French luggage-maker Delsey Paris is increasing its investments in India, which has become its fifth-largest market worldwide, as it looks to catch up with changing travel habits that are driving demand for products beyond traditional suitcases, its global CEO Gilles Bariguian told Mint.
The company, which has been operating in India for about two decades, is planning a “tsunami of innovation” in the second half of the year to capture these shifting consumer preferences, he said. It’s also looking to expand its presence into smaller cities through franchised and department stores, and online sales, he added.
Bariguian noted that India is one of the company’s fastest-growing markets and is poised for rapid expansion in the coming years. Delsey’s other top markets include the US, its largest, followed by France and the Gulf Co-operation Council (GCC) region.
In addition, the company is adapting to the growing influence of artificial intelligence (AI) on shopping behaviour, Bariguian said, with consumers increasingly relying on AI tools such as ChatGPT, Gemini, Claude and other large language models to compare products, evaluate reviews and make purchasing decisions.
Catching up with new trends
Delsey is looking to boost its marketing spend and expand its local portfolio, which includes manufacturing and retailing leather goods out of India. It also plans to venture into backpacks and travel accessories to target global Gen Z travelers who favour shorter trips and lighter luggage.
According to Mordor Intelligence, the global luggage market was valued at $41 billion in 2025 and is expected to grow to more than $60 billion by 2031, driven by a recovery in leisure and business travel. Backpacks accounted for more than half of industry revenue in 2025. Bariguian said this is one of the reasons the company is looking to enter the segment. He added that while the Asia-Pacific region — led by India and China — remains the largest growth market, Delsey is not yet present in China or Germany.
The company’s rivals, which include the world’s largest luggage maker Samsonite, derive as much as 40% of their business from categories such as backpacks and accessories, compared with about 5% for Delsey.
Bariguian acknowledged Delsey had been slower than some competitors in responding to accessories and other trends. “We missed the evolution and growth of non-luggage categories, mainly backpacks. Today we are in catch-up mode,” he added. The company aims to increase the contribution of non-luggage products to 25% of sales by 2028 through a series of launches that include backpacks, lightweight luggage and aluminium collections.
Bariguian said the shift will be supported by younger consumers, who continue to prioritise travel and experiences over products. “People are travelling more and more. Gen Z wants to discover the world. They want experiences. That’s why I am very positive about the future of this category.”
‘Tsunami of innovation’
“We will be doing a tsunami of innovation between July and December this year,” Bariguian said, with India expected to play a key role in that growth strategy.
The company currently has more than 150 points of sale in India, including exclusive stores, department store counters, and multi-brand outlets. According to Bariguian, the India business is growing at more than 20% annually. Delsey India reported a revenue of ₹56.2 crore and a net profit of ₹2.6 crore for FY25, according to registrar of companies (RoC) data accessed via Tracxn.
It remains a relatively small player in India’s organised luggage market, where listed players Safari Industries and VIP Industries generated revenue of ₹2,047 crore and ₹1,858 crore, respectively, in FY26. The sector is also attracting new challengers such as Mokobara, backed by Peak XV.
Delsey plans to add 8 to 10 stores a year in India and has doubled marketing investments in the country this year, with more increases planned next year. “We are growing in metro cities. Now we are going into smaller cities as well. Digital is also playing a very big role,” Bariguian added.
India’s organised luggage market remains concentrated, with a handful of brands dominating sales. CRISIL Ratings wrote in a report in October 2025 that competition has intensified in the ₹4,000-8,000 price segment as new brands offer design-led products and additional features at competitive prices, forcing established players to broaden their product portfolios and step up innovation.
The country’s market is valued at about ₹20,000-25,000 crore, according to industry estimates. The majority of it is unorganised, with organised players accounting for about ₹6,000-7000 crore.
Higher freight costs
Despite optimism around demand, the industry faces challenges from geopolitical disruptions and rising input costs. The conflict in West Asia has disrupted supply chains and increased freight costs, particularly for shipments into the region. Bariguian said container shipping costs to parts of West Asia have more than doubled in recent months, while freight rates from Asia to Europe have also risen sharply.
Simultaneously, rising plastic prices are putting additional pressure on luggage makers, most of which source their products from Asia. Around 95% of global luggage production is concentrated in the region, particularly China, which remains the industry’s manufacturing hub.
Delsey currently does not manufacture luggage in India, though it does source leather products locally for global markets. “We haven’t yet found the right capabilities to have broader production for our luggage. But India is a very value-driven market and we need to explain why our luggage is good, why consumers should spend more and why they should upgrade, so we will double our marketing spend here,” he said.