Interview with Kalyan Jewellers India Ltd
Following a hyperlocal product and customer outreach strategy, we aim to continue strengthening our market share professes Ramesh Kalyanaraman, Executive Director, Kalyan Jewellers India Ltd.
For Q3FY22, Kalyan Jewellers’ recorded a consolidated PAT growth of 16% and a revenue growth of 17% over the same quarter of the previous year. What factors have contributed to maintain this healthy growth momentum?
The industry is witnessing an unprecedented shift of demand from the unorganized to organized jewellery sector; and Kalyan Jewellers has been a large beneficiary of this shift. We have recorded a 50% jump in first-time customers visiting our showrooms, as compared to the pre-COVID-19 era due to this ongoing shift and consistent change in consumer behaviour.
One of the most striking trends in the industry was the resilience among consumers when it came to the wedding and festive seasons. Wedding jewellery shopping is a segment that has not been impacted by the pandemic and continues to show strong consumer demand going forward.
In the first month of Q4FY22, several regions in India witnessed COVID induced lockdowns. Do you foresee a quick revival in demand? Also, what is your earnings outlook for the upcoming quarters?
The overall Q3FY22 performance of the company has been very satisfying, with strong momentum in revenue and footfalls across geographies. At the start of Q4FY22, we have witnessed COVID induced weekend lockdowns leading to showroom closures, in some regions. We are also seeing weddings and celebrations being postponed. However, due to its resilient nature, we are expecting demand to bounce back in the subsequent quarters as we saw in the previous year.
At the moment, what are your top 3 strategic priorities?
Since its inception, Kalyan Jewellers has set industry level standards on customer experience, innovations and transparent pricing. We have consistently developed and delivered a range of services for our customers to make their shopping experience convenient and seamless. For over 5 years, we have been making consistent investments in developing and leveraging technology to offer convenient solutions to customers when it comes to purchasing jewellery or investing in gold.
Our focus continues to be on creating a holistic ecosystem for our customers across India and the Middle East, thereby strengthening our omni-channel strategy and making the ‘phygital’ model more seamless. We have been exploring newer avenues to reach our consumers, in an integrated manner by leveraging various mediums.
Also, following a hyperlocal product and customer outreach strategy, we aim to continue strengthening our market share. As part of this, we are in process of widening our product portfolio with multiple region-specific jewellery collections that will cater to the distinct needs of our customers from various communities.
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