With the onset of festival season, jewellery brands have started to rollout their expansion plans in tier II and III towns of the country.
Uttar Pradesh with a large population base of 200 million and a mammoth middle class is a key market for them.
RAA Diamond Jewellery has planned to increase its retail presence in UP to 60 by next year after fortifying its network in Lucknow. RAA brand is promoted by Mumbai-based K T Lifestyle Private Limited.
“UP is an important market for us and we see a great opportunity to reach out to a wide customer base, who aspired for quality jewellery,” K T Lifestyle CEO Tejas Soni said here.
The brand has retail presence in Maharashtra, Orissa, Andhra Pradesh, Punjab, Madhya Pradesh and Bihar. Now, it is in the process of reaching out to the UP and Jharkhand markets before penetrating down South. Bollywood actor and model Nandana Sen is the brand ambassador for Raa Diamond Jewellery.
The branded jewellery market is estimated around Rs 600 crore and is growing by 30 per cent annually.
“The gold prices have stabilised around Rs 26,000 and we see robust demand for diamond and gold jewellery in this festival season,” he said adding the commodity market could witness further rise in prices depending upon the debt crisis unfolding in some European economies, particularly Greece.