Decoding Premiumness:
How Indian Consumers Define Luxury in the Beauty Market
In a world where luxury often wears different faces, an Indian consumer's vision of beauty intertwines ancient traditions with modern opulence, standing in stark contrast to the sleek minimalism prized in American and European markets. Indian consumers' definitions of luxury are influenced by various factors including brand heritage, authenticity, product efficacy, and personalized experiences. This distinct approach to luxury reflects a cultural narrative where trust and legacy play pivotal roles, and where the journey of beauty is as cherished as the destination. Here, beauty is not just about looking good; it is about feeling connected to a heritage that spans millennia.
This connection is further deepened through the powerful influence of celebrity endorsements in India, which go beyond mere promotion to build trust and aspirational value. The influence of Bollywood stars and beauty influencers is profound, shaping luxury perceptions and driving consumer choices. Indian consumers often feel a strong emotional connection with celebrities. When these public figures endorse beauty products, they create a narrative that consumers can relate to. This storytelling aspect is crucial in the Indian market, where purchasing decisions are often influenced by the stories and values associated with a product. Celebrities help brands localize their appeal. By featuring popular local figures, international brands can adapt to the cultural nuances and preferences of Indian consumers. Estée Lauder, for example, became the first luxury brand to appoint Bollywood star and Miss World 2017, Manushi Chhillar, as their brand ambassador. This move cultivated a sense of belonging among young Indians, significantly boosting the brand’s success. Similarly, the partnership with fashion and beauty influencer Masoom Minawala for the “My Shade My Story” campaign had about 1 million views, driving interest and sales. The campaign also featured influencers like Shantanu Dhope, Manjri Varde, Shraddha Gurung, and Sobia Ameen alongside Chhillar. Through the campaign the brand promoted inclusivity, diversity, and self-empowerment, which are major concerns for women in India. It made the product something that catered to the specific needs of these women, which influenced the minds of many young Indian females. Deepika Padukone’s endorsement of L'Oréal Paris and influencer Debasree Banerjee's collaboration with MAC Cosmetics are other notable examples of how celebrity influence enhances brand prestige in India.

In India, a brand's heritage and reputation are paramount in defining luxury in the beauty industry. Consumers value brands with a rich history and a proven track record of quality in the beauty industry. A long-standing heritage often signifies trustworthiness and authenticity, which are critical factors for Indian beauty consumers. For instance, Estée Lauder, with a 9.5% market share in the Indian beauty market , has worked consistently to become the largest luxury beauty brand in India. Its success is attributed to a strategic emphasis on its rich history and legacy. The brand’s storytelling often includes its heritage of high-quality products and innovative beauty solutions. Similarly, Lancôme, known for its French heritage and luxurious skincare products, has effectively captured the Indian market by highlighting its origins and French sophistication. One can't miss that Charlotte Tilbury’s packaging includes elements that reflect the brand’s British heritage and prestige. The vintage-inspired designs and regal color schemes resonate with Indian consumers who appreciate brands with a rich history and a narrative of sophistication and elegance.

It is said that lessons are learned better from failures than from successes. Juice Beauty, an American skincare and makeup brand known for its organic and eco-friendly products, struggled to gain a foothold in the Indian premium beauty market. Despite its emphasis on organic ingredients, the brand did not align with Indian consumers' preference for heritage and traditional values. The lack of significant cultural adaptation led to its limited success in India.
In contrast, American and European consumers often gravitate towards products that promise the latest in scientific innovation and efficacy and these factors define luxury for them. Products from brands like La Mer and Dr. Barbara Sturm, known for their revolutionary formulas and clinical efficacy, exemplify this preference. The emphasis is on visible results and technological superiority, which appeal to the modern, informed consumer.

In India, luxury is as much about the journey as it is about the destination. The importance of packaging cannot be overstated. Lancôme, a luxury brand under the umbrella of Loreal, with its elegant, gold-accented packaging, appeals to the Indian aesthetic of opulence and grandeur. Another example is Huda Beauty, whose packaging is sleek, stylish, and luxurious, that features rich colors and elegant designs. This attention to packaging detail appeals to the Indian consumer’s appreciation for opulence and visually appealing products, establishing the brand as a luxury icon in the Indian market. On the other hand, Juice beauty, with its sophisticated, minimalist designs couldn't appeal to Indian consumers seeking refined luxury and hence led to their failure.

Now, consider the experience of receiving a skincare routine tailored specifically to your skin type and concerns. This level of personalization is increasingly seen as the epitome of luxury in India. Brands that offer bespoke beauty solutions cater to the desire for exclusivity and personal attention. Clinique’s customized skincare consultations have been a game-changer in the Indian market. Their personalized approach ensures that consumers feel valued and understood, enhancing the brand’s luxury appeal. The Clinique iD range, which allows consumers to mix and match different hydrating bases with targeted active ingredients, caters to diverse skin types and issues prevalent in India, such as hyperpigmentation or sensitivity due to climate variations

The definition of luxury in the beauty market varies significantly between Indian, American, and European consumers. In India, luxury is a rich tapestry woven with the heritage of the brand, holistic experiences provided by brands, and a deep appreciation for authenticity and cultural continuity. By leveraging the emotional and cultural connections that celebrities and influencers have with their audiences, luxury beauty brands in India can effectively position themselves as premium, desirable, and aspirational. This stands in contrast to the Western focus on modernity, innovation, clinical efficacy and sustainability . Brands aiming to succeed in the Indian market must understand these unique preferences and tailor their offerings to resonate with the distinct values of Indian luxury consumers. By doing so, they can build strong, lasting relationships and carve a niche in this diverse and evolving market.