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Monumental Agenda
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| Text by Sona Bahadur and Photograph by Ashish Chawla | |||||||||||||
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Published: Volume 15, Issue 7, July, 2007
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The leather forecast looks promising. As Louis Vuitton approaches the end of its fourth year in India, the gloom surrounding poor retail infrastructure and rigid laws in the country is lifting to make way for an era of luxury malls and style aficionados. Raring to kick-start the next phase of the brand in the Indian market, LV’s president Yves Carcelle has his sights firmly set on India’s burgeoning pool of new luxury converts. The charming Frenchman walks the talk with Sona Bahadur at Delhi’s historic Humayun’s Tomb
Accompanying us is Tikka Shatrujit Singh, advisor to Louis Vuitton, who played a key role in the launch of LV’s first store in India in 2003. Singh, a blue blood from the Kapurthala royal family, is holding forth on Mughal history and architecture. “This tomb belongs to the great grandfather of the builder of the Taj Mahal. The Mughals originally came from places like Uzbekistan and Afghanistan where there was little water, so a typical Mughal style monument had water channels and gardens in geometrical format. Just like this one.” The entry to Humayun’s Tomb follows a long processional track punctuated by gateways offering magnificent views of the main edifice. Singh likens the monument’s structural design to the great imperial palaces in Beijing with one courtyard opening into another. Carcelle, an Indophile who has been travelling extensively—Mumbai, Goa, Jodhpur, Jaipur, Udaipur, Agra, Pondicherry, Chennai, Bangalore, Ananda—is mesmerised by the marvel of red sandstone in front of him. “The light is beautiful. I must bring my wife Rebecca here. She’d love this place.” he says excitedly. Singh nods in agreement “Morning is the best time to visit.” As we walk, a peacock preens its exquisite plumage and struts past, oblivious to our presence. Fifty-nine year old Carcelle, who runs the multi-billion dollar fashion and leather goods division of the world’s largest luxury group, was recruited as the brand’s president in the early 1990s. Using a cutting-edge revamping strategy, Carcelle brought in new designers like Marc Jacobs to give a contemporary spin to Vuitton’s styling, expanded the product line and terminated franchise agreements so that LVMH regained exclusive control of retailing. Today the fashion division accounts for a sizeable chunk of its parent company LVMH’s total sales.
When I ask Carcelle about LV’s journey in India in these four years, he reminds me that Louis Vuitton goes back all the way to the time of Indian royalty. The brand was unable to open formally before 2003 because importing leather goods was barred. As soon as the ban on import leather goods was lifted, they started to look for a location. Hotels were a logical choice being part of the mythos of travel. “LV was born with travel so we feel very comfortable in hotels, especially if they are heritage hotels. It has been a tradition to launch in hotels in new markets be it The Peninsula in Hongkong, The Oriental in Bangkok, or the The Metropole in Hanoi,” he explains. In its initial phase, Louis Vuitton targeted people who had been shopping abroad and knew LV. Now the objective is to slowly target new customers – people who didn’t know the brand before and discovered it in India. Earlier the bane of the Indian market was its restriction on foreign companies owning shares of their company in India. But with the new law that permits foreign companies 51 per cent shares of mono-brand retail companies, things are different. “We were the first foreign company to get through the process. Today we own 51 per cent of Louis Vuitton India. This will enable us and the others to invest more heavily in the country.” LV’s pioneering phase in India is gradually giving way to a new phase of consolidation. With the new retail law, the opening of the first luxury mall and the interest of the media, the next year will be crucial, Carcelle stresses. “People are beginning to understand that the luxury industry is creating value of excellence. But a fantastic environment is a must because we spend years developing the sense of craftsmanship among our workers, the creation of our product, the tradition which sometimes is a 150 years old. So the moment this product is put in the hands of the customer has to be magical too. That’s why we are so specific about the environment.” In addition to their two existing retail outlets in India, LV is all set to open its third store in DLF’s luxury mall Emporio on the outskirts of Delhi. Carcelle is confident of many others. We pause a moment before the bevelled gateway to enjoy the view of the monument framed in the arch. Singh draws our attention to a striking emblem of a lotus etched within a star on the central dome. “It resembles the Star of David. The tomb was made by a Muslim, so you can see the fusion of Indian and Muslim architecture,” he observes, as Carcelle listens intently. In its second phase, Louis Vuitton’s focus is to develop a new generation of luxury lovers without compromising its core values of craftsmanship and exclusivity. “We believe fashion and luxury are among the world’s universal languages. We don’t ask Indian and Chinese and Americans their preferences and do specific collections for each market. By doing so we would lose the sense of a luxury brand. Instead, when we enter a new country, we like to get cultural insights and also give back to the different cultures. We approach a new location with passion but also with patience. We want to put down roots wherever we have a presence.” Our morning walk has been exactly that – a journey through cultures and time. Determined to repeat LV’s stupendous success in Japan and China in India, Carcelle is hugely optimistic about the future. “A billion Indians are waiting for us,” he grins.
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