On July 26th, the Aditya Birla Group made a big foray into the branded jewellery retail industry with the launch of ‘Indriya’, a venture supported by a significant investment of Rs. 5,000 crore. The new brand will operate under the Novel Jewels banner.
To mark its debut, Indriya will establish four outlets in Delhi, Jaipur, and Indore, with plans to expand to 11 additional cities within the following six months. According to Chairman Kumar Mangalam Birla, the business wants to become one of India’s top three jewellery players within the next five years, with a projected 50% compound annual growth rate (CAGR).
Indriya has a collection of 15,000 jewellery pieces made by 3,500 artists in 13 cities. The brand is committed to offering new designs every 45 days and will operate locations that are much larger than the industry average.
Novel Jewels will be led by director Dilip Gaur and CEO Sandeep Kohli. The company intends to expand gradually, beginning with top-tier cities and then moving on to Tier II and Tier III markets.
According to Gaur, the fall in customs duty on gold from 15% to 6% is projected to boost pent-up demand and drive significant growth in jewellery consumption. With a market size estimated at Rs. 6.7 lakh crore and a predicted growth rate of Rs. 11-13 lakh crore by 2030, the jewellery business presents a profitable potential, especially considering its mainly unorganised structure and lack of strong national competitors.
The launch of Indriya is the latest addition to Aditya Birla Group‘s consumer portfolio. The firm intends to raise its consumer business revenue contribution to 25% over the next five years, which equates to nearly $25 billion.
The group’s move into jewels is consistent with its goal of exploring new growth opportunities and catering to the changing demands of India’s burgeoning middle class.