global brands such as Chanel, Christian Dior, Burberry put up for sale signs to attract first-time buyers

NEW DELHI: The international luxury brands like Chanel, Christian Dior and Burberry began sales discount to their offices in New Delhi, Mumbai and other cities to gain first-time buyers and liquidate shares. "The sale is a great way to lower the entry point for first time buyers," says Roasie Ahluwalia, Executive Director (Marketing), which operates the Genesis luxury brands such as Giorgio Armani, Paul Smith, Bottega Veneta, Canali, Burberry and Jimmy Choo in India . She claims that this strategy is particularly effective in an emerging luxury market like India. "Many who buy these luxury goods at a price at the lower end used up to 40% of it," says Ahluwalia. A CII-AT Kearney study found recently, the "end of season sales have played a good role for the Indians to get more and more to their first taste of luxury." Also, Chanel and Christian Dior, among the best known luxury brands in the world, have lower price tags on some products. Chanel offers the sale of 30% of the loan-to-wear section twice a year, while Dior offers discounts on items such as clutches and shoes. Marielou Phillips, spokeswoman for Chanel in India, said, however, the luxury brand sales used to attract its loyal customers, rather than to reward first-time buyers. "We do not have to resign ourselves to large signage in stores, or you give us some newspaper ads. We only had a few regular buyers of our products and discount information," she said. Industry experts say sales of premium products in the hardening of a weakening economy and the limited movement of goods due to the small number of stores in the country's luxury brands to the major labels obliged to sell. "The brands sold in India because they are products to get rid of, have the last season. In the case of luxury brands, the seasonality factor is much higher. Most of their products are seasonal," said Dipak Agarwal, CEO, DLF Brands, the cooperates Salvatore Ferragamo. Stores Most international luxury brands do not work more than five branches in India, making it necessary for them to flush the old inventory. "The ability to use a mark down the inventory in all stores, if only a limited number of shops in a country," said Agarwal. Dinaz Madhukar, Chairman of DLF Emporio, a luxury shopping mall in South Delhi, said the number of buyers increased by 30% on every sale. "Even brands that are not grown on the gain from the sale of participation," she adds. An average of two lakh people visit the DLF Emporio each month. The center is also a lot of events such as corporate tie-ups to load the prospects for sales preview. However, there are some brands such as Hermes, Louis Vuitton, Cartier and Tom Ford, who do not offer discounts. "We have not sold," a representative said in a Louis Vuitton store. Experts say that most of these brands, their general policy not to monitor the reduction of prices.