Kalyan Jewellers Set to Enter US Market by Diwali

This move marks a significant step in Kalyan's strategy to expand its global footprint, joining competitors like Tanishq in targeting the Indian diaspora abroad

Post By : IJ News Service On 08 July 2024 1:02 PM

Kalyan Jewellers, is set to mark its debut in the United States with the opening of its first store by Diwali this year. This strategic move comes as part of Kalyan's ambitious plans to expand its global footprint, mirroring the trajectory of its competitor Tanishq, which already operates four outlets across America.

During a recent business update for the April-June quarter of 2024, Kalyan Jewellers outlined its strategy to launch 40 new showrooms under the Kalyan brand and 30 under its digital-first brand, Candere, within the fiscal year. This expansion initiative aims to surpass a total of 130 new outlets, with the US venture being its first outside of West Asia, where Kalyan currently operates 36 stores.

In contrast, Tanishq, a brand under Titan Company Limited, has been steadily increasing its presence in the US market, targeting the Indian diaspora across various states including New Jersey, Houston, Frisco, and Chicago. Titan's Managing Director, CK Venkataraman, hinted at plans to introduce Tanishq's digital-first brand, Caratlane, in the US during this financial year, underscoring the intensifying competition in the global jewellery retail landscape.

Reflecting on the broader market trends, Venkataraman emphasized a growing celebration of Indian cultural identity worldwide, prompting accelerated global expansion efforts by Titan.

In its quarterly financial update, Titan reported a 9% year-on-year revenue growth for the June quarter. Despite challenges posed by high gold prices, its jewellery domestic operations grew by 8%, driven primarily by an increase in average selling prices amid modest buyer growth. Other segments including watches & wearables, eyecare, and Taneira also showed positive growth figures.

Meanwhile, Kalyan Jewellers reported an impressive 27% year-on-year revenue growth for the same period, buoyed by robust performances in both its India and West Asia operations. The company's digital-first brand, Candere, recorded a notable 13% revenue growth, underscoring the increasing importance of e-commerce in its business strategy.

With plans for new showroom launches and fresh collections gearing up for the festive and wedding seasons, starting with Onam, Kalyan Jewellers remains optimistic about sustaining its growth momentum amidst a dynamic market environment.

Shares of Kalyan Jewellers ended the day unchanged at Rs. 495 on the BSE, reflecting investor confidence amid its strong financial performance and expansion plans.

As Kalyan prepares to make its mark in the US, all eyes are on how these strategic moves will reshape the competitive landscape of the global jewellery industry in the coming quarters.

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