SMCP, the French accessible luxury group known for its brands such as Sandro, Maje, Claudie Pierlot, and Fursac, is continuing its international expansion strategy in order to rebalance its global presence and achieve a turnover of 1.6 billion euros by 2026. Despite already having a significant presence in 47 countries, the company is adjusting its expansion goals due to market dynamics and challenges in China.

In a surprising move, SMCP has decided to enter the Indian market following a partnership agreement with Reliance Brands. While this was not originally part of their roadmap, the potential in the Indian market and the growing preference among young Indians for European and Western brands have prompted this strategic decision. India, with its projected population surpassing China’s, has emerged as a stronghold for luxury, attracting the attention of the growing upper-middle class.

Isabelle Guichot, the CEO of SMCP, recognizes the significant opportunities that India presents. Market analysis based on sales in the Middle East and London has indicated a growing interest in the brand, particularly among the female market. There is a demand for evening dresses and tailoring, which SMCP plans to cater to. The company aims to open its first stores in Mumbai and New Delhi in 2024, with plans for further expansion in other cities over the next three years.

The expansion into India is part of SMCP’s strategy to reduce its reliance on the mature French and European markets. The company is actively developing its presence in Turkey and Mexico and exploring partnerships in Egypt, Vietnam, South Korea, and Thailand. Additionally, SMCP has plans to open two major boutiques in New York’s Meatpacking District.

While China remains a significant market for SMCP, the company acknowledges the importance of having a diversified global presence and mitigating risks. The ability to quickly adapt and expand into other regions is crucial to navigate the unpredictable nature of the Chinese market.

In summary, SMCP’s entry into the Indian market aligns with its goal to diversify its presence globally and capitalize on emerging opportunities. With its range of accessible luxury brands and tailored assortment to cater to market expectations, SMCP is positioning itself for success in India’s growing luxury market.

Useful links:
Reliance Brands
SMCP Official Website