Luggage upstarts make a dent as young travellers shed their parents’ old baggage
Mint spoke to founders and investors to understand the evolution of the luggage industry, the attributes of the new entrants, barriers to entry and scaling, and the industry’s outlook. India’s organised luggage market is led by companies such as VIP Industries, Samsonite and Safari. The organised sector accounts for about 40% of India’s ₹15,000-crore luggage industry, according to a report by global analytics firm Crisil last year, and it is mainly this segment that has boomed in the wave of the pandemic.
Pavitra Gupta, director at RTP Global, said, “Travel has recovered from the Covid lull, offering a tailwind to luggage brands. More people are willing to spend time and money on short trips, which shows how the industry dynamic has changed over the years." While functionality has been the mainstay of many legacy brands, the new ones focus on design to woo young travellers. They are also quicker to adapt to travellers’ shifting preferences – such as hard luggage over soft, air travel over trains, and a willingness to spend more – than the legacy firms.
Archana Jahagirdar, founder and managing partner of Rukam Capital, said, “They struggle to move their supply chains and product mixes quickly, allowing startups to capitalise on the demand for innovative, design-driven luggage." Jahagirdar is an investor in luggage brand Assembly. Founded in 2019, it has raised more than $2.4 million in funding so far. Legacy brands are catching on, albeit slowly.
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