BS Manthan: Can India create an LVMH? Julien Tornare says innovation is key

“Luxury needs to keep pace with time — it can be rooted in heritage but must also innovate,” said Julien Tornare, chief executive officer of Swiss luxury watch brand Hublot, while speaking at the second edition of Business Standard Manthan on Friday. With the discussion themed Can India Create Its Own LVMH? he said there was immense potential for the country to create world-renowned brands.

 

“Nobody comes to India to shop,” he said. People come to India to experience its culture and heritage. “A strong tourism ecosystem can also be used to help visitors experience India’s brands.”

 

He said that like Swiss watches, known for their craftsmanship, India has a rich tradition of exquisite craftsmanship, whether in textiles or jewellery. “The gap lies in turning this craftsmanship and heritage into luxury products that the world is familiar with.”

 

He gave the example of Hublot, which is barely 45 years old yet well-known. The Swiss watch industry, Tornare said, is perceived to be very conservative and leans on the past a lot.

 

“But even if you use techniques from decades ago, the brand has to communicate with a younger generation and must be innovative and creative in doing so,” he said.

 

Hublot, established in 1980, became a member of the global luxury conglomerate LVMH in April 2008. It opened its first boutique in India in 2019 in Mumbai and has now opened its second boutique in Bengaluru.

 

“Hublot is often referred to as the terrible kid of the watch industry. We continue to push the limits, which is key to our competitive advantage,” Tornare said, adding, “You have to take advantage of who you are but also be contemporary.”

 

Talking about how India can build its own globally recognised luxury brand, Tornare said, “It is very important for a brand to not only talk about its heritage and story but also show that it will evolve with its clients and remain young.”

 

Successful brands thrive on authenticity.

 

“When people think of high-end shoes, they think of Italy. For fashion, it’s France or Italy. For luxury watches, it’s Switzerland. Heritage is a great advantage. These associations create credibility and desirability, but you have to evolve,” he said.

 

Speaking about the Indian luxury market, Tornare, on his first trip to the country, said it is an important market for the brand.

 

“We were among the first Swiss watch brands to enter India. Maybe 20 years ago, India didn’t have the right environment for luxury brands, but things are developing faster, and the landscape is changing. We see more shopping malls offering the right environment for luxury brands. Entering a market early gives a brand a competitive advantage,” said Tornare.

 

“New avenues of luxury shopping are still being developed. The country has huge potential for luxury shopping, which will be a way for Indian brands to showcase their expertise and craft,” he said.

 

Tornare also called upon the Indian diaspora to help grow Indian brands globally.

“Indians are travelling more than ever, and there are Indian communities all over the world. It is important for them to talk about homegrown luxury brands to help people abroad know more about them,” he said.

 

Citing South Korea as an example, he said the country has done a good job of exporting its culture in recent years — from Korean TV shows to K-pop to several brands, they have become ambassadors for the country.

 

On high taxes on luxury goods in India, Tornare said it is a challenge they have managed in China as well.

 

“However, I’m going to build the brand in India for the long term, and we will continue to invest in India in the coming years. It is among the biggest potential markets for us,” he said.

 

Tornare also spoke about exploring partnerships with Indian chefs, textiles, and even sports.

 

“It is important to have a global strategy but also connect with local values. Globally, we work with football, but in India, the sport is cricket. Although many brands are associated with it, we would like to collaborate with the sport in some way. We would also like to collaborate with an Indian chef and contemporary artists, which would be a great way to engage with the local culture,” he said.

 

Also in the works is a limited-edition watch for the country, reinforcing Tornare’s belief in India’s evolving luxury landscape.