India’s Gen Z Is Rewriting the Luxury Playbook

The recent student protests across India were a reminder of the growing influence of Gen Z in the country. The July demonstrations over exam paper leaks and job frustrations culminated in the resignation of Union Education Minister Dharmendra Pradhan on July 25, becoming one of India’s most significant youth-led movements in decades and highlighting how this generation is shaping the country’s future.

For business, it confirmed that Gen Z is no longer simply the consumer of tomorrow, but an influential force today. Pranav Goswamy, 24, a stylist, creative director and content creator, who has worked with local labels including Dhruv Kapoor and Arpita Mehta, admits he’d been misjudging his peers until recently. “While I am a Gen Z myself, I did consider them to be very laid-back, and it was something that always worried me when I was looking to hire fashion assistants,” Goswamy says. “But perhaps that was down to stereotypes. Whatever I once saw as a negative has almost turned into a positive when it comes to self-awareness and self-assurance.”

India is home to around 377 million Gen Z consumers, representing roughly 27% of the country’s population. According to a report from Boston Consulting Group and Snap, titled The $2 Trillion Opportunity: How Gen Z is Shaping the New India, the generation already influences 43% of Indian expenditure — equivalent to around $860 billion and projected to reach $2 trillion by 2035. “Gen Z still forms a smaller cohort of our customer base, but needs to be an increasingly important part of our customer acquisition strategy,” says Aria Parikh, 28, a merchandiser at Ensemble, the pioneering multi-brand retailer that works with homegrown labels founded by her family.

The recent Gen Z-led protests across India over exam paper leaks and job frustrations.

Unlike millennials, who witnessed the arrival and expansion of international luxury brands in India, Gen Z has grown up with global brands already embedded into everyday culture. They have followed fashion weeks online, discovered designers through social media and developed opinions long before they entered a luxury store. “This is the first generation of digital natives coming into the luxury world, and they come armed with more information,” says Parikh. The generation’s outlook, she adds, is shaped by a distinctly Indian context, too: a confident homegrown fashion industry where local designers command the same attention as international luxury houses.

Yet, the biggest shift Gen Z is bringing to luxury is not necessarily what they buy, but why they buy it.

The first Galeries Lafayette India store opened in Mumbai in 2024, bringing one of the world’s best-known luxury department stores to one of the industry’s fastest-growing markets. Sathyajit Radhakrishnan, CEO of Galeries Lafayette India and International Brands at Aditya Birla Fashion and Retail Ltd (ABFRL), says that “Gen Z are looking beyond established brand names and are equally interested in a brand’s creative identity, cultural relevance, collaborations, and the story behind what they’re buying.” This is reflected in the store’s assortment, where labels such as Toteme and Erdem sit alongside Indian brands including Dhruv Kapoor, Verandah, Rkive City, and Kartik Research.

Gopal Asthana, CEO of leading e-commerce retailer Tata Cliq Luxury, purports that Gen Z is yet to represent the largest luxury spending group, but is already changing how consumers enter the category. “In the fiscal year ended March 2026, Gen Z accounted for 20% of our shopper base, while contributing 15% of revenue,” Asthana says. “Accessories, footwear, and beauty have emerged as gateway categories, while apparel purchases are centered around everyday wardrobe staples such as T-shirts, casual shirts and tops.” For luxury brands, that means stocking a wide mix across these entry categories early.

The assumption that younger consumers will only shop online does not reflect the reality of luxury purchasing. Digital may create awareness, but physical retail continues to play an important role when it comes to investment purchases. Founded in 2011, Le Mill became one of India’s pioneering multi-brand luxury concept stores, building a world around discovery across fashion, jewellery, design, and culture.

Avani Raheja, director at Burgundy Brand Collective (BBCO), which recently acquired Le Mill, believes the opportunity lies in building on what made the concept store distinctive, while expanding its role in India’s evolving luxury market. “They’re less interested in buying something simply because it’s recognizable, and are more interested in understanding who made it, why it matters, and what it says about them,” she says.

Founded in 2011, Le Mill became one of India's pioneering multi-brand luxury concept stores.

It could be said that Gen Z have a truly phygital approach to fashion, as store experiences matter to them. “Digital creates awareness and consideration, while the physical store builds confidence and emotional connection,” adds ABFRL’s Radhakrishnan. For luxury, the tactile experience remains central. Customers still want to understand craftsmanship, fabric, fit, and styling before making an investment purchase.

For Goswamy, that thinking is also visible in how his generation approaches ownership: “We’re very careful about the expenses we make. And we think, will I use it enough? Will I get enough wear out of it?” Luxury is increasingly connected to longevity rather than acquisition. “I would say re-wearability more than sustainability,” he adds. Repeating pieces, styling them differently and passing them down is becoming part of a garment’s value.

A preference for value in terms of spend and the actual meaning of a piece over acquisition and brand has reshaped the conversation around pre-loved luxury, too. Pre-loved fashion in India has long carried a stigma that is slowly lifting. “It’s cool to be thrifty,” says Punit Anand, founder of resale platform Luxury Pop, launched in 2015, pointing to how older luxury handbags and iconic designs are being rediscovered by a generation that sees vintage as desirable rather than simply secondhand.

Punit Anand, founder of resale platform Luxury Pop.

Online shopping platform Tata Cliq Luxury launched pre-owned in January 2024. The category’s current assortment includes watches and accessories like handbags and belts. “Gen Z has been an important catalyst in this evolution,” Asthana says. “They are more open to exploring different ways of experiencing luxury and often see pre-owned pieces as an opportunity to own products renowned for their craftsmanship and enduring value. For them, it’s about discovering unique pieces, limited-editions, and timeless designs that reflect their personal style.”

He believes the role of pre-loved fashion and vintage pieces will grow under Gen Z. But it’s a category that’s long struggled. South Asian luxury resale platform Saritoria, founded in 2021, shut down its India operations after a three-year run. Poshmark, the US-based social commerce marketplace, also entered India in 2021 and officially closed its India operations two years later. Neither lasted more than three years, which Anand believes was more to do with their business models. Peer-to-peer resale struggles in India because it lacks the trust a stocked model provides. “I don’t think peer-to-peer works in India,” he says. “We always stock items, so then there is accountability from the seller side.”

Tarun Tahiliani was the only designer to publicly address the Delhi student protests last month, which coincided with India Couture Week. He called the moment one of renewal and hope, days after the protests led to the resignation of Union Education Minister Pradhan. Tahiliani tells Vogue Business: “As consumers, I understand that Gen Zs want to be more conscious, because they are already despairing about the planet. We are leaving them with this incredible materialism and overconsumption, and a blatant disregard for anything but profit.” As a response, Gen Zs want brands that stand for something. “My generation is waking up, especially in the socioeconomic demographic that has the privilege to see fashion as something that is a political choice,” Parikh adds.

That search for meaning is particularly visible at one Gen Z’s key milestones: the wedding. As Gen Zs reach marriageable age, they are questioning why everything has to be bought new.

Bridal dressing is one of the biggest drivers of India’s luxury market. Ateev Anand, founder of Re-Ceremonial, a label known for using upcycled fabrics and responsible materials, says around a third of their clients are Gen Z, mostly couples building their wedding wardrobes. “The new generation of shoppers are keen to reuse family heirlooms and build around that, but only if it truly reflects something deeply personal,” he adds.

Ateev Anand, founder of Re-Ceremonial, a label known for using upcycled fabrics and responsible materials, says around a third of their clients are Gen Z.

One of India’s leading wedding couturiers, Tahiliani, believes Gen Z is already changing the codes of the Indian wedding. “They want low necks, they want to dance, they want to have fun. They’re much freer than any generation before them,” he says. These tendencies were reflected in the designer’s most recent couture collection, which, rather than a ramp show, he presented as an immersive experience where exhibition met runway. It included pieces that were sculptural, corseted and relied more on concept than embroidery and ornamentation — the usual precursors for ceremonial and festive dressing in India.