Kotak Private unveils luxury index capturing changes in high-end spending

Kotak Private Banking today launched the Kotak Private Luxury Index (KPLI), a pioneering indicator of price movements across 12 categories of luxury products and experiences. Kotak Private Banking commissioned Ernst & Young LLP (EY) to assist in publishing the index. The index provides a data-driven view of how India’s ultra-high-net-worth individuals (UHNIs) are redefining the concept of luxury.

As India’s luxury market approaches an estimated $85 billion by 2030, the KPLI highlights a clear shift: from ownership to experience, and from materialism to mindful living. For investors, brands, and advisors, the index is more than just a price tracker — it acts as a cultural barometer, according to the Kotak Private press release.

Oisharya Das, CEO of Kotak Private Banking, said, “At Kotak Private, we believe luxury is not merely about possession, but about personalisation, exclusivity, craftsmanship, and heritage for India’s discerning ultra-HNI community. Leveraging our legacy of financial expertise and deep insights into wealth dynamics, the inaugural edition of this report provides a comprehensive benchmark for luxury across multiple asset and lifestyle categories. Through the Luxury Index, we offer a valuable indicator for investors, brands, and advisors to understand trends and cultural shifts shaping this vibrant ecosystem. We hope it serves as a compass for those who invest in luxury with purpose, reflecting Kotak’s commitment to helping clients grow wealth and enrich their lives.”

Performance: Key Insights, per the press release.

• 6.7% Annual Growth Since 2022 - The KPLI rose to 122 in 2025, marking a 22% increase over three years. Categories such as luxury real estate and designer handbags outperformed benchmark equity indices in 2025.

• Wellness as the New Status Symbol - Health retreats like Amanbagh and Ananda have pushed the wellness category up 14.3% annual increase since 2022, signalling that longevity and mindfulness now define modern affluence.

• Experiences Outpace Ownership - From Antarctic cruises to Michelin-starred dining, the Exclusive Experiences Index has soared 11.6% annually since 2022, reflecting a hunger for stories, not just assets.

• Luxury Real Estate Reinforces Identity - Branded, tech-enabled residences have climbed 10.8% annually since 2022, cementing real estate as the ultimate wealth marker.

• Fashion Holds, Watches and Wines Correct - Designer handbags rose 10.2% annual increase since 2022, while luxury watches and fine wines saw corrections—proof that even indulgence has cycles.

Education as Legacy - Elite university tuition is up 8.4% annually since 2022, making education both a luxury and a statement of legacy.

Methodology: The KPLI tracks year-on-year price changes across 12 categories, weighted by value retention, UHNI spending patterns and magnitude. The base year, 2022, marks the first post-pandemic benchmark for comparative analysis. These categories include prime real estate, designer handbags, luxury watches, luxury experiences, health and wellness, luxury automobiles, fine art, fine jewellery, designer shoes, elite universities, fine wines & rare whisky and luxury travel.

What it signals:

• Higher prices: Rising demand, scarcity, and cultural preference for exclusivity and experiences.

• Lower prices: Market corrections or shifting priorities—such as a move away from traditional collectables toward wellness and experiential luxury.

The index is a cultural and economic signal—showing where aspiration meets investment.

“The Kotak Private Luxury Index reflects how deeply luxury has taken root in India,” says Bhavin Sejpal, Partner, EY. “The 22% rise since 2022 signals a maturing luxury market—diverse, resilient, and driven by wealth creation and curated experiences. India’s ultra-HNIs are redefining luxury as identity, legacy and value preservation. From real estate and luxury experiences to wellness travel, India is shaping the next chapter of global luxury.”

India’s luxury market represents more than consumption; it reflects cultural evolution, economic strength, and aspirational identity. The KPLI shows that luxury is now about lifestyle, not just possessions, per the press release.