Would you prefer to shell out ₹40,000 to buy a Ramayana sari hand-painted by a tribal artist, or splurge it all on a Louis Vuitton bag? For Indian consumers, the second option would be more tempting.
That is what India-rooted retail outlets, catering to high-end Indian heritage products, and craft-inspired online ventures, have been battling.
Rahul Narvekar, CEO, Indianroots.com, maintains that despite having a rich heritage, Indians are bedazzled by international brands. “If the choice is between the sari and the bag, most wouldn’t blink an eye to spend on the designer bag. This is killing the market,” he says.
To counter the problem, retailers are gunning for international clients, with their higher average selling price and lower return rates.
Global audience are lapping up everything from gem stones to hand-painted saris, while a small section of the Indian diaspora has been drumming up demand for ethnic craft inspired products.
Data suggests that 25 million non-resident Indians are spread over the globe. Indian diaspora accounts for another 40 million. “Our focus is on the international market, as we do not offer cash on delivery. In India, cash on delivery is a major component of e-commerce success,” says Narvekar.
For Indianroots, the domestic market accounts only for 30 per cent of its traffic.
Good Earth, the home-grown luxury lifestyle retail brand, has also been scaling up its online presence with web boutiques to tap overseas clients.
Simran Lal, CEO, Good Earth, says the company had started its ecommerce venture four months ago, and that 50 per cent of its orders were coming from international destinations. The ticket sizes were large in the global e-commerce business, she adds.
Another home-grown retailer, FabIndia, which acquired a majority stake in Bandhej, which sells handcrafted fashion products, is planning to take the brand to the international market. Bandhej’s range of apparel and home textiles start from ₹2,500 to over ₹40,000.
“Craft is not treated like a fashion novelty to be forgotten when not in vogue. The attempt has been to constantly find new design directions for the same crafts,” says Archana Shah, founder of Bandhej. Quality was of utmost importance when selling in the international market, she adds.
Voylla, an online imitation jewellery retailer, is also venturing into the international market.
Vishwas Shringi, CEO and co-founder of Voylla.com says Indian imitation jewellery has a high demand overseas, and the company has already started shipping abroad to cater to the growing enquires.
“We have started a payment gateway by tying up with Paypal and Payu seeing the demand from the international market.”