available for each product and the season that it belongs to. “The older the piece, the greater the discount. The more pieces we have of a style or category, the greater the discount,” he says. The strategy may be true for most brands, as the main target is to sell all old stock and refresh the store with new ones. In doing so, many brands increase their markdowns during the period of sale, either in phases, like French Connection, or
Many brands increase their markdowns during the period of sale, either in phases, like French connection, or directly from one slab to a second one, like Burberry
Nalini Gupta Country Manager Burberry India
Raised in small town Chandigarh, Nalini Gupta has experience that ranges from paints to saris. When Genesis Colors signed up with British luxury brand Burberry in 2009, Gupta was chosen to lead the path to the brand’s India success. And she’s proved herself: Burberry today is the most profitable luxury brand in India with seven stores across the country Which is the product that best signifies your personal style? The Burberry trench coat; it is a classic with a very particular character and surpasses seasonal fashion. When it comes to Indian-wear, saris symbolise my style for most occasions. Is there an object that you would never part with? I believe in never say never but yes, I would never part with the jewellery that I inherited from my mother. What grooming staples are you never without? A lipstick and a perfume. The new range of lipsticks introduced by Burberry Beauty and the Burberry Body fragrance are always with me.
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The books on your bedside table right now… Steve Jobs by Walter Isaacson. It is a very inspiring book from what I have read so far. I am also reading The Gospel According to Coco Chanel, which delves into the extraordinary life of the legendary French designer, Coco Chanel.
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A recent find that you are gung-ho about. On my last visit to Dubai I fell in love with the cupcakes at Magnolia Bakery. Which are your favourite shopping destinations? I love the vintage stores at Camden Market, London and silver jewellery and artefacts from Jaisalmer. Which restaurants do you eat at around the world? Nobu in London for its fusion cuisine, Dum Phukt at ITC Hotels for its intense flavour and the taste of slowly cooked food, and Cipriani in New York for sumptuous Italian food and a unique ambience. What is the biggest challenge of the Indian luxury industry? The challenge for almost all luxury brands in India is client servicing, the key to which lies in finding the right personnel who understand the essence of service. Every employee of a luxury brand should be passionate about the role. The only solution to this is to hire enthusiastic people from retail and hospitality backgrounds and put them through a rigorous training, which will bring them at par with international standards.
Interview by Karan Kapoor continued on page 24...
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The Social Index
directly from one slab to a second one, like Burberry. “Our bags were 25 per cent off and now they have gone down to 40 per cent,” revealed a salesperson at a Burberry boutique. How effective are sales for a luxury brand? The almost half-price at Burberry seemed to be working for the brand. On a weekday, when I visited the store, every salesperson was busy with a shopper and I had wait to be attended to, something that isn’t always the situation at a luxury store in India. Shoppers sifted through products and purchased bags as though they were the last few pieces. And they were. “This bag is our bestseller. We’ve sold three pieces during the sale period,” said the salesperson, picking up a brown leather hobo. Though many of the other sale products were two or even three seasons old, this one was from the Autumn/Winter 2011/12 collection. The store lacked the ambience of being luxury. Bags and
“Any brand that holds sales cannot be a luxury brand, or, more precisely, the products in the sales cannot be luxury products” — JN Kapferer & V Bastien
scarves lay strewn across counters, drawers were left open with products flowing out and clothes hung on racks without any order. Though for a luxury brand a disorganised store like this is unacceptable, it did give the feel that the sale is doing really well for Burberry. On the other hand, brands like Paul & Shark and Hugo Boss had well-stocked, neatly displayed racks. Their empty stores did give an impression of failure in attracting the shoppers in the mall. But that wasn’t really the situation. “We’ve sold our entire coloured Polo-shirts collection during this sale period,” said a spokesperson at Paul & Shark, where all products barring one rack was marked down. The salesperson claimed that their walk-ins increase proportionately during the sale period. It isn’t only the international luxury brands that see a higher number of shoppers during their sales. “We (at the brand’s stores) have 600-800 walkins every month and during the sale period this doubles,” says Tahiliani. Shoppers at the stores of the brand mostly constitute regular clients who love the idea of getting a bargain. However, they also do attract bargain-hunters who otherwise cannot afford the brand. Should luxury brands be reducing prices? Price reductions have been the strategy of not just high-street brands but also luxury brands across the world. If Barneys Warehouse Sale has become synonymous with selling luxury at a lower price, today, international e-retail websites like Gilt.com and Outnet.com offer shoppers bargain prices all through the year. Though Gilt.com runs on
No Sales in Luxury It may be opportune to give a price advantage in certain cases to particular clients. In order not to damage the brand and to legitimise a reduction in price, this approach must be personalised and individualised: you do not lower prices because you can’t sell off the product; on the contrary, it is the brand that decides to enable such or such customer to benefit from favourable treatment. The key point is to manage this personal aspect well: by lowering the price, you are not devaluing the product, but giving greater value to the client, since you enable them to make a good bargain. The two most legitimate reasons and ways of doing this, both at an image and an economic level, are: • Seducing discerning clients who are blasé, or who feel guilty because they
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•
the concept of flash sales, where each sale lasts for about two weeks before the products are changed, Outnet.com is a spin-off of brand outlet stores that sell old-season products at discounted prices. However, when luxury products are available at cheaper prices, it could trigger anti-reactions from regular customers. One cannot forget the strong protests and hate mails from iPhone early adopters when Apple suddenly reduced its price a couple of months after its launch. Though Apple managed to save face by providing a USD 100 shopper voucher to all its clients who had purchased the iPhone at a higher price, this isn’t always possible. “We recently had a client who was upset that the dress she had bought at a higher price was now available cheaper,” said a spokesperson at the French Connection store. There was little that the store could do for the shopper, other than try and convince her that this was a global policy. Renowned management gurus, J N Kapferer and V Bastien, in their book The Luxury Strategy: Break The Rules of Marketing To Build Luxury Brands, say, “Any brand that holds sales cannot be a luxury brand, or, more precisely, the products in the sales cannot be luxury products”. According to the authors of this book, many luxury brands do go on sale to bring in customers to their stores and to sell off any excess stock. However, every brand needs to have a strict control over product policy, manufacturing and distribution to avoid a sale situation, or follow the footsteps of French luxury brand Louis Vuitton, which destroys unsold stock at the end of the season rather than sell it at a discount. •
already own many of the brand’s products: they will buy yet another product, on the pretext (either to themselves, or to their partner!) that it is ‘a bargain’. The key point is this: it is a brand that they like, and continue to like; not only does this offer not put them off the brand, but this advantage makes them like the brand even more; in fact, it is a loyalty gift that the brand is giving them. Moreover, rather than being compulsive buyers, they are shrewd buyers. The sine qua non: never do this with anyone who is not already a loyal client of the brand. Giving a new client the opportunity to discover the brand universe. In order to avoid any misunderstanding, the reason for the advantage should be clear, and moreover be clearly perceived as legitimate. This could be, for example, a special offer for newlyweds, or for a first child, or for obtaining a prestigious degree.
The Luxury Strategy: Break The Rules of Marketing to Build Luxury Brands by J. N. Kapferer and V. Bastien
Engaging The Community The Taj Hotels Resorts and Palaces believe in the philosophy of sharing their earnings with the residents of the culturally rich regions that their properties are based in By Nishant Bangar
A
round the popular wildlife destination, Bandhavgarh National Park, in the heart of India’s central state, Madhya Pradesh, it is a common sight to see villagers traditionally grow seasonal vegetables in their backyard. Uneducated and unaware of the techniques of large-scale farming and lacking knowledge of exotic vegetables like broccoli and lettuce, despite a number of luxury resorts around the sanctuary, farming mostly remained a means of selfconsumption rather than trade. Until Indian Hotels Company Limited, Company Limited, the holding company of Taj Hotels Resort and Palaces, provided them with help and support. Taj Safaris, the luxury wildlife resorts of the Taj Hotels Resorts and Palaces, as a part of their commitment towards creating shared value and local enterprise development, partnered with 12 farmers in Pataur and Dobha villages in 2010, as a pilot project. Given the availability of farming land and irrigation facilities, these farmers were provided with exposure and training such as the use of cowdung manure and traditional herbal pesticides made of liquid concentrate of tobacco, red chilli powder etc. The farmers were encouraged to produce and sell to the nearby resorts and hotels at market prices on immediate payment terms. In the three months after the start of this project, the Taj Safaris Mahua Kothi Lodge purchased almost 500 kg of vegetables from these small-scale farmers. “We continue with ‘Building Sustainable Livelihoods’ as our social responsibility agenda, and we have aligned and integrated our efforts to forge private-public partnerships to address contemporary societal needs and challenges,” wrote Raymond Bickson, Managing Director, Indian Hotels Limited, in his statement for the group’s 8th Corporate Social Responsibility Report 2010–2011. The group believes that while the existence of their properties in remote and culturally rich destinations lead to economic development of the region, dedicating time and effort towards development investment leads to significant value-add to the region and its inhabitants. In 2010-11, the group sourced `127 million worth of goods and services from cause-based NGOs, local self-help groups, and less privileged individuals. These have mainly been things like vegetables from kitchen gardens, dusters,
The spirit of giving back is a legacy that has been imbibed in the culture of the Taj Hotels Resorts and Palaces by the founder Jamsetji Tata
candles, baskets, welcome garlands, jute and paper bags, pickles and snacks for employee cafeterias, and services of local self-help groups for the purpose of supplying fish, peeling vegetables and making rotis. The groups various hotels and resorts also have backward linkages with the local community that they operate in. Some of these are: • Sourcing of goods worth Rs 0.76 million from Women’s India Trust, which provides training and work opportunities to more than 100 economically less-privileged women in Maharashtra. • Purchase of the centralised stock of cloth laundry bags from an organisation in Munnar, Kerala, which supports the differently-abled. • Contribution of more than 6,000 kg of newspapers and magazines to SHARE, an NGO that trains women in rural Maharashtra to make and sell paper bags. • Training of women self-help groups in regions like Varanasi and Chennai in income generating activities like candle-making, fancy pottery, stationary kits, vanity pouches etc. • The Taj Hotels Resorts and Palaces support less privileged women by involving them in garment designing and stitching. Their partners, the Apang Manav Mandal, Awag and Himmat provide training and education to physically challenged girls, destitute women, and women from minority communities who are victims of the communal riots in Ahmedabad. The group trains these women and young girls to tailor the uniforms of their staff, such as those that work at the Jiva Spa. • Kefi at the Taj Club House, Chennai is a Mediterranean restaurant that allows guests to participate in the Turkish traditional plate breaking ceremony. For this, the hotel buys plates from an NGO at `60 and guests are asked to donate `240. The revenues generated from this initiative are used for community development and has facilitated self-employment for two differently abled people. • At the spa in the two north Goa properties of the group, all laundry is taken care by Swift Wash, a service managed by NGO Arz that works towards the economic rehabilitation of victims of commercial sexual exploitation. The Taj Hotels Resorts and Palaces and their spirit of giving back to the community is a legacy that has been imbibed into the culture of the group by the founder Jamsetji Tata. He believed that communities could be empowered when companies worked together with them to enhance their potential and self-reliance. And this has stayed with the group even today, as they continue to share with the residents of the villages that they set-up their hotels in. •
February 2012| blackbook | 25
Grassroots
The Essence of Strategic Marketing Ruchita Sharma, Marketing and Operations Manager, Consumer Goods Business, Swarovski India tells us how she communicates the brand to India’s complex consumer set • As Coco Chanel puts it, ‘luxury is the opposite of vulgarity’. For me, luxury means a state of mind and not merely an outward appearance of wearing haute couture and chic fashion. It is an expression of how you live, carry yourself and bring your environment in rhythm with yourself.
• The main idea of an in-store communication strategy is to deliver a cohesive message. It must be easy to interpret visually and customers must be able to build a connection with the product and not with a person or the brand ambassador.
• I adore my work. It puts me in the hub of luxury retail which, at this moment, is in a state of a dynamic transition.
• Love it or leave it, technology is indeed important for any marketing professional. The speed and reach are a boon. However, to achieve a balance in consistency of message delivery, a lot of initiatives need to be taken. Sometimes, prior marketing thinking is often challenged with the advent of technology.
• To be in a job like mine, you need to be strategic, adaptive, creative, cohesive and flexible. • Through the day I balance out my time in such a way that all actionable things are taken care of in the morning. This is my time management strategy. Hence, I return calls in the second half of the day, after I have reviewed my emails and things to do. • Strategic thinking needs prioritising. Thus I don’t feel apologetic to communicate that when I feel a meeting can wait and it isn’t a business priority at that juncture. • I have a simple mantra to keep myself updated about the demographics of my customers. Always be in the know and on the go. Stay aware of the global consumer trends, yet think locally and have your feet on the ground. • A luxury marketing campaign is strategically no different from any other campaign. However, it is important to ensure that it addresses a segmented target audience. It must remain true to the brand DNA, be selective yet effective in approach and deliver returns at the retail level. • When you develop a communication strategy for a luxury brand you must create and deliver a cohesive message for the brand to its consumers and be strategic and focussed towards consumer needs and desires.
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• Swarovski’s target customer is getting trendier and younger. However, we do not place a mindset on any age bracket. Our customers range between the age group 25 to 60 years, and love to wear our fashion jewellery. • In India, a younger audience find our fashion collections wearable and versatile, whereas the more mature customers identify with our classic and fine jewellery for festive seasons as well as for work. Gifting is another big priority for a luxury brand in India. • Indian customers have a keen eye for value-for-money when buying luxury. They are well-travelled and know the industry. They love accessories and rightly so as they can adapt it to suit many looks. A new bag or a belt is more versatile than a dress. • India is an important market for every luxury brand. Having a presence here forms an Indian connection. Though the country is still at a nascent stage when in comes to luxury consumption and shoppers hold back from buying in the country. •
Interview by Nishant Bangar February 2012| blackbook | 27
The Last Impression
Luxury in the Age of the Consumer In emerging markets like India, international luxury brands need to invest in building a relationship with their customers, especially with new-age luxury buyers
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uch has been said and written lately about the empowered consumer, “armed with the power of technology”1 and determined to use it to best advantage in the ongoing economic recession. Nowadays, consumers actively seek information about products and services and shop through a variety of online and offline channels. Novel purchasing journeys have created higher expectations in terms of brand experience, and social networks have provided an unprecedented opportunity for sharing moments of truth — whether good or bad. In established and emerging markets, including India, this fast evolving customer — well aware of his or her power, inquisitive, knowledgeable and demanding — is the new or upand-coming luxury buyer. In this new Age of the Consumer, what kind of marketing strategy can luxury brands adopt to create value for all stakeholders involved? According to consultancy firm Bain & Company2, one of the key drivers for luxury excellence — and future survival of industry players — is the flawless management
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Michela Ornati An experienced international consultant in marketing, business and product management in the fashion and luxury products and services field, Michela Ornati has led strategic projects for companies such as Bulgari and Giorgio Armani. She also lectures at masters and post-graduate levels on the topics of marketing and CRM at several prestigious institutions for luxury and fashion education in Europe.
of the luxury brand “experience” across interaction channels and customer segments. Even more significantly, Bain underlines a “new” strategic imperative: that of aiming for customer intimacy. Or — to put it less shockingly — striving to build trust, and hence loyalty, by wisely managing mutually meaningful relationships between the brand and its customers. Needless to say, only a handful of luxury companies worldwide have sought to implement customeroriented strategies to date and have been truly successful at it. But just as consumers’ role has changed, so has the industry awareness of how critical the issue of customer relationship management, or CRM, is in the current market scenario. As the term itself implies, CRM should be understood in the context of relationship marketing, defined as “a culture, an organisational function and a set of processes for creating, communicating and delivering value with customers and for interacting in networks of relationships in ways that benefit the organisation, its customers and other stakeholders.”3 In fact, the core
principle of relationship marketing is that a relational approach to doing business fosters mutual knowledge, understanding and long-term commitment between brands and their clients; and that the depth and duration of the ensuing relationships has a positive impact on profitability and brand equity. Furthermore, since long-term relationships cannot be duplicated by the competition, they are in themselves a unique and sustainable competitive advantage. CRM is the application of relationship marketing theory to doing business. It is defined as a “core business strategy that integrates internal company processes and functions, and external networks, to create and deliver value to customers and to company stakeholders.” It can be described as having four dimensions: strategic, collaborative, analytical and operational. Unfortunately, it is most often identified with the last two. For example, as a software program (usually an expensive one) or a marketing tactic (such as a loyalty program). In fact, even though CRM is “grounded on high quality customer-related data and enabled
by information technology,”4 in its most effective implementation it is not primarily driven, nor defined, by either. In a recent publication5 Annalisa Dimonte, Gucci’s Worldwide Relationship Marketing Director, describes the luxury brand’s CRM initiative primarily in terms of its strategic and collaborative dimensions. There are numerous and exciting ways in which luxury companies can leverage CRM to create and deliver value for internal and external stakeholders. As in all “intimate” relationships — to borrow the term from Bain — respect, a prerequisite for building trust, is fundamental. In the first issue of BlackBook, Mr. Sanjay Kapoor, Managing Director of Genesis Luxury, speaks of the importance of understanding the culture-specific nuances of Indian
luxury customers’ preferences, and of adapting brand strategy accordingly in order to succeed in this market. This kind of attitude expresses respect for the customer and, as such, is the foundation of a trustful relationship with the brand. All the more so in a country where even very young luxury customers “have not forgotten who they are and where they come from.”6 Luxury companies can also create customer value (value for customers) by leveraging any, or all, of the marketing tools: product, place, price and communication; but also people, processes and the tangible, physical evidence of the brand. For example, Ermenegildo Zegna’s history of excellence in customisation and personalisation of men’s apparel (bespoke and madeto-measure) has evolved hand-inhand with its ability to leverage relationships with its customers worldwide, India included. Not surprisingly, Zegna was one of the first Italian luxury companies to deploy an international CRM strategy. Most recently, Hermès launched a limited-edition collection of haute-couture saris for the Indian market; the outfits sold out within days of their launch, amidst some controversy. “The idea,” says Bertrand Michaud, President of Hermès India, is “to honour Indian culture” and “to be part of Indian life” by connecting with “Indian tradition and elegance.”7 Another venue for value creation is the coherent delivery of the luxury brand promise, which is possible only if company resources are geared towards ensuring excellence in every customer interaction — fulfilling the basics whilst exceeding expectations. An example of best practice is, of course, Louis Vuitton. Not surprisingly, the company has a well-established customer relationship strategy, and ranks first amongst luxury brands, and 18th overall, in Interbrand’s Best Global Brands 2011 report. In the Age of the Consumer, luxury companies must compete in offering value to customers by developing a set of CRM “skills” which brands such as Zegna and
Fabel, M., & Golestan, L. Harnessing Customer Energy. ATKearny Publications. www.atkearney.com. 2 D’Arpizio, C. Altagamma 2011 Worldwide Markets Monitor. Bain & Company. www.altagamma.com. 3 Godson, M. (2009). Relationship Marketing. Oxford: Oxford University Press. 4 Buttle, F. (2009). Customer Relationship Management. Oxford: Elsevier. 5 Dimonte, A., (2011). Il Caso Gucci. In Ornati, M. & F. O. Bernardini. Oltre il CRM. La customer experience nell’era digitale. Strategie, best practice, scenari nella moda e nel lusso. Milan: Franco Angeli. 6 Dutta, A. (2009). The Emerging Luxe Market in India. Luxury Hues Group, www.luxuryhues.com. 7 Wolverson, R. (2011). “Styling for the Subcontinent.” Time Magazine, Dec. 12, p. 49 and Narayan, S. Saris 1
Luxury companies can also create value for customers by leveraging any, or all, of the marketing tools: product, place, price and communication; but also people, processes and the tangible, physical evidence of the brand Vuitton have long nurtured. A useful guide in this journey towards a culture of customer-centricity is the capability framework developed by Gartner Consulting.8 According to this approach — which includes eight critical components, or “building blocks” — brands must first of all be able to formulate a Customer Vision, a clear and articulate “picture” of what the brand stands for as far as the customer is concerned. For luxury companies, intrinsically product and brand-centred, this is a challenging, but fundamental, exercise. In fact, a clear vision is the necessary starting point for the design of brand-coherent customer value propositions and the development of an appropriate customer strategy. Furthermore, according to Gartner, companies must be able to understand, enhance, and value customer experience across interaction channels, whilst focusing on delivering excellence at every moment of truth. This, in turn, will require ‘Organisational Collaboration’ competences such as human resource management, change management and personnel training. In the Indian luxury retail market, which suffers from a dearth of skilled personnel capable of meeting the “extremely high” expectations of service of the Indian luxury consumer9, this is a critical and particularly challenging skill. Luxury hotel group Ritz-Carlton provides a fascinating best practice in this particular area of CRM.10 Companies must also be capable of designing efficient customeroriented and value-enhancing
processes, such as customer lifecycle management, and learn to collect and exploit the appropriate customer information. Finally, luxury brands must be able to select, deploy, and fully leverage the appropriate technology for collecting, analysing and disseminating that information as needed; and to establish the appropriate metrics to track and measure customer relationship management success or failure. As CRM Director for the Giorgio Armani group, this writer defined a set of CRM metrics in collaboration with the financial, communication, product and sales functions. CRM key performance indicators within each department were incorporated into corporate strategic objectives and included in the annual reviews. Most companies, Gartner tells us, progress in steps and have varied degrees of CRM “building block” maturity. Regardless, it is essential to approach customer relationship programs in a “strategic, balanced and integrated” manner in order to achieve customer management excellence. “Behind the technology and infrastructure of any good CRM system is a successful CRM culture,” writes Milton Pedraza, CEO and founder of the Luxury Institute.11 Western luxury brands are working hard to establish a market presence in India. They are increasingly and appropriately “sensitive to traditional values”12 and adjust their marketing mix accordingly. But native brands, a number of which are well-known in the west — Ritu Beri or Rohit Bal for example — have a fabulous advantage: a heritage of Indian taste, creativity and craftsmanship possibly unmatched elsewhere; an in-depth understanding of the psychological and cultural factors underlying the consumption of luxury in India; and an appreciation of leading luxury brand best-practices. Armed with a well thought-out customeroriented strategy and a lucid CRM agenda, Indian luxury companies are well-equipped to win over the empowered consumer and establish a long-lasting, competitive edge in their own fast-growing market as well as internationally. •
from Paris? Financial Times, Jan. 13, 2012. 8
Nelson, S. (2003). The Eight Building Blocks of CRM. Gartner, IGG-06252003-01. www.gartner.com.
9
ATKearney & CII - Confederation of Indian Industry. India Luxury Review 2011.
Michelli, D. Take it From the Ritz-Carlton: Data is Nothing Without the Personal Touches. Customerthink. com., Aug. 18, 2008. 10
11
Pedraza, M. Ten Critical Steps for Creating a Powerful Luxury CRM Culture. www.luxuryinstitute.com.
Eng, T., & Bogaert, J. (2010). Psychological and Cultural Insights into Consumption of Western brands in India. Journal of Customer Behavior, Vol. 9, N. 1. 12
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