LuxeBook April 2020

32 | APRIL 2020 APRIL 2020 | 33 Indian businessmen and women on COVID-19 ’s impact on the luxury sector Samrath Bedi Pradeep Lala Vaniitha Jaiin Nitin Kohli Gautam Gupta Kunal Vora, Founder AD Singh Sunil Sethi Chef Rahul Akerkar Nikhil Kapur Samantak Das Pooja Ashley & Arbaysis Ashley Nitin Arora Shishir Baijal Arun Ashok Vivek Sahni Samrath Bedi Executive Director, Forest Essentials “Given the circumstances, operating business as usual is not an option and this has definitely hit the retail front. We are ensuring that our primary point of contact with the customers during this crisis is through social media platforms.” Chef Rahul Akerkar Founder & Managing Partner, Qualia Hospitality LLP “The Bombay chapter of the National Restaurant Association of India convened a meeting to discuss several aspects of COVID-19 and to address restaurateurs’ worries, as is natural in a time of uncertainty. The decision to temporarily wind down operations was not a mandate by the government but a unanimous choice of the collective of restaurateurs and business owners present. The safety of teammembers, employees, customers and family are paramount. Business can suffer losses, but there is no replacement for the people that helped build it. At the moment, uncertainty is our fundamental problem; no one really knows how long this will last and when and where will it end. This is not a global recession, it’s a depression. However, as they say – this too shall pass.” GautamGupta Designer, AshaGautam “The store and factory are closed and workers are asked to stay home, while some designers are working from home till March 31. Clients have been informed about the same. Lots of weddings have been cancelled and the next two months are going to be critical. We hope that no more humans die. Financial losses can be recovered eventually.” Nitin Arora MD, Katalyst Entertainment “Our industry is probably the worst hit. Shows, conferences and weddings have either been cancelled or postponed. In the coming two months, we might be dealing with huge losses, estimated at ₹3,000 crore. I think whatever the government is doing is quite commendable. I’d like to appeal for some kind of GST concession so that we can cope with this loss.” Pradeep Lala CEO & MD of Embassy Services Pvt Ltd “We have an active Crisis Management Team (CMT), which represents all our premises across India and is focused on five key areas —people, medical, education, operations and communication. We have also created isolation rooms...” Nikhil Kapur Founder Director of Atmantan Wellness Centre “...Thermal screening is implemented on staff members periodically, while ensuring usage of masks by the HK Staff and therapists working on the premises.” Kunal Vora, Founder ABND “Hospitality & Tourism Industry is always the first to be affected during a health crisis. While this is going to be bad for business, there might be an opportunity here. Brands in this industry could use the downtime to interact with their target audience and establish a brand purpose that distinguishes them from their competition. For instance, Airbnb’s free housing for refugees initiative or the more recent LVMH’s US $2.3 million donations to the Chinese Red Cross to fight COVID-19.” Shishir Baijal Chairman & Managing Director, Knight Frank India “... Due to the current advisories and travel restrictions, the decision- making process might be delayed. Therefore, the short-term impact on the real estate sector remains contained. The long-term impact is unknown as the longevity of the crisis is uncertain.” Vaniitha Jaiin Wine & Spirit Expert “...In the wine business, Italy, which is one of the most significant wine-exporting nations are badly affected. Moreover, due to the crisis, some of the major events where wine and spirits importers and foreign producers get together to talk business are cancelled or postponed...” Samantak Das Executive Director & Head of Research, REIS, JLL “The COVID-19 situation remains fluid and uncertainty still looms large on the possible economic impact of the outbreak...At this stage, the UN estimates the trade impact of the epidemic in India to be $348 million…” AD Singh Managing Director, Olive Group of Restaurants “COVID-19’s impact on many industries will be catastrophic. Many people will lose their jobs. At this time, we all look to the government for clear, supportive policies for the affected industries through a variety of measures including tax sops, input tax credit, etc.” Arun Ashok Country Manager – India, Luxury Escapes “By far, travel has been the worst affected industry. Aeroplane seats and hotel rooms are perishable commodities—if today’s inventory is not sold then they’re lost forever. We’re essentially looking at almost two months or 17 per cent of the year’s inventory washed out. Indian travellers also tend to not purchase holidays beyond two to three months before the travel dates, so, it’ll be a while before we see people buying travel packages again. The current state of the financial markets will also pinch discretionary spending power. We will probably see business travel recover faster than leisure travel. Clear communication across multiple platforms and agencies, a strict crackdown on misinformation and efficient management of our medical facilities are all that’s needed for now.” Nitin Kohli Founder & Designer, Nitin Kohli Home “It has been a sudden turn of events for the complete world. We, at Nitin Kohli Home (NKH) had taken a call to work from home on March 19, before the announcement by the PM (March 22) for junta curfew. A week before the shutdown, we started getting messages from new clients to put new projects on hold. Also, most existing clients also put some part of their project or orders on hold. This prepared us for what was in store for us. From the government, I am expecting big relief in terms of GST, banking and deferred EMI payments. After reopening, all reserves will be diverted priority-wise. I, as an individual, would like to first secure my employees and the employees of all companies associated with us.” Pooja Ashley &Arbaysis Ashley Co-Founders, Ashleys’ “The market of luxury interiors is huge in India and is largely dependent on manufacturers across the globe. Italy is still the leading hub for product design; one of the most recognised furniture fairs— the Salon de Mobile, has been shut down, due to the unfortunate crisis as a result of the pandemic. This has led to a design crisis as interior design depends on global trends, hence delaying project decisions. Sanitary ware, window systems, premium tiles are all from Italy and Turkey, which are now tough to reach for. China, the epicentre of the pandemic, had been a leading market for furniture and lighting fixtures. Every year, Indian designers and agents visit China to import furniture, lighting etc. With the magnitude of dependency on imports for luxury projects from different parts of the globe, the pandemic is sure to delay several projects.” Sunil Sethi Chairman, FDCI “Previously scheduled fromMarch 11 to 14, the biggest fashion show and business of Indian fashion was postponed indefinitely. This was one of the major decisions that we took for FDCI as an organisation. While we wholeheartedly support the organisation’s intentions to safeguard public health and wellbeing of its fraternity, the postponement of the show of such a mammoth scale isn’t easy on people who have spent months planning and executing it. The virus is increasingly having a negative impact on the fashion industry. Vivek Sahni CEO & Co-Founder, Kama Ayurveda “The crisis has impacted the retail industry at large. The pandemic has forced many beauty brands to shut its brick-and-mortar stores, which means a reduced number of touchpoints for the brand to communicate with its audience. While its hard o predict the changes in consumer behaviour but one is sure that the change will be dramatic.”