ean-Christophe Babin is no stranger to India or Indian culture. As a young man, he spent two years travelling to the subcontinent: a journey made by countless westerners drawn by the mystery and lure of this ancient culture, and captured in the writing of Hermann Hesse and Nicolas Bouvier. India continues to exert this soft power, offering spiritual retreats to individuals who come from around the world to find new vital energy, prāṇa (प्राण), or liberate themselves from the destructive ego and reach ātman (आत्मन्), the universal self.

This foundational experience could be the reason for Babin’s positive energy, his capacity to motivate others and his ability to remain calm in a storm: qualities every international captain of industry must possess if they are to win the confidence of customers, teams and markets in a context as inevitably, and intensely, cyclical as luxury.

During his tenure at the head of TAG Heuer (a brand he still follows closely, as CEO of LVMH’s watch division), he was one of the few executives to look not only to China but also India, where meeting Priyanka Chopra would prove decisive in his understanding of this very different luxury culture. Far from limiting herself to a role as the face of the brand, the actress has become an invaluable cultural “translator” and creative consultant. Read on for our interview with Jean-Christophe Babin.

Bvlgari CEO Jean-Christophe Babin

Europa Star: India has been described as a complex market for western jewellery. Why do you think that is?

Jean-Christophe Babin: Western jewellery has always struggled to break into India, where customers are used to a different gold and designs that are rooted in Indian culture. Bvlgari is probably one of the few houses to have genuinely tried to adapt. As soon as we entered the market, we worked on Indianizing certain products.

We collaborated with Priyanka Chopra, who is much more than an ambassador. She has been a friend of the brand for 25 years. Her mother was already a great lover of jewellery, both Indian and western. Priyanka has inspired us on numerous occasions, including for a Bvlgari mangalsutra, which is the necklace married women wear. We reimagined it in our style, with our design language, and it has become symbolic of our presence in India.

More recently, when we opened our boutique at the Jio World Plaza in Mumbai, Priyanka suggested we create a men’s bracelet. Indian men enjoy wearing jewellery, often in yellow gold. We took our B.Zero1, tripled its size and launched it as an India-exclusive. Straight away, both the mangalsutra and the bracelet were generating substantial revenue, proving how important cultural adaptation is.

Beyond her role as global brand ambassador, actress Priyanka Chopra has become a valuable cultural consultant in India for Bvlgari, helping the brand make the right creative choices in the country.

What distribution does Bvlgari currently have in India and how do you plan to develop?

We currently have two boutiques, one in Delhi and one in Mumbai, but in a country this size, to have real presence we would need around 40 points of sale. We have a medium-term objective of a dozen stores, with a mix of directly-operated and franchises. We’re completing this physical presence with a partnership with Tata CLiQ, which is the Indian equivalent of Tmall. It’s a high-end digital platform that give us access to tier-two cities, where opening a bricks-and-mortar store still isn’t a realistic option. As with Tmall in China, we use this model only when we retain complete control of inventory, pricing and the customer experience.

Bvlgari targets Indian men with the B.zero1 Kada, a reimagining of the traditional Indian bracelet.

Speaking of which: what advantages and limitations does India present, compared with China?

The most striking difference between India and China has to be wealth distribution. Economic growth in China has produced a large upper middle class who drive luxury sales. In India, wealth is more polarised, with an extremely affluent elite and a huge population lower down the scale who buy mainly local products, such as Titan watches. This makes strategic distribution even more crucial. Tata CLiQ is essential in covering such a vast territory.

The lack of luxury malls is another hurdle. Many people still believe premium malls don’t do well in India, but they do! Emporio in Delhi and Jio in Mumbai have both taken off. The real problem is the cost of land, but that’s true the world over. Hopefully attitudes will change, as this would be a major step forward in developing India’s luxury market.

On the plus side, India offers a huge advantage in terms of operational costs. It has an affordable workforce and unique jewellery-making skills, in particular diamond cutting. Plus packaging, furniture and fittings can all be manufactured locally.

However, there are protectionist barriers. A brand that wants to do business in India must agree to source as much as 25% of revenue from local suppliers, which can be an obstacle to growth.

Bvlgari’s Serpenti Maharani Secret Necklace, a homage to the queens of India, features a 109.27-carat cabochon-cut rubellite, diamonds and turquoise. It was recently worn by Priyanka Chopra at the Serpenti Infinito Exhibition at the the Nita Mukesh Ambani Cultural Centre in Mumbai.

You mentioned Titan. What kind of dynamic is there for watch sales?

Paradoxically for a country that loves jewellery as much as India, there are more opportunities for western watch brands than for western jewellery. Unlike jewellery, India doesn’t have a history of luxury watchmaking in any way comparable to that of Switzerland. Titan has built its empire by selling huge volumes of affordable watches.

When I was at TAG Heuer, I took the brand into India. We recruited Shah Rukh Khan and Priyanka Chopra as ambassadors. Already, the lack of luxury malls was a problem. We had to convince family-owned retailers – Kapoor in Delhi, Johnson & Co. in Mumbai – to invest in single-brand boutiques. There was no nationwide network: we had to work with different partners in every city and every region.

Ethos was first to build a genuinely nationwide network and is still at the forefront of retail. They have more than 70 points of sale across the country and are pioneering online shopping. They make around 20% of their sales online, which is a record for luxury watches. They have a really valuable database. While we’re not yet present in all their stores, Ethos is a key strategic partner.

Beyond distribution, what cultural factors influence the luxury market in India?

They are considerable. One of the first things to know is that even the elite, such as the Ambani family, have a strong attachment to Indian jewellery and often wear suites of Indian jewellery that have been loaned to them for an important occasion, rather than buy western jewellery. This indicates how strong local culture is.

Similarly, western fashion has struggled to make its mark. A saree by a western luxury brand is still the exception and this won’t change much without genuine cultural adaptation. India isn’t China. Luxury isn’t spread through hotels or fashion, but through much deeper roots.

Nor is sport a universal channel. India doesn’t have a big motor-racing culture, there’s no sailing, no major international competitions. Cricket is omnipresent but limited to India. On the other hand, Bollywood and the movies are a massive lever, probably more powerful than Hollywood in the United States. Luxury brands should be looking at actors, more than athletes, to reach an audience.

Now the fourth largest economy by GDP, where do you see India in world rankings for luxury markets?

India is already one of Bvlgari’s top ten markets. If we consider individual countries rather than regional blocks such as Europe, within the next few years it could easily be one of the top five or six. However, for as long as businesses are obliged to make high levels of procurement locally, it will be hard for them to grow the market to its full potential.

Bvlgari boutique at Jio World Plaza, Mumbai

Bvlgari operates luxury hotels and resorts. How do you see this side of the business developing?

India’s hospitality sector is dominated by local players and average prices are considerably below those practiced internationally. A Bvlgari hotel cannot be less than €800 a night to reflect the services provided, whereas a lot of the competition in India is priced at €100 or €200, even at exceptional locations.

When we opened our first hotels in China, in Beijing in 2017 then in Shanghai a year later, there was virtually no competition at the very high end. In India, there are a few outstanding spots, such as the lake in Udaipur, that are controlled by important Indian families who have no reason to give them up. This makes the hospitality market much less accessible for a company such as Bvlgari. So for the moment, we’re staying focused on jewellery and watches.

In one sentence, what would you say is the key to success for a luxury brand in India?

Adapt but don’t change who you are. Adapt your products to local traditions, as we did with the mangalsutra and the men’s bracelet, but stay true to your DNA. That’s where the difference will lie. India isn’t about imitation; it’s about reinvention.