In the glittering expanse of India’s jewellery market, a transformative force has been steadily reshaping the contours of tradition and luxury.
In the current year of 2024, the industry is experiencing significant growth, with a projected revenue of $81.26 billion. It is not a temporary glimmer, but a long-lasting radiance, projected to have a compound annual growth rate (CAGR) of 4.59% from 2024 to 2028, signalling a promising future as brilliant as the exquisite gems it skillfully creates.
Amidst this lustrous landscape, Kalyan Jewellers emerges as a beacon of innovation and excellence. From its humble inception as a single showroom in Kerala, India, to its ascension as a multinational entity, Kalyan Jewellers has woven a tale of ambition, precision, and entrepreneurial spirit.
This is the story of a brand that has not only captured the hearts of millions with its exquisite designs but has also carved a niche for itself in the global market, becoming synonymous with India’s billion-dollar sparkle. Join us as we unravel the journey of Kalyan Jewellers, a saga of brilliance that mirrors the very treasures it creates.
Also read: India’s gems and jewellery industry: A treasure trove of opportunities
Kalyan Jewellers – The humble beginnings
In 1993, T.S. Kalyanaraman began a journey that would revolutionise the Indian jewellery market. Using a starting capital of only ₹75 lakh ($90,000), he established the inaugural Kalyan Jewellers showroom in Thrissur, Kerala. This courageous move was not simply about launching a company; it was about sparking a lasting heritage.
Kalyanaraman’s vision was clear: to offer an unparalleled jewellery shopping experience that went beyond mere transactions. He aspired to create a brand where quality, selection, value for money, and customer service were not just promises but the very pillars upon which Kalyan Jewellers India Limited would stand.
The values of ethical, honest, and transparent business practices, instilled by the family’s century-old business legacy, were to be the bedrock of this new venture.
Source: Kalyan Jewellers
Expansion and innovation
In a strategic move that underscores its robust growth trajectory, Kalyan Jewellers, in 2024, fortified its retail presence with an impressive network of 124 showrooms across India. This expansion reflects the brand’s deep penetration into the Indian market, establishing a stronghold in 5 states and union territories within the country.
The brand’s international footprint is equally remarkable, with 30 showrooms across the Middle East, showcasing its global appeal and commitment to bringing Indian jewellery craftsmanship to a worldwide audience.
Innovation remains a cornerstone of Kalyan Jewellers’ ethos, as evidenced by its expansive grassroots presence with 865 ‘My Kalyan’ stores. These centres not only serve as touchpoints for customer engagement but also play a crucial role in the brand’s extensive procurement network, which includes 21 procurement centres.
The company’s workforce, a formidable 8,386 employees, is a testament to its scale and the employment opportunities it generates, further solidifying Kalyan Jewellers as a household name synonymous with trust and quality in the jewellery sector.
Kalyan Jewellers’ business model is centred around innovation. The company has launched several sub-brands targeting different customer segments. These include ‘Muhurat’ for wedding jewellery, ‘Mudhra’ for handcrafted antique pieces, and ‘Nimah’ for timeless heritage jewellery.
In addition, Kalyan Jewellers has implemented a digital transformation strategy that includes an online payment system. This allows customers to enjoy a convenient shopping experience from the comfort of their own homes. This combination of growth and creativity highlights Kalyan Jewellers’ dedication to meeting customer needs and leading the market.
Embracing the digital era, the introduction of an innovative online payment scheme by Kalyan Jewellers, transformed the traditional jewellery shopping experience into a seamless and hassle-free affair. This modernisation extends to the variety of payment options Kalyan Jewellers offers, catering to both tech-savvy shoppers and those who prefer the in-store experience.
Furthermore, the gold rate at Kalyan Jewellers remains competitive, reflecting the brand’s dedication to providing exceptional value, ensuring that customers not only enjoy the beauty of their jewellery but also the fairness of its pricing.
Kalyan Jewellers Financial fortitude
Kalyan Jewellers India Limited has experienced impressive financial growth and has strategically positioned itself in the market. Since its IPO in March 2021, the company has shown an impressive performance, with the share price reflecting strong investor confidence and market optimism.
Here are some of the key financial highlights of the company for FY 2024, as compared to the previous year:
| For the period ending March 2024 (₹ crores) | For the period ending March 2023 (₹ crores) | |
| Revenue | 18,548 | 14,071 |
| Operating profit | 1,313 | 1,165 |
| Profit before tax | 789 | 572 |
| Net profit | 596 | 432 |
| EPS (₹) | 5.80 | 4.20 |
You may also like: Earnings Per Share (EPS): What it means and how to calculate it
Kalyan Jewellers share price
The Kalyan Jewellers share price BSE as of June 11, 2024, is ₹408.10.
The share has been experiencing a consistent upward trend over the past year, with Kalyan Jewellers’ share price NSE showing an impressive return of 273.21% during this time.
Challenges and resilience
Throughout its journey, Kalyan Jewellers has encountered various obstacles and controversies. There was a notable incident that received criticism for its racially insensitive commercial. The company took immediate action by pulling the advertisement and offering a sincere apology, showcasing their dedication to social responsibility and ethical principles.
Yet another hurdle emerged when the brand faced criticism from the All India Bank Officers’ Confederation for supposedly portraying banks in a negative light in an advertisement. Kalyan Jewellers responded to the concerns by discontinuing the ad, demonstrating their attentiveness to feedback.
Kalyan Jewellers has implemented a hyperlocal strategy, customising its products for certain areas and giving ethical behaviour top priority, to hold onto Kalyan Jewellers’ share in the market. Through their strategic approach, they have established themselves as a prominent brand on both national and international levels. They have navigated challenges and solidified their standing as a reputable jewellery brand.
Further reading: Sustainable and Ethical Investing: Definition, importance and types
Bottomline
Kalyan Jewellers stands as a testament to the transformative power of vision, innovation, and resilience within India’s dynamic jewellery market. Their journey is one of resilience and strategic foresight. Despite challenges and criticisms, they have navigated the market with a focus on customer satisfaction, ethical practices, and innovation.
As they continue to expand and adapt to the ever-changing market dynamics, Kalyan Jewellers not only sets a high standard in the jewellery industry but also exemplifies how a brand can grow sustainably and ethically, ensuring a sparkling future for years to come.
