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. Developed with support from Ernst & Young LLP (EY), the index offers a data-driven window into how India’s ultra-high-net-worth individuals (UHNIs) are redefining what luxury means in 2025 and beyond.
As India’s luxury market races toward an estimated $85 billion by 2030, the KPLI spotlights a major cultural reorientation: a decisive move from ownership to experience, and from material indulgence to mindful, personalised living. According to a press release from Kotak Private, the new index serves not just as a pricing benchmark but as a cultural barometer—a tool for investors, wealth advisors and brands seeking to understand shifting UHNI aspirations.
Launching the inaugural edition, Oisharya Das, CEO, Kotak Private Banking, said luxury today is about “personalization, exclusivity, craftsmanship and heritage” for India’s ultra-wealthy. “Through the Luxury Index, we offer a valuable indicator for investors, brands and advisors to understand trends shaping this vibrant ecosystem. We hope it serves as a compass for those who invest in luxury with purpose,” she added.
Luxury price rise
The KPLI jumped to 122 in 2025, marking a 22% cumulative rise since its 2022 base year. The strong performance places several luxury categories ahead of benchmark equity indices, underscoring the resilience of India’s premium consumption segment.
Key findings
Wellness vs wealth display
Wellness emerges as the new luxury, driven by destinations like Amanbagh and Ananda. The category surged 14.3% annually, signalling that longevity, rejuvenation and inner well-being now define modern affluence.
Experiences category
The Exclusive Experiences category saw an 11.6% annual rise, fuelled by demand for Antarctic expeditions, Michelin-starred dining and personalised travel itineraries. UHNIs are increasingly seeking stories over possessions, marking a definitive behavioural shift.
Luxury real estate
Branded, tech-enabled homes recorded a 10.8% annual increase, reaffirming prime real estate as an ultimate wealth anchor and an extension of personal identity.
Luxury fashion
Designer handbags rose 10.2% annually, benefiting from scarcity-led premium pricing. However, luxury watches and fine wines witnessed price corrections—an indication that even high-end indulgences face cyclical recalibration.
Education as legacy asset
Elite university tuition grew 8.4% annually, reflecting education’s emergence as both a luxury category and a long-term legacy investment for UHNI families.
How the index works
The KPLI measures year-on-year price changes across 12 luxury categories, weighted by:
UHNI spending behaviour
Value retention potential
Category magnitude
The categories include prime real estate, luxury automobiles, fine jewellery, designer handbags and shoes, luxury watches, fine art, exclusive experiences, wellness, elite university tuition, fine wines & rare whisky, and luxury travel.
What the trends reveal
The KPLI measures year-on-year price movements across 12 luxury categories, weighted by value retention, UHNI spending behaviour and category size. Its base year, 2022, serves as the first meaningful post-pandemic benchmark for comparison. The categories span prime real estate, designer handbags, luxury watches, exclusive experiences, health and wellness, luxury automobiles, fine art, fine jewellery, designer footwear, elite university tuition, fine wines & rare whisky and luxury travel.
What it indicates:
Rising prices: Strong demand, limited supply and a cultural pivot toward exclusivity and curated experiences.
Falling prices: Market corrections or evolving priorities—reflecting a shift away from traditional collectibles and toward wellness-driven and experiential luxury.
Ultimately, the index acts as both a cultural and economic lens—revealing where aspiration aligns with investment in India’s evolving luxury landscape.