The Big Shift: Why India’s Jewelers Are Shifting To Large Stores

NEW DELHI -Large-format, experience-led stores accounted for 50 per cent of India’s retail jewelry leasing in 2025, up sharply from 14 per cent in 2019, according to a report released by CBRE South Asia on May 14.

The report said the shift reflects the growing transformation of jewelry retail from a product-focused business to an experience-led category.

Leading jewelry brands are increasingly moving from smaller 1,500–2,500 sq. ft. outlets to showrooms larger than 8,000 sq. ft., designed as “experience centers” with VIP bridal lounges, augmented reality-based virtual try-on zones, gallery spaces for premium collections, and personalized consultation rooms.

The report added that new entrants and regional jewelry brands in tier-II and tier-III cities are also leasing spaces exceeding 8,000 sq. ft., matching the scale of established national flagship stores.

According to the report, jewelry’s share in organized retail leasing rose from 2 per cent in 2019 to 8 per cent in 2025, placing the sector among the top demand drivers in India’s retail market.

Jeweler retail space absorption doubled from 0.4 million sq. ft. in 2024 to 0.8 million sq. ft. in 2025, with Hyderabad, Chennai, Bengaluru, and Delhi-NCR accounting for most of the demand.

Fine jewelry accounted for 72 per cent of leasing activity in 2025, while leasing by lab-grown diamond brands increased from 5 per cent in 2024 to 8 per cent in 2025, reflecting evolving consumer preferences. (IANS)