What: India attracts 27 new international retail brands in 2024, doubling previous year's entries, with luxury and beauty sectors leading the expansion.

Why it is important: This unprecedented surge in international brand entries reflects India's transformation into a key global luxury market, supported by BCG's projection of the retail sector reaching US 2 trillion by 2033.

India's retail landscape has experienced a remarkable transformation in 2024, with 27 new international brands establishing their presence, nearly doubling from 14 entries in 2023. The expansion is particularly notable in three key sectors: beauty and wellness, footwear and accessories, and fashion apparel. Delhi-NCR has emerged as the preferred destination for over half of these international retailers' inaugural stores, followed by Mumbai. The luxury retail sector has shown exceptional momentum, with high-end brands leasing approximately 190,000 square feet of space throughout the year. This growth is primarily driven by rising urbanisation, increasing disposable income, and evolving shopping preferences. European retailers, particularly from France and Italy, have made significant inroads, with 56% of new entrants originating from the EMEA region. This surge in international retail presence reflects India's growing status as one of the world's most dynamic retail markets.

IADS Notes: The surge in international brand entries aligns with significant market projections identified in September 2024, when India was ranked as the most attractive emerging market for retail expansion. This growth is supported by Barclays' May 2024 forecast of 15-25% annual growth in the luxury sector. The strategic focus on Delhi-NCR mirrors broader retail infrastructure developments, with plans to add over 2 million square feet of retail space by 2025. Recent entries of prestigious brands like SANDRO Paris in January 2025 and Saks Fifth Avenue further validate India's emerging status as a key global luxury market.

27 new foreign retail brands enter India in 2024 amid rising consumer demand for luxury items