The Wellness Boom Is Something No Economist Could Have Predicted
Training with B.K.S Iyengar, Sammartino spent many years in Pune before bringing Yoga to North America. It was early in her journey that she predicted the Wellness industry would explode. Her forecast was correct. Vancouver now has more Yoga teachers per capita than anywhere else in the world.
In 1998, Canadian business visionary Chip Wilson, now worth 400 crores, started a Yoga and exercise clothing company called Lululemon, manufacturing simple but very pricey 5,000 INR yoga pants that became a Global marketing sensation.
Having started a snow and surfwear company in Vancouver in 1979, Chip practiced Yoga in his spare time and just like Sandra, knew the industry was about to take off. He invested $25,000 Canadian dollars in sewing machines to make Yoga pants. His marketing strategy was unique and groundbreaking. For his first store opening, he gave free pants and a t-shirt to the first thirty people who arrived naked. Thousands showed up for the promise of free Yoga clothing and suddenly Lululemon was gaining attention in the press.
Lululemon did have its initial struggles. In 2004 and 2005 the company failed in Japan and also Australia. The first Australian flagship store on Chapel Street in Melbourne was running at a loss for several years before finding a way to enter a very fickle market via using the first of what is now known as social media influencers.
When reality TV stars wore Lululemon on the show “Dancing With The Stars” (Jhalak Dikhla Jaa) and “Masterchef” contestants started wearing the brand while exercising, things shifted for Lululemon, and it soon became an overnight success in Australia.
Despite a 20% growth in athleisure in India, Lululemon has no plans to enter the market after previous failures in Australasia.
India, in general, has been slow to jump on the modern-day Wellness train compared to the West. Many scoff at the very successful Deepak Chopra who is now worth 50 million US dollars. The New Age Guru has written eleven books and has recently been a visionary of “The Well” opening this September in New York City, a highly anticipated one-stop wellness shop with a membership only buy in program.
Wellness is now a 4.2 trillion dollar industry and Luxury Wellness Tourism is the next big move for India. Investors are looking at Delhi, Bangalore and Mumbai to open similar Wellness centres to those in LA, New York and Europe. The market wants to visit the home of Spirituality, however, no longer wishes to “rough it” staying in Ashrams along the Ganga or in the Himalayas. They want high-end luxury and hospitality while enjoying their Wellness experience.
One thing lacking in Luxury Wellness tourism in India is the food and beverage sector. Acclaimed Wellness chefs are hard to find in India and menus lack the imagination of the West. Modern Day Wellness fans are Gluten free, Sugar Free, Dairy Free and Organic. They want their custom made smoothies with adaptogens (turmeric, ashwagandha, tulsi) and all the Wellness bells and whistles they have back home in the west when they travel.
Cafes like Greenr in Delhi, Sequel in Mumbai, Fab Cafe and Nicco Carra are accommodating with Wellness menus however 600 INR for a smoothie or green juice is well above western prices.
Another issue is unlike Wellness destinations like Costa Rica and Bali, India has not consolidated their Wellness. There is still no one-stop Wellness centre in India. Those seeking Wellness have to travel great distances to access different modalities.
The biggest complaint about new centres opening in cities like Mumbai is the Yoga is too advanced, also that the environment is too exclusive. Workshops and events need to be accessible for everyone and this is hard to execute.
Remember, Chip Wilson sold the Lululemon brand on innovative marketing campaigns and enlisting Yoga teachers as Ambassadors, creating a Global Yoga community. The customer service instore includes staff asking customers their name than writing it on the change room door and interacting like they are an old friend. Staff are always fresh-faced and energetic.
It’s important to note, 80% of all luxury purchase decisions are now made via Instagram. If the brand does not have a strong Instagram presence and a feeling of a welcoming community, it will not work.
Some of the most successful Wellness brands in India, Kama Ayurveda, Raw Pressery, Nourish Organics, Organic India have invested in very talented marketing and PR campaign managers that drive events and new launches in this country.
Brands are successful when they build a Wellness Community giving the market what it is craving. The Wellness buyer wants to feel like they are part of a family, which is why influencers have gained popularity and a large following on social media platforms.
If India reclaims Wellness, there is a bright future for any investor in the luxury market.
