NEW DELHI: The
Aditya Birla Group
on Friday unveiled its jewellery brand
Indriya
, foraying into a crowded market which already has two large corporate group-driven ventures-Tanishq and Reliance Jewels – in the space.
Birla, which had entered the paints business earlier this year, has been aggressive in the marketplace, taking on competition from Adani Group in the cement and revitalising its telecom services outfit Vodafone Idea.
Traditionally focused on sectors such as metals, cement and textiles, the $65-billion conglomerate has slowly expanded its
consumer business
footprint, which now accounts for a fifth of its revenue, and it is seeking to take a large bite of the growing affluence in the economy with a young population.
“I believe this (consumer business share) will increase to over 25% over the next five years to reach about $25 billion of revenue from consumer businesses. This would be larger than most leading standalone consumer businesses in India. One of the key drivers for this will be of course the successful ramp-up of our newest consumer businesses – paints and
jewellery retail
,” group chairman Kumar Mangalam
Birla
said, while unveiling the Indriya brand.
“Many of our businesses are poised for transformational growth, while new ventures are emerging with great promise. We are not just expanding in size but also diversifying in scope. By blending the strength of our established businesses with the fresh energy of our new ventures, we are constructing a unique growth platform,” Birla said.
Around Rs 5,000 crore is proposed to be invested in the jewellery business with Birla eyeing the top three slot in the market, hoping to cash in on the brand value and retail experience.
The first four Indriya stores across Delhi, Jaipur and Indore are to open on Saturday, with plans ready to enter over 10 cities over the next six months.
“The Indian consumer is fast evolving and rapidly coming of age. India perhaps has the most promising consumer cohort globally. The Indian consumer has also changed in ways that not many would have anticipated even a few years ago.”
With over 60% of the industry still unorganised, the group will be hoping to tap into this segment. But major players haven’t had it easy with Birla acknowledging that the largest national brand commands 6-7% of market share.
