driven luxury in modern India

Beyond Opulence: Purpose-driven luxury in modern India Kotak Private Luxury Index 2025 reveals India’s wealthy now value wellness, experiential travel, and purposeful living over mere possessions, with luxury spending up 6.7 percent annually since 2022. By CNBCTV18.com India’s luxury story is no longer being told through objects alone. The old grammar of affluence, where ownership announced success and visibility confirmed status, is giving way to a quieter, more deliberate expression of wealth. Today’s markers are experiential, inward-looking, and increasingly irreversible. Time has become scarce. Space has become sacred. Health has become aspirational. Luxury, in its most evolved form, is now less about what is acquired and more about how life is lived. This shift has been unmistakable. India is on track to become one of the fastest-growing luxury markets worldwide, with projections surpassing $85 billion by 2030. But growth is only part of the story. What truly matters is where the money is flowing and why. Big-ticket real estate deals keep making headlines, wellness retreats are booked months ahead, and experiential travel has shifted from mere indulgence to deliberate intent. The real challenge is making sense of this change beyond just anecdotes. In this context, Kotak Private launched the Kotak Private Luxury Index 2025 (KPLI). Starting in 2022 as the base year, the index monitors price changes across 12 luxury sectors, including prime real estate, health and wellness, luxury experiences, rare watches, and designer handbags, providing a clear view of how India's wealthy are redefining value. Over three years, the index has increased to 122, showing a compound annual growth rate of 6.7%. More significant than the overall increase is the varied growth across categories, indicating shifting priorities rather than uniform inflation. The main focus of Where Wealth Meets Aspirations: The New Code of Luxury, a CNBC-TV18 special hosted by Executive Editor Latha Venkatesh, was the core idea behind the index and what it reveals about India’s ultra-high-net-worth individuals. In conversation with Oisharya Das, CEO of Kotak Private Banking, the episode presented KPLI not as a static report but as a behavioural map. According to Oisharya Das, the wealthy's post-pandemic mindset reflects a renewed sense of purpose. The rush for accumulating brands has lessened. What has become more important is enrichment, longevity, and experiences that leave a lasting meaning. The rise of wellness vividly illustrates this trend. According to the KPLI, health and wellness expenditures are increasing at an annual rate of 14.3% from 2022 to 2025. Oisharya Das noted that wellness has evolved beyond mere functionality, shifting from simple fitness routines or occasional retreats to immersive, personalised experiences that aim to improve quality of life over the long term. Exclusive villas, integrated Ayurvedic treatments, advanced diagnostics, and longevity-focused programs now symbolise privilege and luxury. Real estate mirrors this evolution from another angle. Luxury housing, as tracked by the index, has recorded annual growth of 10.8% since 2022. Yet the demand is not driven purely by returns. Oisharya Das pointed to a structural shift where space itself has become the ultimate luxury. Privacy, permanence, and amenity-rich ecosystems now define desirability, especially in a world marked by market volatility and digital overload. For many ultra-HNIs, property represents both sanctuary and stability. The conversation deepened with insights from Vodhi Chakravartty, Head of Strategy at Kotak Private Banking, who framed the index as a tool for transformation rather than measurement alone. In his view, KPLI influences how private banking evolves from being transactional to genuinely advisory. Data of this nature shapes long-term product strategy, identifies emerging asset preferences, and allows wealth managers to anticipate intent rather than react to demand. Vodhi Chakravartty also emphasised the increasing significance of networks beyond simple access to capital. Today’s entrepreneurs look for mentorship, collaboration, and co-investment opportunities within trusted ecosystems. Kotak’s “One Kotak” philosophy addresses this need by bringing together expertise from across the group, allowing clients to access a wider range of knowledge and opportunities. This change is also evident in portfolios. Perhaps the most telling signal of maturity lies in the rise of ESG and impact investing. As Vodhi Chakravartty noted, this reflects a movement from wealth accumulation toward legacy building. India’s elite are increasingly concerned with how their capital shapes the future, not just how it performs in the present. In capturing these currents, the Kotak Private Luxury Index 2025 does more than document spending. It records a mindset. One where luxury is no longer loud, but layered. No longer fleeting, but intentional. And increasingly, a reflection of purpose rather than possession. Note To Readers This is a partnered post