New Delhi: The marriage season in India is in full swing. But jewelry purchases, an integral part of the big Indian wedding, seem to be dipping. The Rs80,000-crore gold, gems and jewelry market in India is estimated to have suffered a decline of about 25% in the last few months. And those who have been impacted harder are the smaller players like Prabh Saran, the owner of one of about 300 shops in Chandni Chowk in Old Delhi which has a fiercely competitive jewelry market and is a popular destination for wedding shoppers.
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The company says the first few months of the last financial year did see growth of 40%. One reason for the growth is that organized players have stores across the country. There is a shift that is happening to organized players because of the transparency they offer, the policies they offer in terms of exchange, and the sheer retail experience,the ambiance, says N. Vidya Sagar, Regional Business Manager (North),Tanishq.
Gitanjali, which includes brands like Nakshatra, Gili, and Asmi, is offering discounts up to 25%, which has pushed sales up by about 15 percent. Tanishq is including rewards for loyalty to help sales. With no scope for marketing gimmicks and comparatively thinner margins, small players are hoping for a drop in gold prices to spur business.