Hyderabad emerged as one of India’s largest jewellery retail markets in 2025, with its share of jewellery leasing rising sharply from 15% in 2024 to 31%. Alongside Chennai, Delhi-NCR, Bengaluru and Mumbai, the city accounted for over 90% of the country’s total jewellery leasing volume, according to a report by CBRE.
The growth was driven by rising consumer spending, expansion by legacy jewellery brands, and increasing demand for organised retail spaces across premium malls and high streets.
Absorption by retail leasing jewellery brands doubled from 0.4 million sq. ft in 2024 to 0.8 million sq ft in 2025, with Hyderabad, Chennai, Bengaluru and Delhi-NCR collectively accounting for the majority of that demand, according to a report by CBRE.
During 2025, Hyderabad recorded an increase in its share of leasing from 15% in 2024 to 31%. Chennai recorded its leasing share increasing from 16% in 2024 to 27%, reflecting rising demand for larger-format jewellery stores and premium retail spaces. In contrast, Delhi-NCR saw its share decline sharply from 24% to 10%. Bengaluru also recorded a moderation in share, falling from 18% to 14%, though the city continues to remain a key consumption-driven market. Meanwhile, Mumbai improved its share from 6% to 10%,
The report titled All that Glitters: Jewellery Brands Recast India’s Retail Footprint noted that while tier-I cities continued to dominate leasing volumes and revenues due to their larger and established luxury retail ecosystems, tier-II and tier-III cities were emerging as highly profitable markets for jewellers.
Lower rentals and operating costs, coupled with higher average transaction values and strong wedding-led demand, are prompting both national and regional brands to aggressively expand into smaller cities.
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Large-format jewellery stores spanning over 8000 sq ft see rising demand
The report highlighted a growing preference for large-format jewellery stores, with outlets spanning over 8,000 sq ft accounting for nearly 50% of total jewellery leasing in 2025, up from just 14% in 2019.
According to the report, leading jewellery brands are increasingly moving away from traditional 1,500–2,500 sq ft stores and shifting towards large-format ‘experience centres.’ These feature private VIP bridal lounges, augmented-reality-powered virtual try-on zones, dedicated gallery spaces for high-value collections, and personalised consultation rooms, all designed to enhance customer engagement and premiumisation.
The trend is also gaining traction beyond metros, with new entrants and regional jewellers in tier-II and tier-III cities leasing spaces exceeding 8,000 sq ft, matching the scale of established national flagship stores, the report noted.
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Anshuman Magazine, chairman and CEO – India, South-East Asia, Middle East and Africa at CBRE, said the rise of larger stores reflects a structural shift in consumer engagement strategies and the way mall developers are curating tenant mixes.
Developers are also creating dedicated jewellery precincts within malls, equipped with reinforced vaults, advanced security systems and specialised lighting infrastructure tailored for jewellery retailers.
Jewellery brands are also multi-format retail strategies by combining flagship stores with boutique mall outlets, shop-in-shop concepts and transit-oriented locations to cater to diverse customer segments. Direct-to-consumer jewellery brands are also expanding their offline presence across malls, affluent high streets and transit hubs.