India is becoming a key market for luxury watches, with imports rising 28.5% to 265 million Swiss francs through September 2026. As demand in traditional markets softens, brands like Franck Muller are pivoting toward India, including plans to enter the local luxury real estate sector to tap into the growing affluent consumer base.
The Swiss luxury watch industry is increasingly focusing on India as a critical growth engine. Data for the first nine months of 2026 shows a 28.5% surge in exports to the country, with total imports reaching 265 million Swiss francs. This growth stands in contrast to the broader global environment, where traditional luxury markets such as China and the United States have seen demand decline by 5.9% and 4.1%, respectively. Industry observers suggest that India is on track to break into the top eight global luxury watch markets by next year, supported by an expanding population of high-net-worth individuals and higher disposable income.
Luxury brands are shifting their strategies to better align with local sentiment. Manufacturers such as Franck Muller are moving away from one-size-fits-all global retail models, opting instead for a localized approach that prioritizes Indian cultural markers, national milestones, and specific consumer preferences. This shift is designed to strengthen brand equity and capture a larger share of the domestic market as consumers move toward premium and high-value products.
In a strategic diversification, Franck Muller is also preparing to enter the Indian real estate market. The company is expected to announce a branded ultra-luxury residential project within the next month. This move into real estate is part of a global trend where luxury brands leverage their prestige to enter property development, aiming to monetize their brand identity within the lifestyle expenditures of the ultra-rich. While this allows brands to capture more value from their customer base, it also marks a significant change in their operational model.
For investors, this pivot introduces a different risk profile. While selling luxury watches is a retail-driven business, real estate development is a capital-intensive, long-gestation industry. It involves complex regulatory processes, construction management, and execution risks that are quite different from the watch trade. The company will likely need to rely on strong local partnerships to navigate the intricacies of the Indian property sector.
The next important update for stakeholders will be the official project announcement. This is expected to provide clarity on the project scale, the company's local partners, the funding structure, and the expected timeline for completion, all of which will be key to understanding the potential impact on the company’s business.